The free market road not taken in South Africa

Some thoughts prompted by a Facebook exchange on the life and work of William Harold Hutt who was a fine economist and a historian of apartheid. He described how this was started by the restrictive employment practices of the trade unionists in the South African mines at the turn of the twentieth century.

A piece on the road not taken after the fall of Apartheid. Richard Ebeling is a prolific libertarian contributor. His profile.

And one written in advance on a request from the Centre For Independent Studies in Sydney. Looking forward to democratic capitalism in the beloved country, by Chief Buthelezi the Chief Minister of Kwazulu and President of Inkatha the Zulu party. Sadly an over-optimistic piece. Warning, the scanner missed a couple of pages so the article is incomplete.

More on Hutt and Peter Lewin on the economics of apartheid.

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29 Responses to The free market road not taken in South Africa

  1. Robber Baron

    Stealing from people is easier when you have a Marxist system.

  2. sfw

    Why would anyone invest or live in South Africa? I can’t think of a single reason.

  3. entropy

    You get the government to take on a moot of your risk, and limit entry by competitors?

  4. PB

    Haven’t things gone well since the fall of Apartheid. Such a happy little rainbow nation since Blackie obtained his due, and now not at all a corrupt, violent sh*thole.

  5. Zulu Kilo Two Alpha

    Haven’t things gone well since the fall of Apartheid. Such a happy little rainbow nation since Blackie obtained his due, and now not at all a corrupt, violent sh*thole.

    Overheard, in the bar of the “Green Dolphin”, in Capetown, a few years ago

    “Nelson Mandela said that blacks won’t be driving a BMW the day after “black majority rule.” It may take five years. It is now fourteen years since “black majority rule,” and the symbols of our once mighty country are a squatters shack, and a toilet bucket.”

  6. jupes

    Haven’t things gone well since the fall of Apartheid. Such a happy little rainbow nation since Blackie obtained his due, and now not at all a corrupt, violent sh*thole.

    And such a shock to see things going bad over there.

    No one could have seen it coming.

  7. stackja

    jupes
    #2598064, posted on December 31, 2017 at 11:01 pm

    NM was not really into capitalism.

  8. Zulu Kilo Two Alpha

    And such a shock to see things going bad over there.

    No one could have seen it coming.

    The senior management of Ekscomm – the South African Electricity Commission – were gradually eased out of their jobs, or took redundancy, as Africans were parachuted into those positions under the “Black Empowerment ” campaign. When the “brownouts” and power cuts began, outgoing management were asked if they would care to return as consultants. To a man, they refused.

  9. Zyconoclast

    Why would anyone invest or live in South Africa? I can’t think of a single reason.

    If you name was Zuma, you probably have a billion reasons to live there.

  10. Zyconoclast

    Why would the SA Communist Party/ANC go free market?

  11. Zyconoclast

    Is necklacing a free market activity?

  12. Zulu Kilo Two Alpha

    https://en.wikipedia.org/wiki/South_African_Arms_Deal

    The incoming Government spent over twenty five billion Rand, re -equipping the South African military. It’s only foul racist, rumour, innuendo and gossip that certain politicians took nearly a billion rand in bribes to authorize those purchases. Jacob Zuma was under investigation, by the elite fraud squad of the South Africa Police, – the “Scorpions” -for various lurks. A group of his Parliamentary colleagues introduced a bill, defunding the “Scorpions.”

  13. Tekweni

    Quizzed by a Kiwi shortly after leaving SA in 1994. He wanted to know why we had uprooted our family to move to this part of the world. Things must be all good in SA now Mandela is in power. Yup, 65 murders a day, affirmative action and the retribution tax that was levied once the ANC got into power. State owned enterprises headed up by who you know and not what you know, and of course of the right colour.

    A friend of mine, Bobby Godsell was coopted as chairman of Eskom, the electricity supply commission in 2008. That ended in tears. He was brought on to sort out the electricity problems but it seemed that it was management that was the problem and a successful white businessman did not fit the profile.

    I had a bit to do with Buthelezi when I lived in Zululand. One on one he made sense. At that time I hoped he would play more of a role in a future government. He was certainly pro capitalism.

