Considerations for implementating market based mechanisms in combating climate change in South Africa
- Authors: Marais, Frans
- Date: 2014
- Subjects: Climatic changes -- Economic aspects -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1093 , http://hdl.handle.net/10962/d1012952
- Description: Since the first period of the Kyoto Protocol, there has been a growing concern that the burden of reducing greenhouse gas emissions should not only be borne by developed countries, but developing countries as well. South Africa, as the 18th highest emitter of greenhouse gases in the world and highest in Africa, has a significant responsibility to reduce its emissions levels. The South African government is currently in the process of implementing a carbon tax for its short term response to climate change and considering the implementation of a carbon market as a medium to long term response to climate change. Both of these market based mechanisms are widely deemed effective in the mitigation of greenhouse gas emissions by economists, however are also known to have negative social and economic implications upon an economy. This study identifies these implications and attempts to provide considerations on how to alleviate the implications through the most appropriate process of revenue recycling. The negative effects of Implementing a carbon tax or carbon market could be severe as and not limited to: a significant decline in GDP, a reduction in the standard of living for certain households, a fall in a country's exports and even an increase in poverty. South Africa's environmental and development policies place a strict precedence on the protection of the poor and the prevention of economic hardship induced by such policies. This places significant importance on the prevention of these externalities from occurring. A primary means of doing so is through the process of revenue recycling, however, certain channels of revenue recycling are by no means helpful, hence the most appropriate channel needs to be identified. The study carried out a multiple case study analysis on Ireland, Mexico, New Zealand and Norway, to determine what effects a carbon tax had on their economies and how these effects were mitigated through carbon tax revenue recycling. An additional analysis of the EU ETS was carried out to determine how the EU ETS was implemented and the controversies and concerns that arose during its implementation. The findings of this analysis were then compared to a number of South African economist’s case studies, and the most appropriate method of revenue recycling identified and possible solutions to the EU ETS controversies found. The study concludes that a food subsidy has the potential to provide positive effects on welfare employment and GDP; therefore could be considered to be the most appropriate method of revenue recycling. However, these effects are limited to be experienced only at low levels of a carbon tax, hence, short term in nature. The study therefore provides a further consideration that the use of multiple channels for revenue recycling needs to be explored that could provide stable longer term effects. In addition, in the implementation of a carbon market, the study concludes that government should consider using an auction approach in the initial allocation phase of an ETS and the use of a centralized registry for monitoring and controlling of information and transactions.
- Full Text:
- Date Issued: 2014
- Authors: Marais, Frans
- Date: 2014
- Subjects: Climatic changes -- Economic aspects -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1093 , http://hdl.handle.net/10962/d1012952
- Description: Since the first period of the Kyoto Protocol, there has been a growing concern that the burden of reducing greenhouse gas emissions should not only be borne by developed countries, but developing countries as well. South Africa, as the 18th highest emitter of greenhouse gases in the world and highest in Africa, has a significant responsibility to reduce its emissions levels. The South African government is currently in the process of implementing a carbon tax for its short term response to climate change and considering the implementation of a carbon market as a medium to long term response to climate change. Both of these market based mechanisms are widely deemed effective in the mitigation of greenhouse gas emissions by economists, however are also known to have negative social and economic implications upon an economy. This study identifies these implications and attempts to provide considerations on how to alleviate the implications through the most appropriate process of revenue recycling. The negative effects of Implementing a carbon tax or carbon market could be severe as and not limited to: a significant decline in GDP, a reduction in the standard of living for certain households, a fall in a country's exports and even an increase in poverty. South Africa's environmental and development policies place a strict precedence on the protection of the poor and the prevention of economic hardship induced by such policies. This places significant importance on the prevention of these externalities from occurring. A primary means of doing so is through the process of revenue recycling, however, certain channels of revenue recycling are by no means helpful, hence the most appropriate channel needs to be identified. The study carried out a multiple case study analysis on Ireland, Mexico, New Zealand and Norway, to determine what effects a carbon tax had on their economies and how these effects were mitigated through carbon tax revenue recycling. An additional analysis of the EU ETS was carried out to determine how the EU ETS was implemented and the controversies and concerns that arose during its implementation. The findings of this analysis were then compared to a number of South African economist’s case studies, and the most appropriate method of revenue recycling identified and possible solutions to the EU ETS controversies found. The study concludes that a food subsidy has the potential to provide positive effects on welfare employment and GDP; therefore could be considered to be the most appropriate method of revenue recycling. However, these effects are limited to be experienced only at low levels of a carbon tax, hence, short term in nature. The study therefore provides a further consideration that the use of multiple channels for revenue recycling needs to be explored that could provide stable longer term effects. In addition, in the implementation of a carbon market, the study concludes that government should consider using an auction approach in the initial allocation phase of an ETS and the use of a centralized registry for monitoring and controlling of information and transactions.
- Full Text:
- Date Issued: 2014
Exports and economic growth in South Africa
- Authors: Feddersen, Maura
- Date: 2014
- Subjects: Exports -- South Africa Economic development -- South Africa Unemployment -- South Africa Poverty -- South Africa Income distribution -- South Africa Investments -- South Africa Saving and investment -- South Africa South Africa -- Economic conditions South Africa -- Social conditions
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1087 , http://hdl.handle.net/10962/d1012029
- Description: Various studies conclude that accelerated economic growth and development are necessary in South Africa to make a significant contribution towards reducing high levels of unemployment, inequality and poverty. Moreover, in theories of economic growth the export sector is frequently accorded a special role in encouraging faster economic growth, which is often supported by empirical evidence. Nonetheless, a question that remains unresolved is whether higher export growth leads to higher economic growth in South Africa and what particular role exports may play within the overall economic growth process of the country. This study applies Johansen’s cointegration procedure, impulse response functions, variance decomposition analysis and Granger causality tests to shed light on the channels through which export growth may impact South Africa’s economic growth rate. Quarterly time series data ranging from 1975q1 to 2012q4 is employed in the study’s empirical tests. The empirical results lend support to the idea that the role of exports in the economic growth process fundamentally lies in their ability to encourage investment and capital formation. While export growth supports higher economic growth in the short-run, it does not have the same effect in the long-run. Nonetheless, with export growth supporting faster capital formation in South Africa, and capital formation, in turn, significantly increasing economic growth in the long-run, the impetus to growth stemming from exports has been found to lie in the channel to capital formation. On the basis of the empirical results, not only are exports a critical requirement of higher investment, but they are also anticipated to play a prominent role in lifting the balance of payments constraint that would make investment-led growth possible in the first place. Overall, a strategy of export-led growth that does not explicitly emphasise the export-capital-growth connection is likely to fall short of reflecting the dynamics contained within the exports-growth relationship in South Africa.
- Full Text:
- Date Issued: 2014
- Authors: Feddersen, Maura
- Date: 2014
- Subjects: Exports -- South Africa Economic development -- South Africa Unemployment -- South Africa Poverty -- South Africa Income distribution -- South Africa Investments -- South Africa Saving and investment -- South Africa South Africa -- Economic conditions South Africa -- Social conditions
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1087 , http://hdl.handle.net/10962/d1012029
- Description: Various studies conclude that accelerated economic growth and development are necessary in South Africa to make a significant contribution towards reducing high levels of unemployment, inequality and poverty. Moreover, in theories of economic growth the export sector is frequently accorded a special role in encouraging faster economic growth, which is often supported by empirical evidence. Nonetheless, a question that remains unresolved is whether higher export growth leads to higher economic growth in South Africa and what particular role exports may play within the overall economic growth process of the country. This study applies Johansen’s cointegration procedure, impulse response functions, variance decomposition analysis and Granger causality tests to shed light on the channels through which export growth may impact South Africa’s economic growth rate. Quarterly time series data ranging from 1975q1 to 2012q4 is employed in the study’s empirical tests. The empirical results lend support to the idea that the role of exports in the economic growth process fundamentally lies in their ability to encourage investment and capital formation. While export growth supports higher economic growth in the short-run, it does not have the same effect in the long-run. Nonetheless, with export growth supporting faster capital formation in South Africa, and capital formation, in turn, significantly increasing economic growth in the long-run, the impetus to growth stemming from exports has been found to lie in the channel to capital formation. On the basis of the empirical results, not only are exports a critical requirement of higher investment, but they are also anticipated to play a prominent role in lifting the balance of payments constraint that would make investment-led growth possible in the first place. Overall, a strategy of export-led growth that does not explicitly emphasise the export-capital-growth connection is likely to fall short of reflecting the dynamics contained within the exports-growth relationship in South Africa.
- Full Text:
- Date Issued: 2014
Ideas and power: shaping monetary policy in South Africa 1919-1936
- Authors: Bordiss, Bradley John
- Date: 2014
- Subjects: Monetary policy -- South Africa -- 1919-1936 Economic development -- South Africa -- 1919-1936 Economics -- South Africa -- History Economics -- Philosophy South Africa -- Economic policy -- 1919-1936 South Africa -- Foreign economic relations -- 1919-1936 Great Britain -- Foreign economic relations -- 1919-1936 Great Britain -- Economic policy -- 1918-1945
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1084 , http://hdl.handle.net/10962/d1011605
- Description: In the concluding paragraphs of Keynes’ General Theory, Keynes suggests that vested interests (power) may dominate in the short term, but that “sooner or later, it is ideas, not vested interests, which are dangerous for good or evil” (Keynes; 1936:384). This dissertation seeks to establish whether this is so, and to what extent, in the period 1919 to 1936, insofar as the shaping of monetary policy was concerned. The context that South Africa found itself in at the time was one in which Britain, the colonising power, was in economic decline. Britain’s real economy had lost its lead in the world in the late 1800s, and by our period, 1919 – 1936, she was now struggling to maintain her dominance of the world’s financial economy. South African gold flows to London, and a South African monetary policy supportive of British monetary policy, became more important than ever to Britain. On the back of its ascendant real economy, the United States of America was fast developing its financial sector as a rival to that centered on London. In the broader monetary policy world, the orthodox monetary regime of the Gold Standard, which had worked so well in the period from 1875 to 1914, was firstly difficult to reestablish, and once established, difficult to maintain. Opinion on what should be done was divided between the majority who favoured a return to the orthodoxy, and a much smaller group, including John Maynard Keynes, who argued that the Gold Standard should no longer be the preferred monetary system. In South Africa, our period starts 17 years after the Second Boer War. Afrikaner nationalists intent on establishing independence from Britain, competed with those, including Jan Christiaan Smuts, who believed that tying our policy up with that of the British Empire was the best for South Africa. It is in this context that a naturalised Briton, which the research shows was a loyal servant of the London power elite, was appointed by the Empire-friendly Smuts government to advise the South African government on monetary policy, the setting up of the South African Reserve Bank, the appointment of its first Governor and other matters in the period up until the fall of this government in 1924. It is also in this context that an American ‘Currency Doctor’ and Professor of Economics at Princeton University, which the research shows was intimately connected with the American government and Benjamin Strong at the Federal Reserve, was appointed by the Pact government later in 1924, and who was anxious to throw off the yoke of British control. The theoretical paradigm of this study is that developed by John Maynard Keynes and after him by the post-Keynesian economists, particularly Basil Moore and Hyman P. Minsky. Instead of considering the theory chronologically, book by book, the theory section deals with the subject matter in the themes which came up in the monetary policy debates of the time, looking at all the theoretical literature that applied to these various themes. Aside from the correction of errors of emphasis and errors of fact dealt with in chapter two, chapter five of the dissertation is where most of the original research is reflected. This is the section which deals in depth with the experts that advised the South Africans at the time, how they came to be appointed, whose interests they served, what theories they used in support of their positions, and what was the decision-making process; from their appointment, until their reports were drafted into the law of the Union of South Africa. While Ally’s work (1994) is accepted as the principal work on the influence of the Bank of England, and Britain’s control of South African gold on South African gold and monetary policy, this dissertation claims legitimacy based on a much closer look at the motives and vested interests of the experts advising the South African government at the time. By the end of this chapter, I believe we are better placed to understand and analyse the relative influence of ideas and power on monetary policy in the period 1919 – 1936.
