Monetary policy transparency in Sub-Saharan Africa evidence and lessons
- Nhavira, John Davison Gondwe
- Authors: Nhavira, John Davison Gondwe
- Date: 2015
- Subjects: Monetary policy -- Africa, Sub-Saharan , Banks and banking, Central -- Africa, Sub-Saharan
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10948/5262 , vital:20827
- Description: This research deals with achieving and maintaining price stability in Sub-Saharan Africa (SSA) through the practice of monetary-policy transparency (MPT). On the one hand, MPT refers to a monetary strategy whereby the central bank is insulated from political influence and made accountable to society through disclosure of its policies, procedures, economic models, data and forecasts, operations and political practices (such as objectives, personnel independence, and the like). On the other hand, price stability refers to achieving and maintaining low and stable levels of inflation conducive for long-term planning and poverty alleviation. The primary objective of this research was to investigate MPT in SSA as it represents a powerful means whereby economic agents’ expectations may be coordinated and managed by the central bank to achieve its societal, objective function of low inflation. The empirical evidence shows that, first, a dependent central bank is more likely to slip into hyperinflation. Second, a SADC (2008) model central bank law is not independent enough to be used as a benchmark for any central bank or as a charter for a regional central bank. Third, the degree of central bank independence in SSA is relatively lower than that in industrialised economies. Fourth, the determinants of MPT in SSA are trade openness, and financial depth that are important factors influencing policy-makers to adopt monetary-policy transparency. Fifth, MPT is associated with a decline in the inflation rate. Sixth, MPT had no significant effect on economic output, whilst trade openness was positively associated with real GDP.
- Full Text:
- Date Issued: 2015
- Authors: Nhavira, John Davison Gondwe
- Date: 2015
- Subjects: Monetary policy -- Africa, Sub-Saharan , Banks and banking, Central -- Africa, Sub-Saharan
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10948/5262 , vital:20827
- Description: This research deals with achieving and maintaining price stability in Sub-Saharan Africa (SSA) through the practice of monetary-policy transparency (MPT). On the one hand, MPT refers to a monetary strategy whereby the central bank is insulated from political influence and made accountable to society through disclosure of its policies, procedures, economic models, data and forecasts, operations and political practices (such as objectives, personnel independence, and the like). On the other hand, price stability refers to achieving and maintaining low and stable levels of inflation conducive for long-term planning and poverty alleviation. The primary objective of this research was to investigate MPT in SSA as it represents a powerful means whereby economic agents’ expectations may be coordinated and managed by the central bank to achieve its societal, objective function of low inflation. The empirical evidence shows that, first, a dependent central bank is more likely to slip into hyperinflation. Second, a SADC (2008) model central bank law is not independent enough to be used as a benchmark for any central bank or as a charter for a regional central bank. Third, the degree of central bank independence in SSA is relatively lower than that in industrialised economies. Fourth, the determinants of MPT in SSA are trade openness, and financial depth that are important factors influencing policy-makers to adopt monetary-policy transparency. Fifth, MPT is associated with a decline in the inflation rate. Sixth, MPT had no significant effect on economic output, whilst trade openness was positively associated with real GDP.
- Full Text:
- Date Issued: 2015
Stability of the money demand function and monetary inflation in the East African community
- Authors: Nsabimana, Adelit
- Date: 2015
- Subjects: Monetary policy -- Africa, East , Inflation (Finance) -- Africa, East , Equilibrium (Economics)
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10948/9163 , vital:26470
- Description: This research attempts to evaluate the stability of money demand functions and estimate monetary inflation models in the East African Community (EAC), using quarterly aggregate data that range from 2000Q1 to 2012Q3. We used Johansen co-integration analysis to estimate and analyse the stability of the M3 money demand model for each country member of the EAC. From this estimation, we derived a country-specific measure of money overhang. We compared its forecasting power of future inflation with that of money stock growth, and money stock available in the economy. Regarding country-specific money demand functions, with the exception of Uganda, we identified a reasonable and stable country-specific M3 money demand model. Also, for predicting future inflation, the estimation results showed that M3 money stock growth is more reliable in Burundi and in Kenya, while M3 money overhang is preferable in Rwanda and M3 money stock in Tanzania. As both country-specific and regional (EAC area) information on monetary quantity growth and its impact on price level is important to know in a monetary union, we considered the EAC area as a single market and attempted to estimate the aggregate (EAC area) demand functions for broad money M2 and M3 using Johansen co-integration analysis. The estimated long-run aggregate money demand models M2 and M3 appeared to be stable over the sample period. However, the aggregate M2 and M3 at the EAC level were proven to be weakly exogenous, which should discard them for consideration at the EAC level as the intermediate targets variables in order to achieve the overall objective of price stability in the EAC region. Instead, short-term interest rate should be given a prominent role in monetary policy framework at the EAC level.
