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The Impact of Growth and Redistribution on Poverty and Inequality in South Africa

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  • Kalie Pauw

    ()
    (Development Policy Research Unit (DPRU))

  • Liberty Mncube

    ()
    (University of Cape Town)

Abstract

This country study evaluates the experience of the South African economy with respect to growth, poverty and inequality trends since the advent of democracy in 1994. The post-apartheid government took a definite turn toward greater spending on social security, while job creation and a narrowing of the gap between the so-called first and second economies â?? the latter defined as the informal part of the economy that is also largely removed from formal sector activities â?? enjoyed priority in its economic strategy. Despite this focus on uplifting the poor, it remains unclear to what extent the government has been successful. Some controversy exists around whether relatively fewer South Africans are poor ten years after the democratic government came into power. There seems to be greater consensus among analysts that inequality has in fact increased. This study attempts to shed some light on these issues, drawing on recent South African literature and data.

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File URL: http://www.ipc-undp.org/pub/IPCCountryStudy7.pdf
File Function: First version, 2007
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Bibliographic Info

Paper provided by International Policy Centre for Inclusive Growth in its series Country Study with number 7.

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Length: 46
Date of creation: Jun 2007
Date of revision:
Publication status: Published by UNDP - International Poverty Centre, June 2007, pages 1-46
Handle: RePEc:ipc:cstudy:7

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Keywords: Poverty; CCT; Inequality; South Africa;

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References

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  1. Pauw, Kalie, 2005. "Creating a 2000 IES-LFS Database in Stata," Technical Paper Series 15628, PROVIDE Project.
  2. Rulof Burger & Ingrid Woolard, 2005. "The State of the Labour Market in South Africa after the First Decade of Democracy," SALDRU/CSSR Working Papers 133, Southern Africa Labour and Development Research Unit, University of Cape Town.
  3. Servaas Van Der Berg & Megan Louw, 2004. "Changing Patterns Of South African Income Distribution: Towards Time Series Estimates Of Distribution And Poverty," South African Journal of Economics, Economic Society of South Africa, vol. 72(3), pages 546-572, 09.
  4. Pauw, Kalie, 2003. "Creating a 1995 OHS and a Combined OHS-IES Database in STATA," Technical Paper Series 15622, PROVIDE Project.
  5. Murray Leibbrandt & Laura Poswell & Pranushka Naidoo & Matthew Welch & Ingrid Woolard, 2005. "Measuring Recent Changes in South African Inequality and Poverty using 1996 and 2001 Census Data," Working Papers 05094, University of Cape Town, Development Policy Research Unit.
  6. Murray Leibbrandt & James Levinsohn & Justin McCrary, 2005. "Incomes in South Africa Since the Fall of Apartheid," NBER Working Papers 11384, National Bureau of Economic Research, Inc.
  7. H. Bhorat & J. Hodge, 1999. "Decomposing Shifts in Labour Demand in South Africa," South African Journal of Economics, Economic Society of South Africa, vol. 67(3), pages 155-168, 09.
  8. Servaas van der Berg & Ronelle Burger & Rulof Burger & Megan Louw & Derek Yu, 2006. "Trends in Poverty and Inequality since the Political Transition," Working Papers 06104, University of Cape Town, Development Policy Research Unit.
  9. Kakwani, Nanak, 1993. "Poverty and Economic Growth with Application to Cote d'Ivoire," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 39(2), pages 121-39, June.
  10. Lanjouw, Peter & Ravallion, Martin & DEC, 1994. "Poverty and household size," Policy Research Working Paper Series 1332, The World Bank.
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Cited by:
  1. Claire Vermaak, 2012. "Tracking poverty with coarse data: evidence from South Africa," Journal of Economic Inequality, Springer, vol. 10(2), pages 239-265, June.
  2. Tregenna, Fiona, 2011. "Halving Poverty in South Africa: Growth and Distributional Aspects," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  3. Freguin-Gresh, Sandrine & Anseeuw, Ward & D'Haese, Marijke F.C., 2012. "Demythifying Contract Farming: Evidence from Rural South Africa," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126567, International Association of Agricultural Economists.
  4. Derek Yu, 2013. "Poverty and inequality estimates of National Income Dynamics Study revisited," Working Papers 05/2013, Stellenbosch University, Department of Economics.
  5. Grawitzky, Renee, 2011. "Collective bargaining in times of crisis : a case study of South Africa," ILO Working Papers 467628, International Labour Organization.

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