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This is one secret behind Americas success as a nation. Individual states are
empowered to think out of the box in the management of their economies.
California was described as a laboratory for new ideas in government and
despite its present day troubles, California did provide many new ideas in
governance. Californias economy is about the same size as Italys.
California is possible in the United States of America, but not in Nigeria with its
unitary constitution.
Over-dependence on crude oil rents is a major stumbling block to political and
economic diversity. As long as crude oil rents are available, there will be few
incentives for either genuine constitutional change or diversification of internally
generated revenues. State governors will only begin to think outside the box to
develop their state economies when their backs are against the wall (crude oil
rents are no longer assured).
Resource Control is an idea whose time has come.
We often misunderstand what roles each tier of government are supposed to
play. Neither Abuja nor the President will diversify Nigerias economy/internally
generated revenue; that job is for empowered sub-national units. The best Abuja
can do is to empower them to do so.
The principles encapsulated in this essay must form the basis of a new Nigerian
Constitution. The generation that gave us the unitary petro-state will stubbornly
stick to the ideas of their youth, but these changes are not optional for younger
generations.
We either have to make these changes voluntarily or have these changes forced
on us in less than one or two decades, but by then it might be too late.
With a combination of the Shale Revolution, a hydrocarbon supply glut and a
rapidly expanding population, Nigerias days as a petro-state are numbered.