- Full Text:
- Date Issued: 2015
- Authors: Nsabimana, Adelit
- Date: 2015
- Subjects: Monetary policy -- Africa, East , Inflation (Finance) -- Africa, East , Equilibrium (Economics)
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10948/9163 , vital:26470
- Description: This research attempts to evaluate the stability of money demand functions and estimate monetary inflation models in the East African Community (EAC), using quarterly aggregate data that range from 2000Q1 to 2012Q3. We used Johansen co-integration analysis to estimate and analyse the stability of the M3 money demand model for each country member of the EAC. From this estimation, we derived a country-specific measure of money overhang. We compared its forecasting power of future inflation with that of money stock growth, and money stock available in the economy. Regarding country-specific money demand functions, with the exception of Uganda, we identified a reasonable and stable country-specific M3 money demand model. Also, for predicting future inflation, the estimation results showed that M3 money stock growth is more reliable in Burundi and in Kenya, while M3 money overhang is preferable in Rwanda and M3 money stock in Tanzania. As both country-specific and regional (EAC area) information on monetary quantity growth and its impact on price level is important to know in a monetary union, we considered the EAC area as a single market and attempted to estimate the aggregate (EAC area) demand functions for broad money M2 and M3 using Johansen co-integration analysis. The estimated long-run aggregate money demand models M2 and M3 appeared to be stable over the sample period. However, the aggregate M2 and M3 at the EAC level were proven to be weakly exogenous, which should discard them for consideration at the EAC level as the intermediate targets variables in order to achieve the overall objective of price stability in the EAC region. Instead, short-term interest rate should be given a prominent role in monetary policy framework at the EAC level.
- Full Text:
- Date Issued: 2015
The application of property value models to assess government housing policy : a Nelson Mandela Bay Case Study
- Authors: Sale, Michael Charles
- Date: 2013
- Subjects: Real property -- Valuation -- South Africa -- Port Elizabeth , Housing policy -- South Africa -- Port Elizabeth , Planned communities -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:9023 , http://hdl.handle.net/10948/d1020007
- Description: Two developments that may impact house prices have dominated the residential property landscape in South Africa in recent years, namely government’s planned social housing developments and residential property value assessments carried out by local municipalities across South Africa for property tax purposes. Social housing developments are often plagued by “local opposition”, who argue that subsidised housing units may have a negative effect on adjacent non-subsidised residential housing. Negative preconceptions of social housing form the basis of this argument, which is commonly referred to as the “not-in-my-backyard” (NIMBY) syndrome. International studies conducted have, however, produced mixed results with some concluding that social housing developments lead to a reduction in nearby property prices, whilst others conclude that they lead to an improvement in surrounding property values. Currently, the state of the South African economy and demographics are limiting previously disadvantaged, poor peoples’ access to affordable and safe housing, and for this reason the basis of the NIMBY rationale deserves closer attention. In order to test the validity of the NIMBY rationale, this study examines, by means of the hedonic price method, the effect of an existing housing establishment catering for low-income earners (the Walmer/Gqebera Township) on adjacent property values in the suburb of Walmer, Port Elizabeth, Nelson Mandela Bay in the Eastern Cape. The study concludes that the low-cost housing development exerts a negative impact on the property values of nearby houses - the average owner of a non-subsidised residential property in Walmer would be willing to pay between R38 033 and R46 898 to be situated 200 metres further away from the Walmer Township. This conclusion is subject to three qualifications. The first is that the Walmer Township is not a recognised social housing development but merely a proxy for one. The second qualification is that a relatively small data set was used in this study and only one social housing development was considered. The third qualification is that the study period is from 1995 to 2009, which necessitated the adjustment of market prices to constant 2009 rands. For this purpose, data from the Port Elizabeth and Uitenhage section of the ABSA house price indices were used. It was not possible to disaggregate the indices further to obtain a Walmer-specific index. It is possible that an imperfect correlation exists between the Walmer property trend and the metropolitan (Port Elizabeth and Uitenhage) trend used in this study. Based on the results of this doctoral investigation it is recommended that a monthly rebate on property rates of between R269.40 and R332.19 be implemented for affected Walmer residents. This amount could be sufficient to mitigate the capital loss associated with proximity