"For instance, suppose a household's monthly income is R1 000, or R12 000 for the year. If the family has four children in school they are getting an extra R12 000 from the state, doubling their income. But does that help us understand the economic difficulties they face in the short run? After all, it won't put food on the table. It is important to assess the redistributive role of the state - but we shouldn't act as if that in itself is enough to justify or redress high levels of income inequality. The income distribution figures in the review appear to underplay the extent of inequality and overplay improvements. Most studies show that income distribution has probably worsened, as unemployment has risen and wages have fallen."
Neva Makgetla

January 1, 1970

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Original Language: English

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