C0-OPERATIVE FEDERATIONS: OPPORTUNITY AND THREATES IN A CAPITALIST ECONOMY (A CASE OF ABIA STATE CO-OPERATIVE FEDERATION)A RESEARCH PROJECT MATERIAL ON CO-OPERATIVE ECONOMICS
ABSTRACT
Capitalism is seen as an economic system or market economy was there is free allocation of market resources and free private participation in economic activities. The capitalist concept is manifested in the early 19th century, the period of industrial revolution. Since this period to the present date, capitalism has controlled the economic of some developed countries and the undeveloped ones, such countries include Europe, South Africa, America, Israel, Japan, and Nigeria. Despite the effort of the government to help these countries to regulate the excess of capitalism. In the wake of the excesses of capitalism, which resulted, the suffering of the poor masses, co-operative emerged. The co-operative concept tends to oppose the capitalists mod of business practices. Co-operative is a movement, which aims at bringing better living to the poor by returning to them the best economic power and dignity of laboure. This they lost through the shrewd influence of capitalism. This research work was carried out in three commercial towns in Abia state. This piece of work analyses the opportunities that exist for the co-operative alongside with the threats existence of capitalism.
CHAPTER ONE
INTRODUCTION
BACKGROUND OF THE STUDY
There are different economic systems, which exist in the world economy. Among these systems, three types are prominent namely, Socialist, capitalist, Mixed Economic system. The socialist system is seen as a type of economy where all the activity and sector of the economy are controlled by the government. This implies that there is government ownership on every investment in the system. Today, socialism is giving in to other type of economic system in that most countries of the world that practice socialism are losing their holds in the economy of their respective country. The union of soviet socialist republic (U.S.S.R) is a good example of such dwindling socialist country.
Capitalism on the other hand is a reserve of what is obtainable in a socialist economy. This is because capitalism is seen as an economic system whose individual controls the economic activities of the country. It is characterized by an interplay of the market force , E.I. force of demand and supply, cut the throat competition and indiscriminate like in the price of goods and services.