to the Walmer Township. In terms of the management of social housing projects, it is strongly recommended that the following occur in order to alleviate the NIMBY syndrome: existing dwellings should be renovated, tenants should be monitored, dwellings should be appropriately designed and maintained, the composition of the host neighbourhood should be assessed and the image of social housing should be improved. With regard to the renovation of dwellings, social housing site preference should be given to existing structures in need of renovation, as positive externalities are associated with the renovation of such properties. The monitoring of tenants needs to take place in order to ensure that the financial and behavioural obligations of the tenants are met, and that informal “shack dwellings” do not materialise on site, and finally, that tenant default rates remain low. The appropriate management of these projects will also aid in combating the perception that social housing developments lead to private residential property devaluation. In respect of residential property value assessments, many homeowners have recently argued that there is very little equivalence between the municipality’s valuations and true market values. This study uses, inter alia, the hedonic price model to investigate the accuracy of the Nelson Mandela Bay Municipality’s 2007/2008 valuation roll. The investigation was limited to the valuation roll applicable to the Walmer neighbourhood. The study finds that there is, on average, a 13.89 percent difference between market prices and the 2007/2008 municipal assessed values. In addition, this study finds that an attributebased hedonic price model produces property price predictions that are more in line with true market values. This finding is subject to two qualifications. The first qualification is that only the Walmer neighbourhood’s assessed values were considered, thus limiting the findings. The second qualification is that a relatively small data set was used.
- Full Text:
- Date Issued: 2013
- Authors: Sale, Michael Charles
- Date: 2013
- Subjects: Real property -- Valuation -- South Africa -- Port Elizabeth , Housing policy -- South Africa -- Port Elizabeth , Planned communities -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:9023 , http://hdl.handle.net/10948/d1020007
- Description: Two developments that may impact house prices have dominated the residential property landscape in South Africa in recent years, namely government’s planned social housing developments and residential property value assessments carried out by local municipalities across South Africa for property tax purposes. Social housing developments are often plagued by “local opposition”, who argue that subsidised housing units may have a negative effect on adjacent non-subsidised residential housing. Negative preconceptions of social housing form the basis of this argument, which is commonly referred to as the “not-in-my-backyard” (NIMBY) syndrome. International studies conducted have, however, produced mixed results with some concluding that social housing developments lead to a reduction in nearby property prices, whilst others conclude that they lead to an improvement in surrounding property values. Currently, the state of the South African economy and demographics are limiting previously disadvantaged, poor peoples’ access to affordable and safe housing, and for this reason the basis of the NIMBY rationale deserves closer attention. In order to test the validity of the NIMBY rationale, this study examines, by means of the hedonic price method, the effect of an existing housing establishment catering for low-income earners (the Walmer/Gqebera Township) on adjacent property values in the suburb of Walmer, Port Elizabeth, Nelson Mandela Bay in the Eastern Cape. The study concludes that the low-cost housing development exerts a negative impact on the property values of nearby houses - the average owner of a non-subsidised residential property in Walmer would be willing to pay between R38 033 and R46 898 to be situated 200 metres further away from the Walmer Township. This conclusion is subject to three qualifications. The first is that the Walmer Township is not a recognised social housing development but merely a proxy for one. The second qualification is that a relatively small data set was used in this study and only one social housing development was considered. The third qualification is that the study period is from 1995 to 2009, which necessitated the adjustment of market prices to constant 2009 rands. For this purpose, data from the Port Elizabeth and Uitenhage section of the ABSA house price indices were used. It was not possible to disaggregate the indices further to obtain a Walmer-specific index. It is possible that an imperfect correlation exists between the Walmer property trend and the metropolitan (Port Elizabeth and Uitenhage) trend used in this study. Based on the results of this doctoral investigation it is recommended that a monthly rebate on property rates of between R269.40 and R332.19 be implemented for affected Walmer residents. This amount could be sufficient to mitigate the capital loss associated with proximity to the Walmer Township. In terms of the management of social housing projects, it is strongly recommended that the following occur in order to