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A Poverty Trap or a Policy Scorecard – VAT Exemption versus Targeted Income Support ‘TIS’

The VAT exemption was a principal driver for the change in dietary habits that led to the NCDs explosion.

It also helped to create a poverty trap in the rural communities. The higher NCDs rate are a drain on family resources and on the working potential of affected individuals, which contribute to their being trapped in a poverty cycle.

  • Reality or perception – ‘It’s for the poor’ – $3000 + per household
  • Scorecard of poverty – a challenge for policy leaders
  • Test of confidence – will government’s economic policies work?
  • Fallacy of comparison
  • Policy or moral choice, investment opportunity or poverty



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