Privatizing South Africa’s Industries: The Law and Economics of a New Socialist Utopia
Author(s)
Nicolas, Stephanie R.
Abstract
This Note analyzes South Africa’s recent efforts to privatize certain SOEs and discusses the optimal strategy for privatization in light of South Africa’s goals and unique socioeconomic challenges. Like many nations with developing market economies, South Africa has only recently embraced privatization in the context of other free-market reforms. According to South Africa’s current ruling party, the African National Congress (ANC), their primary goal in privatization is to improve the economic condition of the country’s poor, black majority and achieve greater national economic parity. Stated differently, the ANC wants to utilize the capitalist mechanism of privatization to achieve a socialist goal – an improvement in the economic and social condition of the poorest individuals.
