Does primary resource-based industrialisation offer an escape from underdevelopment?
- Authors: Ali, Fatimah
- Date: 2006
- Subjects: Comparative advantage (International trade) , Exports -- Africa, West , Exports -- Mauritius , Exports -- South Africa , Foreign trade promotion -- Mauritius , International trade , Primary commodities -- Africa , Human capital -- Economic aspects -- Africa , Natural resources -- Africa , Africa -- Commerce
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1018 , http://hdl.handle.net/10962/d1002753 , Comparative advantage (International trade) , Exports -- Africa, West , Exports -- Mauritius , Exports -- South Africa , Foreign trade promotion -- Mauritius , International trade , Primary commodities -- Africa , Human capital -- Economic aspects -- Africa , Natural resources -- Africa , Africa -- Commerce
- Description: It is commonly believed about sub-Saharan Africa (SSA) that the region has a comparative advantage in primary resources as reflected by its high share of primary exports to total exports. In acknowledging the region's comparative advantage, the study tries to put the determinants from the Wood and Mayer (1998, (999) (W-M) Heckscher-Ohlin based model in the context of two relatively diversified countries (South Africa and Mauritius) and two commodity-export-dependent countries of sub-Saharan Africa (Nigeria and Cô̌̌te d'Ivoire). The study finds that the skill and land resource measures used in the W -M (1998, 1999) thesis do not explain why Nigeria, having a similar level of skill per worker ratio to South Africa, has not diversified. Further, Mauritius having relatively the highest skill per land ratio specialises in low-skill textiles and clothing, while South Africa specialises in the more human capital-intensive "other manufactures" group. The other measure, a low land per worker ratio that explains Mauritius' relatively higher share of manufacturing exports, also fails to apply to Nigeria. The thesis thus concludes that the W-M land and skill measures could only be rough proxies in determining comparative advantage in manufacturing exports. However, employing the Dutch disease hypothesis recognises the potential of land abundance as a natural resource, namely minerals in South Africa, oil in Nigeria, and cocoa in Cǒ̌te d'Ivoire. The Dutch disease is a dynamic process of structural economic and political development that will permit an understanding of why natural resource abundant countries do not have a comparative advantage in manufacturing, at least in the short to medium term. The study therefore investigates commodity dependence and the Dutch disease effects to examine whether primary resource- based industrialisation offers an escape from underdevelopment. It establishes that South Africa, a mineral resource rich country, diversified based on a broad mineral-energy-complex (MEC) reinforcing the notion that land abundant countries will first invest in capital- intensive primary resource processing. However, the thesis concludes that in Nigeria and Cǒ̌te d'Ivoire where external shocks are more predominant probably because of single commodity export reliance, the manufacturing sector lags behind more due to resource and spending effects that a natural resource boom generates in these economies.
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Southern African Development Community foreign policy behaviour: the case of trade with external actors
- Authors: Tebu, Perminus Waithaka
- Date: 2000
- Subjects: Southern African Development Community , International trade , Africa, Southern -- Foreign relations
- Language: English
- Type: Thesis , Masters , MA
- Identifier: vital:2834 , http://hdl.handle.net/10962/d1003044 , Southern African Development Community , International trade , Africa, Southern -- Foreign relations
- Description: This thesis is structured around two main and interwoven assumptions operating at two levels. On the one level the external dimension of security threat in Southern Africa is assumed to be the most critical factor for regional renewal and stability. It hinges on pertinent regional issues such as negative trade balances, economic dependence, poverty, unemployment, poor economic growth rates and so forth. The corollary of this assumption is that within the operative framework of SADC, Southern African states are assumed capable of effectively integrating their economies through trade and related arrangements with dominant external actors in the highly competitive global economy. The European Union (EU) and the United States (US) are used as the focal points for illumination. A structured interaction between SADC and the EU within a revised North-South framework of interaction is hypothesized and critically examined. On the other hand, SADC-US interactions are assessed within the context of the new US Africa policy. At another level, the assumption is also made that the post-apartheid democratic state possesses both the political will and the wherewithal to provide regiol].al Leadership. This latter assumption is put to test within the framework of South Africa's regional foreign policy. Adopting an explicit regional unit of analysis, the study utilizes international regime theory as the theoretical and conceptual point of departure. The realist conception of the international system and the underlying assumptions usually considered as obstacles to international cooperation are critically examined in the context of the post-Cold War expanded security agenda. Regime theory is used to provide insight on the motivations that lead states to cooperate in situations of mutual dilemma by institutionalizing patterns of interaction at the regional and international systemic levels. Interstate economic relations at these levels are explained as state actions that are influenced by certain norms and that such norm-governed behaviour is wholly consistent with the pursuit of national interest. Application of the theory explains why such foreign policy behaviour of states is particularly relevant in the post-Cold War era. The thesis has argued that SADC states are capable of conducting a coordinated trade foreign policy in which regional positions are elaborated and adopted. It is argued further that a regional capacity to institute trade and economic policies that reflect local circumstances (necessary for effective integration with the world economy) calls for strong regional developmental democracies in the tradition of social market economy. Regional leadership by South Africa is considered indispensable where Sbuth Africa must find a sustainable balance between its national and regional interests.