- Full Text:
- Date Issued: 2014
- Authors: Bordiss, Bradley John
- Date: 2014
- Subjects: Monetary policy -- South Africa -- 1919-1936 Economic development -- South Africa -- 1919-1936 Economics -- South Africa -- History Economics -- Philosophy South Africa -- Economic policy -- 1919-1936 South Africa -- Foreign economic relations -- 1919-1936 Great Britain -- Foreign economic relations -- 1919-1936 Great Britain -- Economic policy -- 1918-1945
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1084 , http://hdl.handle.net/10962/d1011605
- Description: In the concluding paragraphs of Keynes’ General Theory, Keynes suggests that vested interests (power) may dominate in the short term, but that “sooner or later, it is ideas, not vested interests, which are dangerous for good or evil” (Keynes; 1936:384). This dissertation seeks to establish whether this is so, and to what extent, in the period 1919 to 1936, insofar as the shaping of monetary policy was concerned. The context that South Africa found itself in at the time was one in which Britain, the colonising power, was in economic decline. Britain’s real economy had lost its lead in the world in the late 1800s, and by our period, 1919 – 1936, she was now struggling to maintain her dominance of the world’s financial economy. South African gold flows to London, and a South African monetary policy supportive of British monetary policy, became more important than ever to Britain. On the back of its ascendant real economy, the United States of America was fast developing its financial sector as a rival to that centered on London. In the broader monetary policy world, the orthodox monetary regime of the Gold Standard, which had worked so well in the period from 1875 to 1914, was firstly difficult to reestablish, and once established, difficult to maintain. Opinion on what should be done was divided between the majority who favoured a return to the orthodoxy, and a much smaller group, including John Maynard Keynes, who argued that the Gold Standard should no longer be the preferred monetary system. In South Africa, our period starts 17 years after the Second Boer War. Afrikaner nationalists intent on establishing independence from Britain, competed with those, including Jan Christiaan Smuts, who believed that tying our policy up with that of the British Empire was the best for South Africa. It is in this context that a naturalised Briton, which the research shows was a loyal servant of the London power elite, was appointed by the Empire-friendly Smuts government to advise the South African government on monetary policy, the setting up of the South African Reserve Bank, the appointment of its first Governor and other matters in the period up until the fall of this government in 1924. It is also in this context that an American ‘Currency Doctor’ and Professor of Economics at Princeton University, which the research shows was intimately connected with the American government and Benjamin Strong at the Federal Reserve, was appointed by the Pact government later in 1924, and who was anxious to throw off the yoke of British control. The theoretical paradigm of this study is that developed by John Maynard Keynes and after him by the post-Keynesian economists, particularly Basil Moore and Hyman P. Minsky. Instead of considering the theory chronologically, book by book, the theory section deals with the subject matter in the themes which came up in the monetary policy debates of the time, looking at all the theoretical literature that applied to these various themes. Aside from the correction of errors of emphasis and errors of fact dealt with in chapter two, chapter five of the dissertation is where most of the original research is reflected. This is the section which deals in depth with the experts that advised the South Africans at the time, how they came to be appointed, whose interests they served, what theories they used in support of their positions, and what was the decision-making process; from their appointment, until their reports were drafted into the law of the Union of South Africa. While Ally’s work (1994) is accepted as the principal work on the influence of the Bank of England, and Britain’s control of South African gold on South African gold and monetary policy, this dissertation claims legitimacy based on a much closer look at the motives and vested interests of the experts advising the South African government at the time. By the end of this chapter, I believe we are better placed to understand and analyse the relative influence of ideas and power on monetary policy in the period 1919 – 1936.
- Full Text:
- Date Issued: 2014
Perceptions of organisational commitment within a selected Chinese organisation in South Africa: a case study approach
- Authors: Paterson, Steven James
- Date: 2014
- Subjects: Organizational commitment -- South Africa , Personnel management -- South Africa , Employee motivation -- South Africa , International business enterprises -- South Africa , China -- Foreign economic relations -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1201 , http://hdl.handle.net/10962/d1013094
- Description: Chinese organisations are benefiting from increasing support from the Chinese government to enter into Africa. It is believed that over 2 000 Chinese organisations are operational in Africa, contributing greatly to employment within the continent. Despite the importance of Chinese organisations and their operations in Africa, very little research has been done on individual and organisational issues in Chinese organisations operating in Africa, and more specifically the local employees' organisational commitment to such organisations. The organisational commitment of South African employees within Chinese organisations in South Africa is important as it promotes the success of Chinese business, which may promote further investment into the country, as well as the use of local human resources. The primary aim of this research was therefore to conduct a literature and empirical study into the levels of and factors influencing the organisational commitment of South African employees in a selected Chinese organisation in South Africa. For the purposes of this study, a single case study approach, located within the phenomenological research paradigm, was used. A large multinational Chinese organisation with operations in South Africa agreed to participate in this study. The research made use of a descriptive case study design. To give effect to the primary aim of the study, three research objectives were identified. Firstly, to identify and describe key factors influencing local employee commitment. Secondly, to identify and describe current commitment levels amongst local employees, and lastly, to propose recommendations to improve local employee commitment and its implications for the appropriate management of human resources within the Chinese organisation. Data were collected by means of in-depth, semi-structured interviews with 20 participating employees at four organisational branches across South Africa. Moreover, although the interview transcripts were the primary source of data, the collection process was enriched with the use of organisational and participant observations. The findings of this research revealed ten factors which are perceived to influence the commitment of South African employees within the organisation, namely: Open communication, Leadership, Supervisory support, Opportunities for training and development, Compensation, Job security, Promotional opportunities, Shared values, Recognition and Trust. Certain issues were raised by the participants during the in-depth interviews, most notably the limited opportunities for training, development and promotion, as well as issues regarding the perceived limited compensation received from the organisation. Despite these issues, the general findings relating to the levels of commitment in the organisation were positive for the organisation under study, with the majority of the participants being perceived to demonstrate high levels of affective, normative and continuance commitment.
- Full Text:
- Date Issued: 2014
- Authors: Paterson, Steven James
- Date: 2014
- Subjects: Organizational commitment -- South Africa , Personnel management -- South Africa , Employee motivation -- South Africa , International business enterprises -- South Africa , China -- Foreign economic relations -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1201 , http://hdl.handle.net/10962/d1013094
- Description: Chinese organisations are benefiting from increasing support from the Chinese government to enter into Africa. It is believed that over 2 000 Chinese organisations are operational in Africa, contributing greatly to employment within the continent. Despite the importance of Chinese organisations and their operations in Africa, very little research has been done on individual and organisational issues in Chinese organisations operating in Africa, and more specifically the local employees' organisational commitment to such organisations. The organisational commitment of South African employees within Chinese organisations in South Africa is important as it promotes the success of Chinese business, which may promote further investment into the country, as well as the use of local human resources. The primary aim of this research was therefore to conduct a literature and empirical study into the levels of and factors influencing the organisational commitment of South African employees in a selected Chinese organisation in South Africa. For the purposes of this study, a single case study approach, located within the phenomenological research paradigm, was used. A large multinational Chinese organisation with operations in South Africa agreed to participate in this study. The research made use of a descriptive case study design. To give effect to the primary aim of the study, three research objectives were identified. Firstly, to identify and describe key factors influencing local employee commitment. Secondly, to identify and describe current commitment levels amongst local employees, and lastly, to propose recommendations to improve local employee commitment and its implications for the appropriate management of human resources within the Chinese organisation. Data were collected by means of in-depth, semi-structured interviews with 20 participating employees at four organisational branches across South Africa. Moreover, although the interview transcripts were the primary source of data, the collection process was enriched with the use of organisational and participant observations. The findings of this research revealed ten factors which are perceived to influence the commitment of South African employees within the organisation, namely: Open communication, Leadership, Supervisory support, Opportunities for training and development, Compensation, Job security, Promotional opportunities, Shared values, Recognition and Trust. Certain issues were raised by the participants during the in-depth interviews, most notably the limited opportunities for training, development and promotion, as well as issues regarding the perceived limited compensation received from the organisation. Despite these issues, the general findings relating to the levels of commitment in the organisation were positive for the organisation under study, with the majority of the participants being perceived to demonstrate high levels of affective, normative and continuance commitment.
- Full Text:
- Date Issued: 2014
Platinum share prices and the Marikana tragedy: an event study
- Authors: Sunga, Tapuwa Terence
- Date: 2014
- Subjects: Marikana (Rustenburg, South Africa) , Massacres -- South Africa -- Rustenburg , Stocks -- Prices -- South Africa , Stocks -- Prices -- Mathematical models
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1094 , http://hdl.handle.net/10962/d1013002
- Description: An event study is an economic tool of analysis that has begun to gain popularity in recent empirical literature. It is a technique that gives a researcher the opportunity to map out the reaction of a firm's stock to an event, usually making use of daily or monthly data. However, up to this point, event study methodology has generally been applied to more traditional phenomena capable of affecting equity value, such as dividend and macroeconomic policy announcements, and there have only been a few exceptions to this. This study looks at what impact the tragic shootings at Lonmin mine in Marikana on August 16th 2012 had on the share prices of platinum mining firms based in South Africa using event study methodology. It makes use of the technique to investigate how the share prices responded to the tragedy over a number of trading days, including the day of the shootings. To be best of our knowledge, no attempt has been made to analyse the impact on share prices using events of this nature. For the investigation, daily returns data was used for each firm. The abnormal returns and cumulative abnormal returns to each were then calculated and compared with their respective expected returns in order to determine whether investors in the shares of that particular firm reacted positively, negatively or not at all. The evidence found suggests that tragedies of this nature are capable of influencing share prices in the same manner as more traditional economic phenomena. Overall, only one firm was found to have been negatively affected by the shootings in a persistent manner, while the shares of the other firms examined reacted in a manner that was positive overall, but varied according to individual firm characteristics such as size. These finding conformed to our a priori expectations. In addition, the results also confirm the benefits of applying event study methodology to a wide variety of phenomena that fall outside the boundaries usually associated with business.
