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Hunger Summit Presentation
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Income and expenditure patterns in the city of Tshwane
Carel van AardtIncome and expenditure research division
Bureau of Market ResearchUnisa
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Contents
Income patterns
Household wealth patterns
Living standards
Expenditure patterns
Concluding remarks
Background
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Background
Tshwane statistics
• Nationally: 47.5% of households with incomes lower than R 3500 pm, 20.8% in Tshwane.
• 2% of SA poor and 9.7% of SA affluent in Tshwane.• About 8.5% of national GVA produced in Tshwane.• 25.3% unemployed and 13.4% underemployed.• National Gini coefficient is 0.67, Tshwane Gini
coeficient is 0.71.• 33.9% of employed are self-employed – 68.9% full-
time and 31.1% part-time.• Financial vulnerability score out of 10 is 5.14.
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Income patterns
Percentage distribution of income by age group
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0-19 20-29 30-39 40-49 50-59 60+
No income 70 55 30 25 27 18
Very low income:
R1-2500pm
29 18 24 24 26 54
Low income: R
2501-5000pm
0 10 13 12 13 7
Middle income: R
5001-20000pm
1 14 22 24 22 15
High income: R
20000pm+
0 4 11 14 13 7
Total 100 100 100 100 100 100
Percentage distribution of income by population group
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Black Coloured Indian White
No income 49 47 46 38
Very low income:
R1-2500pm 32 16 10 7
Low income: R
2501-5000pm 9 8 7 5
Middle income: R
5001-20000pm 8 21 27 29
High income: R
20000pm+ 2 7 11 21
Total 100 100 100 100
Percentage distribution of income by employment status
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Employed Unemployed Not economically active
No income 4 95 84
Very low income:
R1-2500pm 31 3 13
Low income: R
2501-5000pm 19 1 1
Middle income: R
5001-20000pm 31 1 2
High income: R
20000pm+ 15 0 1
Total 100 100 100
Percentage distribution of income by educational status
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No schooling Grade 0-7 Grade 8-12 Post-matric
No income 53 51 48 18
Very low income:
R1-2500pm 45 39 20 6
Low income: R
2501-5000pm 1 6 11 5
Middle income: R
5001-20000pm 1 3 16 36
High income: R
20000pm+ 0 0 4 35
Total 100 100 100 100
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Household wealth patterns
Percentage distribution of dwellings by population group
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Black ColouredIndian or
Asian WhiteFormal house, townhouse or flat 55 88 97 97Traditional or in back yard 4 4 1 2
Informal dwelling 38 8 1 1
Caravan, boat or hostel 2 - - 0
Other 1 - 1 0
Total 100 100 100 100
Percentage distribution of water source
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Percentage distribution of lighting source
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Living standards
Percentage breakdown by LSM group
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Percentage distribution of LSM groups by employment status
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Not EAP UnemployedWorking Full-Time
Working Part-Time Self Employed Total
LSM 1-4 17 27 36 15 5 100
LSM 5-7 28 23 30 9 9 100
LSM 8-10 30 4 44 6 17 100
Percentage distribution of LSM group by population group
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African Coloured Indian White
LSM 1-4 8 0 2 0
LSM 5-7 70 64 30 22
LSM 8-10 23 36 69 78
Total 100 100 100 100
Percentage distribution of products by LSM group
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LSM 1-4 LSM 5-7 LSM 8-10
Bread 100 100 100
Cheese 63 68 61
Sugar 31 40 59
Yellow Margarine/Butter 79 71 64
Milk 42 53 38
Chicken 52 80 74
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Expenditure patterns
Percentage distribution of expenditure by LSM group
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LSM 1-4 LSM 5-7 LSM 8-10
Food, beverages and tobacco 54 37 16
Clothing and footwear 8 8 4
Furniture and household equipment 2 3 3
Housing, fuel and electricity 13 14 16
Personal care and medical 7 8 10
Other 15 29 51
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Concluding remarks
Issues to be addressed
• Poverty – wealth transfer mechanisms need to be strengthened.
• Unemployment – not higher GVA, rather facilitation and SMME creation.
• Inequality and low skills levels – mass-based education.
• Broad-based development and emergency relief – creation of a strong government and NGO network.
• Culture of entrepreneurship and innovation.• Strengthening social cohesion.
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Thanks for listening