Test of Capital Market Efficiency Theory in the Nigerian Capital Market

This study examines the efficiency of the Nigerian capital market by using market capitalization. Data for the study were obtained from the Nigerian Stock Exchange as well as the Central Bank of Nigeria statistical bulletin and the study spans between 1990-2009. Ordinary least square regression technique was used to analyse the data. Findings from the study showed that the Nigerian capital market is efficient by using market capitalization. Key Words: Capital Market, Efficiency, Market Capitalisation

Plato’s Philosopher Rulers: Lessons for Nigeria

The current state of affairs in Nigeria is the reality of the state of nature portrayed by social contract philosophers. The Nigerian state has failed to provide security for lives and property. The basic necessities of life are luxuries in Nigeria. The legislators enact selfish laws while the judiciary is being emasculated by the mighty and the executive formulates and implements self-serving policies. The government has become of men rather than of laws. This is due to the failure of leadership, which is predicated on the quality of the rulers, most of whose level of education cannot afford them the acumen for statecraft. The matrices of the problem are: colonist influence; manipulations by the cult of the uneducated; and the political aloofness of educated Nigerians. Plato’s political ideology for an ideal state remains a classic reference for many generations after his death. In the instant case, his theme on the qualifications of the philosopher rulers (guardians) after rigorous educational training could serve as a paradigm for Nigeria. Therefore, the work recommends that the minimum educational qualifications for Nigerian rulers be reviewed upward to a university degree, which not only equates with the rigorous educational training for the guardians in Plato’s ideal state but also sufficient to broaden the horizons of the rulers to comprehend, analyse and reach decisions on complex issues. Thus, ss. 131 (d), 177 (c) of the CFRN 1999 (as amended) should be amended. Finally, educated citizens should be involved in the political affairs of Nigeria in order to fill the quality gap in the quality of rulers. Or else there would always be square pegs in round roles and the ship of state would wreck

INTRA – TRANSFER –SEGMENTAL PRICING,ITS ADAPTABILITY CONCEPT IN DETERMINATION OF ORGANIZATIONAL PROFITABILITY

Purpose: The purpose of this paper is to highlight the relevance of intra-segmental-transfer-pricing as a measure of interdivisional, interdepartmental performance efficiency, when goods and services are internally transferred within the units in the organization. Methodology/Approach: An empirical survey-based-data collection from TEXLON NIG. PLC (a textile unit with two functional departments –spinning and weaving), Oshodi/Apapa Expressway, Mile 2, Lagos, Nigeria. Findings: Intra-segmental-transfer-pricing basically, is not a market oriented pricing mechanism. The system under which each independent unit has full freedom to negotiate (LAISSEZ FAIRE) is absolutely absent. The segmental pricing by independent units are virtually regulated by guidelines (CENTRALLY IMPOSED). It is a measure of efficiency rather than “Profit performance”. Research Limitations/Implications: i. In intra-segmental-transfer pricing, selling divisions are allowed to recover selling expenses from the user divisions even though no selling expenses are virtually incurred on intra-segmental transfers. ii. The measurement of segmental profit performance is not possible under regulated guidelines (centrally imposed pricing), hence, profit performance of each unit cannot be measured with absolute certainty. Practical Implication: Intra-segmental transfer-pricing is not a measure of divisional profit performance, its utility is limited to internal adaptability scenario. Originality/Value: This paper exhibits more light on the theory/concept of segmental-transfer pricing as a measure of segmental profit performance and its theoretical utility rather than absolute measure of profitability