The land that peasant farmers, or shack-dwellers, live on is frequently either public land, or land that vests in a tribal chief. The residents act to improve that land in some form, either by farming it or building a home on it. Neither the improvement or the land are theirs to trade.
Hernando de Soto, the Peruvian economist, declared that land ownership amongst the currently impoverished has the capacity to unlock trillions of dollars of "hidden capital". De Soto has visited South Africa on several occasions to present his ideas to government officials.
It appears that they have either not listened, or have concluded that they know better.
Speaking in Wallmansthal last week at a land hand-over ceremony, Agriculture and Land Affairs Minister Lulu Xingwana stated that, "Upon the date of transfer, the property shall not be encumbered, sold or otherwise disposed of without written consent from the minister."
"Look here," said the man in the parking lot. "No, I'm not begging. Look at this chair. It is the first one he has made."
Beside him was a wooden chair made of slim poles in an interlocking nest of triangles. Inexpertly made but showing tremendous promise. Beside it an old man with four teeth in his head grinning like a young boy with the sun rising before him.
A few years ago this part of Woodstock was a run-down area with little hope of improvement. Not much has changed. Except for the hope.
Investors and entrepreneurs are unusual people. They can look at a derelict area and see opportunity and profit. It was a magnificent spark of that adventurism that converted the old Biscuit Mill into an upmarket office and business complex. It was an even greater dollop of self-belief that created the Saturday morning market of produce, food and crafts.
Imagine investing that much in an area far removed from the usual haunts of the wealthy. Imagine, not just the hope, but the conviction that customers will come.
Aesop's Fables tell of a Golden Goose that, each day, would lay a single golden egg. The farmer who owned the goose was ecstatic but it wasn't long before his wonder gave way to greed.
Why should he be forced to wait an entire day for one golden egg? He and his wife kill the goose and cut it open to get at all the gold in one go. They discover that, dead, it's just an ordinary goose.
The fable is a warning to those who take unearned wealth that is not freely given. It is a lesson few governments in Africa have cared to learn.
South Africa receives more than 20% of the foreign direct investment (FDI) placed in Africa each year. Don't celebrate too quickly.
Of the US$ 334 billion in total FDI in 2005 only 9.3%, or US$ 31 billion, went to Africa. The continent with 14% of the world's population and 23% of its land is worth only 2% of its economy. The entire value of African companies as US$ 800 billion of which US$ 600 billion are South African.
Why is this? After all Africa has 8% of the world's oil supply and more metals and minerals than you can shake a pointed stick at.
After decades of instability, warfare, or plain disregard for economic rights the most capable Africans have fled leaving shattered infrastructure behind.
A mining company investing in Cameroon also has to build railroads and deepwater ports, electricity generators, fresh water pipelines, and import engineering skill before their goods can leave the country. That's a huge investment for any private company.
In addition property law in Africa is not a very definite thing. Whole industries, such as telecommunications or electricity production, may be protected. Land ownership by foreigners may be illegal. Redistribution policies, such as local ownership laws, can dramatically increase costs.
Over the past two months a tragedy has been playing out in Europe and the US. Mattel, the world's largest toymaker, has recalled more than 20 million of their products, including Fisher Price and Barbie.
The cause? Toys with paint containing too high a lead content and poorly attached magnets that could present a choking hazard to tiny tots.
Mattel was quick to cast the blame at their largest manufacturers in China. EU and US politicians promptly suggested unilateral bans on Chinese-made goods and trade restrictions at all levels. Zhang Shuhong, the head of Lida and one of the biggest Mattel suppliers, committed suicide.
Off the back of the melamine-pet-food scandal a few months ago China is taking severe punishment for their behaviour. Is it justified?
aloft: the whythawk blog 