- Full Text:
- Date Issued: 2014
- Authors: Sunga, Tapuwa Terence
- Date: 2014
- Subjects: Marikana (Rustenburg, South Africa) , Massacres -- South Africa -- Rustenburg , Stocks -- Prices -- South Africa , Stocks -- Prices -- Mathematical models
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1094 , http://hdl.handle.net/10962/d1013002
- Description: An event study is an economic tool of analysis that has begun to gain popularity in recent empirical literature. It is a technique that gives a researcher the opportunity to map out the reaction of a firm's stock to an event, usually making use of daily or monthly data. However, up to this point, event study methodology has generally been applied to more traditional phenomena capable of affecting equity value, such as dividend and macroeconomic policy announcements, and there have only been a few exceptions to this. This study looks at what impact the tragic shootings at Lonmin mine in Marikana on August 16th 2012 had on the share prices of platinum mining firms based in South Africa using event study methodology. It makes use of the technique to investigate how the share prices responded to the tragedy over a number of trading days, including the day of the shootings. To be best of our knowledge, no attempt has been made to analyse the impact on share prices using events of this nature. For the investigation, daily returns data was used for each firm. The abnormal returns and cumulative abnormal returns to each were then calculated and compared with their respective expected returns in order to determine whether investors in the shares of that particular firm reacted positively, negatively or not at all. The evidence found suggests that tragedies of this nature are capable of influencing share prices in the same manner as more traditional economic phenomena. Overall, only one firm was found to have been negatively affected by the shootings in a persistent manner, while the shares of the other firms examined reacted in a manner that was positive overall, but varied according to individual firm characteristics such as size. These finding conformed to our a priori expectations. In addition, the results also confirm the benefits of applying event study methodology to a wide variety of phenomena that fall outside the boundaries usually associated with business.
- Full Text:
- Date Issued: 2014
Reviewing the definition of the natural resource curse and analysing its occurence post-1990
- Authors: Mwansa, Mumamba Chitumwa
- Date: 2014
- Subjects: Resource curse , Natural resources -- Management , Economic development , National income
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1100 , http://hdl.handle.net/10962/d1013243
- Description: That countries with high natural resource abundance should experience slower economic growth than those with low resource abundance seems contrary to what would be expected, considering the developmental head-start such resources afford. Yet Sachs and Warner (1997) found that economies with a high share of natural resource exports in national income in 1970 tended to experience slower economic growth in the two decades that followed. This finding, that natural resources are a “curse” rather than a blessing, has become generally accepted. This thesis sought to test whether the conclusion drawn from their data – that higher natural resource abundance leads to slower economic growth – is still correct. It sought to test their findings first by correcting for their use of resource intensity (natural resources share of exports) as a proxy for abundance. Using measures of resource abundance for 1995 as a proxy for abundance in previous decades, it was found that higher resource abundance was not associated with lower economic growth in the 1970s and 1980s. This finding is contrary to that of Sachs and Warner (1997, 2001). Secondly, this thesis tested whether the natural resource curse effect was still present for the period 1995–2010. This was done by observing the effect of both resource abundance and resource intensity on economic growth during 1995–2010. In both cases no resource curse effect was found, for this more recent period. The resource curse had disappeared regardless of whether one uses Sachs and Warner’s (1997, 2001) measure of resource intensity or a measure of resource abundance. Natural resources should therefore no longer be considered a “curse”. In explaining the difference for the impact of resource intensity between the 1970-90 period measured by Sachs and Warner (1997, 2001) and the more recent period 1995-2010 it was found that the Dutch Disease effect has decreased significantly since the 1970s and 1980s. This could partly explain why the resource curse has disappeared when measured in terms of resource intensity. Thus it was concluded that the natural resource curse existed in the period 1970-90 only when measured in terms of resource intensity but not when measured relative to resource abundance. The negative effects of natural resources on economic growth have disappeared in terms of both resource intensity and resource abundance in the more recent time period.
- Full Text:
- Date Issued: 2014
- Authors: Mwansa, Mumamba Chitumwa
- Date: 2014
- Subjects: Resource curse , Natural resources -- Management , Economic development , National income
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1100 , http://hdl.handle.net/10962/d1013243
- Description: That countries with high natural resource abundance should experience slower economic growth than those with low resource abundance seems contrary to what would be expected, considering the developmental head-start such resources afford. Yet Sachs and Warner (1997) found that economies with a high share of natural resource exports in national income in 1970 tended to experience slower economic growth in the two decades that followed. This finding, that natural resources are a “curse” rather than a blessing, has become generally accepted. This thesis sought to test whether the conclusion drawn from their data – that higher natural resource abundance leads to slower economic growth – is still correct. It sought to test their findings first by correcting for their use of resource intensity (natural resources share of exports) as a proxy for abundance. Using measures of resource abundance for 1995 as a proxy for abundance in previous decades, it was found that higher resource abundance was not associated with lower economic growth in the 1970s and 1980s. This finding is contrary to that of Sachs and Warner (1997, 2001). Secondly, this thesis tested whether the natural resource curse effect was still present for the period 1995–2010. This was done by observing the effect of both resource abundance and resource intensity on economic growth during 1995–2010. In both cases no resource curse effect was found, for this more recent period. The resource curse had disappeared regardless of whether one uses Sachs and Warner’s (1997, 2001) measure of resource intensity or a measure of resource abundance. Natural resources should therefore no longer be considered a “curse”. In explaining the difference for the impact of resource intensity between the 1970-90 period measured by Sachs and Warner (1997, 2001) and the more recent period 1995-2010 it was found that the Dutch Disease effect has decreased significantly since the 1970s and 1980s. This could partly explain why the resource curse has disappeared when measured in terms of resource intensity. Thus it was concluded that the natural resource curse existed in the period 1970-90 only when measured in terms of resource intensity but not when measured relative to resource abundance. The negative effects of natural resources on economic growth have disappeared in terms of both resource intensity and resource abundance in the more recent time period.
- Full Text:
- Date Issued: 2014
Saving and investment in South Africa: a causality study
- Authors: Mngqibisa, Vuyisa
- Date: 2014
- Subjects: Saving and investment -- South Africa Investments -- South Africa Credit -- South Africa Finance, Personal -- South Africa Portfolio management -- South Africa Investment analysis -- South Africa Error analysis (Mathematics)
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1086 , http://hdl.handle.net/10962/d1011887
- Description: This study aims to investigate the relationship between private saving and investment for South Africa using a Vector Error Correction Framework. Saving and investment are considered to be important factors for sustainable economic growth in the country, particularly as these variables have been recorded at significantly lower levels than those of other developing nations. By examining the direction of causality between saving and investment, the most suitable policy measures can be used in stimulating either savings or investment, and as a result aggregate growth. The study found a positive two-way causality to exist between these two variables, proving that both saving and investment-led policies are necessary in raising saving and investment levels. With the inclusion of credit extension as the third variable used to remove any variable bias, the study not only found credit extension to Granger cause private saving, but the reverse relationship was found to be present as well. This relationship was however found to be negative, confirming that lower borrowing constraints may have a negative effect on saving levels. The negative relationship between credit supply and private saving (substitution effect) proves that credit supply will only yield a positive result for savings if channelled through investment expenditure.
- Full Text:
- Date Issued: 2014
- Authors: Mngqibisa, Vuyisa
- Date: 2014
- Subjects: Saving and investment -- South Africa Investments -- South Africa Credit -- South Africa Finance, Personal -- South Africa Portfolio management -- South Africa Investment analysis -- South Africa Error analysis (Mathematics)
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1086 , http://hdl.handle.net/10962/d1011887
- Description: This study aims to investigate the relationship between private saving and investment for South Africa using a Vector Error Correction Framework. Saving and investment are considered to be important factors for sustainable economic growth in the country, particularly as these variables have been recorded at significantly lower levels than those of other developing nations. By examining the direction of causality between saving and investment, the most suitable policy measures can be used in stimulating either savings or investment, and as a result aggregate growth. The study found a positive two-way causality to exist between these two variables, proving that both saving and investment-led policies are necessary in raising saving and investment levels. With the inclusion of credit extension as the third variable used to remove any variable bias, the study not only found credit extension to Granger cause private saving, but the reverse relationship was found to be present as well. This relationship was however found to be negative, confirming that lower borrowing constraints may have a negative effect on saving levels. The negative relationship between credit supply and private saving (substitution effect) proves that credit supply will only yield a positive result for savings if channelled through investment expenditure.
- Full Text:
- Date Issued: 2014
The developmental state, social policy and social compacts: a comparative policy analysis of the South African case
- Authors: Gwaindepi, Abel
- Date: 2014
- Subjects: Economic development -- Political aspects -- South Africa , Income distribution -- South Africa , Democracy -- South Africa , Industrial policy -- Developing countries , South Africa -- Economic conditions , South Africa -- Social conditions
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1101 , http://hdl.handle.net/10962/d1013278
- Description: The history of economic thought is ‘flooded’ with neo-classical accounts despite the fact that neoclassical economics did not occupy history alone. This has caused the discourses on ‘lost alternatives’ to be relegated as the deterministic ‘straight line’ neo-classical historical discourses are elevated. Globally hegemonic neo-classical discourse aided this phenomenon as it served to subordinate any counterhegemonic local discursive processes towards alternatives. This study is premised on the theme of non-neoclassical ‘lost alternatives’ using the post-apartheid South Africa as a case study. Emerging from the apartheid regime, the impetus towards non-neoclassical redistributive policies was strong in South Africa but this did not gain traction as the ANC’s ‘growth through redistribution’ was replaced by globally hegemonic discourse which favoured ‘redistribution through growth’. This thesis postulates the idea of two waves of ‘internal’ discursive formations; capturing the transition to democracy up to 1996 as the first wave and the period from 2005 to about 2009 as the second wave. The developmental state paradigm (DSP) emerged as the central heterodox paradigm with ideas such as industrial policy, welfare, and social dialogue/compacts being main elements. The DSP was expressly chosen in the early 1990s, the first period of strong internal discursive formation, but faded as neo-classical policies, epitomised through GEAR, dominated the policy space. The DSP discourse gained vitality in the second wave of internal discursive formation (2005-2009) and it was associated with the subsequent Zuma’s administration. The study illustrates that the DSP has failed to be fully developed into a practical framework but remained only at rhetorical level with the phrase ‘developmental state’ inserted into government policy documents and documents of ANC as a ruling party. The thesis further illustrates that the DSP fared well ideologically because of its inclination to the ideology of ‘developmentalism’ tended to trump any socialist inclined policies such as a generous welfare regime. The thesis rebuts the notion of the DSP in South Africa which has only been amorphously developed with the phrase ‘developmental state’ becoming a mere buzzword. The thesis argues that the DSP in the 21st century is much more complex and the growing ‘tertiarisation’ of the economy makes the Social Democratic Paradigm SDP’s capability centric approach much more relevant for South Africa. The study goes further to argue that a (SDP) is much more suitable alternative for addressing South African colonial/apartheid legacies and consolidation of democracy.
