Religious text demostate the existence of begging in the early years of creation.
South Africa is a country renowned for its stark contrast in social, ethnic and economic income inequality. Introduced by the National party inthe Apartheid system established the barrier between different appearances, known ancestries, socioeconomic status and cultural lifestyles which collectively contributed to four racial groups.
South Africa’s income inequality To what extent has post-Apartheid South Africa’s income inequality increased despite its transition to democracy and its economic growth? South Africa is a country renowned for its stark contrast in social, ethnic and economic (income) inequality. an increasingly common problem across the UK as a whole. As debt Global Poverty Essay - Poverty in Australia Before discussing the extent of poverty in Australia, it is first crucial to mention the difference between absolute poverty and relative poverty. Absolute Poverty is a situation where deprivation is extreme because people do not. The extent of poverty Author/s: Gill Main. When compiling Poverty and Exclusion in the UK: the nature and extent of the problem, the first of the two-volume study based on this research, Esther Dermott and I were interested in what lay behind these top-level figures. How are different groups within the UK population affected?
However, whilst South Africa lacked a change in its income inequality; suggesting a broad low skill base and high poverty rates, its annual growth rate increased post Apartheid showing a contrast between the two sets of data.
However, the UN still maintains South Africa as a developing region due to problems such as the low life expectancy and inequality. A nation with a level of income inequality is often subject to oligarchic business structures, distrust in the government and high rates of crime.
The large gap between the richer population and the poorer low income population often creates political unrest due to revolts and factions formed out of desperation. Inequality limits an individuals access to economic mobility, meaning individuals born of lower income backgrounds are highly likely to remain in this social class throughout their lifetime.
A key barrier to lack of social and income equality is social and economic mobility, hence a lack of economic opportunities provided by the government- such as: The newly elected governments desegregation of unions and legalisation of interracial unions led to a sharp increase in the union participation rate.
This interracial union participation had an impact as the employment of union affiliated men significantly increased, hence causing a reduction in unaffiliated mens employment.
This new reduction in labour market segregation and discrimination due to the interracial unions resulted in a much larger workforce as Africans were now included.
Due to basic supply and demand theory there was then a transition to cheaper low paid labour, most of which were Africans.
While this transition may have reduced the racial divide, it did cause many whites to be put out of work due to the new workforce of Africans working for lower pay; thus creating an income gap between newly unemployed whites and Africans in work.
Trade unions took an unusual stance as a part of a relatively privileged section of society in that they were a union of employed workers- an aspect not nationally universal.
The members stood to gain financially from the new social welfare system even if most recipients were not members of trade unions meaning an increase in taxes for trade union members, as they helped in the negotiations for the basic income grants.
These moral concerns combined with self-interest led the unions towards welfare reforms that contain pro-poor aspects.
The employed workers are the people that essentially provide the social security net for the unemployed through their remittances and taxation. Trade unions favoured the socialisation of welfare as they supported the idea of the burden of supporting the poorer population to be undertaken by taxpayers rather than their members.
A large factor in the failure to remove, and increase in interracial income inequality stems from poor political management.
This scheme aimed to establish democracy for all South African citizens through five major policies. In short this policy was aimed to address and redress the inherited gross inequalities of apartheid, socially, economically and spatially.
The programme was successful in that it created a strong social security through its extensive welfare system, including health care for pregnant women and children; free school lunches; and care for the elderly, disabled and children in need.
However, the large quantities in government spending for this programme led to a fiscal constraint due to the impact of its inherited poor economic legacy of the Apartheid also creating an organisational constraint due to its previous lack of a social welfare system.
The governments neglect for a taxation system also led to an increasingly heavy fiscal deficit. The policy encompassed most of the social objectives of the RDP but was also aimed at reducing fiscal deficits, lowering inflation, maintaining exchange rate stability, decreasing barriers to trade and liberalising capital flows.
With this new policy the targets for fiscal deficit, inflation and government consumption were nearly met, the fiscal deficit reducing o 2. This established greater macroeconomic stability, better reporting and increased accountability.
Furthermore, the management of public finances improved drastically under the new strategy and the success with regard to GDP was that the negative growth rate of the early nineties was reversed.
Tightening of the monetary policy, restructuring all government levels also led to a reduction in government expenditure. Despite the original achievements, private investment, job creation and GDP growth indicators were not reaching the levels the government were hoping for.
Low levels of economic growth and private investment were insufficient in their contribution to the reduction in unemployment; and furthermore the policy achieved very little success with the distribution of wealth- stimulating the start of the downfall in income equality.
While the new government strategy was able to achieve the macroeconomic objectives, it clearly lacked success with regard to the social challenges of the country, most notably poverty reduction and employment creation as was envisaged.
The Gini coefficient is a commonly used method of indicating a countries level of income inequality by condensing the entire countries income distribution into a number between 0 and 1, with a low number signalling a completely equal country.
It is calculated by finding out the income of all the people in a country and then expressing this information as a cumulative percentage of people against the cumulative share of income earned; this creates the Lorenz curve shown in diagram.
The curve indicates the proportion of the income going to the poorest people, middle-income people and richest people. South Africa has a consistently high coefficient compared to other developed countries of 0. However, the key to its post apartheid analysis is in its increase between to A political transition from national segregation and white supremacy to democracy and black freedom would suggest less discrimination and increased rights for the lower classes, however the coefficient rose from 0.
Whilst the advantages of the Gini coefficient are clear in that it gives an easily comparable ratio against other countries spread of income and wealth, it gives no indication of which end of the distribution contributed most to the observed inequality.
The Theil index can present overall inequality can be decomposed by race, with a certain proportion of overall inequality being explained by inequality between the race groups, and the remainder being explained by within race groups. The numerical result is in terms of negative entropy so that a higher number indicates more order that is further away from the complete equality.
Formulating the index to represent negative entropy instead of entropy allows it to be a measure of inequality rather than equality.
The statistics for South Africa as estimated by [University of Cape town, development policy research unit] suggests that between and the share of inequality created by within racial group dynamics has declined. This information from the use of the Theil index is useful as whilst the Gini coefficient proves an increase in general income inequality, the Theil index has shown that the dynamics of segregation created due to Apartheid have remained persistent in the new era of democracy through the separation of racial groups through differences in average income.
Each individual statistic shows a clear suggestion of an improved economy, and so there can be no doubt about its economic growth as shown by the varied amount of data; which leaves the question of why there was then an increase in the countries income inequality.South Africa’s income inequality To what extent has post-Apartheid South Africa’s income inequality increased despite its transition to democracy and its economic growth?
South Africa is a country renowned for its stark contrast in social, ethnic and economic (income) inequality.
Child Poverty in New Zealand Words | 5 Pages. Child poverty is a major and complex issue that New Zealand faces today. The degree is far more severe than the public's perception and it is a problem that we cannot afford to ignore.
a. Poverty is a situation in the UK which ultimately can not be avoided, there are many causes of poverty such as debt, physical and mental health issues, low pay, unemployment and poor education. Poverty is an ever increasing issue in the UK and is perceived as a major social problem due to the consequences that it brings with kaja-net.com term ‘social problem’ refers to specific problems in our society which are sociologically recognised.
The effect of poverty on health Let us first begin by asking the question what is poverty? This is ironic considering poverty is a sensitive subject but yet not enough is being done to target the problem.
Factors such as diet, child mortality, living conditions stress and inadequate health insurance all have a negative effect on the health.
The Extent of Poverty in the UK. How Many People are Poor and Deprived and How Do We Know? David Gordon. Professor of Social Justice. Townsend Centre for International Poverty Research.