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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Mass Poverty, Slow Economic Growth and Redistribution
Author:Meth, Charles
Periodical:Social Dynamics
Geographic term:South Africa
Subjects:economic policy
income distribution
Development and Technology
Economics and Trade
Politics and Government
External link:https://www.tandfonline.com/doi/abs/10.1080/02533950308628652
Abstract:Policymakers in South Africa prefer to tackle poverty indirectly through promoting growth, and allowing benefits to trickle down to the poor, rather than reducing poverty directly through redistributing income. In the long run, economic growth is the only way to reduce poverty. But the benefits of growth take a long time to mitigate poverty, especially in conditions of high inequality or high unemployment - both of which characterize South Africa. The poor benefit more through a more directly redistributive strategy even if overall growth is lower than it would otherwise be. Modelling the effects of different rates of growth, public works programmes and different redistributive strategies (including a basic income grant and expanded child support grants) shows that the poor benefit most from a directly redistributive basic income grant. Bibliogr., notes, ref., sum. [Journal abstract]