Week 1: Introduction and main concepts
Lecture 1
In order to understand/explain poverty an inequality in SA, on first needs to know how to
conceptualise it.
Inequality
How re resources distributed in society?
The Richest 20% own 75% of the world’s wealth.
Development as a field has been shaped in a particular context that is important to
understanding its focus.
Sub-Saharan Africa as a whole has underperformed economically.
Within Africa, there is great diversity and periods of economic growth.
Lecture 2
Where do the poorest people live?
551 million in Asia.
436 million in Africa.
15 million in South America.
How do we know this?
Figure based on GDP (Gross Domestic Product) per capita. This average hides
enormous differentiation in living conditions.
Is a poverty indicator based only on income enough? Is poverty simply material welfare?
Multidimensionality: poverty is multidimensional (i.e. access to
resources/influence/knowledge matters).
Holistic: Only a holistic approach in specific context gives a proper understanding of
what poverty actually is.
Importance of definitions
“To devise policies to reduce poverty effectively, it is important to know at what we
are aiming… Clarification of how poverty is defined is extremely important as
different definitions of poverty imply use of different criteria for measurement,
potentially the identification of different individuals and groups as poor, and the use
of different policy solutions for poverty reduction.” - Stewart et al.
Stewart et al.
General problems with defining poverty:
1. ‘Space’ – what areas of human life covered?
2. Universal/relative
3. Value judgments
4. Distinction poor/nonpoor
5. Unit of analysis?
Individual/household
Geographic area