THE OPERATION OF MICROECONOMIC CHOICE IN COMPETITIVE MARKET FOR UNIVERSITY EDUCATION IN NIGERIA

Satope, Bola Funmilayo

Department of Human Resource Development,

Osun State University, Osogbo, Okuku Campus

E- mail: satopetito@yahoo.com

ABSTRACT

In recent time in Nigeria, there has been continuous expansion of the University and a change in market structure from monopolistic control by federal government to a competitive one involving private individuals and religious organisations as well as state government. This provides a wide range of choices for the students. The study therefore looks at the factors determining choice of consumers in university options and the importance of such choice in a competitive market for education which is one of the basic rights of the students. It uses a model comprising the various components of microeconomic choice namely: consumer (parent), producer (government and firms) and the market place (students) and was based on the bounded rationality theory.

The study shows that consumer’s choice of university is based on availability of suitable course in the area of interest, employment rates of graduates from the particular university, parents’ education and income, physical appearance of the campus buildings and the impression they have of the university. Other important factors in most university advertisement like: quality of teaching, use of information technology etc do not have meaning to applicants due to inadequate information for applicants. It is however recommended that consumers should give recognition to class size, skill outcome, career possibilities etc among others. The paper also identified the importance of choice as: reducing waste, enhancing efficiency in decision making, ensuring failure of the weak and success of the strong and finally, bringing about innovation. Recommendations are therefore given for efficient choice making.

Keywords: Opportunity Cost, Scarcity, Rationality, Information Overload, Innovation Overload