The EWC threat evidences a dysfunctional national dialogue
The Expropriation without compensation (EWC) debate reflects a dysfunctional national dialogue as does the lack of acknowledgment that SA has never had a growth plan that could achieve broad prosperity. SA's politics will not spur adequate structural reforms without the national dialogue being reconcstituted. Might the EWC threat unleash a freshly realistic reassessment of SA's risks and prospects or will necessary policy reforms have to wait for a harsh economic crisis?
SA is a global outlier in that it is a regional hegemon without a benchmark competitor. The nation focuses on short-term GDP fluctuations without considering that its poverty and unemployment levels would be recognised as a great depression in all other parts of the world. Comparisons to an economic cripple like Zimbabwe are irresponsible.
It is equally odd that SA policy debates reflect little expertise around how economic development objectives today are achieved through advancing global competitiveness. Thus, SA's national dialogue and politics have favoured redistribution ahead of growth to the point that a very high level of poverty prevalence has become entrenched.
India is a useful benchmark competitor in that it also quickly indulged an untenable bias toward redistribution after its colonial period ended. Also, India's caste system resembled apartheid in that it favoured minority groups ahead of the majority population and legislation was passed during the transition from colonialism to outlaw such favouritism.
SA has long produced highly competent capital market economists while the nation still has little expertise in development economics. Conversely, India was quite slow to develop expertise in capital markets economics, while it has long produced many of the world's most respected development economists.