http://alistairpott.com/2007/03/05/economist-article-on-the-south-african-economy/ Tue, 31 Jan 2012 00:46:00 +0000 hourly 1 http://wordpress.org/?v=3.2.1 http://alistairpott.com/2007/03/05/economist-article-on-the-south-african-economy/comment-page-1/#comment-2 Len Fri, 16 Mar 2007 15:42:49 +0000 http://69.89.31.179/~alistai2/2007/03/05/economist-article-on-the-south-african-economy/#comment-2 Trouble with the Economist article is that their evidence for the SA economy doing well depends on various indices related to consumer spending (house prices, car sales etc). By redistributing wealth (BEE) accumulated capital is being spent on consumables, instead being reinvested. What happens when the national savings run out? The spending ought to be on infrastructure, like Koeberg or Groote Schuur. Trouble with the Economist article is that their evidence for the SA economy doing well depends on various indices related to consumer spending (house prices, car sales etc). By redistributing wealth (BEE) accumulated capital is being spent on consumables, instead being reinvested. What happens when the national savings run out? The spending ought to be on infrastructure, like Koeberg or Groote Schuur.

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