The government could fund a new basic income grant for South Africa by borrowing money, but ultimately it will be taxpayers who pay for the new scheme, says Wits University professor Michael Sachs.
In a presentation hosted by the Department of Social Development on Tuesday (26 October), Sachs said that a decision to borrow money for the new grant would be dependent on two factors: The current state of the economy;
Government’s fiscal position. Ultimately, even if the government does decide to borrow instead of raising taxes directly, Sachs said that the issue of expenditures and taxes cannot be separated […]
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