Income and Expenditure Pattern of Selected Rural Villages in the Nwanedi River Basin

By Ronald Mears, Mokgadi Maleka and Lorraine Greyling.

Published by The Sustainability Collection

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Article: Electronic $US5.00

The aim of this survey is to determine the income and expenditure patterns of the employed, unemployed and non-economically active populations of these rural villages. The paper analyses the poverty gap of every household. Due to the sensitivity of households to divulge their income the questionnaire surveys the expenditure in great detail to determine monthly expenditure. Not surprisingly, 50 households have a higher expenditure per month than their income. Some respondents refused to divulge their income and in other cases the income is too low to afford the expenditure per month. These problems create the opportunity to address these issues in the article. The selected villages form part of the Vhembe District Municipality of Limpopo and is arguably the poorest area in South Africa. A sample consisting of 132 households was surveyed during the period 6 to 11 July 2007. It shows that the dependency ratio is 85,3 percent in the sample area. Calculating the income according to employment status shows that many households are dependent on pensions and child grants. Data shows that one household had 6 pensioners and 6 young children whom each received a child grant. Although all 13 members of this household were economically inactive, 12 received an income. The services provided are very basic in this rural area. The 132 households surveyed had 740 members with an average of 5,6 members per household. The recurring theme of the research is that the target population is very poor. Poverty is a significant theme for sustainable development and this issue is crucial in South Africa. This paper analyses rural urbanisation and proffers ways in which the poverty can be managed better. JEL Code: J11

Keywords: Socio-Economic Survey, Poverty, Rural Urbanisation, Income and Expenditure Patterns, Poverty Gap

The International Journal of Environmental, Cultural, Economic and Social Sustainability, Volume 5, Issue 5, pp.71-96. Article: Print (Spiral Bound). Article: Electronic (PDF File; 1.410MB).

Prof. Ronald Mears

Professor of Economics, Department of Economics and Econometrics, University of Johannesburg, Johannesburg, Gauteng, South Africa

Prof Ronald Mears is currently the Coordinator of M and D students of the Department of Economics at the University of Johannesburg, where he also did his PhD on “Migration and urbanisation: Some theories and applications for South Africa.” Development Economics, urbanization and migration, employment creation and environmental issues in Africa are his main areas of interest and he has done extensive academic research in these fields. He has produced 27 publications and 50 papers for conferences. He has also had strong practical experience and exposure, mainly through study tours undertaken. In 1996 he visited Canada, the USA, Chile and Brazil where he did research at the IMF and World Bank and also paid visits to the mega cities Santiago, New York, London and Cairo. He visited Sao Paulo, Prague, Budapest and Vienna in 2000, Dubai, Cyprus and Egypt in 2002. Further study tours to study migration and urbanisation include Sao Paulo, Santos and Iguassu falls in Brazil in 2003 and Buenos Aires (Argentina) and Montevideo (Uruguay) in 2003. A socio-economic survey of selected rural villages was done in the Nwanedi River basin and completed in 2007, and Soweto in 2008. He visited Malaysia and Singapore in 2008 to research sustainable development. He is currently a member of the Economic Society, Economic History Society and Africa Institute. He is also examiner, research supervisor and moderator for masters and doctoral theses.

Mokgadi Maleka

Lecturer of Economics and Coordinator for the extended degree programme, Department of Economics and Econometrics, University of Johannesburg, Soweto, Gauteng, South Africa

Mokgadi Maleka is a lecturer of Economics in the Department of Economics and Econometrics at the University of Johannesburg at the Soweto Campus. She taught Economics at high school for 10 years. In 1995, she joined Vista University until 2004 when the University was incorporated into the University of Johannesburg. She has a PhD in Economics based on “The consequences of high population growth in developing countries: A case study of South Africa in 2004”. Her main interests are Economic Development, population and demographic changes and HIV/AIDS. She is a research supervisor for masters students. Since 2005 to date, she served as the Sub-head of the Department of Economics and Econometrics at the Soweto Campus and she is the coordinator of the extended degree programme. She is a part-time teacher for Saturday school organised by De Beer’s for grade eleven and twelve learners. She is a member of the Economic Society of South Africa and of the South African LED Network. She has presented papers at various national and international conferences in South Africa.

Lorraine Greyling

Professor of Economics and Econometrics, University of Johannesburg, University of Johannesburg, Johannesburg, Gauteng, South Africa

Lorraine Greyling is a professor of Economics and Econometrics at the University of Johannesburg in South Africa. She did her PhD in Economics in 1988 on “An Inflation Model for South Africa” and has been involved with a policy document on inflation for the South African Reserve Bank and Government, based on her findings. Her areas of specialisation are Macroeconomics, Macroeconometrics, Quantitative Analysis and Forecasting, Development Policy Issues in South Africa and Applied Econometrics. She has supervised nine doctoral and about 50 Masters’ candidates, read 24 papers at international conferences and 28 papers at national conferences and is involved with research projects leading to policy recommendations. She has published four text books and is a co-author of an Economics text book prescribed for about 4500 first year Economic students. She is involved with the academic community through academic membership in Societies, advisory committees and academic reading for journals.

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