- Full Text:
- Date Issued: 2014
- Authors: Gwaindepi, Abel
- Date: 2014
- Subjects: Economic development -- Political aspects -- South Africa , Income distribution -- South Africa , Democracy -- South Africa , Industrial policy -- Developing countries , South Africa -- Economic conditions , South Africa -- Social conditions
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1101 , http://hdl.handle.net/10962/d1013278
- Description: The history of economic thought is ‘flooded’ with neo-classical accounts despite the fact that neoclassical economics did not occupy history alone. This has caused the discourses on ‘lost alternatives’ to be relegated as the deterministic ‘straight line’ neo-classical historical discourses are elevated. Globally hegemonic neo-classical discourse aided this phenomenon as it served to subordinate any counterhegemonic local discursive processes towards alternatives. This study is premised on the theme of non-neoclassical ‘lost alternatives’ using the post-apartheid South Africa as a case study. Emerging from the apartheid regime, the impetus towards non-neoclassical redistributive policies was strong in South Africa but this did not gain traction as the ANC’s ‘growth through redistribution’ was replaced by globally hegemonic discourse which favoured ‘redistribution through growth’. This thesis postulates the idea of two waves of ‘internal’ discursive formations; capturing the transition to democracy up to 1996 as the first wave and the period from 2005 to about 2009 as the second wave. The developmental state paradigm (DSP) emerged as the central heterodox paradigm with ideas such as industrial policy, welfare, and social dialogue/compacts being main elements. The DSP was expressly chosen in the early 1990s, the first period of strong internal discursive formation, but faded as neo-classical policies, epitomised through GEAR, dominated the policy space. The DSP discourse gained vitality in the second wave of internal discursive formation (2005-2009) and it was associated with the subsequent Zuma’s administration. The study illustrates that the DSP has failed to be fully developed into a practical framework but remained only at rhetorical level with the phrase ‘developmental state’ inserted into government policy documents and documents of ANC as a ruling party. The thesis further illustrates that the DSP fared well ideologically because of its inclination to the ideology of ‘developmentalism’ tended to trump any socialist inclined policies such as a generous welfare regime. The thesis rebuts the notion of the DSP in South Africa which has only been amorphously developed with the phrase ‘developmental state’ becoming a mere buzzword. The thesis argues that the DSP in the 21st century is much more complex and the growing ‘tertiarisation’ of the economy makes the Social Democratic Paradigm SDP’s capability centric approach much more relevant for South Africa. The study goes further to argue that a (SDP) is much more suitable alternative for addressing South African colonial/apartheid legacies and consolidation of democracy.
- Full Text:
- Date Issued: 2014
The income tax consequences of the in-house development of software
- Authors: Hodge, Dominic Shaughn
- Date: 2014
- Subjects: Computer software -- Accounting , Income tax -- Data processing , Research and development projects , Income tax -- Law and legislation -- South Africa , Computer software -- Development -- South Africa , Computer software -- Law and legislation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:910 , http://hdl.handle.net/10962/d1013550
- Description: The objective of this thesis was to explore the nature of expenditure incurred on the internal development of software and its treatment in terms of the accounting and taxation frameworks to which it is subject. In fulfilling the primary objective the thesis had a number of subsidiary considerations. These included, firstly, a brief analysis of the approach of the software industry in South Africa to the taxation treatment of this type of software. The second consideration was a discussion and analysis of the taxation framework which differentiates between capital and revenue and the extent to which the receipts produced by internally developed software may be informative of the nature of the expenditure. The third was an analysis of the deductibility of expenditure incurred in the production of software with the fourth analysing the tests employed in the determination of whether expenditure is capital or revenue in nature. The fifth objective was to briefly analyse the accounting standards which find application in the determination of whether or not the software created can be considered a capital asset. The final subsidiary objective of the thesis was an analysis of the taxation framework applicable to software in respect of research and development incentives, as well as the position in the United States of America. Throughout the thesis the most apparent commonality is that there exists a significant level of uncertainty as to the taxation treatment of software both in South Africa and in America. The research concludes by stating that such uncertainty is prejudicial to the interests of research and development in relation to software.
- Full Text:
- Date Issued: 2014
- Authors: Hodge, Dominic Shaughn
- Date: 2014
- Subjects: Computer software -- Accounting , Income tax -- Data processing , Research and development projects , Income tax -- Law and legislation -- South Africa , Computer software -- Development -- South Africa , Computer software -- Law and legislation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:910 , http://hdl.handle.net/10962/d1013550
- Description: The objective of this thesis was to explore the nature of expenditure incurred on the internal development of software and its treatment in terms of the accounting and taxation frameworks to which it is subject. In fulfilling the primary objective the thesis had a number of subsidiary considerations. These included, firstly, a brief analysis of the approach of the software industry in South Africa to the taxation treatment of this type of software. The second consideration was a discussion and analysis of the taxation framework which differentiates between capital and revenue and the extent to which the receipts produced by internally developed software may be informative of the nature of the expenditure. The third was an analysis of the deductibility of expenditure incurred in the production of software with the fourth analysing the tests employed in the determination of whether expenditure is capital or revenue in nature. The fifth objective was to briefly analyse the accounting standards which find application in the determination of whether or not the software created can be considered a capital asset. The final subsidiary objective of the thesis was an analysis of the taxation framework applicable to software in respect of research and development incentives, as well as the position in the United States of America. Throughout the thesis the most apparent commonality is that there exists a significant level of uncertainty as to the taxation treatment of software both in South Africa and in America. The research concludes by stating that such uncertainty is prejudicial to the interests of research and development in relation to software.
- Full Text:
- Date Issued: 2014
The leadership competencies subordinates value : an exploratory study across gender and national culture
- Authors: Gondongwe, Sharon
- Date: 2014
- Subjects: Leadership , Organizational behavior , Organizational behavior -- Cross-cultural studies , Organizational behavior -- Sex differences
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1203 , http://hdl.handle.net/10962/d1015673
- Description: The effectiveness of leadership is largely dependent on whether the leadership competencies exhibited by leaders are congruent with the value system endorsed by subordinates. One of the ways in which leaders can influence subordinates is by understanding the leadership competencies valued by subordinates. Gender and national culture are two of the many factors that have an influence on the leadership competencies valued by subordinates. A large amount of research has been conducted to determine if, indeed, gender and national culture influence the leadership competencies subordinates' value. However, most of this research has been conducted in Europe and North America, places in which national cultures differ significantly from those prevailing in African countries. This study, from a South African and Zimbabwean perspective, attempted to ascertain if gender and national culture influence the leadership competencies they value in their leaders. Existing studies have indicated that gender and national culture do not influence the leadership competencies valued in a leader. The findings of this study are in accordance with previous research and agree that gender and national culture do not influence the leadership competencies valued in a leader. The results of this study indicated that male and female subordinates value similar leadership competencies. With respect to national culture, both South African and Zimbabwean subordinates value similar leadership competencies. Based on the findings of this study, regardless of gender and national culture, all subordinates value a leader who is loyal, visionary, openly embodies integrity, and is a leader who empowers subordinates.
- Full Text:
- Date Issued: 2014
- Authors: Gondongwe, Sharon
- Date: 2014
- Subjects: Leadership , Organizational behavior , Organizational behavior -- Cross-cultural studies , Organizational behavior -- Sex differences
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1203 , http://hdl.handle.net/10962/d1015673
- Description: The effectiveness of leadership is largely dependent on whether the leadership competencies exhibited by leaders are congruent with the value system endorsed by subordinates. One of the ways in which leaders can influence subordinates is by understanding the leadership competencies valued by subordinates. Gender and national culture are two of the many factors that have an influence on the leadership competencies valued by subordinates. A large amount of research has been conducted to determine if, indeed, gender and national culture influence the leadership competencies subordinates' value. However, most of this research has been conducted in Europe and North America, places in which national cultures differ significantly from those prevailing in African countries. This study, from a South African and Zimbabwean perspective, attempted to ascertain if gender and national culture influence the leadership competencies they value in their leaders. Existing studies have indicated that gender and national culture do not influence the leadership competencies valued in a leader. The findings of this study are in accordance with previous research and agree that gender and national culture do not influence the leadership competencies valued in a leader. The results of this study indicated that male and female subordinates value similar leadership competencies. With respect to national culture, both South African and Zimbabwean subordinates value similar leadership competencies. Based on the findings of this study, regardless of gender and national culture, all subordinates value a leader who is loyal, visionary, openly embodies integrity, and is a leader who empowers subordinates.
- Full Text:
- Date Issued: 2014
The presumption of gult created by Section 235(2) of the Tax Administration Act: a constitutional and comparative perspective
- Authors: Faifi, Farai
- Date: 2014
- Subjects: Guilt (Law) -- South Africa , Presumption of innocence -- South Africa , Income tax -- Law and legislation -- South Africa , Human rights -- Taxation -- South Africa , Taxpayer compliance -- Moral and ethical aspects -- South Africa , Taxation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:907 , http://hdl.handle.net/10962/d1012979
- Description: This research examined the legal nature of the presumption of guilt created by section 235(2) of the South African Tax Admiration Act and considered whether or not its practical application violates the taxpayer’s fundamental right contained in section 35(3) of the Constitution, which gives every accused taxpayer the right to a fair trial, including the right to be presumed innocent. The research also provided clarity on the constitutionality of this presumption because it has been widely criticised for unjustifiably violating the taxpayer's constitutional right to a fair trial. The conclusion reached is that the presumption created by section 235(2) of the Tax Administration Act constitutes an evidentiary burden rather than a reverse onus. It does not create the possibility of conviction, unlike a reverse onus where conviction is possible, despite the existence of a reasonable doubt. Therefore, it does not violate the accused taxpayer’s the right to a fair trial and the right to be presumed innocent and hence it is constitutional. Accordingly, the chances that the accused taxpayer will succeed in challenging the constitutionality of section 235(2) of the Act are slim.
- Full Text:
- Date Issued: 2014
- Authors: Faifi, Farai
- Date: 2014
- Subjects: Guilt (Law) -- South Africa , Presumption of innocence -- South Africa , Income tax -- Law and legislation -- South Africa , Human rights -- Taxation -- South Africa , Taxpayer compliance -- Moral and ethical aspects -- South Africa , Taxation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:907 , http://hdl.handle.net/10962/d1012979
- Description: This research examined the legal nature of the presumption of guilt created by section 235(2) of the South African Tax Admiration Act and considered whether or not its practical application violates the taxpayer’s fundamental right contained in section 35(3) of the Constitution, which gives every accused taxpayer the right to a fair trial, including the right to be presumed innocent. The research also provided clarity on the constitutionality of this presumption because it has been widely criticised for unjustifiably violating the taxpayer's constitutional right to a fair trial. The conclusion reached is that the presumption created by section 235(2) of the Tax Administration Act constitutes an evidentiary burden rather than a reverse onus. It does not create the possibility of conviction, unlike a reverse onus where conviction is possible, despite the existence of a reasonable doubt. Therefore, it does not violate the accused taxpayer’s the right to a fair trial and the right to be presumed innocent and hence it is constitutional. Accordingly, the chances that the accused taxpayer will succeed in challenging the constitutionality of section 235(2) of the Act are slim.
