Advanced Search
MyIDEAS: Login

Not Separate, Not Equal: Poverty and Inequality in Post-apartheid South Africa

Contents:

Author Info

  • Ozler, Berk

Abstract

I examine the changes in poverty and inequality in South Africa during the first 5 years following the end of the apartheid era. First, I construct new, comparable consumption aggregates for 1995 and 2000. Second, using the "cost-of basic-needs" approach, I derive lower-bound (R322, in South African rands) and upper-bound (R593) poverty lines (per capita per month in 2000 prices, adjusted for provincial cost of living differences) for South Africa. I find that real per capita household expenditures declined at the bottom end of the expenditure distribution during this period of low gross domestic product growth. The squared poverty gap significantly increased for most of the relevant range of poverty lines, while the headcount index remained unchanged. Inequality among the African population increased significantly. Even among subgroups of the population that experienced healthy consumption growth, such as coloureds or the Western Cape Province, the rate of poverty reduction was low because the distributional shifts were not pro-poor. I conclude that South Africa needs to grow in a way that also improves the distribution of incomes if it is to make significant progress against poverty in the short to medium run.

Download Info

To our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.

Bibliographic Info

Article provided by University of Chicago Press in its journal Economic Development and Cultural Change.

Volume (Year): 55 (2007)
Issue (Month): 3 (April)
Pages: 487-529

as in new window
Handle: RePEc:ucp:ecdecc:y:2007:v:55:i:3:p:487-529

Contact details of provider:
Web page: http://www.journals.uchicago.edu/EDCC/

Related research

Keywords:

Other versions of this item:

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Butcher, Kristin F. & Rouse, Cecilia Elena, 2001. "Wage effects of unions and industrial councils in South Africa," Policy Research Working Paper Series 2520, The World Bank.
  2. Geeta Kingdon & John Knight, 2004. "Unemployment in South Africa: the nature of the beast," Labor and Demography 0409003, EconWPA.
  3. Geeta Kingdon & John Knight, 1999. "Unemployment and wages in South Africa: a spatial approach," Economics Series Working Papers WPS/1999-12, University of Oxford, Department of Economics.
  4. Mwabu, Germano & Schultz, T Paul, 1996. "Education Returns across Quantiles of the Wage Function: Alternative Explanations for Returns to Education by Race in South Africa," American Economic Review, American Economic Association, vol. 86(2), pages 335-39, May.
  5. Ravallion, Martin & Chen, Shaohua, 2003. "Measuring pro-poor growth," Economics Letters, Elsevier, vol. 78(1), pages 93-99, January.
  6. Jed Friedman & James Levinsohn, 2001. "The Distributional Impacts of Indonesia's Financial Crisis on Household Welfare: A "Rapid Response" Methodology," NBER Working Papers 8564, National Bureau of Economic Research, Inc.
  7. Gary Fields & Paul Cichello & Samuel Freije & Marta Menéndez & David Newhouse, 2003. "For Richer or for Poorer? Evidence from Indonesia, South Africa, Spain, and Venezuela," Journal of Economic Inequality, Springer, vol. 1(1), pages 67-99, April.
  8. van de Walle, Dominique & Gunewardena, Dileni, 2001. "Sources of ethnic inequality in Viet Nam," Journal of Development Economics, Elsevier, vol. 65(1), pages 177-207, June.
  9. Murray Leibbrandt & Ingrid Woolard, 2001. "The labour market and household income inequality in South Africa: existing evidence and new panel data," Journal of International Development, John Wiley & Sons, Ltd., vol. 13(6), pages 671-689.
  10. Hentschel, Jesko & Lanjouw, Jean Olson & Lanjouw, Peter & Poggi, Javier, 1998. "Combining census and survey data to study spatial dimensions of poverty," Policy Research Working Paper Series 1928, The World Bank.
  11. Datt, Gaurav & Jolliffe, Dean, 2005. "Poverty in Egypt: Modeling and Policy Simulations," Economic Development and Cultural Change, University of Chicago Press, vol. 53(2), pages 327-46, January.
  12. Angus Deaton & Alessandro Tarozzi, 2000. "Prices and poverty in India," Working Papers 213, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
  13. Anne Case & Angus Deaton, 1999. "School Inputs And Educational Outcomes In South Africa," The Quarterly Journal of Economics, MIT Press, vol. 114(3), pages 1047-1084, August.
  14. Sten Dieden, 2003. "Integration into the South African Core Economy: Household Level Covariates," SALDRU/CSSR Working Papers 054, Southern Africa Labour and Development Research Unit, University of Cape Town.
  15. Case, A. & Deaton, A., 1996. "Large Cash Transfers to the Elderly in South Africa," Papers 176, Princeton, Woodrow Wilson School - Development Studies.
  16. Clive Bell & Shantayanan Devarajan & Hans Gersbach, 2003. "The long-run economic costs of AIDS : theory and an application to South Africa," Policy Research Working Paper Series 3152, The World Bank.
  17. Angus Deaton & Salman Zaidi, 2002. "Guidelines for Constructing Consumption Aggregates for Welfare Analysis," World Bank Publications, The World Bank, number 14101, October.
  18. Klasen, Stephan & Woolard, Ingrid, 2000. "Surviving Unemployment without State Support: Unemployment and Household Formation in South Africa," IZA Discussion Papers 237, Institute for the Study of Labor (IZA).
  19. repec:fth:oxesaf:99-12 is not listed on IDEAS
  20. Ravallion, Martin & Galasso, Emanuela & Lazo, Teodoro & Philipp, Ernesto, 2001. "Do workfare participants recover quickly from retrenchment?," Policy Research Working Paper Series 2672, The World Bank.
  21. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
  22. Ravallion, Martin & Wodon, Quentin, 1997. "Poor areas, or only poor people?," Policy Research Working Paper Series 1798, The World Bank.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Murray Leibbrandt & James Levinsohn, 2014. "Fifteen Years On: Household Incomes in South Africa," NBER Chapters, in: African Successes: Government and Institutions National Bureau of Economic Research, Inc.
  2. Wolfhard Kaus, 2010. "Conspicuous Consumption and Race: Evidence from South Africa," Papers on Economics and Evolution 2010-03, Max Planck Institute of Economics, Evolutionary Economics Group.
  3. Tregenna, F., 2009. "The Relationship Between Unemployment and Earnings Inequality in South Africa," Cambridge Working Papers in Economics 0907, Faculty of Economics, University of Cambridge.
  4. Thurlow, James, 2006. "Has trade liberalization in South Africa affected men and women differently?:," DSGD discussion papers 36, International Food Policy Research Institute (IFPRI).
  5. repec:ldr:wpaper:92 is not listed on IDEAS
  6. Nicola Branson, 2009. "Re-weighting the OHS and LFS National household Survey Data to create a consistent series over time: A Cross Entropy Estimation Approach," SALDRU Working Papers 38, Southern Africa Labour and Development Research Unit, University of Cape Town.
  7. Bourguignon, Francois & Levin, Victoria & Rosenblatt, David, 2006. "Global redistribution of income," Policy Research Working Paper Series 3961, The World Bank.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:ucp:ecdecc:y:2007:v:55:i:3:p:487-529. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Journals Division).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.