Politics

DA resolves to adopt a social market economy

DA resolves to adopt a social market economy

JOHANNESBURG - As the DA's policy conference continues, the second biggest political party in the country has resolved to adopt a social market economy as one of its values and principles.

This advocates for, among others, for companies and consumers to have the right to decide on what to purchase, where to invest and how much to produce.

The party’s policy decision to promote social market economy does not come as a shock as it has always leaned towards this direction.

The social market economy, which can also be described as social capitalism, is a socioeconomic model that combines free market capitalistic economic systems and other social policies that are meant to establish competition within the market and a welfare state.

The party’s economic policies have been criticised by some of its former leaders, including former Joburg Mayor Herman Mashaba who said it did not put the interests of the poor first.

In the DA resolution, the party states that government must champion open and competitive markets while enhancing equality of opportunity and provide strong safety nets for the vulnerable.

The party has also adopted the principle of non-racialism and federalism as its policies.

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