FMF FEATURE ARTICLE
The trouble with inefficient public spending
“While spending on government consumption has been held down over the last ten years, demand for public services has increased substantially. Meanwhile, as public employment in health, education and criminal justice has stagnated, employment by private companies providing the same services has surged.
This shift may be welcomed by some as contributing towards more efficient services. However, rising private sector provision of social services in tandem with deep cuts to public services means a redistribution of resources from the poor to affluent citizens. This could materially widen South Africa’s extreme levels of inequality”.