  14. Pedro the Ignorant

    White Serf Effricans and former Rhodesians are thriving in the Eastern Wheatbelt of WA.

    Not only as very effective farmers of hard scrabble country, but as entrepreneurs in the support industries.

    Can be abrasive in attitude and ruthless in business matters, but are generally honest, trustworthy and men of their word.

    Great additions to Australia, unlike some of the 7th Century barbarians and Apex predators infesting our cities.

  15. Zulu Kilo Two Alpha

    White Serf Effricans and former Rhodesians are thriving in the Eastern Wheatbelt of WA.

    Two South African header drivers, are on the two way radio, at harvest a few years ago. “The machinery is junk, the wages are crap, and the boss is a slave driver. Cheer up, boys, we’ll be back home for Christmas ”

    They weren’t the only Afrikaans speakers on net. “Hang on seuns, jy is nie die enigste wat die taal prat…”

    The Memsahib’s Dutch, isn’t she…

  16. OneWorldGovernment

    Hey ZK2A, Tekweni and Pedro

    It’s a ‘funny’ thing but there are a lot of folk that filtered from the Northern Hemisphere to the Southern.

    But it will be funny one day when the Globe is rotated and somewhere like Tasmania becomes the Northern aspect. Not discounting South America nor South Africa.

    Maybe if we tipped the globe the other way the sand gropers and eu types would fall off the planet. LOL

    Don’t personally know many Seth Africans but have met some folk from Rhodesia.

  17. Chris M

    Why would anyone invest or live in South Africa? I can’t think of a single reason.

    It’s a very beautiful country I believe. But yes, virtually unlivable now…

    God granted the African continent the most fabulous abundance natural resources of all, their prosperity would exceed that of Europe and the USA if it were not for the corrupt and violent nature (sin) of the people.

  18. Rafe Champion

    The Chinese have had their eyes on the resources for years, there is at least one book about their infrastructure projects across the country. They do infrastructure in return for access to the rare earths and other goodies that are essential for a booming high tech economy. Not much red and green tape I suggest but a deal of payoff to the local kleptocracy.

  19. Rafe Champion

    I didn’t search seriously but I don’t recall Buthelezi or the Zulus ever being mentioned as players in the game after the transition.

  20. John Constantine

    The Chinese communist party is the new colonial power in Zimbabwe.

    They just wait until a country has hit year zero and offer to help.

    New colonial power in Hong Kong, new colonial power on Zimbabwe, only option for South Africa.The new Commonwealth.

    Vancouver and Zimbostralia still a couple decades away

  21. DM OF WA

    Considering the ideology and history of the ANC and comparing it to every other black revolutionary socialist liberation movement in Africa; how can anyone be surprised by events so far or be in any doubt where SA is heading? The sole point of difference between SA and the rest is the scale of assets available to be looted.

  22. Tekweni

    Buthelezi headed up Inkatha, a Natal based Zulu organisation. The ANC dominated politics in SA from the election in 1994 and Inkatha became sidelined. Periodically Inkatha and the ANC had violent clashes but that amounted to little politically speaking.
    Of interest there is a growing movement to prosecute Zuma. Whether it happens or not remains to be seen but preparation is underway and a leading academic and well known advocate will lead the prosecution if it does go ahead. For Australia read barrister.

  23. Dr Fred Lenin

    Watched Australia border protection/customs show ,guy from SAfrica brings a carved wooden plaque ,carved with image and name of Nelson Mandela’s the KGB puppet ,officer notices it is made up of two layers of wood ,he taps it and it sounds different.in the centre ,he then commits sacrilege drilling a hole in the centre of the back of the plaque,producing white powder mixed with the drill dust ,turns out to be cocaine or something . The u.n. Comisar for Australia has lodged a protest to the turnbull labor government for defacing a socialist icon ,a fine of $285 million has been imposed on Australia . Coincidentally This is the sum the Eeeevil Trump stole from the US contribution to the “bloated” u.n.budget , swings and roundabouts comrades .
    \\

  24. Bruce

    And let us not forget that the rolling disaster in South Africa was made possible with a HUGE amount of foreign intervention.

