Impact of Macroeconomic, Institutional and Structural Factors on Inequality in South Africa

Income inequality especially remains high in South Africa. This article investigates the impact of macro-economic, institutional and structural factors on inequality across the nine provinces of South Africa. Using a panel data econometric technique, the determinants/ drivers of inequalities are estimated. The rate of openness (globalization) of an economy, the level of financial inclusion, the status of physical infrastructure, governance indicators, and socioeconomic and institutional factors are explored as explanatory variables. The article concludes with a presentation of the challenges and policy options required to address social and economic inequalities in South Africa.


Gender and Conflict Note Somalia

This background note is intended to inform the World Bank’s Interim Strategy Note for Somalia to ensure gender considerations are incorporated into identified operational and analytical priorities. The aim of this analysis is to provide a brief delineation of gender disparities in Somalia through a review of existing literature and interviews with relevant actors and organizations.Findings of this analysis and proposed recommendations reflect consideration for the development priorities outlined within the World Bank’s Operational Policy on Gender and Development (OP/BP 4.2),the Africa Regional Strategy, the WDR 2011 and WDR 2012, previous Bank initiatives within Somalia including the 2006 UN-World Bank Joint Needs Assessment, the resulting Reconstruction and Development Program and the 2007 ISN for Somalia.

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Education in Southern Sudan: War, Status and Challenges of Achieving Education for All goals

The role of education has progressively been recognized in the international development lexicon not only because of its pivotal role in improving the well-being of households and individuals but also the positive externalities that it generates for society as a whole. There is overwhelming and convincing empirical evidence that consistently indicates the positive impact of education on improving the well-being and reducing poverty and vulnerability of the poor households in the rural and urban settings. Interestingly, the role of education has also been recognised in the discourse on the causation of civil wars. Some empirical evidence shows that civil wars are concentrated in countries with little education and importantly a country with higher percentage of its youth in schools reduces considerably its risk of conflict (Collier, 2000). This finding has undoubtedly underpinned the important externalities generated by education and particularly in Africa where civil wars have become pronounced and endemic.


Inequality in Southern Africa

The Southern African region is characterised by unacceptable high levels of unemployment, poverty and inequality. In many cases, poverty and inequality are on the increase, particularly in countries in crisis such as Zimbabwe and Swaziland. Neither agricultural economies such as Malawi nor resource-rich countries such as Namibia, South Africa and Angola have been able to significantly reduce wealth gaps and the rates of poverty and unemployment.


Status of Girls and Women in the Middle East and North Africa

Legal system. The formal legal system in Sudan is primarily derived from British common law and Islamic law (Shari’a). Islamic law does not grant women in Sudan equal rights to men in matters of personal status including marriage, inheritance and divorce. The criminal act, governed by Shari’a, allows punishments such as flogging and amputation.For groups of other faiths than Islam (e.g. the Christian population) the communities’ own religious standards are applied to personal status matters.

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Sudan Factsheet

Life in Sudan since 1956 has largely been defined by consecutive civil wars between Muslim Northern Sudan and mostly non-Muslim, non- Arab south Sudan. In 2011, South Sudan officially gained autonomy and independence. Northern Sudan is run under sharia (Islamic Law).Although officially considered to be Democratic Republic of Sudan, effectively the president Umar Hassan Ahmad al-BASHIR holds almost all the legislative, executive, and military decisions.Freedom of speech, association and assembly are all restricted in Sudan. Sudan is considered one of the world’s most corrupt states in the world

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The Federal Democratic Republic of Ethiopia

Beyond its core focus on macroeconomic and financial policies, the Fund is increasingly concerned with how income inequality affects growth and macroeconomic stability. Over the last decade, many of the countries that have entered a path of fast economic development and reduced poverty simultaneously experienced a rising gap between the rich and poor. As a result, in many of them, including those in sub-Saharan Africa (SSA), income inequality has increased. The relationship between growth and inequality is a complex one, given that the causality may go in both directions, and the effect of inequality on growth may change with a country’s stage of development. A growing body of research indicates the adverse implications of inequality for development and macro stability, arguing that it may lead to political and economic instability, weaken support for economic reforms, and undermine progress in education and health (Persson and Tabellini, 1994; Easterly, 2007; Berg, Ostry and Zettelmeyer, 2012; Ostry et al., 2014). Recent empirical work conducted at the Fund confirms this relationship between rising income inequality and its impact on economic growth (Dabla Norris et al., 2015)


The Federal Democratic Republic of Ethiopia

Beyond its core focus on macroeconomic and financial policies, the Fund is increasingly concerned with how income inequality affects growth and macroeconomic stability. Over the last decade, many of the countries that have entered a path of fast economic development and reduced poverty simultaneously experienced a rising gap between the rich and poor. As a result, in many of them, including those in sub-Saharan Africa (SSA), income inequality has increased. The relationship between growth and inequality is a complex one, given that the causality may go in both directions, and the effect of inequality on growth may change with a country’s stage of development. A growing body of research indicates the adverse implications of inequality for development and macro stability, arguing that it may lead to political and economic instability, weaken support for economic reforms, and undermine progress in education and health (Persson and Tabellini, 1994; Easterly, 2007; Berg, Ostry and Zettelmeyer, 2012; Ostry et al., 2014). Recent empirical work conducted at the Fund confirms this relationship between rising income inequality and its impact on economic growth (Dabla Norris et al., 2015).


Transforming Malawi Together

My fellow Malawians,

I have the privilege of placing before you the Manifesto of the People’s Party, which highlights the policies and progammes we intend to implement after the forthcoming elections. I do so in all humility, knowing, as you do, how far we have recently come in rescuing our country from the mismanagement and abuses of the past. However, we still have a lot of work to do, in order to turn our country around and create the foundation for a clean and competent Government that meets the aspirations of the people of Malawi.


Life during Structural Transformation

If the fame of a paper can be measured partly in the misconceptions that surround it, this is more than usually true of Kuznets (1955). It is often assumed that his paper established a non-monotonic relationship between inequality and the level of development, theinverted-UoftheKuznetshypothesis. Buthehadrelativelylittledatatowork with, and characterized his paper as ‘perhaps 5 per cent empirical information and 95 per cent speculation, some of it possibly tainted by wishful thinking’ (Kuznets, 1955, p. 26). He argued that, as economies industrialize, the path of inequality will be driven by changes in sectorial structure. If two sectors differ in their distributions of income, movements of population from one sector to the other can generate an inverted-U for aggregate inequality. In particular, the Kuznets hypothesis has been associated with a transition from rural agriculture towards urban manufacturing and services. In many countries, this process is far from complete, and its implications for inequality remain uncertain.


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