- Full Text:
- Date Issued: 2014
The relationship between service quality, customer satisfaction and customer loyalty in the retail supermarket industry
- Authors: Ndhlovu, Thinkwell
- Date: 2014
- Subjects: Consumer satisfaction , Customer loyalty , Customer services -- Rating of , Customer services -- Quality control , Relationship marketing , Supermarkets -- South Africa -- Grahamstown
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1202 , http://hdl.handle.net/10962/d1013221
- Description: The increasingly competitive business environment has influenced contemporary organisations to build mutual beneficial relationships with their customers indicating a paradigm shift from transactional marketing. In order to compete in this intense competitive environment, organisations are creating competitive advantage over their rivals through service quality that will influence customer satisfaction which subsequently leads to customer loyalty. Service quality has been found to be the key strategy of success and survival for most organisations like retail supermarkets who want to win the loyalty of their customers because of its positive effect on customer satisfaction. The purpose of this research was to determine the relationship between service quality, customer satisfaction and customer loyalty in the retail supermarket industry. An empirical study was conducted in Grahamstown between two main supermarkets through a survey that determined customers’ perceptions on service quality, customer satisfaction and customer loyalty respectively. The empirical findings of this research study revealed that moderate to strong positive linear relationships exists between the dimensions of service quality (namely physical aspects, reliability, personal interaction, problem solving and policy) and customer satisfaction at the 5% level of significance. Furthermore, this study showed that dimensions of service quality (namely physical aspects, reliability, personal interaction and problem solving) have weak negative linear relationships with price sensitivity dimension of customer loyalty. The study further showed that the dimensions of service quality (namely physical aspects, reliability, personal interaction, problem solving and policy) have weak to moderate positive linear relationships with the purchase intentions dimension of customer loyalty. In addition, all the dimensions of service quality (namely physical aspects, reliability, personal interaction, problem solving and policy) showed moderate positive linear relationships with word of mouth communication dimension of customer loyalty. A weak negative linear relationship between price sensitivity dimension of customer loyalty and customer satisfaction was revealed in this study. Purchase intentions dimension of customer loyalty was also found to have a moderate positive linear relationship with customer satisfaction. In addition, word of mouth communication dimension of customer loyalty showed a strong positive linear relationship with customer satisfaction. There is sufficient evidence that the customers of the two supermarkets in this study have different perceptions on problem solving dimension of service quality. This study further provides sufficient evidence of the significant difference between gender on the levels of customer satisfaction. In addition, this study showed that customers of various levels of education and occupations differ in price sensitivity dimension of customer loyalty. The average scores for word of mouth communication, purchase intentions and price sensitivity dimensions of customer loyalty were found to be significantly different between the two supermarkets investigated in this study. Therefore, for supermarkets to compete effectively in the intense retail supermarket industry in South Africa they have to manage their service quality dimensions so as to influence customer satisfaction and customer loyalty respectively.
- Full Text:
- Date Issued: 2014
- Authors: Ndhlovu, Thinkwell
- Date: 2014
- Subjects: Consumer satisfaction , Customer loyalty , Customer services -- Rating of , Customer services -- Quality control , Relationship marketing , Supermarkets -- South Africa -- Grahamstown
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1202 , http://hdl.handle.net/10962/d1013221
- Description: The increasingly competitive business environment has influenced contemporary organisations to build mutual beneficial relationships with their customers indicating a paradigm shift from transactional marketing. In order to compete in this intense competitive environment, organisations are creating competitive advantage over their rivals through service quality that will influence customer satisfaction which subsequently leads to customer loyalty. Service quality has been found to be the key strategy of success and survival for most organisations like retail supermarkets who want to win the loyalty of their customers because of its positive effect on customer satisfaction. The purpose of this research was to determine the relationship between service quality, customer satisfaction and customer loyalty in the retail supermarket industry. An empirical study was conducted in Grahamstown between two main supermarkets through a survey that determined customers’ perceptions on service quality, customer satisfaction and customer loyalty respectively. The empirical findings of this research study revealed that moderate to strong positive linear relationships exists between the dimensions of service quality (namely physical aspects, reliability, personal interaction, problem solving and policy) and customer satisfaction at the 5% level of significance. Furthermore, this study showed that dimensions of service quality (namely physical aspects, reliability, personal interaction and problem solving) have weak negative linear relationships with price sensitivity dimension of customer loyalty. The study further showed that the dimensions of service quality (namely physical aspects, reliability, personal interaction, problem solving and policy) have weak to moderate positive linear relationships with the purchase intentions dimension of customer loyalty. In addition, all the dimensions of service quality (namely physical aspects, reliability, personal interaction, problem solving and policy) showed moderate positive linear relationships with word of mouth communication dimension of customer loyalty. A weak negative linear relationship between price sensitivity dimension of customer loyalty and customer satisfaction was revealed in this study. Purchase intentions dimension of customer loyalty was also found to have a moderate positive linear relationship with customer satisfaction. In addition, word of mouth communication dimension of customer loyalty showed a strong positive linear relationship with customer satisfaction. There is sufficient evidence that the customers of the two supermarkets in this study have different perceptions on problem solving dimension of service quality. This study further provides sufficient evidence of the significant difference between gender on the levels of customer satisfaction. In addition, this study showed that customers of various levels of education and occupations differ in price sensitivity dimension of customer loyalty. The average scores for word of mouth communication, purchase intentions and price sensitivity dimensions of customer loyalty were found to be significantly different between the two supermarkets investigated in this study. Therefore, for supermarkets to compete effectively in the intense retail supermarket industry in South Africa they have to manage their service quality dimensions so as to influence customer satisfaction and customer loyalty respectively.
- Full Text:
- Date Issued: 2014
Toward a culture of engagement: leveraging the enterprise social network
- Authors: Alistoun, Garth
- Date: 2014
- Subjects: Communication in organizations -- South Africa Business communication -- South Africa Social media -- South Africa -- Case studies Leadership -- South Africa -- Case studies Human capital -- Management Personnel management Organizational effectiveness
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1154 , http://hdl.handle.net/10962/d1010869
- Description: This research aims to provide a theory of enterprise social networking that generates and/or sustains a culture of employee engagement within a chosen South African private sector company. Based on an extensive review of interesting literature and the application of a grounded theory process in a chosen case, this research work provides a theory of enterprise social networking sustaining and growing employee engagement together with an explanatory theoretical framework that makes the theory more practical. Employee engagement is defined as “the harnessing of organisation member’s selves to their work roles; in engagement people employ and express themselves physically, cognitively, and emotionally during role performances.” This research regards employee engagement as a three part concept composed of a trait (personality/cognitive) aspect, a state (emotional) aspect, and a behavioural aspect. Research has shown that employee engagement has an unequivocal positive impact on business outcomes, such as profitability, business performance, employee retention and productivity. Employee engagement can be regarded as a culture if it is abundant within the organization’s employee population. Gatenby et al. (2009) propose that employee engagement is fostered by creating the desire and opportunity for employees to connect with colleagues, managers and the wider organisation. This standpoint is supported by Kular et al. (2008) who state that the “key drivers of employee engagement identified include communication, opportunities for employees to feed their views upward and thinking that their managers are committed to the organisation.” Further indicators of employee engagement include strong leadership (particularly in the form of servant leadership), accountability, a positive and open organisational culture, autonomy, and opportunities for development. One of the key facets of employee engagement is connection. A complementary definition of social media, an umbrella under which enterprise social networks fall, is that “(it) is more of a relationship channel, a connection channel. Each and every tweet, update, video, post, is a connection point to another human being. And it’s the other human being who will determine your worth to them.” Social media provides participants with access to a larger pool of resources and relationships than they would normally have access to. This enlarged relationship/resource pool is a result of expanding human and social capital enabled through social media tools. In order to produce a theory of enterprise social networking sustaining and growing a culture of employee engagement a rigorous grounded theory methodology coupled with a case study methodology was applied. The case study methodology was used to identify a suitable research site and interesting participants within the site while the grounded theory process was used to produce both qualitative and quantitative data sets in a suitability rigorous fashion. The corroborative data was then used to discover and define the emergent theory.
- Full Text:
- Date Issued: 2014
- Authors: Alistoun, Garth
- Date: 2014
- Subjects: Communication in organizations -- South Africa Business communication -- South Africa Social media -- South Africa -- Case studies Leadership -- South Africa -- Case studies Human capital -- Management Personnel management Organizational effectiveness
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1154 , http://hdl.handle.net/10962/d1010869
- Description: This research aims to provide a theory of enterprise social networking that generates and/or sustains a culture of employee engagement within a chosen South African private sector company. Based on an extensive review of interesting literature and the application of a grounded theory process in a chosen case, this research work provides a theory of enterprise social networking sustaining and growing employee engagement together with an explanatory theoretical framework that makes the theory more practical. Employee engagement is defined as “the harnessing of organisation member’s selves to their work roles; in engagement people employ and express themselves physically, cognitively, and emotionally during role performances.” This research regards employee engagement as a three part concept composed of a trait (personality/cognitive) aspect, a state (emotional) aspect, and a behavioural aspect. Research has shown that employee engagement has an unequivocal positive impact on business outcomes, such as profitability, business performance, employee retention and productivity. Employee engagement can be regarded as a culture if it is abundant within the organization’s employee population. Gatenby et al. (2009) propose that employee engagement is fostered by creating the desire and opportunity for employees to connect with colleagues, managers and the wider organisation. This standpoint is supported by Kular et al. (2008) who state that the “key drivers of employee engagement identified include communication, opportunities for employees to feed their views upward and thinking that their managers are committed to the organisation.” Further indicators of employee engagement include strong leadership (particularly in the form of servant leadership), accountability, a positive and open organisational culture, autonomy, and opportunities for development. One of the key facets of employee engagement is connection. A complementary definition of social media, an umbrella under which enterprise social networks fall, is that “(it) is more of a relationship channel, a connection channel. Each and every tweet, update, video, post, is a connection point to another human being. And it’s the other human being who will determine your worth to them.” Social media provides participants with access to a larger pool of resources and relationships than they would normally have access to. This enlarged relationship/resource pool is a result of expanding human and social capital enabled through social media tools. In order to produce a theory of enterprise social networking sustaining and growing a culture of employee engagement a rigorous grounded theory methodology coupled with a case study methodology was applied. The case study methodology was used to identify a suitable research site and interesting participants within the site while the grounded theory process was used to produce both qualitative and quantitative data sets in a suitability rigorous fashion. The corroborative data was then used to discover and define the emergent theory.
