Causes of socio-economic imbalance

Question 1

What does the term Socio-economic imbalance mean?

Answer 1

it describes a situation where people do not have equal access to resources

Question 2

What is another word used for imbalances?

Answer 2

Inequality

Question 3

Explain the Socio-economic imbalance in South Africa

Answer 3

• There are some very wealthy people in South Africa.
• These people earn a great deal of money, have access to resources and enjoy a high standard of living.
• There are also many people in our country who live in poverty.
• Those who live in poverty earn a low level of income.
• They also have limited access to basic resources, such as water and electricity

Question 4

What is Economic inequality?

Answer 4

refers to the gap in levels of wealth and income between the rich and the poor

Question 5

What is one cause of Economic inequality?

Answer 5

• difference in wealth
• Wealth refers to the value of all the goods a person owns together with the money they have saved. -Wealth is also sometimes called personal assets

Question 6

What is inherited wealth?

Answer 6

Money, jewelry or property that has been passed on from a family member when they die

Question 7

What is a will?

Answer 7

a legal document that provides information on what to do with your assets should you pass away

Question 8

What is the main reason for economic inequality?

Answer 8

the big differences in the wages and salaries that people earn

Question 9

What are the reasons for differences in income?

Answer 9

• Education and training
• Sexism
• Racism
• Personal preferences
• Innate ability
• Nepotism

Question 10

What are the reasons for differences in income? give details and explain
(at least read through this)

Answer 10

• Education and training. People with skills and education are able to earn more money than those without education. This means a person’s level of education and the amount of training and experience they have will influence how much income they earn.
• Sexism. Sexism refers to a situation where someone is discriminated against because of their gender. In some societies men are paid more than women for the same work. Sometimes women are discriminated against and not allowed to do certain types of work or to get promotions.
• Racism. Racism refers to a situation where someone is discriminated against because of the colour of their skin or the ethnic group they belong to. In South Africa, for example, there were certain kinds of work that black people were not allowed to do before 1994. Black people were prevented from earning high levels of income because they were not allowed to work in jobs that were reserved for white people.
• Personal preferences. Some people choose to do work that is poorly paid because they enjoy the work. For example, a person might choose to work for a charity organisation, even though the salary is low, because they gain satisfaction from helping people. So the choices a person makes about what work to do and where to do it can also influence their level of income.
• Innate ability. Some people have special talents and abilities that enable them to earn more money than others. For example, some sports people, actors and singers, have an ability to earn large sums of money because of the talent they were born with.
• Nepotism. Sometimes people are able to get jobs because of the people they know. For example, some individuals are lucky that their parents own large businesses and they are able to get employment in their parents’ business. So the level of a person’s income is sometimes determined by who they know or who they are related to.

Question 11

What is Social inequality?

Answer 11

refers to a situation in which certain groups of people do not have equal

• social status,
• social class
• access to resources.

Question 12

What are causes of Social inequality?

Answer 12

• Discrimination
• Restricting people’s opportunities and rights
• prejudice
• social attitudes
• religious and spiritual beliefs.

Question 13

Give examples of social inequality

Answer 13

• gender inequality
• racial inequality
• age inequality
• inequality on the basis of a physical impairment (disability).

Question 14

What types or forms of social inequality do you get?

Answer 14

• Limiting the individual’s rights to vote and participate in decision-making.
• Restricting the individual’s freedom of speech and preventing groups of people from getting together (freedom of assembly).
• Preventing people from owning certain forms of property (property rights).
• Restricting an individual’s access to education, healthcare, quality housing and transport.

Question 15

What is an example of socio-economic inequality in South Africa?

Answer 15

level of poverty among the different racial groups

Question 16

Poverty is unequally distributed across….?

Answer 16

• racial groups

- geographic regions in the country.

Question 17

What is the main reason why some areas of South Africa highly developed, while others have remained underdeveloped?

Answer 17

Apartheid

Question 18

What is Apartheid?

Answer 18

a system of discrimination in which black people in South Africa were unfairly treated and prevented from taking part in the economic life of the country

Question 19

What is the poverty cycle or trap?

Answer 19

• *look at figure 11.5 on page 134 (understand this and be able to explain it in your own words)
• A lack of resources makes it very difficult to escape from poverty.
• Education is a key factor in development and reducing inequality.
• Good education provides access to good jobs and enables career growth, while poor education leads to unemployment or low levels of income.
• A lack of education and money make it very difficult to find a good job or start your own business.
• If you are unskilled, you will get a job that pays badly and have a low income.
• If your income is low, you cannot afford to get a better education, and so the poverty cycle continues.

Question 20

What is one way to break the poverty cycle

Answer 20

is through education and skills development.

Question 21

What is an urban area?

Answer 21

• where many people live (i.e. it is densely populated). -Urban areas are built-up areas with many houses, shops, offices, entertainment centres, and public buildings.
• Urban areas have a well-developed infrastructure (such as roads, electricity, sewerage works and running water).

Question 22

What is an rural area?

Answer 22

• rural area is an area where not very many people live (it has a low population density).
• Rural areas are not well developed or built up and they have a great deal of open space.
• They consist of natural countryside and farming lands. Rural areas have a poorly developed infrastructure (public services like running water and electricity may not be well provided).

Question 23

Name some social and economic challenges presented by life in urban areas

Answer 23

• High cost of living: It is often very expensive to live in a city. Rent and accommodation are costly and food is more expensive. This high cost of living in the city can create a large gap between those who are wealthy and those who are poor. This can lead to slums developing within and around cities, where poor people live.
• Pollution: Because cities are densely populated, there is a high level of economic activity and many cars. Cities generally produce large amounts of waste that have to be gotten rid of. All these characteristics of city life lead to pollution (air pollution, noise pollution and water pollution).
• Influx of people. Many people come to cities looking for employment and entertainment. This creates an influx of people that makes the cities more populated.
• Traffic congestion. There are many cars and other types of vehicles in cities. These create traffic congestion and put strain on the road system. Transport within urban areas can be a difficult problem to deal with.

Question 24

Name some social and economic challenges presented by life in rural areas

Answer 24

• Lack of infrastructure. The infrastructure in rural areas is mostly underdeveloped. This means that roads are often in bad shape or don’t exist at all. Services such as electricity and water are also not easy to access. One of the consequences of this is that some people in rural areas have to spend quite a big part of their day collecting water and firewood. This lack of infrastructure contributes to a lower standard of living in rural areas.
• Inadequate access to public services. Public goods and services (like schools, hospitals and clinics) are not well provided for in rural areas. This means that it is difficult for people living in rural areas to get healthcare and an education. People in rural areas often have to travel long distances to visit a doctor or get to school.
• Lack of employment opportunities. Because there is a lack of economic activity in rural areas, it is often difficult for people to find jobs there. Levels of unemployment are generally much higher in the rural parts of South Africa

Question 25

Unemployment rates in South Africa are generally higher among?

Answer 25

• women,
• young people,
• disabled people and
• those without education and training

Question 26

Strategies to create employment include:

Answer 26

• Promoting entrepreneurship and new businesses
• Stimulating business development
• Encouraging manufacturing
• Improving the infrastructure.