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Showing posts from November, 2016

Economic freedom will bring racial tolerance

In an interview on 702’s Midday Report last week about the “ Middelburg coffin ” incident, the host asked (paraphrased):   “Why do these racist incidences (white-on-black) continue occurring”?  At the start of the show he rhetorically stated it can only be described as “racist” (note the accused, Theo Martins Jackson and Willem Oosthuizen, face charges of assault, not racism). Of course these incidences should be reported and analysed, but not in the shock-horror tones the media, and some media personalities, have perfected.  What is required are balanced, sober assessments why South Africa today appears more racially divided and allegedly moving further apart than its halcyon, “rainbow nation” era under Nelson Mandela’s governorship.   (See Anthea Jeffery’s article on the media’s duty to report honestly without fear or favour.) Indeed, are there comparatively more racists in SA than elsewhere, and more “racist” incidences and discriminatory practices n...

City parking is a rip off

The price of a good or service is the cost to bring it to market, plus the producer's profit.  A price increase is the inflationary pressure on inputs, and supply/demand market behaviour. I thought of this basic economic theory while wondering why parking on city roads is so expensive, more so than private garages. About six months ago parking in the city, at least in Claremont, a suburb in Cape Town, increased 27% from R2.20 to R2.80 per 15 minutes, or R11.20 for one hour.  By comparison, Warwick Square charges R10 for 1 hour, R12 for 2 and, on a decreasing scale, up to R50 for 8 hours, the maximum.  This is typical of private garages and includes secure, undercover parking, which the city's is not. City parking bays are on existing roads built decades ago and paid for and maintained by taxpayers and, indirectly, motor licence fees.  Private garages, often multi-storey structures requiring huge capital outlay and technical expertise, are paid for b...

Cape Town Stadium: More questions than answers

Cape Town Stadium: The Auditor-General’s opinion  The Cape Town Stadium has been a thorn in the side of Capetonians since it was built.   Under pressure from government and Fifa, in 2006 newly elected Mayor Helen Zille lifted the moratorium she had placed on it saying she was satisfied the “stadium would not be a financial burden on ratepayers”.   Ha! The promises – lies, really – of economic and social benefits from the World Cup and new stadia, as sane people knew, never materialised.   Instead we have a legacy of debt and corruption – construction companies colluded on stadium tenders, costing Cape Town over R400m, and FBI allegations South Africa “bought” the 2010 games with $10m in a suitcase. I’ve written about the stadium often.   Despite my criticism of its management, I’m sympathetic to host cities, including my home Cape Town, which do not know what to do with the unused and unnecessary facilities (excluding FNB Stadium).   Cap...