- Full Text:
- Date Issued: 2014
Towards the feasibility of a landowner enterprise in the western Baviaanskloof : an external stakeholder analysis
- Authors: Wiles, Kira Leigh Deborah
- Date: 2014
- Subjects: Landowners -- South Africa -- Eastern Cape , Natural resources -- Co-management -- South Africa -- Eastern Cape , Land use -- Environmental aspects -- South Africa -- Eastern Cape , Land use -- Economic aspects -- South Africa -- Eastern Cape , Partnership -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1198 , http://hdl.handle.net/10962/d1012075 , Landowners -- South Africa -- Eastern Cape , Natural resources -- Co-management -- South Africa -- Eastern Cape , Land use -- Environmental aspects -- South Africa -- Eastern Cape , Land use -- Economic aspects -- South Africa -- Eastern Cape , Partnership -- South Africa -- Eastern Cape
- Description: In May 2012, a meeting was held between various stakeholder representatives of the Western Baviaanskloof to discuss the concept of a proposed landowner-enterprise. This concept was put forward in response to a need for collaboration in the midst of economic, environmental and social issues at play in the Baviaanskloof. Owing to the conservation value and rapidly decreasing economic output of the land, a radical shift to sustainable land-use practices was called for by various stakeholders. Suggested as a vehicle to generate income for the local landowners through alternative sustainable land-uses, the proposed enterprise may aid in addressing this shift by use of a bottom-up approach. During the stakeholder meeting, it was requested by the representative landowners that a feasibility assessment be conducted on the concept of the proposed enterprise prior to establishment. As an integral part of this assessment, the researcher took on the task of investigating stakeholder reception to the enterprise by means of a stakeholder analysis. It was decided to limit this to three markets: water, carbon and tourism. The purpose of this research study is twofold, namely to: investigate stakeholder influence and their reception of the proposed enterprise using a stakeholder analysis; and also to identify and advise on the opportunities and constraints relating to stakeholders, thus contributing to determining the feasibility of the proposed enterprise. In achieving the purpose of this study, a systematic stakeholder analysis framework was constructed, based on existing theory. This was necessary because, although stakeholder analysis is commonly practiced, no study was found to provide a theoretically based framework for the purpose of feasibility in the initial stages of enterprise establishment. Thus the contribution of the study is also twofold, namely the practical outcome of determining stakeholder reception for feasibility, and a secondary outcome of constructing a stakeholder analysis framework. The stakeholder analysis framework is based on an interpretation of existing stakeholder theory, with the addition of four "relational indicators" – goals, intentions, relationships, and resources. These four indicators provide a link between theory and practice in gauging the two attributes of stakeholder influence – power and interest. Dealing with a number of stakeholder interests in a unique context, the study takes on a single network case study approach in the paradigm of phenomenology. To suit the complex nature of the study, semi-structured interviews with various stakeholder representatives were conducted, using groups or organisations as units of analysis. Drawing from the stakeholder analysis framework and overall purpose of the study, four research objectives were set. The first was to identify the proposed enterprise's legitimate key external stakeholders, based on the three markets: water, carbon and tourism; the second to describe, categorise and assess relative dyadic influence of the above stakeholders by gauging their power and interest; the third, to determine the stakeholder network influence and probable reception of the proposed enterprise; and the last to advise the landowners on any identified opportunities or constraints stakeholders might pose, and thus to contribute to determining feasibility. In addressing the first objective, 21 stakeholders were identified, 12 of whom were found to be key to the current investigation. These key stakeholders were: Gamtoos Irrigation Board (GIB), LivingLands, R3G, Rhodes Restoration Group, Eastern Cape Parks and Tourism Agency (ECPTA), Department of Water Affairs (DWA), Nelson Mandela Bay Metropolitan (NMBM), Saaimanshoek, South African National Biodiversity Institute (SANBI), Department of Economic Development, Environmental Affairs and Tourism (DEDEAT), Baviaans Tourism, and Baviaans Municipality. In applying the stakeholder analysis framework, ECPTA was categorised as the definitive (most influential) stakeholder to the enterprise, and DEDEAT, SANBI (through Working for Wetlands), Baviaans Tourism, GIB, and NMBM were categorised as pivotal (influential and active). In discerning stakeholder interest in the proposed enterprise, a number of emerging themes were found to affect the projected interest and behaviour of stakeholders, apart from their specified goals. Emerging themes included: tunnel visioning, internal disparity, individual/personality clashes, and misaligned interests. In addition to this, in interpreting stakeholder interest, specific intentions or agendas that might affect the interest shown towards the proposed enterprise were also taken into account. Five predominant intentions of stakeholders were identified as: implementing a stewardship programme, establishing a tourism association, establishing a water users' association, social development, and "the big vision". Findings on the final objective revealed a number of perceived opportunities and constraints relative to the feasibility of the enterprise. Three prime opportunities were identified as: partnerships with definitive and pivotal stakeholders, the possibility of tendering for implementer of the "Working for" programmes, and taking on the role of Tourism Association. The following potential constraints were also emphasised by participants: social aspects such as individuals and personalities, the incompatibility or non-existence of local market structures, and the need for external funding. With regard to stakeholder reception, most of the stakeholders, with the exception of NMBM and Saaimanshoek, responded positively to the idea of the enterprise. Overall, based on participant perceptions, the tourism market was found to be the most feasible the carbon market uncertain and a long-term possibility, and the water market the least feasible.
- Full Text:
- Date Issued: 2014
- Authors: Wiles, Kira Leigh Deborah
- Date: 2014
- Subjects: Landowners -- South Africa -- Eastern Cape , Natural resources -- Co-management -- South Africa -- Eastern Cape , Land use -- Environmental aspects -- South Africa -- Eastern Cape , Land use -- Economic aspects -- South Africa -- Eastern Cape , Partnership -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1198 , http://hdl.handle.net/10962/d1012075 , Landowners -- South Africa -- Eastern Cape , Natural resources -- Co-management -- South Africa -- Eastern Cape , Land use -- Environmental aspects -- South Africa -- Eastern Cape , Land use -- Economic aspects -- South Africa -- Eastern Cape , Partnership -- South Africa -- Eastern Cape
- Description: In May 2012, a meeting was held between various stakeholder representatives of the Western Baviaanskloof to discuss the concept of a proposed landowner-enterprise. This concept was put forward in response to a need for collaboration in the midst of economic, environmental and social issues at play in the Baviaanskloof. Owing to the conservation value and rapidly decreasing economic output of the land, a radical shift to sustainable land-use practices was called for by various stakeholders. Suggested as a vehicle to generate income for the local landowners through alternative sustainable land-uses, the proposed enterprise may aid in addressing this shift by use of a bottom-up approach. During the stakeholder meeting, it was requested by the representative landowners that a feasibility assessment be conducted on the concept of the proposed enterprise prior to establishment. As an integral part of this assessment, the researcher took on the task of investigating stakeholder reception to the enterprise by means of a stakeholder analysis. It was decided to limit this to three markets: water, carbon and tourism. The purpose of this research study is twofold, namely to: investigate stakeholder influence and their reception of the proposed enterprise using a stakeholder analysis; and also to identify and advise on the opportunities and constraints relating to stakeholders, thus contributing to determining the feasibility of the proposed enterprise. In achieving the purpose of this study, a systematic stakeholder analysis framework was constructed, based on existing theory. This was necessary because, although stakeholder analysis is commonly practiced, no study was found to provide a theoretically based framework for the purpose of feasibility in the initial stages of enterprise establishment. Thus the contribution of the study is also twofold, namely the practical outcome of determining stakeholder reception for feasibility, and a secondary outcome of constructing a stakeholder analysis framework. The stakeholder analysis framework is based on an interpretation of existing stakeholder theory, with the addition of four "relational indicators" – goals, intentions, relationships, and resources. These four indicators provide a link between theory and practice in gauging the two attributes of stakeholder influence – power and interest. Dealing with a number of stakeholder interests in a unique context, the study takes on a single network case study approach in the paradigm of phenomenology. To suit the complex nature of the study, semi-structured interviews with various stakeholder representatives were conducted, using groups or organisations as units of analysis. Drawing from the stakeholder analysis framework and overall purpose of the study, four research objectives were set. The first was to identify the proposed enterprise's legitimate key external stakeholders, based on the three markets: water, carbon and tourism; the second to describe, categorise and assess relative dyadic influence of the above stakeholders by gauging their power and interest; the third, to determine the stakeholder network influence and probable reception of the proposed enterprise; and the last to advise the landowners on any identified opportunities or constraints stakeholders might pose, and thus to contribute to determining feasibility. In addressing the first objective, 21 stakeholders were identified, 12 of whom were found to be key to the current investigation. These key stakeholders were: Gamtoos Irrigation Board (GIB), LivingLands, R3G, Rhodes Restoration Group, Eastern Cape Parks and Tourism Agency (ECPTA), Department of Water Affairs (DWA), Nelson Mandela Bay Metropolitan (NMBM), Saaimanshoek, South African National Biodiversity Institute (SANBI), Department of Economic Development, Environmental Affairs and Tourism (DEDEAT), Baviaans Tourism, and Baviaans Municipality. In applying the stakeholder analysis framework, ECPTA was categorised as the definitive (most influential) stakeholder to the enterprise, and DEDEAT, SANBI (through Working for Wetlands), Baviaans Tourism, GIB, and NMBM were categorised as pivotal (influential and active). In discerning stakeholder interest in the proposed enterprise, a number of emerging themes were found to affect the projected interest and behaviour of stakeholders, apart from their specified goals. Emerging themes included: tunnel visioning, internal disparity, individual/personality clashes, and misaligned interests. In addition to this, in interpreting stakeholder interest, specific intentions or agendas that might affect the interest shown towards the proposed enterprise were also taken into account. Five predominant intentions of stakeholders were identified as: implementing a stewardship programme, establishing a tourism association, establishing a water users' association, social development, and "the big vision". Findings on the final objective revealed a number of perceived opportunities and constraints relative to the feasibility of the enterprise. Three prime opportunities were identified as: partnerships with definitive and pivotal stakeholders, the possibility of tendering for implementer of the "Working for" programmes, and taking on the role of Tourism Association. The following potential constraints were also emphasised by participants: social aspects such as individuals and personalities, the incompatibility or non-existence of local market structures, and the need for external funding. With regard to stakeholder reception, most of the stakeholders, with the exception of NMBM and Saaimanshoek, responded positively to the idea of the enterprise. Overall, based on participant perceptions, the tourism market was found to be the most feasible the carbon market uncertain and a long-term possibility, and the water market the least feasible.
