Translate to: 

South Africa's Gini coefficient is the highest in the world

PROPERTY NEWS - Any discussion on low cost, subsidised housing in South Africa has to take into account one startling fact: South Africa has the worst Gini coefficient in the world, according to Bill Rawson, Chairman of the Rawson Property Group.

The Gini coefficient is described in a recent ‘The Economist’ article as an aggregation of the gaps between people’s incomes into a single measure. Thus, if everyone in a group (or for that matter in a country) has the same income, the coefficient will be 0. If all the income goes to one person and none to the rest, the co-efficient will be 1.

"Speaking generally," said Rawson, "the fewest income equalities are found in the richest countries. Sweden, Germany, Britain and the USA have coefficients of between 0.25 and 0.4. However in South Africa, the figure stands at a very high 0.62, indicating that probably nowhere else in the world are so many people privileged and relatively comfortable while others live close to or below the poverty line."

“Throughout South Africa,” Rawson went on, “we have seen the emergence of a new middle class in the last two decades, and this has been widely reported. We tend to forget that many people, as the striking Platteland farm workers have recently shown, are still having to try and exist on incomes of R50 to R100 per day, if they have jobs, which around 30% do not.”

"In this predicament," said Rawson, "the call for a much faster delivery of housing becomes more urgent. We are told that South Africa needs at least 1.6 million new low cost homes right now. These have to be treated as a top priority, even if borrowing money to build them causes a further increase in our debt.”

"The Economist article," added Rawson, "draws attention to the fact that the ongoing worldwide protests against inequalities are now a fast growing movement, one which is unlikely to die down.

India’s ruling class and MP's are now facing class protests as never before and this is not surprising seeing that the country now has 48 dollar-billionaires but 70% of its people live on less than two dollars a day. Similarly in the USA, the Occupy Wall Street campaign, although it ran out of steam, was motivated by a distaste for the rich’s ability to grow richer, while others do not.” (There are now 421 dollar-billionaires living in the USA.)

“Those who think that the calls for a levelling off of wealth distribution will ‘go away’ are likely to find that from now on they will, in fact, increase in strength and will have to be accommodated for. We can only hope that they do not wreck the economy in the process as they did previously in Argentina and Chile. In this situation a massive focus on low cost housing delivery and improved services coupled with the stricter enforcement of service payments, is absolutely essential as a remedy to discontent.”

Rawson continued, “I do accept that there are other priorities, particularly job creation, better education and skills training. However, housing has to be one of those at the top of the list and it is encouraging that the new Minister of Human Settlements appears to recognise this.”
11:00 (GMT+2), Thu, 06 December 2012
Your Comments...
 
Login or Register here.
*To REGISTER you will be directed to the registration page. Once you have completed the registration process, please return to this page.

Weather

Currencies

US Dollar
Pound Sterling
Euro
Australian Dollar
New Zealand Dollar
Canadian Dollar
UAE Dirham
Singapore Dollar
Chinese Yuan

Moon Cycle

CURRENT MOON

Horoscopes

Movie Trailers

When a university fraternity of male students moves into the neighbourhood,...
When his late mother appears in a vision and tells him to go to Bucharest,...
A growing nation of genetically evolved apes led by Caesar is threatened by...
New York writer Michael (Liam Neeson) has recently split with his wife. His...
After a bad blind date, a man and woman find themselves stuck together at a...

Games

Air hockey is one of everyone's favorite challenges! Represent your...
This is the most advanced edition of the popular online version of Pool...
In this Digital Domino Game all the rules are the same as the real game....
The classic mind-wracking math puzzle game is now online! With a brad new...
Voting Poll
Do you have any sympathy with the service delivery protests that have taken place in Mossel Bay this past week?
YES: Basic services is a basic right and should be equally available to all residents, irrespective whether one lives in an informal settlement or not.
Mossel Bay Advertiser 12%
NO: Living in a democratic society, one does not expect leaders to lead their followers in a violent and law-breaking protest, as this will not lead to any solution.
Mossel Bay Advertiser 88%
Men
Women
Search
I'm a 54 year old man looking to meet women between the ages of 49 and 60.
I'm a 31 year old man looking to meet women between the ages of 21 and 32.