The increase in demand inraw water shift the demand curve to the right (D to D1), and as a result theequilibrium price increases from P0 to P1. While the equilibrium quantityincreases from Q0 to Q1.Supply curve remains unchanged, but the quantitysupplied increases as the price of water increases. There is an upward movementalong the supply curve from E to E1Question2Back in the time ofapartheid in the 1980s and 1990s, water was an owned infrastructure but thewhites.
Black people were not given the privilege of using water as theyplease, thus the water resources were distributed to the black South Africansat a very low rate compared to whites. (Anton Earle, Jaqui Goldin & Phemo Kgomotso, 2005).According to Anton,Jaqui and Kgomotso (2005) they explained that until the new democratic countrywas established and introduced in SA where Water Service Act of 1997(No.8 of1997), Section 3(1) they stated a quote from that Act saying, “Everyone has aright of access to basic water supply and basic sanitation”. It was then wherethe population started to grow since there were more black people coming fromthe apartheid and thus shifted the demand curve and supply.
According to Water Wise(2018), they further explained or listed the other factors that caused theshift in demand in raw water, namely:DroughtGlobal warmingPopulation, David Makovah (2018), assertsthat the South African population growth in has increased from 35 million from1994 to 55 million in 2018.Pollution and the destruction of rivercatchmentRaw water qualityApartheidPricing, as the price of the good rises, thequantity demanded of the good falls. (David Makovah, 2018) Question3Social grants have been recognisedand pointed the one of the infrastructure which waste money for the countryespecially the child support grant. One of the critics was picked on the newswhere they elaborated that over the past 23 years the number of social granthas increased from an estimated 4 million in 1994 to 17,443,994 by October2017. (Louise Ferreria, 2017). Type of grant As at 2017 (October) Grant for older persons 3,369,513 Disability grants 1,070,648 War Veteran’s grant 180 Foster child grant 478,158 Child support grant 12,196,981 Grant-in- aid 181,672 Social relief of distress Paid in various circumstances.
The above table isformulated from the information on Louise Ferraria’s (2017) findings.3.1What Impact does the social grant have to our country?According to Louise Ferreira(2017), she explained the following causes:Grants make people lazy and dependent on thegovernment, off which true people especially youth they don’t study and lookfor better jobs is instead they become pregnant at an early stage knowing thatthey will receive gran from the government.She further asserted that there is corruptionalso involved where people or parents rather claims grants for children whodon’t live with them.Parents or guardian misuse the grant money.Buying alcohol instead of buying food or school necessities for the child. 3.2Building economically enabling infrastrureBuilding the infrastructurefor the country won’t be only benefiting the person as such but also thecountry as the whole.
Since Government adopted an infrastructure plan that isintended to transform the economic landscape of South Africa and in additioncreating a number of jobs especially to the unemployed youth of our country. (Lekgotla, 2012).According to Lekgotla(2012), he identified that by creating new growth path they are setting 5million new jobs by 2020, similarly overcoming the structural problems in theeconomy, and setting opportunities in certain markets and sectors. He furtheremphasised the laying of the basis for higher growth in the country.Infrastructure developmentwill shift the demand curve for the employment rate and will push suppliers tohave more space for new workers.Question44.1PrivateSchoolAs a parent/guardian thereare many factors that you look at when choosing a school for your child, e.g.
Affordability. Location. Extra-curricular activities.Tertiary acceptance. Religious and cultural and genderpreferences.Scholastic support (Mbatha, 2018)4.2 Discovery Medical AidAs a parent again weighingthe importance of private school and Discovery medical aid is very important,health wise as a parent the following aspects should be considered beforechoosing:Checking if your children are frequentlyhospitalized or with chronic diseases, e.g.
Eye problems, BP, Asthma and etc. Geographical area will also play a role as tohow far the public and private hospitals are next to your area.Affordability as well is a crucial part toconsider 4.3ConclusionIt will depend which areathe child hails from as there are very good schools in some townships/suburbsand therefore there is no reason to take them to private schools. According toMichelle Gumede (2017) reported that even Angie Motshekga was impressed aboutthe rural and township 2016 matric results. The Free State is pointed as themassive rural province yet they achieved the country’s best results with anoverall pass mark of 93.
2% in 2016. (Michelle Gumede, 2017).Many schools from KwaZuluNatal, Limpopo and Eastern Cape are also suffering, where they are stillwithout electricity, proper shelter, books, libraries, and teachers.
