South Africa Can't Crack the Inequality Curse. Why, and What Can Be Done

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Analysis - South Africa is ranked one of the most unequal societies in the world. The Conversation Africa spoke to Imraan Valodia, a professor of economics and dean of the Faculty of Commerce, Law and Management at the University of the Witwatersrand, about inequality in South Africa.

to be 32.6%. But this doesn't include people who have given up trying to find work. If we include these discouraged workers, the unemployment rate increases to 44.1%.people in South Africa between the ages of 15 and 64 - this is the group that could potentially work. Those who are not able to work, because they're at school, or ill, or for some other reason, are estimated to number 13.2 million. That leaves 27.5 million people. Of these, only 16.4 million are working.

These figures make it clear that the economy is just not able to generate sufficient numbers of employment opportunities. that the richest 10% of South African households are responsible for some 52% of all expenditure. The poorest 10% of households contribute only 0.8% of all expenditure.Yes. However, there are probably many countries that have higher levels of inequality - we just don't have the data for them. So, while people often say South Africa has the highest Gini in the world, it would be more accurate to say that South Africa has the highest Gini among countries that have data on income inequality.

 

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