The impact of social grants on poverty reduction

The South African government implements numerous strategies with the aim of reducing poverty. The social grant system is one of these. Social grants are aimed at reducing poverty as well as income inequality. Considering the growing number of social grant beneficiaries, people often question whether...

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Bibliographic Details
Main Author: Magawana, Xolisa Tania
Format: Others
Language:English
Published: Nelson Mandela Metropolitan University 2013
Subjects:
Online Access:http://hdl.handle.net/10948/d1020106
Description
Summary:The South African government implements numerous strategies with the aim of reducing poverty. The social grant system is one of these. Social grants are aimed at reducing poverty as well as income inequality. Considering the growing number of social grant beneficiaries, people often question whether these grants reduce poverty and, if they do, whether they are effective.This treatise investigates the impact of social grants in poverty reduction. In order to investigate this, the researcher used the Tshwane Metropolitan Municipality, Gauteng Province, as a study area. This study examines the different views of social grants beneficiaries, and the importance of prioritisation when using this unearned money. It alsoinvestigates the role played by the heads of household and shows how beneficiaries’ locations can influence the use of unearned income. Social grants dispense little money, but the researcher discovered that the responsibility of spending and allocating the money lies with the head of household. The descriptive statists show that social grants have created dependency and that families require exit strategies to stop depending entirely on these grants. Findings from the correlation matrix show both positive and negative correlations. Finally, the study has identified the need for an integrated strategy that will not only provide income, but that will also improve the lives of South Africans.