- Full Text:
- Date Issued: 2014
Valuation of banks in emerging markets: an exploratory study
- Authors: Sabilika, Keith
- Date: 2014
- Subjects: Banks and banking -- Valuation , Banks and banking -- Valuation -- Developing countries , Discounted cash flow , Capital assets pricing model , Capital -- Developing countries
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1200 , http://hdl.handle.net/10962/d1013057
- Description: Practitioners and academics in emerging markets are yet to agree on how best they can value companies in emerging markets. In contrast, academics and practitioners in developed markets seem to agree on mainstream valuation practices (Bruner, Eades, Harris and Haggins, 1998; Graham and Harvey, 2001). This study was therefore aimed at achieving such consensus with particular attention being paid to the emerging market banks. Emerging market banks are by no means small and are growing fast. Furthermore, these banks are currently involved in lots of cutting age economic activities such as mergers and acquisitions (M&A), joint ventures and strategic alliances which require sound valuation practices that are based on empirical evidence. The primary purpose of this research was to establish consensus of opinion among experts with regard to the valuation of banks in emerging markets. To achieve the purpose of this study the Delphi technique, which is a structured survey method that relies on a panel of experts to answer questionnaires in two or more Delphi rounds, was used to gather data and develop consensus among experts (Kalaian and Kasim, 2012). The main findings in this study pertain to aspects concerning the type of analysis considered by experts when analysing the performance of banks, how experts compare the discounted cash flow (DCF) approach to multiples valuation approach, the challenges encountered by experts when valuing banks in emerging markets, and how experts compute the cost of capital for banks in emerging markets. The main findings of this study can be summarised as follows: ∙ When analyzing the performance of banks, it is essential to conduct a bank-specific, industry and macroeconomic analysis; ∙ When estimating the future performance of banks, the time series analysis and an explicit forecast period of between 4-10 years may be used; ∙ When estimating the terminal value for banks in emerging markets, the perpetuity with growth is used; ∙ When computing the value for banks, the DCF valuation approach (equity DCF and DDM valuation models) are used as primary valuation methods and the relative valuation approach (P/E and P/BV ratio) are used as secondary valuation methods; ∙ The DCF valuation approach is considered as more accurate and popular when valuing banks in emerging markets; and ∙ When estimating the cost of equity, the capital asset pricing model (CAPM) is used.
- Full Text:
- Date Issued: 2014
- Authors: Sabilika, Keith
- Date: 2014
- Subjects: Banks and banking -- Valuation , Banks and banking -- Valuation -- Developing countries , Discounted cash flow , Capital assets pricing model , Capital -- Developing countries
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1200 , http://hdl.handle.net/10962/d1013057
- Description: Practitioners and academics in emerging markets are yet to agree on how best they can value companies in emerging markets. In contrast, academics and practitioners in developed markets seem to agree on mainstream valuation practices (Bruner, Eades, Harris and Haggins, 1998; Graham and Harvey, 2001). This study was therefore aimed at achieving such consensus with particular attention being paid to the emerging market banks. Emerging market banks are by no means small and are growing fast. Furthermore, these banks are currently involved in lots of cutting age economic activities such as mergers and acquisitions (M&A), joint ventures and strategic alliances which require sound valuation practices that are based on empirical evidence. The primary purpose of this research was to establish consensus of opinion among experts with regard to the valuation of banks in emerging markets. To achieve the purpose of this study the Delphi technique, which is a structured survey method that relies on a panel of experts to answer questionnaires in two or more Delphi rounds, was used to gather data and develop consensus among experts (Kalaian and Kasim, 2012). The main findings in this study pertain to aspects concerning the type of analysis considered by experts when analysing the performance of banks, how experts compare the discounted cash flow (DCF) approach to multiples valuation approach, the challenges encountered by experts when valuing banks in emerging markets, and how experts compute the cost of capital for banks in emerging markets. The main findings of this study can be summarised as follows: ∙ When analyzing the performance of banks, it is essential to conduct a bank-specific, industry and macroeconomic analysis; ∙ When estimating the future performance of banks, the time series analysis and an explicit forecast period of between 4-10 years may be used; ∙ When estimating the terminal value for banks in emerging markets, the perpetuity with growth is used; ∙ When computing the value for banks, the DCF valuation approach (equity DCF and DDM valuation models) are used as primary valuation methods and the relative valuation approach (P/E and P/BV ratio) are used as secondary valuation methods; ∙ The DCF valuation approach is considered as more accurate and popular when valuing banks in emerging markets; and ∙ When estimating the cost of equity, the capital asset pricing model (CAPM) is used.
- Full Text:
- Date Issued: 2014
Voluntary disclosure programmes and tax amnesties: an international appraisal
- Authors: Jaramba, Toddy
- Date: 2014
- Subjects: Tax amnesty -- South Africa , Tax evasion -- South Africa , Investments, Foreign -- Taxation -- South Africa , Tax collection -- South Africa , Tax administration and procedure -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:911 , http://hdl.handle.net/10962/d1015666
- Description: Tax amnesties are government programs that typically allow a short period of time for tax evaders to voluntarily repay previously evaded taxes without being subject to penalties and prosecution that discovery of such tax evasion normally brings. Tax amnesties differ widely in terms of coverage, tax types, and incentives offered. A state’s Voluntary Disclosure Programme is another avenue available to taxpayers to assist them in resolving their state tax delinquencies. This programme is an on-going programme as compared to a tax amnesty, which is there for a limited time period only. The main goal of the research was to describe the tax amnesty and the voluntary disclosure programmes in South Africa and to assess their advantages and disadvantages. This thesis also discussed another form of voluntary disclosure programme, referred to as an Offshore Voluntary Disclosure Programme, which allows taxpayers with unreported foreign bank accounts, and presumably unreported foreign income, to voluntarily disclose their affairs. The study found that, due to tax amnesties, Government raises more tax revenue not only in the short run from collecting overdue taxes but also by bringing former non-filers back into the tax system for the long run. It was also found that, initially short-run revenue brought in from overdue taxes will be positive for the first amnesty and then decline each time the amnesty is offered repeatedly. The reason for the decline in revenue might be that tax amnesties provide incentives for otherwise honest taxpayers to start evading taxes because they will anticipate the offering of future amnesties, thereby weakening tax compliance. The costs associated with amnesty programmes include negative long run revenue impact and also that amnesty programmes reduce compliance by taxpayers in the long-run. In South Africa tax amnesties, especially the voluntary disclosure programme, are likely to be successful since they will increase the revenue yield and also bring non-filers back on the tax rolls.
- Full Text:
- Date Issued: 2014
- Authors: Jaramba, Toddy
- Date: 2014
- Subjects: Tax amnesty -- South Africa , Tax evasion -- South Africa , Investments, Foreign -- Taxation -- South Africa , Tax collection -- South Africa , Tax administration and procedure -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:911 , http://hdl.handle.net/10962/d1015666
- Description: Tax amnesties are government programs that typically allow a short period of time for tax evaders to voluntarily repay previously evaded taxes without being subject to penalties and prosecution that discovery of such tax evasion normally brings. Tax amnesties differ widely in terms of coverage, tax types, and incentives offered. A state’s Voluntary Disclosure Programme is another avenue available to taxpayers to assist them in resolving their state tax delinquencies. This programme is an on-going programme as compared to a tax amnesty, which is there for a limited time period only. The main goal of the research was to describe the tax amnesty and the voluntary disclosure programmes in South Africa and to assess their advantages and disadvantages. This thesis also discussed another form of voluntary disclosure programme, referred to as an Offshore Voluntary Disclosure Programme, which allows taxpayers with unreported foreign bank accounts, and presumably unreported foreign income, to voluntarily disclose their affairs. The study found that, due to tax amnesties, Government raises more tax revenue not only in the short run from collecting overdue taxes but also by bringing former non-filers back into the tax system for the long run. It was also found that, initially short-run revenue brought in from overdue taxes will be positive for the first amnesty and then decline each time the amnesty is offered repeatedly. The reason for the decline in revenue might be that tax amnesties provide incentives for otherwise honest taxpayers to start evading taxes because they will anticipate the offering of future amnesties, thereby weakening tax compliance. The costs associated with amnesty programmes include negative long run revenue impact and also that amnesty programmes reduce compliance by taxpayers in the long-run. In South Africa tax amnesties, especially the voluntary disclosure programme, are likely to be successful since they will increase the revenue yield and also bring non-filers back on the tax rolls.
- Full Text:
- Date Issued: 2014
Why has South Africa been relatively unsuccessful at attracting inward foreign direct investment since 1994?
- Authors: Fulton, Mark Hugh John
- Date: 2014
- Subjects: Investments, Foreign -- South Africa , Investments, Foreign -- Africa, Southern , Investments, Foreign -- Chile , Investments, Foreign -- Botswana , Economic development -- South Africa , Economic development -- Developing countries , Political corruption -- Economic aspects -- South Africa , South Africa -- Economic policy -- 1994-
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1097 , http://hdl.handle.net/10962/d1013056
- Description: Foreign Direct Investment (FDI) flows into South Africa have been very low for several decades, and this research examines the reason(s) why this has been the case since 1994. There is a common belief amongst economists that there is a positive relationship between the amount of FDI received and economic growth, thus the desire to attract greater FDI inflows. A literature review was conducted to establish the determinants of FDI globally and then data were collected and assessed to test which causes are most important. The performance of developing nations in attracting FDI was first compared with that of the developed nations. Thereafter, a regional breakdown of FDI flows was presented, with a particular focus on the Southern African region. FDI inflows to South Africa since 1994 were compared against the identified determinants of FDI, as well as with FDI inflows into two other major mining economies, Chile and Botswana. The friendliness of the government towards business was identified as a significant determinant of FDI inflows and the importance of this factor in explaining FDI inflows into environment in South Africa was looked at in more depth. It was found that many investors perceive the South African government as hostile towards business and as corrupt and/or inefficient. The empirical results show that this negative perception helps explain the FDI inflows attracted by South Africa since 1994. Therefore, increased friendliness to business by the government should increase future inward FDI flows into South Africa.
- Full Text:
- Date Issued: 2014
- Authors: Fulton, Mark Hugh John
- Date: 2014
- Subjects: Investments, Foreign -- South Africa , Investments, Foreign -- Africa, Southern , Investments, Foreign -- Chile , Investments, Foreign -- Botswana , Economic development -- South Africa , Economic development -- Developing countries , Political corruption -- Economic aspects -- South Africa , South Africa -- Economic policy -- 1994-
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1097 , http://hdl.handle.net/10962/d1013056
- Description: Foreign Direct Investment (FDI) flows into South Africa have been very low for several decades, and this research examines the reason(s) why this has been the case since 1994. There is a common belief amongst economists that there is a positive relationship between the amount of FDI received and economic growth, thus the desire to attract greater FDI inflows. A literature review was conducted to establish the determinants of FDI globally and then data were collected and assessed to test which causes are most important. The performance of developing nations in attracting FDI was first compared with that of the developed nations. Thereafter, a regional breakdown of FDI flows was presented, with a particular focus on the Southern African region. FDI inflows to South Africa since 1994 were compared against the identified determinants of FDI, as well as with FDI inflows into two other major mining economies, Chile and Botswana. The friendliness of the government towards business was identified as a significant determinant of FDI inflows and the importance of this factor in explaining FDI inflows into environment in South Africa was looked at in more depth. It was found that many investors perceive the South African government as hostile towards business and as corrupt and/or inefficient. The empirical results show that this negative perception helps explain the FDI inflows attracted by South Africa since 1994. Therefore, increased friendliness to business by the government should increase future inward FDI flows into South Africa.