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Protectionism and compliance with the GATT article XXIV in selected regional trade arrangements
- Authors: Grimett, Leticia Anthea
- Date: 1999
- Subjects: General Agreement on Tariffs and Trade (Organization) , International trade , Tariff -- Law and legislation , Protectionism , Free trade -- South Africa , South Africa -- Commerce
- Language: English
- Type: Thesis , Masters , LLM
- Identifier: vital:3673 , http://hdl.handle.net/10962/d1003188 , General Agreement on Tariffs and Trade (Organization) , International trade , Tariff -- Law and legislation , Protectionism , Free trade -- South Africa , South Africa -- Commerce
- Description: The General Agreement on Tariffs and Trade (GATT) 1994 has resulted in the GATT Contracting States making a renewed commitment to freer global trade and trade liberalisation. These Contracting States signalled their commitment to GATT policies and principles by undertaking to abolish all those non-tariff barriers which were not converted to tariffs and to decrease all tariffs applied by their domestic economies. The movement away from protectionism is intended to bring contracting states in line with the GATT most-favoured-nation and national treatment principles. The only exceptions to these principles are the regional trade arrangements which can be implemented in accordance with Article XXIV of GATT 1947 and the Understanding on the Implementation of Article XXIV of GATT 1947. Regional trade arrangements such as customs unions and free-trade areas have been allowed by the GATT as they are deemed to promote trade liberalisation through the removal of substantially all trade restrictions between countries party to these trade arrangements. In practice this has not been the case, however, as these regional trade arrangements have been known to apply very protectionist trade policies. This research determines whether regional trade arrangements are inherently protective ie does the nature of these regional trade arrangements encourage protectionism? The external trade policies of the European Union (EU), Association of Southeast Asian Nations (ASEAN), Southern African Development Community (SADC) and the Southern African Customs Union (SACU) are analysed to determine whether the contracting parties to regional trade arrangements have corrupted the GATT provisions and so contributed towards the protectionist nature of these regional trade arrangements. The internal trade provisions relating to the implementation of these regional trade arrangements have also been discussed to determine their compliance with Article XXIV of GATT 1947. As all the selected regional trade arrangements have direct or indirect links to South Africa, the implications of the policies chosen by these parties for South Africa have also been discussed. Analysis of the EU, SADC, SACU and ASEAN has shown that prior to the adoption of the GATT 1994, the free-trade areas and customs unions were not implemented in accordance with Article XXIV provisions. These regional trade arrangements have been moulded to fit the economic aspirations of the relevant contracting states. Of the regional trade arrangements accepted by the GATT, free-trade areas have been found to be the least protectionist and are the least likely to be perverted by contracting parties. Customs unions, on the other hand, may encourage contracting parties to protect their economies as they rely on group participation rather than individual participation. Individual Member States become responsible to the group which provides these states with greater economic power. As a result Member States are motivated to protect the new group entity from outside competition. In this way, they are inherently protective. Safeguards are therefore necessary to protect individual non-Member States from such behaviour. The implications of protectionism for South Africa, SADC and SACU have also been discussed.
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Theories of international cooperation and the GATT/WTO regime: beyond the dichotomy of rational and cognitive approaches
- Authors: Nischalke, Tobias Ingo
- Date: 1997
- Subjects: General Agreement on Tariffs and Trade (Organization) , World Trade Organization , International trade
- Language: English
- Type: Thesis , Masters , MA
- Identifier: vital:2817 , http://hdl.handle.net/10962/d1003027 , General Agreement on Tariffs and Trade (Organization) , World Trade Organization , International trade
- Description: This thesis aspires to assess the explanatory value of different theories of international cooperation for the case of the world trade regime of GATT/WTO and subsequently strives to reach a satisfactory interpretation of the instance of cooperation. The world trade regime embarked on a process of transformation with the signing of the Marrakech Agreements of 15th April 1994. The event marked the conclusion of the Uruguay Round and, with the establishment of the WTO, the beginning of a new era for the world trade regime. The thesis endeavours to establish the substance of the regime change from GATT to the WTO. It outlines the most significant provisions of the agreement of the Uruguay Round and, subsequently, analyses the change on the level of regime norms underlying the world trade regime. The analysis of regime norms yields insights about the essence of the regime transformation and as to what factors proved to be conducive to cooperation in the sphere of the world trade. The GATT/WTO regime with its extended scope and more sophisticated institutional structures can be regarded as a prime example of successful cooperation. However, the prospects for cooperation between states in an anarchic environment without central authority for enforcement are the subject of a remarkably intense scholarly debate. Therefore it is worthwhile to examine which theoretical framework proves to be most adept at elucidating the circumstances of this instance of cooperation. This thesis applies different theories of international cooperation to the case of the GATT/WTO regime. While a large array of rational theories attempts to explain cooperation from a perspective which focuses on interests and capabilities, a different strand of theories, that of cognitive approaches, emphasizes the paramountcy of ideas and beliefs as variables which explain cooperation. They endogenize the process of interest formation. This thesis seeks to synthesise the strong points of rational and cognitive approaches and thus to reconcile the divergent schools of thought. Its further purpose is to set out factors which are conducive to cooperation.
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The significance of trade policy in promoting the international competitiveness of South African industry
- Authors: Hofmeyr, Lynne Mary
- Date: 1996
- Subjects: South Africa -- Commerce , South Africa -- Commercial policy , International trade
- Language: English
- Type: Thesis , Masters , MA
- Identifier: vital:2781 , http://hdl.handle.net/10962/d1002991 , South Africa -- Commerce , South Africa -- Commercial policy , International trade
- Description: This study proposes to examme the significance of trade policy in promoting the international competitiveness of South African industry during the period from the early 1970s up until the present day. By providing a background of South Africa's past trade policies, it is argued that the origins of South Africa's low levels of competitiveness essentially lie in the apartheid years where trade policies were not linked to the attainment of international competitiveness and improved productivity. The study then reviews the development of South Africa's trade policies in the 1990s. In so doing, it reveals weaknesses in the areas of implementation which are critiqued in greater detail by using the clothing and textile industries as a case study, and other selected examples. The study finally concludes that trade policy is crucial to global competitiveness and that it is the responsibility of all parties concerned to ensure that trade policies enhance and not inhibit competitiveness.
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