alleviate the NIMBY syndrome: existing dwellings should be renovated, tenants should be monitored, dwellings should be appropriately designed and maintained, the composition of the host neighbourhood should be assessed and the image of social housing should be improved. With regard to the renovation of dwellings, social housing site preference should be given to existing structures in need of renovation, as positive externalities are associated with the renovation of such properties. The monitoring of tenants needs to take place in order to ensure that the financial and behavioural obligations of the tenants are met, and that informal “shack dwellings” do not materialise on site, and finally, that tenant default rates remain low. The appropriate management of these projects will also aid in combating the perception that social housing developments lead to private residential property devaluation. In respect of residential property value assessments, many homeowners have recently argued that there is very little equivalence between the municipality’s valuations and true market values. This study uses, inter alia, the hedonic price model to investigate the accuracy of the Nelson Mandela Bay Municipality’s 2007/2008 valuation roll. The investigation was limited to the valuation roll applicable to the Walmer neighbourhood. The study finds that there is, on average, a 13.89 percent difference between market prices and the 2007/2008 municipal assessed values. In addition, this study finds that an attributebased hedonic price model produces property price predictions that are more in line with true market values. This finding is subject to two qualifications. The first qualification is that only the Walmer neighbourhood’s assessed values were considered, thus limiting the findings. The second qualification is that a relatively small data set was used.
- Full Text:
- Date Issued: 2013
Parental influences on the next generation’s intention to join the family business
- Authors: Saunders, Shelley Beryl
- Date: 2018
- Subjects: Family-owned business enterprises -- Succession , Family-owned business enterprises -- Management Family corporations -- Management Success in business
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10948/35072 , vital:33612
- Description: Family businesses play an important role worldwide and in South Africa, in terms of their economic contribution and their ability to create jobs. However, the unwillingness of next generation family members (NGFMs) to join the family business seriously jeopardises its long-term survival. This is a matter of great concern for family business owners who in general have a strong desire to pass on the business to the next generation and to preserve the family’s legacy. Of the many factors relating to a person’s choice of career, parents are by far the most influential. Against this background, the purpose of this study was to gain a better understanding of the influence that parents have on the NGFM’s intentions to join the family business as well as the factors that moderate this influence. Establishing how parents influence an NGFM’s intention to join the family business makes an important theoretical contribution to family business, succession and entrepreneurial literatures, and holds both practical and theoretical relevance. The literature review provided an overview of the field of family business and discussed the nature of these businesses. Several frameworks, theories and perspectives relating to family businesses were elaborated on. The important role that family businesses play in the economies of countries and the unique challenges they face were highlighted. One of the most important challenges facing family businesses is that of transgenerational succession and the willingness of the next generation to make the family business their career choice. Several behaviour and career choice theories were discussed, particularly in relation to the South African context, and a summary of all the factors influencing career choice in terms of these theories was presented. Several parental influences on career choice were identified and examined in detail, namely Parent–child relationship, Parents’ job characteristics, Parental financial security, Parental job satisfaction, Parental identification, Parental expectations, Parental support and Parental style. Additionally, the influence of each parental influences on NGFMs, in a family business context, was highlighted. Based on anecdotal and empirical support, these parental influences were hypothesised as influencing the dependent variable in this study, namely Intention to join the family business. Based on the social cognitive career theory, Self-efficacy and Outcome expectations were hypothesised as moderating the aforementioned relationships. This study adopted a positivist research paradigm and a quantitative methodological approach that was deductive in nature. The methodology adopted to collect primary data was a cross-sectional analytical survey. A structured questionnaire was distributed to respondents who were identified by means of judgemental sampling and 453 completed questionnaires were subjected to statistical analysis. The validity of the scales measuring the dependent, moderating and independent variables was assessed by means of factor analysis and the reliability