2nd Article | Volume 01 | Issue 02
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Public Authority Regulations and Invisible Hands of Adams Smith in A Free Market Economy During Emergency: The Paradoxical Relationship
University O. Edih, Ph.D.
oweilade123uni@gmail.com
Department of Marine Economics and Finance,
Nigeria Maritime University, Okerenkoko, Delta State, Nigeria
Nyanayon D. Faghawari
nyanayondavid@gmail.com
Department of Ports Management,
Nigeria Maritime University, Okerenkoko, Delta State, Nigeria
Humphrey O. Onoriode, Ph.D.
onoriodehumphrey@yahoo.co.uk
Department of Business Administration,
Delta State University of Science and Technology, Ozoro
Abstract
The study investigated public authority regulations and the invisible hands of Adam Smith in a free market economy during the emergency a paradoxical relationship but the focus is to determine the place of public authority regulation of prices of goods during pandemic. It generated primary data by administering sets of questionnaires to selected firms and the data was analyzed using the Chi-square analysis. The two hypotheses formulated for the study was tested at a 5% level of significance. Results revealed that there were no price variations in pharmaceutical products and bakery companies’ products during the first wave of covid’19 pandemic in Nigeria. The findings show that because the restriction of movement did not affect essential commodities, and international borders were open for pharmaceutical goods and other essential products. Though discovery from the skeletal interviews conducted, showed an increase in demand for bakery products but no corresponding rise in prices. This movement restriction was affected by the firm order and directives of the government as carried out by COVID-19 task force. It is suggested that government should regulate the prices of commodities during emergencies to curtail artificial inflation.
Keywords: Adam Smith, COVID19 pandemic, Free Market, Invisible Hands, Paradoxical, Public Regulation
How to cite:
Edih, U. O., Faghawari, D. N., & Onoriode, O. H. (2023). Public Authority Regulations and Invisible Hands of Adam Smith in a Free Market Economy During Emergency: The Paradoxical Relationship. International Journal of Multidisciplinary Educational Research and Innovation. 1(2), 15-23. DOI: 10.5281/zenodo.7943336. https://www.ijmeri.com/edih-u-et-al
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