DEVELOPMENT & ECONOMIC GROWTH
Growth Lab study finds state capacity collapsing in South Africa and says bold, strategic leadership needed
Citing decades of policy failures, mismanagement, and patronage, researchers at Harvard Kennedy School’s Growth Lab have issued a stark diagnosis of “collapsing state capacity” in South Africa that is having severe consequences for millions of poor, jobless people. The research draws on insights from nine studies published over the course of the two-year project, culminating in the final report, “Growth Through Inclusion in South Africa.” “It is painfully clear that South Africa is performing poorly, exacerbating problems such as inequality and exclusion,” said Professor Ricardo Hausmann, the Growth Lab’s founder and director. The research team offers concrete recommendations, including overhauling dysfunctional state-owned enterprises, promoting entrepreneurship in green growth industries, and creating more dense housing clusters near business centers. |