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Economic Analysis on Unemployment

2003 Electoral Fraud


Political violence escalated in Nigeria in the run-up to presidential and legislative elections
scheduled for 2003, raising fears that the country will struggle to have its first peaceful transfer of power
from one civilian government to another. Municipal elections were postponed indefinitely in August 2002,
after having been rescheduled from May, ostensibly to allow for further preparations. A voter registration
exercise held in September was disastrous. The federal government faced international criticism about
harsh sentences handed down by Sharia (Islamic law) courts in the north of the country. Intercommunal
violence continued in 2002, and clashes between Christians and Muslims in the northern city of Kaduna
claimed more than 200 lives in November following controversy over the Miss World Pageant. Security
forces continued to commit abuses with impunity, although the government moved to disband a notorious
southern vigilante group.
In 2003, the total population of Nigeria decreased due to the increasing political violence during
the election. This economic issue led to high unemployment rate since the labor force decreased. In
relation to the inflation rate, if the number of unemployed population increased then, the economy will
have a low income which would result to low demand. Thus, the inflation rate will also decreased due to
low demand.

2008 Niger Delta attack on oil installations


Nigerias oil production has dropped to 1.65m barrels a day, according to the finance minister,
who blamed a resurgence of militant activity in the southerly Delta region for the lowest output in 22
years. Due to this event, the production of oil began sliding in February when a new militant group calling
itself the Niger Delta Avengers claimed an attack on an underwater pipeline running that forced Royal
Dutch Shell to shut down its Forcados export terminal, knocking off at least 250,000 bpd. The government
has said it will be reopened this month but it is not clear if repairs have started. Earlier this week Shell
declared force majeure on exports of Bonny Light crude after a leak on one of its trunk lines in the Delta,
days after Chevron had to shut a platform falling an attack also claimed by the Niger Delta Avengers. It
is not clear who is behind the new group but the statements attributed to them that are being circulated on
social media suggest their demands are similar to those of militants who waged an insurgency until 2009
that slashed the countrys oil production. The new group has vowed to bring Nigerias oil output to zero.
The uptick in unrest in the Deltaand the impact on oil productioncomes as the Muhammadu Buhari
administration is confronting the worst economic crisis in decades due to the oil price collapse. Most of
the 36 state governments of the federation are unable to pay salaries regularly.
In 2008, the oil production of Nigeria intensely decreased due to the attacks of the militants called
the Niger Delta Avengers. This group attacked the oil systems in Nigeria which resulted to a worst
economic crisis in the country since, oil is their highest output of production. Due to this issue, large
number of labor force lost their jobs. Thus, the unemployment rate of the country increased. In relation to
the inflation rate, the supply of oil decreased which resulted to the increase of the demand. Since the
demand on oil increased, its price increased high inflation rate.

2009 Boko Haram


Despite emerging from the murky shadows within Nigeria just a dozen years ago, Boko Haram
has quickly earned itself an infamous reputation for being one of the most callous and violent radical
Islamist groups in African history. In fact, its already been tagged a terrorist group by western countries
such as the United States. Boko Haram has waged an increasingly bloody insurgency since 2009 in an
attempt to create an Islamic state in Nigeria. Nigerias government has been facing mounting pressure
both at home and abroad to do more to tackle the group and bring about the release of more than 300
schoolgirls kidnapped by the group on April 15. President Jonathan originally declared a state of
emergency in May of last year in the three northern states where Boko Haram is, and has been, most active
Borno, Adamawa and Yobe. Boko Haram retaliated by stepping up its bombing campaign in cities and
launching mass attacks on small towns and villages.
In the year 2009, the terrorist group named Boko Haram attempt to create an Islamic State which
resulted to the mounting pressure encountered by the government of Nigeria. This issues effect was
poverty and lack of education. Like the year 2008, the Nigerian citizens also experienced violence from
the Islamic group. In result of the pressure, Nigerias presidents declared a state of emergency. Because
of the fear and disruptions caused by the terrorists to the citizens and its environment, large number of the
population were unemployed. Since the unemployment rate of Nigeria this year was high, the inflation
rate this year was low.

Conclusion:
The worst economic crisis in Nigeria greatly affect the economy as a whole. Most of the issues
which caused this crisis was because of the terrorist groups who attacked and pressured the people in
Nigeria especially to its government. Since unemployment rate is usually used to measure the health and
wealth of the economy of a nation, Nigeria gained a high unemployment rate because of the economic
crisis, particularly due to the intense decrease of the oil production in the country. Politics, in this sense,
is volatile to the crisis experienced by the country. Thus, corruption should be completely eliminated from
the system to pave way for the creation of jobs in the country. Then, the problem with poverty and lack
of education in the country will also be solved.
Sources:
http://www.thetidenewsonline.com/
https://freedomhouse.org/report/freedom-world/freedom-world-2003
https://www.ft.com/content/4f788405-5efa-3e1c-bb67-dc2bf0e592cc
https://www.fairobserver.com/region/africa/boko-haram-and-its-economic-consequences/