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Perspectives on emergency wealth distribution in South Africa's previously disadvantaged households: a systems thinking approach.

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This thesis therefore undertook the challenging task of navigating and narrating the previously poorly studied sociography of the new black middle class. Third, the strong redistributive pressure forces in the new black middle class, which the study conceptualized as 'small p' poverty.

PROBLEM STATEMENT

On the other hand, the term "black" in South African politics conflates black Africans, Asians/Indians, and colored populations. To what extent is South Africa's economic future in this new black middle class.

OBJECTIVES OF THE PROJECT

RESEARCH QUESTIONS

INTRODUCTION OF MAIN CONCEPTS

  • Intergenerational Poverty
  • Unemployment
  • Black middle class
  • Economic Mobility
  • Social Capital

The above are factors that trap generations in poverty and intergenerational poverty can be understood as the transmission of the known manifestations to future generations. This study will therefore use the intergenerational poverty terminology to mean widespread poverty that flourishes from one generation to the next.

SOFT SYSTEMS THINKING AS THE CONCEPTUAL FOUNDATION OF THE

According to Ackoff (1997), critiques of the machine age came in the form of two publications, one titled. The thesis follows the following structure in order to address the purpose of the study.

Figure 2: Conceptual Tool for Understanding and Analysing Systems
Figure 2: Conceptual Tool for Understanding and Analysing Systems

INTRODUCTION

PHILOSOPHICAL UNDERPINNINGS ON POVERTY AND ITS CAUSES

The essential premise of Poverty Alleviation

These social evils characterize the lives of about 3 billion out of the world's 7 billion people. As far as Yifu Lin (2012), a comparison of today's standard of living and that of the early 18th century world, all countries were poor.

Dominant Theoretical Schools on Causes of Poverty

This view, which Harvey and Reed (1992) refer to as the reproductive paradigm, can be traced back to Oscar Lewis's 1968 article entitled 'the culture of poverty'. Traces of this line of thought can be found in previous literature, such as in Muradi and Oyebode (2004) from a psychiatric discipline.

Intergenerational Poverty in Major Development Theories

The main motivator of the initial conditions, as Rostow saw it, was reactive nationalism, generated mainly by foreign invasions. One of the early theoretical positions in development economics was balanced versus unbalanced growth.

Tracing a New Poverty Alleviation Paradigm

One potentially effective theory is the emerging intergenerational school of poverty, with diffuse labeling of this school as a paradigm (see Saith and Wazir, 2010). Fourth, the discourse may be skewed by the dominant use of the term intergenerational poverty instead of intergenerational development.

CONCLUSION

43 On discourses of intergenerational poverty in mainstream development theories, the chapter found that in general these theories are essentially interested in macro focuses, and therefore articulate intergenerational development at the country level. As a solution to this theoretical deficiency, the study drew attention to an emerging paradigm, intergenerational poverty, and the need to move this theory to the center of development debates.

INTRODUCTION

PROBLEMATIZATION OF INTERGENERATIONAL POVERTY

The transmission of socio-economic factors functions in an extremely complex scheme than the transmission of biological factors. Further on the complexity of the transgenerational transmission of socio-economic factors, Hobcraft (1998) focuses on three indicators in determining IGP.

POVERTY TRANSMISSION FACTORS -DEBATES AND DISCONTENTS

  • Access to Assets
  • Household Composition
  • Genetic Factors
  • Family Based Entrepreneurship
  • Spatial Based Factors

Also, the dynamics of family businesses go beyond the values ​​and traditions of the entrepreneurial family. The availability of supplies and raw materials could be part of the motivation for establishing urban centers.

Figure 3: Transmission of Various Types of Capital
Figure 3: Transmission of Various Types of Capital

DEMYSTIFYNG HOUSEHOLDS IDENTITIES AND BEHAVIORS

  • Households Identity-A deconstruction
  • Soft Systems Methodology and its relevance in understanding Households
  • Households as Systems
  • Decision Making in General Human Systems
  • Decision Making In Informal Systems -The Household Case

The solution to underdevelopment, according to dependency theorists, was to be found in the balancing of productive and consuming powers between the center and the periphery—the most powerful and the dependent. Thus, according to Van Tonder, the literature on organizational science moves forward in recognizing "…the evolving form and structure of organizations yet does not stop to reexamine the fundamental meaning of the organization" (2004:13).

Table 3: Path Configurations  Configuration  Summary
Table 3: Path Configurations Configuration Summary

A CRITICAL EXAMINATION OF THE GLOBAL MIDDLE CLASS

Definitional Contests

Despite the massive mess, Visagie and Posel (2011:1) argue that the middle class "holds promise for the rest of the economy." By the new black middle class, Rivera Du Toit and Kotze (2003:13) mean “professionals, managers and officials”.

A Discourse Constructed on Quick Sand?

First, to conclude that individuals earning $2 a day are part of the middle class is misleading, to say the least. The middle class is likely to live in relatively larger permanent residences with modern amenities.