thereof by calculating Cronbach’s alpha coefficients. Both descriptive and inferential statistics were calculated. Multiple regression analysis (MRA) was used to assess the hypothesised relationships. The findings show that only one third of the respondents agreed that they had Intentions to join the family business. Furthermore, the results of the MRA reported significant and positive relationships between the independent variables Parental expectations, Perceived parental outcomes, and Parental identification, and the dependent variable Intention to join the family business. The results of the moderated regression analysis revealed that Self-efficacy and Outcome expectations do not moderate the relationships between all the parental influences investigated and Intention to join the family business as hypothesised. However, a significant positive relationship at the ten per cent confidence level was reported between the interaction effect, Self-efficacy x Perceived parental outcomes, and Intention to join the family business. A significant positive relationship at the five per cent confidence level was also reported between the interaction effect Outcome expectations x Parental identification, and Intention to join the family business. Based on the findings of this study, numerous recommendations were made. This study makes a contribution to both theory and practice. In terms of theory, the results have highlighted the applicability of both the theory of planned behaviour and the social cognitive career theory in explaining an NGFM’s Intention to join the family business. In addition, the applicability of these theories in the family business context has been confirmed. This study also contributes to the family business literature in that it provides new insights into how parents influence one of family businesses’ biggest challenges, namely their children not wanting to take over the family business. In terms of practice, the findings show that that several of the parental influences investigated do indeed increase the intention of NGFMs to join the family business. It is anticipated that these findings will encourage parents who own family businesses to take note of how they influence their children’s decision whether to join them in the family business, and ultimately to contribute to its possible long-term survival and success.
- Full Text:
- Date Issued: 2018
- Authors: Saunders, Shelley Beryl
- Date: 2018
- Subjects: Family-owned business enterprises -- Succession , Family-owned business enterprises -- Management Family corporations -- Management Success in business
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10948/35072 , vital:33612
- Description: Family businesses play an important role worldwide and in South Africa, in terms of their economic contribution and their ability to create jobs. However, the unwillingness of next generation family members (NGFMs) to join the family business seriously jeopardises its long-term survival. This is a matter of great concern for family business owners who in general have a strong desire to pass on the business to the next generation and to preserve the family’s legacy. Of the many factors relating to a person’s choice of career, parents are by far the most influential. Against this background, the purpose of this study was to gain a better understanding of the influence that parents have on the NGFM’s intentions to join the family business as well as the factors that moderate this influence. Establishing how parents influence an NGFM’s intention to join the family business makes an important theoretical contribution to family business, succession and entrepreneurial literatures, and holds both practical and theoretical relevance. The literature review provided an overview of the field of family business and discussed the nature of these businesses. Several frameworks, theories and perspectives relating to family businesses were elaborated on. The important role that family businesses play in the economies of countries and the unique challenges they face were highlighted. One of the most important challenges facing family businesses is that of transgenerational succession and the willingness of the next generation to make the family business their career choice. Several behaviour and career choice theories were discussed, particularly in relation to the South African context, and a summary of all the factors influencing career choice in terms of these theories was presented. Several parental influences on career choice were identified and examined in detail, namely Parent–child relationship, Parents’ job characteristics, Parental financial security, Parental job satisfaction, Parental identification, Parental expectations, Parental support and Parental style. Additionally, the influence of each parental influences on NGFMs, in a family business context, was highlighted. Based on anecdotal and empirical support, these parental influences were hypothesised as influencing the dependent variable in this study, namely Intention to join the family business. Based on the social cognitive career theory, Self-efficacy and Outcome expectations were hypothesised as moderating the aforementioned relationships. This study adopted a positivist research paradigm and a quantitative methodological approach that was deductive in nature. The