Being said that, yet we do have distinctionscoming from those areas.There are affordable medicalaid which a parent can pay less compared to Discovery Medical Aid. If a parentis frequently taking her kids to hospitals, she will rather opt for hospitalplans from another service provider which she can pay less compared toDiscovery Medical Aid. On the other side saving every month for doctor’sconsultations will also be an option while having a hospital plan which ischeaper and affordable. (Mbatha, 2018)According to all theresearch and interviews asserted above, as a parent I will personally opt formedical Aid (affordable e.g. Bonitas, Germs, etc.), depending on mygeographical location; school is the good investment for a child but educationis dependent on self-discipline.
If a leaner is in good government school thanthere is absolutely no reason to take them to a private school I would ratherchoose having a good health and pick my child’s work rate to achieve top marksi.e. Several A’s which are attainable.Furthermore choosing betweenthe two is not easy as this is dependent on individual’s needs and priorities,some people may survive without both i.e. no private school and no Discoverymedical Aid and still be very successful.
Question55.1Monopoly”Monopoly is a marketstructure in which there is only one seller of a good or service that has noclose substitutes”. (Philip Mohr & associates, 2017, p.
180).InSouth Africa there are a few number of monopolist firms, the three firms wouldbe:Transnet, Eskomand DeBeers.Transnet is characterisedas a monopolist firm, as it is the South Africa’s state transport company.Hence Transnet has control over the price of their services, meaning they arethe price maker and they determine the price level by deciding what quantity oftransport to produce. (Lumen, 2017)According to Lumen (2017)they confirm that by looking at the case of Eskom, they distribute electricity for South Africa. It isinsufficient to have more than one provider due to the high cost put up topower line. Since Eskom set their price they can decide to raise their pricesat any time and most of consumers would still continue to purchase electricity.According to The Economist(2004), De Beers is the world’s largest producer of rough stones.
De Beers onlysell their stones to invite their invited clients at a no-negotiable pricewhich happens ten times a year.”With its near monopoly as a trader ofrough stones, De Beers has been able to maintain and increase the prices ofdiamonds by regulating their supply. It has never done much to create jobs orgenerate skills (beyond standard mining employment) in diamond-producing countries,but it delivered big and stable revenues for their governments.
Botswana,Namibia, Tanzania and South Africa are four of Africa’s richest and most stablecountries, in part because of De Beers”. (The Economist, 2004) 5.1.1 Profit-maximising”We assume that themonopolist firm aims to maximize profit”. (Philip Mohr & associates, 2017, p.
182). For example Eskomis the sole supplier of electricity in SA; the market demand for electricity inSA is also the demand for Eskom’s product. The market demand slopes downward,the monopolist can only sell an additional quantity of output if it lowers the priceof its product. (Philip Mohr & associates, 2017)”Consider the diagram illustrating monopolycompetition. The key points of this diagram are fivefold.First,marginal revenue lies below the demand curve.
This occurs because marginalrevenue is the demand, p (q), plus a negative number.Second, themonopoly quantity equates marginal revenue and marginal cost, but the monopolyprice is higher than the marginal cost.We see that the monopoly restricts output andcharges a higher price than would prevail under competition”. (Lumen, 2017)According to Philip Mohr (2017), he confirmed that a, monopolist doesnot have a supply curve showing the quantities that will be supplied atdifferent prices of the product. Since the monopolist is the price maker anddoes not move along a supply curve as the price of the product changes.5.2 Oligopoly”An Oligopoly is a market dominated by a small number of strategicallyinterdependent firms.
” (David Makovah, 2018, p. 104)Offcourse SA has oligopoly industries in key sectors, to mention just threeamongst them Buildingand ConstructionFinancialinstitutionMediaThemonopolistic status quo has led some into a cartel like behavior where inthe Building and Construction industry they club together to determineand cap pricing which then stifles competition. This would automatically stopnew entrants (small and medium businesses). In some instances they thensubcontract some of their work into small and medium businesses paying themless which then affect the quality of service delivered.TheFinance industry has been alleged to be involved in found fraudulentactivities. I.
e. bank charges where 17 South African banks were liable forpayment of an admin penalty of 10% of their annual turnover (BusinessTech, 2017) TheMedia is being generally perceived to be politically bias and indirectlypushing certainly political parties’ agendas. And also taking itself as anactive participant indevelopingand directing the countries’ narrative.
Research news about media and anccomplains. (Joyisani Maromo, 2017)