THE LABYRINTH OF SOUTH AFRICA‟S MIDDLE CLASS

  • South Africa‟s Black Middle Class –An historical account
  • The Contours of South Africa‟s Middle Class definition
  • Racialised Household wealth in South Africa
  • An Examination of South Africa‟s Household Expenditures by Population Groups

The hysteria surrounding South Africa's middle class has increased over the past decade. The combination of these indicators (rather than individual indicators) constitutes a middle-class household, according to Statistics South Africa.

Figure 4: Household Distribution in South Africa (2011)
Figure 4: Household Distribution in South Africa (2011)

CONCLUSION

Source: Household Expenditure Survey, Statistics South Africa (2008); Household Expenditure Survey, Statistics South Africa (2012). Considering that the transmission of wealth or poverty occurs in a family, the chapter has attempted to deconstruct the notion of families.

INTRODUCTION

METHODOLOGICAL LESSONS FROM SIMILAR STUDIES

Furthermore, although this paper is concerned with the intergenerational transfer of wealth, it has chosen to focus essentially on the notion of 'new wealth' and how historical household wealth has affected (and continues to affect) the distribution of this new wealth. On a positive note, this study found the methodological framework of family connections to be more appropriate for studies such as the present one given that records from previous generations were not preserved, primarily in the interest of this dissertation.

SYSTEMS THINKING APPLICATION

Information on how systems thinking was operationalized in the data collection process is now needed and is discussed below. The data collection instrument therefore sought to understand the loops and patterns (see Reed, 2006) that occur between the household metasystem and the related subsystems.

RESEARCH DESIGN

Approach

Qualitative research seeks to organize ambiguities as well as make sense of what Saunders, Lewis and Thornhill (2003) call "elastic concepts". These authors continue to present. However, this argument is challenged by the interactionist tradition, which posits that qualitative research "provides access to the meanings people attribute to their experiences and social world" (Miller and Glassner 2004:126).

Sampling Technique

On the income indicator, the study chose Visagie's upper limit for middle class points (households earning R, 10,000). With the above pretext, initial contacts were thus made with seven deliberately selected black African middle-class households.

THE RESEARCHER‟S INTERACTION WITH THE RESEARCH PROCESS

Only such in the life experience lenses of the researcher rather than the lived experience of the participants or their relatives. Just as the researcher's multiple identities sometimes played out strongly in interactions with the participants, these identities also played out in the researcher's analysis of the participants.

DATA COLLECTION

Ethical Considerations

The researcher should provide clarity on the mechanisms that will be put in place to protect confidentiality. ix). Although it's a strong word, Bailey says deception is a common phenomenon in data collection that stems from miscommunication on the part of the researcher.

Research Instrument Development and Administration

Several advantages that support the face to face strategy are that; (a) the researcher can probe deeper into conditions that are not fully exploited (b) facial expressions that communicate attitudes can be easily detected, and (c) the respondent is able to give full attention to the researcher. The researcher took handwritten notes during the interview, especially to capture nonverbal responses, as well as to emphasize important responses.

DATA ANALYSIS

Further benefits of recording include; allowing the researcher to focus on asking questions and listening, allows the researcher to re-listen to the interview and allows the researcher to analyze and use direct quotes from respondents (see Saunders et al., 2003). It is worth noting that the process of data collection, coding and recoding functioned within what Saunders et al., (2003) refer to as analytical tools, that is, summaries of observations and short notes, the use of self-memos to capture ideas as the data process evolves, and a diary to record events or issues that ultimately affect the final data.

CONCLUSION

Coding was not an end in itself; rather it resulted in a narrative analysis of the issues, questions and dynamics of wealth distribution in an intergenerational framework.

INTRODUCTION

Finally, a re-theorization of poverty is proposed, presenting small p and large P poverty classifications and arguing that it can be applied to the new variety.

ASSUMPTIONS AND MISUNDERSTANDINGS AMONG THE NEW BLACK

However, Southall's (2007) optimism does not fit Donaldson et al.'s categories of the new black middle class. The issue of failed expectations of the new black middle class is probably due to misunderstandings and misjudgments of its character and behavior.

COMMON FEATURES AMONG THE NEW BLACK MIDDLE CLASS

The „Newness‟ factor and wealth distributional implications

Regarding fears, similar to Ekman's (2014) description of new Chinese middle class, the new black middle class fear falling back to their previous status. There are also new expectations from the new black middle class, either from the state, or from society as a whole.

Shrinking Household sizes and wealth distribution

In other words, the new black middle class does not necessarily consist of a neat nuclear family. Small households among the new black middle class are likely to break the cycle of poverty.

Selective Cultural traits and wealth distribution

The responses above represent general trends in dowry attitudes among the new black middle class. Both are likely to persist into the next generation, naturally reinforcing the current dynamics of a new black middle class.