    It took decades of “creative” politicking, (Malcolm Fraser, Lord Carrington, etc.), thousands of compliant media hacks, thousands of South African “students” graduating from Patrice Lumumba and other interesting institutions in the Soviet Union, and so on..

    There was the usual hand-wringing and gratuitous “concern” by a vast phalanx of “public figures”, “celebrities” etc, to adjust the attitudes of critical masses of peasantry around the globe.

    The Soviets AND the Chinese were cheerfully divvying up the entire continent of Africa, long before the mainstream media slugs even knew the place exited as anything except the home of Tarzan or Ba Ba the elephant.

    The Chinese used North Korean proxies in Uganda and several other dodgy places. Not just any grass-munching North Koreans, but several thousand of some of hardest shock troops available at the time.

    The Chinese and Soviets ran the two major “opposition” groups that slowly ground down the Smith government in Rhodesia. Again, this was not penny-ante stuff, but employed huge training camps in Mozambique and steady shipments of prodigious quantities of munitions, via ports in Mozambique.

    The soviets also got their hands VERY dirty upholding their clients in Angola, after the Portuguese had dropped out of their own colony because of a soviet-inspired military mutiny and national implosion back in Lisbon. (See also East Timor). The soviets lap-dog, Cuba, supplied tens of thousands of troops and their paymasters provided a LOT of advanced heavy hardware. This included some very sophisticated mobile air-defence systems, to try to sweep the rather antiquated, (there was a REASON for all those sanctions), South African air force from the skies along the SA / Angolan border.

    The biggest “legacy” for the Cubans was a LOT of dead and maimed troops, with the more “lively” ones also taking a mass dose of AIDS back home with them. Why use Cuban troops? The nice chaps in Moscow had a couple of things in mind: Firstly, all that training and hardware lavished on Castro and his “family” came with a “quid pro quo” clause. Secondly, they needed a LOT of combat troops who would blend into the ethnic scenery, even if they didn’t speak Portuguese. The compliant western media couldn’t tell the difference, nor, as is usual, would they care.

    The long-term objective was to obliterate the other local Angolan resistance groups like UNITA, draw South Africa into a meat-grinder, and then break out and drive hard into Namibia. At that point, the next ploy was to play the UN like a multi-billion-dollar violin.

  25. Zulu Kilo Two Alpha

    It’s a very beautiful country I believe. But yes, virtually unlivable now…

    The scenery is mindbending, and it’s a country rich in history, but yes, virtually unlivable.

  26. sfw

    Why would anyone invest or live in South Africa? I can’t think of a single reason.

    Cape Town. The beautiful.

    A lot of British, Nederlands and German money pouring in to the place, including retirees and “swallows”. There is real sovereign risk associated with the national government, but the potential is great and the current returns are fantastic.

    Sure its not for the faint hearted, but The Risk itself creates a huge investment opportunity.

  27. Zulu Kilo Two Alpha

    Cape Town. The beautiful.

    Cape Town’s one of my favourite cities.

  28. Tekweni

    Zulu, I agree with you on Cape Town. The last bastion of civilisation in Africa too.

    For anyone who actually wants to get the low down on SA Google Clem Sunter. When I was debating whether to leave or stay I attended a talk that he gave to our local chamber of commerce. This would have been in the early 90’s. He spoke about SA taking the high road or the low road. A milestone on the high road was a peaceful transition to a fully democratic society and this was achieved. Unfortunately the path immediately deviated to the low road and that’s where it has stayed. Clem now talks about a 50% probability that SA will become a failed state. From my perspective he is probably a bit low on that percentage.

  29. JohnA

    Dr Fred Lenin #2598566, posted on January 1, 2018, at 4:06 pm

    The u.n. Comisar for Australia has lodged a protest to the Turnbull labour government for defacing a socialist icon, a fine of $285 million has been imposed on Australia. Coincidentally This is the sum the Eeeevil Trump stole from the US contribution to the “bloated” UN budget, swings and roundabouts comrades .

    Fred, the “gummint” should apply to the UN for a $570 million grant to fight illegal drugs, piracy on the high seas and other stuff.

    What goes around, comes around.

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