Apartheid's corrosive impact on South Africa's economy

Apartheid

The very structure of Apartheid was corrosive and thus led to the demise of the South African economy.

What is Apartheid?

Dutch and English Settlement. (Kahn)

Governmental Policies on Segregation ("Apartheid")

The structure of Apartheid

Whites

Coloreds

Indians

Blacks

What affects did apartheid have on South Africa's economy?

Townships

Denial of Healthcare

Education

Current and Future Economic Indicators

The apartheid in South Africa has been at the forefront of global issues for decades. The purpose of this discussion is to define the system of apartheid. We will review the history, structure and key players of the South African system of apartheid.

We will then explore the affects of apartheid on South Africa's economy. Our research will confirm that; the very structure of Apartheid was corrosive and thus led to the demise of the South African economy.

What is Apartheid

In the Afrikaans language the word apartheid actually means "apartness." (Eades) In South Africa, this system of apartness was based on skin color and geographic location. The definition of Apartheid is explained best in the book The Political Economy of Sanctions Against Apartheid. The author defines apartheid saying;

First, it is the hierarchical ordering of the whole social, economic and political structure of South African society on the basis of statutorily defined race.... Secondly, apartheid involves systematic political and economic discrimination against all blacks, but particularly against Africans. Thirdly, it involves segregation of the races not only politically and economically but also socially, particularly in housing and social services, including education and health care. Fourthly, apartheid is the legalization and institutionalization of this hierarchical, discriminatory and segregated system." (Kahn)

History

Long before Apartheid became the official political system of South Africa, the nation struggled with animosity among the races. Much of this animosity could be attributed to the settlement of the Dutchmen and Englishmen. Many of these settlers acquired their land through conquest and for that reason they feared the black majority. Thus the Europeans began to segregate themselves from the Africans. (Kahn)

Governmental policies of segregation began in 1910 when Blacks were prohibited from becoming members of parliament. ("Apartheid") The African National Congress was created in 1912 to confront the unfair treatment of Blacks. However, there was little that the ANC could do in 1913 when the government instituted a policy of allowing blacks to own only 13% of the land in South Africa. ("Apartheid")

The official practice of Apartheid in South Africa began in 1948 under the direction of The National Party and over time it grew into one of the cruelest political systems of the twentieth century. Many historians believe that the system was developed because of the conflicts that various migrating groups had with the native people of South Africa. The following paragraphs will actually explain the system of apartheid in greater detail.

The affects of Apartheid on South Africa's Economy

The apartheid in South Africa had a devastating effect on the economy of South Africa. Many of the economic problems that exist in the nation today were created by the residue of the apartheid. Most notably is the large income disparity between whites and blacks.

Townships

The large income disparity was due in part to the government's creation of Bantu Homelands or townships. The government allotted these lands to Africans in an effort to further alienate them from white South Africans. A book entitled The End of Apartheid in South Africa explains,

The South African police forcibly removed people and destroyed their homes, the South African government gave them no compensation, and the new site of settlement often had no accommodations except sometimes tents, with inadequate water supplies and sanitation, and no basic social institutions. Forced removal became a major feature of African daily life, and the threat of resettlement affected almost every African in South Africa." (Eades)

These townships were on undeveloped land and thus there were no jobs for Blacks. At one point in the 1980's the unemployment rate for black was at 50%. Townships were extremely poor and plagued by disease because of poor sanitation and dirty drinking water. In addition, 70% of those that resided in townships lived below the poverty line.

Denial of Healthcare

The fact that blacks were denied good healthcare has also contributed greatly to the demise of the economy. Many in South Africa contracted deadly diseases under the apartheid which make it difficult or impossible for them to work. Additionally Black South Africans have been ravished by the AIDS virus. Much of this is due to the fact that they are uneducated about the disease and never get tested. (Ferreira and Kinsella) There is also a stigma attached to the disease which prevents some individuals with the disease from getting a job because they fear that they will be discriminated against by an employer.

The dehumanization that Africans endured as a result of apartheid also maimed their mentality. Many Africans have a difficult time integrating into society now that apartheid has ended. Apartheid created a nation that is still deeply divided and as you can see the very structure of apartheid was corrosive and the "apartness" that the system created led to the demise of the South African economy.

Education

The apartheid created a nation of highly educated whites and a large percentage of poorly educated blacks. Large gaps in education also contribute to large income disparities. The lack of education among the majority of the people makes it very difficult for South Africa to compete in the global economy because there is a lack of skilled workers.

Crime

Another affect of apartheid on South Africa's economy has been crime. Crime is rampant in South Africa because so many are unemployed and they blame their white oppressors. This resentment of white South Africans has led to an increased number of car hijackings and robberies. In addition, black African's have killed white farmers and destroyed many of their farms.

Crime has also deterred foreign investors from engaging in business in South Africa. Some investors believe that the nation lacks the stability that is needed to have successful business. Many see an investment in the region as risky and extremely uncertain. (Fielding)

Current and Future Economic Indicators

The table below depicts some of the key economic indicators of the nation's economy. (Stals) As you can see this analyst predicts that South Africa's economy should slowly grow in the future. Whatever the future may hold it is with all certainty that we can predict that the very structure of apartheid was corrosive and led to the demise of the South African Economy.

Conclusion

This discussion has thoroughly explored the South African apartheid. We found that the apartheid created a nation that is deeply segregated amongst racial and social lines. We also found that the affects of apartheid reeked havoc with South Africa's economy. We concluded that the very structure of Apartheid was corrosive and thus led to the demise of the South African economy.