THE NEW BLACK MIDDLE CLASS AND IDENTITIES

  • Introduction
  • Neo-classical and Neo-Marxist identities of the new black middle class
  • The „Double Middle‟ Identity
  • The New black middle class and unbounded identities
  • Re-Conceptualising the New Black Middle Class

This is mainly due to the tendency to interpret the new black middle class. As the above shows, the conceptualization of the new black middle class as homogeneous is fundamentally misleading.

Figure 7: An Illustration of the ‘Vertical Middle’ Status
Figure 7: An Illustration of the ‘Vertical Middle’ Status

THE INFLUENCE OF UNBOUNDED IDENTITIES ON WEALTH

Introduction

The variations among the new black middle classes are also not to be seen from a hierarchical structure, the variations occur in a horizontal format. The variations and differences pose a challenging question about how the middle class distributes wealth and how this distribution is shaped by the factors that differentiate these classes.

Searching the Middle class „Underground‟: Wealth Re-distribution through

Mullaianathan and Shafir (2013) prefer to use the term deprivation rather than poverty to avoid misunderstanding that they are addressing a specific class of people, namely “the poor”. This was the case with most of the middle-class blacks interviewed in the survey.

Figure 9: Feedback Loop Diagram Mapped out among the New Black Middle Classes
Figure 9: Feedback Loop Diagram Mapped out among the New Black Middle Classes

RE-CONCEPTUALISING MIDDLE CLASSES RELATIONSHIPS INTO BIG P

People living far below the consumer poverty line are likely to need several powerful poverty 'disruptors' to lift themselves out of poverty within a generation; for example, higher casual wages plus access to more years of post-secondary education plus access to important transfers such as pensions and child benefits and land redistribution' (Hulme, Moore and Shepherd, 2001:17). As already pointed out, small p interventions are inappropriate for far-reaching poverty in developing countries and inadequate for transgenerational poverty – itself a form of large P poverty.

Figure 10: Primary, Secondary and Tertiary Households
Figure 10: Primary, Secondary and Tertiary Households

CONCLUSION

The chapter further demonstrated that this romantic view of the new black middle class is far from reality. The next chapter will attempt to examine how prosperity occurs in an intergenerational context among the new black middle classes.

INTRODUCTION

HOUSEHOLDS AS INTERGENERATIONAL SYSTEMS

Households Systems in Context

This “timeless” dynamic prevents a household system from making rigorous decisions, compared to other institutions, based on the assumption that there will always be time. to block. In 1971, these authors noted that “…the vast majority of households have not only moved well beyond the subsistence level but are actually purchasing and continually replacing a wide variety of consumer goods.

Weak and Strong Systems: Re-conceptualizing Systems for meaningful

On the contrary, strong systems can be considered more flexible than weak systems, their system parts are more tolerant and they do not reach boiling point level. During the boiling point level in figure 11, an organization can dissolve or disintegrate as seen in the downward phase that overlaps the system boiling point.

Figure 11: An Illustration of a weak System
Figure 11: An Illustration of a weak System

TRANSMISSION OF ASPIRATIONS AND ASSETS FROM THE PREVIOUS

Aspirational Transmission

THE TRANSMISSION OF ASPIRATIONS AND WEALTH FROM THE PREVIOUS GENERATION TO THE NEW BLACK MIDDLE CLASSES. In other words, living an expensive lifestyle is a necessary new beginning for the new black middle class.

TRANSMISSION OF ECONOMIC ASPIRATIONS AND ASSETS TO THE NEXT

As said before, the new black middle classes don't have to be in public service to stay. THE EFFECT OF INTERGENERATION DISTRIBUTION OF WEALTH ON THE ECONOMIC CAPABILITIES OF THE NEW BLACK MIDDLE CLASS.

THE IMPACT OF INTERGENERATIONAL WEALTH DISTRIBUTION ON

Apparently, the new black middle class working for the state paradoxically interacts with the state. That said, however, the ways in which the new black middle classes are burdened with wealth distribution lead to the conclusion that this other future is unlikely to occur in the current generation of middle classes.

Figure 13: An illustration of a wide capability gap
Figure 13: An illustration of a wide capability gap

THE NEW BLACK MIDDLE CLASSES DREAM DEFERRED? POSSIBILITIES

Ekman's (2014) story about the relationship between the Chinese middle class and the state reflects easy parallels with South Africa's new black middle class. As argued earlier in this study, the new black middle class has yet to acquire its wealth in the form of surplus capital.

CONCLUSION

From a systems thinking perspective, it has also been argued that the new black middle classes are characterized by multiple identities that interact to shape the actions and reactions of the new black middle classes (or in the language of systems thinking, “e whole"). Shifting the RDP into GEAR': The ANC Government's Dilemma in Securing an Equitable Social Security System for the 'New' South Africa.

Gambar

Figure 2: Conceptual Tool for Understanding and Analysing Systems
Figure 3: Transmission of Various Types of Capital
Table 3: Path Configurations  Configuration  Summary
Figure 4: Household Distribution in South Africa (2011)
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