Assessment of the Effects of Fuel Subsidy Removal on the Living Conditions of Residents in Calabar Metropolis, Cross River State, Nigeria

Abstract

This paper investigated the effect fuel subsidy removal on the living conditions of residents of Calabar metropolis in Cross River State, Nigeria. The paper was guided by three specific objectives: to examine the extent of variation in prices of goods in Calabar metropolis, to assess the effect of subsidy removal on transportation in Calabar Metropolis and to examine the effect of subsidy removal on the cost of family health management by residents of Calabar metropolis in-line with the research questions. Relevant literatures were cited to offer the basis for the study. The paper derived its theoretical grounds from two theories, namely; the gradualism theory propounded by James Hutton in 1795 and the welfare theory postulated by Vilfredo Pareto and co. in the late 1897^th. The researchers adopted survey research design as well as quantitative and qualitative data analysis technique where regression statistical tool was used to analyze the data obtained from the field. The population of the study was made-up of the 170000 registered residents of Calabar metropolis during the 2006 census and the sample size was 150 interviewees selected via the use of Yemen formula which represented 0.882% of the total population. The findings of the study via the instrument of interview and questionnaires revealed that there is a very significant effect of the current fuel subsidy removal on the prices of goods and services in Calabar metropolis as prices are skyrocketing continuously, Another findings of the paper revealed that there is a very significant effect of fuel subsidy removal on transportation in Calabar metropolis as transportation has doubled-up to four times after May 29^th 2023 and finally the paper revealed that there is a very significant price deferential in the cost of healthcare management because of fuel subsidy removal as recommendations were made thereof.