Global Economy in Crisis : A Rethinking of Received Economic Doctrine with some Evidence from Nigeria

"This paper examines the impact, policy responses and implication of the global financial crisis on Nigeria. It also reviews the received economic doctrine which has fundamentally contributed to the crisis and calls for a rethinking of the dominant economic dogma which emphasizes minimal government and freedom of private resource owners to seek maximum private profits even at the expense of the generality of the people. In addition, the paper cautions that care must be taken in involving the government especially for a country like Nigeria where weak institutions persist. This is because basic institutional arrangements and safeguards must be put in place to manage the demands of alternative government intervention strategies. The challenge, therefore, is for economists to rethink the existing economic paradigm in line with current reality. More fundamentally, it would be appropriate to strengthen regulation in the financial system and re-examine the free market rationality assumption given the fact that greed and self-interest have been at the core of the current global economic crisis."