Die ekonomie minuut

I often ask how the South African economy is doing, but what about the big picture? International economic prospects matter because it determines the demand for South African export products and our financial assets. That, in turn, affects the exchange rate and interest rates, and that affects everything else.

Die afgelope week se belangrike ekonomiese nuus was die her-instelling van die R350 sosiale toelaag. Na verwagting sal dit 6 miljoen werklose mense help en uitgebrei word na 3,5 miljoen versorgers om die kindertoelaag aan te vul. Daar was ook ‘n interessante opname onder besighede wat gewys het wat die afgelope jaar met salarisse gebeur het. Laaste, in die openbare sektor, het die regering en vakbonde ‘n een-jaar loonooreenkoms bereik.

Last week's important economic news was the re-introduction of the R350 income grant. It is expected to help 6 million unemployed people and will be expanded to 3.5 million caregivers to supplement the child grant. Also, an interesting survey among businesses showed what happened to salaries in the past year. Finally, in the public sector, the government and trade unions have reached a one-year wage agreement.

As jy die afgelope week na die Ekonomie Minuut geluister het sal jy gehoor het dat om die Olimpiese Spele aan te bied het hoë kostes, ʼn klein inkomste, en nie so baie ander ekonomiese voordele nie. Jy sou dink dat ek gaan voorstel dat ons maar die spele moet afskaf. Glad nie. Ek dink wel dat ʼn ontwikkelende land soos Suid-Afrika, moet nie probeer om dit aan te bied nie. Ons kan ons beperkte hulpbronne beter gebruik.

If you listened to The Economics Minute this week, you will have heard that hosting the Olympics has high costs, a small income, and limited other economic benefits. You would think that I would suggest that we abolish the games. Not at all. I do think that a developing country like South Africa should not try to host it. We can make better use of our limited resources.

Gister se episode het verduidelik waarom die vooruitskattings van die korttermyn ekonomiese voordele van die Olimpiese baie keer so verkeerd is. Maar word die langtermyn voordele dan gerealiseer?

Yesterday's episode explained why the forecasts of the short-term economic benefits of hosting the Olympics are often wrong and the benefits limited. But what about the long-term benefits?

Gister se episode het verduidelik dat die korttermyn inkomste van die Olimpiese spele net so derde van die kostes dek en dat die ekonomiese impak heelwat kleiner is as wat gewoonlik voorspel word. Hoe gebeur dit dat die vooruitskattings so optimisties en verkeerd is?

Yesterday's episode explained that the short-term revenue from the Olympics covers just about a third of the costs and that the economic impact is much smaller than is usually predicted. How does it happen that the forecasts are so optimistic and wrong?

Gister se episode het verduidelik dat dit ʼn duur storie is om die Olipiese spele aan te bied, maar wat van die inkomste?