methodology adopted to collect primary data was a cross-sectional analytical survey. A structured questionnaire was distributed to respondents who were identified by means of judgemental sampling and 453 completed questionnaires were subjected to statistical analysis. The validity of the scales measuring the dependent, moderating and independent variables was assessed by means of factor analysis and the reliability thereof by calculating Cronbach’s alpha coefficients. Both descriptive and inferential statistics were calculated. Multiple regression analysis (MRA) was used to assess the hypothesised relationships. The findings show that only one third of the respondents agreed that they had Intentions to join the family business. Furthermore, the results of the MRA reported significant and positive relationships between the independent variables Parental expectations, Perceived parental outcomes, and Parental identification, and the dependent variable Intention to join the family business. The results of the moderated regression analysis revealed that Self-efficacy and Outcome expectations do not moderate the relationships between all the parental influences investigated and Intention to join the family business as hypothesised. However, a significant positive relationship at the ten per cent confidence level was reported between the interaction effect, Self-efficacy x Perceived parental outcomes, and Intention to join the family business. A significant positive relationship at the five per cent confidence level was also reported between the interaction effect Outcome expectations x Parental identification, and Intention to join the family business. Based on the findings of this study, numerous recommendations were made. This study makes a contribution to both theory and practice. In terms of theory, the results have highlighted the applicability of both the theory of planned behaviour and the social cognitive career theory in explaining an NGFM’s Intention to join the family business. In addition, the applicability of these theories in the family business context has been confirmed. This study also contributes to the family business literature in that it provides new insights into how parents influence one of family businesses’ biggest challenges, namely their children not wanting to take over the family business. In terms of practice, the findings show that that several of the parental influences investigated do indeed increase the intention of NGFMs to join the family business. It is anticipated that these findings will encourage parents who own family businesses to take note of how they influence their children’s decision whether to join them in the family business, and ultimately to contribute to its possible long-term survival and success.
- Full Text:
- Date Issued: 2018
Income distribution and economic growth in South Africa
- Spandau, Arnt Michael Karl Max
- Authors: Spandau, Arnt Michael Karl Max
- Date: 1972
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:21131 , http://hdl.handle.net/10962/6517
- Description: It is the purpose of this study to examine the interplay of supply and demand factors for the South African economy, and to relate this to the functional, personal, and racial distribution of incomes. On the one hand, it appears that a concentration of incomes in the hands of those who possess both the ability and willingness to save, and to utilize the savings for productive investments, is a crucial determinant for the enhancement of economic growth. On the other hand, an excessive income concentration may severely limit the purchasing power of the major part of the population, thus inhibiting domestic investment. The study is developed, partly in terms of a theory of economic development, and partly in terms of a theory of economic growth. The analysis covers the period from 1918 to the present time. Periods during which the actual economic growth would have been faster had the distribution of incomes favoured work income receivers at the expense of other income receivers, are identified by employing a short-term post-Keynesian model of functional income distribution. Periods during which an acceleration of economic growth would have been achieved had the opposite condition prevailed, are also shown. An analysis is made both of the division by race of aggregate income, and of racial wage differentials in particular economic sectors. A noticeable identity between the economic growth performance and racial wage differentials is evidenced both for the mining and manufacturing sectors. It appears that in the long-term, there is regularity in respect of correlations between measures of the inequality in the size distribution of income on the one hand, and the rates of investment and economic growth on the other. From this observation, it becomes evident that inequality in the distribution of personal income has been a necessary condition for the attainment of economic growth in South Africa. It is obvious that a study of this sort necessitates the use of much statistical data. In order to avoid major disturbances in the flow of the theoretical and analytical arguments through the discussion of the statistical material, the work is submitted in two volumes, viz.,Volume 1 dealing with the Theory and Analysis, and Volume II with the Statistical Foundations.
- Full Text:
- Date Issued: 1972
- Authors: Spandau, Arnt Michael Karl Max
- Date: 1972
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:21131 , http://hdl.handle.net/10962/6517
- Description: It is the purpose of this study to examine the interplay of supply and demand factors for the South African economy, and to relate this to the functional, personal, and racial distribution of incomes. On the one hand, it appears that a concentration of incomes in the hands of those who possess both the ability and willingness to save, and to utilize the savings for productive investments, is a crucial determinant for the enhancement of economic growth. On the other hand, an excessive income concentration may severely limit the purchasing power of the major part of the population, thus inhibiting domestic investment. The study is developed, partly in terms of a theory of economic development, and partly in terms of a theory of economic growth. The analysis covers the period from 1918 to the present time. Periods during which the actual economic growth would have been faster had the distribution of incomes favoured work income receivers at the expense of other income receivers, are identified by employing a short-term post-Keynesian model of functional income distribution. Periods during which an acceleration of economic growth would have been achieved had the opposite condition prevailed, are also shown. An analysis is made both of the division by race of aggregate income, and of racial wage differentials in particular economic sectors. A noticeable identity between the economic growth performance and racial wage differentials is evidenced both for the mining and manufacturing sectors. It appears that in the long-term, there is regularity in respect of correlations between measures of the inequality in the size distribution of income on the one hand, and the rates of investment and economic growth on the other. From this observation, it becomes evident that inequality in the distribution of personal income has been a necessary condition for the attainment of economic growth in South Africa. It is obvious that a study of this sort necessitates the use of much statistical data. In order to avoid major disturbances in the flow of the theoretical and analytical arguments through the discussion of the statistical material, the work is submitted in two volumes, viz.,Volume 1 dealing with the Theory and Analysis, and Volume II with the Statistical Foundations.
- Full Text:
- Date Issued: 1972
The impact of intra- and inter- regional integration on trade flows in Africa
- Authors: Taylor, Nina-Mari
- Date: 2017
- Subjects: International trade Trade blocs Regionalism
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10353/12408 , vital:39260
- Description: Regional integration is regarded as a formation which would allow African countries to improve their trade performance and economic growth. By subscribing to such a regional integration grouping, successful regional trade integration could assist African countries in achieving economies of scale, expand respective domestic markets, reduce marginalisation as well as the collective utilisation and exploitation of resources. Such achievements could, gradually, raise the competitiveness of African countries in respect of the global market. By collaborating in regional integration agreements, groups of countries are sought to increase their collective bargaining power and co-operation amongst the member countries. Regional integration can, therefore, be regarded as a necessary means by which economic development, growth and trade can be enhanced amongst African countries. The associated advantages and benefits of regional integration could improve the productive capacity of African counties and strengthen both their individual and continental position in the process of globalisation and integration into the world economy. This study endeavours to examine the impact of intra-regional integration and inter-regional integration on trade flows among and between: SADC, COMESA, ECOWAS and the EAC. The relevant theoretical and empirical literature regarding regional integration is considered as well as the challenges faced by regional economic communities in Africa. The study is based on an Augmented Gravity Model and it employs Panel Data Estimation Techniques and Panel Unit Root Tests. The Hausman test results proved the Fixed Effects Model to be the most applicable to the study. The empirical findings revealed that both intra-regional integration and inter-regional integration had a positive bearing on trade flows and between: SADC, COMESA, ECOWAS and the EAC. Hence, regional integration is concluded as having a prominent role in promoting trade flows in Africa and the study recommends that African countries and regional economic communities should pursue deeper economic integration and continental integration.
