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    Week 2.3 Tutorial

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    Kavish Daya
    In 1990, 70% of Gauteng's population of 6.5 million had infrastructure equivalent to a $600 GDP per capita, while 30% had infrastructure equivalent to a $12,000 GDP per capita. The document asks how much it will cost in 2019 to bring the infrastructure of the 30% low-income population, which has grown to 30% of the total population due to 3% annual growth, to the same level as the high-income population, assuming infrastructure stocks have trebled since 1990.

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    Week 2.3 Tutorial

    Uploaded by

    Kavish Daya
    13 views3 pages
    In 1990, 70% of Gauteng's population of 6.5 million had infrastructure equivalent to a $600 GDP per capita, while 30% had infrastructure equivalent to a $12,000 GDP per capita. The document asks how much it will cost in 2019 to bring the infrastructure of the 30% low-income population, which has grown to 30% of the total population due to 3% annual growth, to the same level as the high-income population, assuming infrastructure stocks have trebled since 1990.

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    Tutorial for excercise

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    Week 2.3 tutorial

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    In 1990, 70% of Gauteng's population of 6.5 million had infrastructure equivalent to a $600 GDP per capita, while 30% had infrastructure equivalent to a $12,000 GDP per capita. The document asks how much it will cost in 2019 to bring the infrastructure of the 30% low-income population, which has grown to 30% of the total population due to 3% annual growth, to the same level as the high-income population, assuming infrastructure stocks have trebled since 1990.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    13 views3 pages

    Week 2.3 Tutorial

    Uploaded by

    Kavish Daya
    In 1990, 70% of Gauteng's population of 6.5 million had infrastructure equivalent to a $600 GDP per capita, while 30% had infrastructure equivalent to a $12,000 GDP per capita. The document asks how much it will cost in 2019 to bring the infrastructure of the 30% low-income population, which has grown to 30% of the total population due to 3% annual growth, to the same level as the high-income population, assuming infrastructure stocks have trebled since 1990.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
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    Infrastructure & Development

    In 1990, Gauteng had a population of about 6.5 million. At that time, about 70% of the
    population had total physical infrastructure stocks equivalent to a country of GDP per
    capita of $600 (Purchasing Power Parity, PPP Dollars) and 30% of the population had total
    physical infrastructure stocks equivalent to a country of GDP per capita of $12,000 (also
    PPP Dollars). Figures 1 & 2 are provided to assist you in reaching a solution.

    Since Government’s current efforts are targeted at meeting backlogs in all physical
    infrastructure, about how much will it cost the Gauteng Government in 2019 to bring the
    low-income population up to the same level of Water infrastructure as the high-income
    population? Assume that in 2019, the percentage of the low-income Gauteng population is
    30%. Average annual population growth rate from 1990-2019 has been 3%.

    Hint: Assume, due to the investment in infrastructure, that infrastructure stocks per capita have
    trebled between 1990 and 2019
    Figure 1: Infrastructure stocks per capita (1990) versus
    GDP per capita (1990)

    Figure 2: Composition of total country


    infrastructure with income level

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