- Full Text:
- Date Issued: 2014
Willingness to pay for marine-based tourism within the Ponto do Ouro Partial Marine Reserve, Mozambique
- Authors: Daly, Clare Amelie Keating
- Date: 2014
- Subjects: Ponto do Ouro Partial Marine Reserve , Marine ecotourism -- Mozambique , Marine ecotourism -- Economic aspects -- Mozambique , Marine ecotourism -- Mozambique -- Marketing , Ecotourism -- Economic aspects -- Mozambique , Coastal zone management -- Mozambique , Marine resources conservation -- Mozambique
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1102 , http://hdl.handle.net/10962/d1013304
- Description: Marine and coastal ecosystems face widespread degradation largely because market failure hides the economic value of the goods and services provided by them. Marine protected areas (MPAs) can serve as a structure that ensures the continuing function of marine and coastal ecosystem goods and services. Yet, to be effective and sustainable, MPAs must be able to prove their economic worth and generate revenue. User-fees are a common system used to partially finance multi-use MPAs. This study applies contingent valuation as a method of economic valuation within an MPA in southern Mozambique. The objectives of this study are to determine the willingness to pay of combined user groups and of individual user groups for use of the Ponta do Ouro Partial Marine Reserve and to investigate the potential for the reserve to increase revenues for conservation through the implementation of a user-fee for marine based activities. The payment card contingent valuation method was employed to determine willingness to pay of dolphin swim tourists, scuba divers and fishermen. Data was collected by face-to-face interviews of 120 respondents within two popular tourist locations in the PPMR. Results show that visitors within the PPMR are mainly South Africans, loyal to the area. Probit and OLS regressions were used to determine the effects of various independent variables on willingness to pay. Results from the Probit model indicate that African residency, activity and environmental awareness were significant factors that influenced visitors being WTP more than R20 per person per day as a user fee within the PPMR. The OLS model examined independent variables that influenced visitors being willing to pay as well as the impact of the variables on the amount visitors were willing to pay. The OLS model found income, African residency and environmental awareness to be significant factors influencing visitors being willing to pay. The mean WTP was R43.75 per person per day. Using data supplied by the PPMR, conservative estimated annual revenues based on the implementation of this fee amount would range between R1.46m – R 3.3m.
- Full Text:
- Date Issued: 2014
- Authors: Daly, Clare Amelie Keating
- Date: 2014
- Subjects: Ponto do Ouro Partial Marine Reserve , Marine ecotourism -- Mozambique , Marine ecotourism -- Economic aspects -- Mozambique , Marine ecotourism -- Mozambique -- Marketing , Ecotourism -- Economic aspects -- Mozambique , Coastal zone management -- Mozambique , Marine resources conservation -- Mozambique
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1102 , http://hdl.handle.net/10962/d1013304
- Description: Marine and coastal ecosystems face widespread degradation largely because market failure hides the economic value of the goods and services provided by them. Marine protected areas (MPAs) can serve as a structure that ensures the continuing function of marine and coastal ecosystem goods and services. Yet, to be effective and sustainable, MPAs must be able to prove their economic worth and generate revenue. User-fees are a common system used to partially finance multi-use MPAs. This study applies contingent valuation as a method of economic valuation within an MPA in southern Mozambique. The objectives of this study are to determine the willingness to pay of combined user groups and of individual user groups for use of the Ponta do Ouro Partial Marine Reserve and to investigate the potential for the reserve to increase revenues for conservation through the implementation of a user-fee for marine based activities. The payment card contingent valuation method was employed to determine willingness to pay of dolphin swim tourists, scuba divers and fishermen. Data was collected by face-to-face interviews of 120 respondents within two popular tourist locations in the PPMR. Results show that visitors within the PPMR are mainly South Africans, loyal to the area. Probit and OLS regressions were used to determine the effects of various independent variables on willingness to pay. Results from the Probit model indicate that African residency, activity and environmental awareness were significant factors that influenced visitors being WTP more than R20 per person per day as a user fee within the PPMR. The OLS model examined independent variables that influenced visitors being willing to pay as well as the impact of the variables on the amount visitors were willing to pay. The OLS model found income, African residency and environmental awareness to be significant factors influencing visitors being willing to pay. The mean WTP was R43.75 per person per day. Using data supplied by the PPMR, conservative estimated annual revenues based on the implementation of this fee amount would range between R1.46m – R 3.3m.
- Full Text:
- Date Issued: 2014
Modelling daily return variations in developing market currencies
- Authors: Howarth, Grant
- Date: 2013-07-12
- Subjects: Dollar, American , Currency questions , Foreign exchange market , Foreign exchange rates , Rate of return -- Developing countries , Money market , Prices
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1076 , http://hdl.handle.net/10962/d1008365 , Dollar, American , Currency questions , Foreign exchange market , Foreign exchange rates , Rate of return -- Developing countries , Money market , Prices
- Description: This study examines the American Dollar (USD) denominated currency returns of five developing market currencies for the presence of the day-of-the-week effect. Daily data from January 1995 to February 2008 is examined, and is split into two subperiods, SP1 (1995 - 2002) and SP2 (2003 - February 2008). Currency returns are non-normally distributed across the full data set and SP1 , but tend towards normality in SP2. As such non-parametric tests are used to test the equality of the first four moments across days of the week. Tests on the first moment show that two of the currencies do not show any evidence of the day-of-the-week effect. However, evidence of the day-of-the-week effect is found in the other three currencies in SP1, although the effect disappears or weakens significantly in SP2. Little evidence of the day-of-the-week effect is found in tests on the second moment. The hypothesis of equal higher moments across currency returns is rejected for almost all of the weekday pairs for all five currencies in SP1 , but in SP2 the hypothesis of equal higher moments can only be rejected for a single pair of weekdays for one currency. This indicates the disappearance of the day-of-the-week effect across higher moments in SP2. Thus, the study finds that the day-of-the-week effect is present across the first moment and higher moments in the returns to most currencies in SP1 , but has disappeared for all five currencies in SP2. , KMBT_363 , Adobe Acrobat 9.54 Paper Capture Plug-in
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- Authors: Howarth, Grant
- Date: 2013-07-12
- Subjects: Dollar, American , Currency questions , Foreign exchange market , Foreign exchange rates , Rate of return -- Developing countries , Money market , Prices
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1076 , http://hdl.handle.net/10962/d1008365 , Dollar, American , Currency questions , Foreign exchange market , Foreign exchange rates , Rate of return -- Developing countries , Money market , Prices
- Description: This study examines the American Dollar (USD) denominated currency returns of five developing market currencies for the presence of the day-of-the-week effect. Daily data from January 1995 to February 2008 is examined, and is split into two subperiods, SP1 (1995 - 2002) and SP2 (2003 - February 2008). Currency returns are non-normally distributed across the full data set and SP1 , but tend towards normality in SP2. As such non-parametric tests are used to test the equality of the first four moments across days of the week. Tests on the first moment show that two of the currencies do not show any evidence of the day-of-the-week effect. However, evidence of the day-of-the-week effect is found in the other three currencies in SP1, although the effect disappears or weakens significantly in SP2. Little evidence of the day-of-the-week effect is found in tests on the second moment. The hypothesis of equal higher moments across currency returns is rejected for almost all of the weekday pairs for all five currencies in SP1 , but in SP2 the hypothesis of equal higher moments can only be rejected for a single pair of weekdays for one currency. This indicates the disappearance of the day-of-the-week effect across higher moments in SP2. Thus, the study finds that the day-of-the-week effect is present across the first moment and higher moments in the returns to most currencies in SP1 , but has disappeared for all five currencies in SP2. , KMBT_363 , Adobe Acrobat 9.54 Paper Capture Plug-in
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The functioning of the interbank market and its significance in the transmission of monetary policy
- Authors: De Angelis, Catherine
- Date: 2013-06-11
- Subjects: South African Reserve Bank , Monetary policy -- South Africa , Foreign exchange rates -- South Africa , Money market -- South Africa , Banks and banking -- South Africa , Repurchase agreements -- South Africa , South Africa -- Economic policy , South Africa -- Economic conditions
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1075 , http://hdl.handle.net/10962/d1008054 , South African Reserve Bank , Monetary policy -- South Africa , Foreign exchange rates -- South Africa , Money market -- South Africa , Banks and banking -- South Africa , Repurchase agreements -- South Africa , South Africa -- Economic policy , South Africa -- Economic conditions
- Description: Monetary policy in South African is the primary means by which the authorities can influence activity in the overall economy. The South African Reserve Bank accommodates banks through repo transactions for which they charge the repo rate. The most important market in the transmission of the repo rate to the rest of the economy is the interbank market. As such, a detailed discussion of this market is given. In September 200 I the monetary authorities made certain adjustments to the repo system of accommodation, which included changing the repo rate from a floating rate to a fixed rate that would be administratively determined by the MPC. This was done to address certain weaknesses in the floating rate system. This thesis examines and compares the period before and after the adjustments to the repo system, with the aim of determining whether or not the monetary authorities achieved the goals intended from making this change. The repo rate, prime interbank rate, 3-month NCO rate and the prime lending rate are analysed using the Engle-Granger two variable approach and an ECM model to test for causality. It was found that the monetary authorities did not achieve their intended goals as the relationship between the repo rate and the interbank rate was more significant in the first period. Furthermore, the direction of causality the authorities hoped to achieve by implementing the changes were in fact already in place. As such the adjustments to the system changed the transmission mechanism from the one desired by the authorities to one that was not intended. The conclusions reached by this study show that, in terms of the objectives of the monetary authorities, the previous repo system functioned better. , KMBT_363 , Adobe Acrobat 9.54 Paper Capture Plug-in
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- Authors: De Angelis, Catherine
- Date: 2013-06-11
- Subjects: South African Reserve Bank , Monetary policy -- South Africa , Foreign exchange rates -- South Africa , Money market -- South Africa , Banks and banking -- South Africa , Repurchase agreements -- South Africa , South Africa -- Economic policy , South Africa -- Economic conditions
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1075 , http://hdl.handle.net/10962/d1008054 , South African Reserve Bank , Monetary policy -- South Africa , Foreign exchange rates -- South Africa , Money market -- South Africa , Banks and banking -- South Africa , Repurchase agreements -- South Africa , South Africa -- Economic policy , South Africa -- Economic conditions
- Description: Monetary policy in South African is the primary means by which the authorities can influence activity in the overall economy. The South African Reserve Bank accommodates banks through repo transactions for which they charge the repo rate. The most important market in the transmission of the repo rate to the rest of the economy is the interbank market. As such, a detailed discussion of this market is given. In September 200 I the monetary authorities made certain adjustments to the repo system of accommodation, which included changing the repo rate from a floating rate to a fixed rate that would be administratively determined by the MPC. This was done to address certain weaknesses in the floating rate system. This thesis examines and compares the period before and after the adjustments to the repo system, with the aim of determining whether or not the monetary authorities achieved the goals intended from making this change. The repo rate, prime interbank rate, 3-month NCO rate and the prime lending rate are analysed using the Engle-Granger two variable approach and an ECM model to test for causality. It was found that the monetary authorities did not achieve their intended goals as the relationship between the repo rate and the interbank rate was more significant in the first period. Furthermore, the direction of causality the authorities hoped to achieve by implementing the changes were in fact already in place. As such the adjustments to the system changed the transmission mechanism from the one desired by the authorities to one that was not intended. The conclusions reached by this study show that, in terms of the objectives of the monetary authorities, the previous repo system functioned better. , KMBT_363 , Adobe Acrobat 9.54 Paper Capture Plug-in
- Full Text: