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Nigeria: Investing in Rice Production and Rice Processing Project

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Submitted By Teminiola
Words 1933
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Table of Contents 1.0 Article Summary …………………………………………………………… 1 2.0 Introduction …………………………………………………………… 1 3.0 Analysis …………………………………………………………… 2 4.1 Demand and Supply………………………………………………… 2 4.2 Shortage …………………………………………………… 6 4.3 PPF ………………………………………………………………………. 8 4.4 Elasticity ……………………………………………………………. 10 4.5 Price Floor………………………………………………………………. 11 4.0 Conclusion …………………………………………………………… 12 5.0 References ……………………………………………………………. 13

1.0 Article Summary
The article by allAfrica.com with the heading “Nigeria: Investing in Rice Production and Rice Processing Project” reports the policy made by government to increase the production of local rice as well as making Nigeria self-sufficient in the next four years. 2.0 Introduction The rate at which people are consuming rice globally is tremendously increasing. This does not exclude Nigeria hence the government has seen the urgency to invest in mass production of rice because of the untold consequences that could arise from ignoring the trend. According to the article, rice has become a stable food in Nigeria, and it is a fact that both rich and poor are consuming large quantity of rice on daily bases. However, given the rate of consumption of rice in Nigeria, this article explores different imminent factors that may affect rice market now and in the future. Economics theories and models are used for an in-depth analysis. Therefore, this report discusses factors such as demand, supply, shortage, Production Possibility Frontier PPF, elasticity and price floor. Lastly, conclusion is drawn to create a measurable balance.

3.0 Analysis 4.1 Demand and Supply Demand can be defined as the quantity of a good or service that a consumer is not only willing but also able to buy at a particular price during

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