- Full Text:
- Date Issued: 2017
- Authors: Taylor, Nina-Mari
- Date: 2017
- Subjects: International trade Trade blocs Regionalism
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: http://hdl.handle.net/10353/12408 , vital:39260
- Description: Regional integration is regarded as a formation which would allow African countries to improve their trade performance and economic growth. By subscribing to such a regional integration grouping, successful regional trade integration could assist African countries in achieving economies of scale, expand respective domestic markets, reduce marginalisation as well as the collective utilisation and exploitation of resources. Such achievements could, gradually, raise the competitiveness of African countries in respect of the global market. By collaborating in regional integration agreements, groups of countries are sought to increase their collective bargaining power and co-operation amongst the member countries. Regional integration can, therefore, be regarded as a necessary means by which economic development, growth and trade can be enhanced amongst African countries. The associated advantages and benefits of regional integration could improve the productive capacity of African counties and strengthen both their individual and continental position in the process of globalisation and integration into the world economy. This study endeavours to examine the impact of intra-regional integration and inter-regional integration on trade flows among and between: SADC, COMESA, ECOWAS and the EAC. The relevant theoretical and empirical literature regarding regional integration is considered as well as the challenges faced by regional economic communities in Africa. The study is based on an Augmented Gravity Model and it employs Panel Data Estimation Techniques and Panel Unit Root Tests. The Hausman test results proved the Fixed Effects Model to be the most applicable to the study. The empirical findings revealed that both intra-regional integration and inter-regional integration had a positive bearing on trade flows and between: SADC, COMESA, ECOWAS and the EAC. Hence, regional integration is concluded as having a prominent role in promoting trade flows in Africa and the study recommends that African countries and regional economic communities should pursue deeper economic integration and continental integration.
- Full Text:
- Date Issued: 2017
A critical assessement of socially responsible investing in South Africa
- Authors: Viviers, Suzette
- Date: 2007
- Subjects: Investments -- Moral and ethical aspects
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:9293 , http://hdl.handle.net/10948/637 , http://hdl.handle.net/10948/d1011340 , Investments -- Moral and ethical aspects
- Description: This research deals with socially responsible investing (SRI) in its broadest context in South Africa and includes an analysis of the risk-adjusted performance of local SRI funds. SRI refers to an investment strategy whereby investors integrate moral as well as environmental, social and governance (ESG) considerations alongside conventional financial criteria in evaluating investment opportunities. Typical SRI strategies include screening, shareholder activism and cause-based (targeted) investing. The primary objective of this research was to obtain a deeper understanding of SRI in South Africa as it represents a powerful means whereby private sector capital can be channelled into areas of national priority. Data and methodological triangulation strategies were adopted to investigate the research problem, respond to the research questions and test the research hypotheses of this study. The phenomenological component of the research consisted of an extensive literature review as well as in-depth, face-to-face interviews conducted with twelve SRI fund managers and industry experts. The positivistic dimension of this research centred on the construction of the first complete database of SRI funds in South Africa, the sourcing of quantitative primary data and the testing of eight pairs of null and alternative hypotheses. Risk-adjusted performance was evaluated by means of the Sharpe, Sortino and Upside-potential ratios during three sub-periods, namely 1 June 1992 to 31 August 1998, 1 September 1998 to 31 March 2002 and 1 April 2002 to 31 March 2006. Forty-three SRI funds have been launched in South Africa since June 1992 and it is estimated that SRIs constitute approximately 0.7 percent of the total investment capacity in the country. It was found that most local SRI funds combine a cause-based investment strategy with a positive or best-of-sector screening approach. ESG screens were found to focus on the promotion of broad-based Black Economic Empowerment and the development of social infrastructure in South Africa. The FTSE/JSE SRI Index and the Financial Sector Charter were identified as the most prominent drivers of SRI in South Africa, whereas a lack of skills and a shortage of new SRI opportunities, asset classes and funds were seen as impediments to the growth of the local SRI sector. The empirical evidence shows that: - local SRI funds underperformed relative to their respective benchmark indices during the first two sub-periods but significantly outperformed them during sub-period three (the resurgence period of SRI in South Africa); - local SRI fund performance is not significantly different from that of a matched sample of conventional (non-SRI) funds; and - local SRI funds significantly underperformed relative to the general equity market in South Africa during sub-period two (the decline period of SRI in South Africa) but performed on a par with the FTSE/JSE All Share Index during sub-periods one and two. The findings of this research therefore suggest that investors can consider SRI funds as part of a well-diversified investment strategy. It is strongly recommended that a Social Investment Forum be established in South Africa to address the educational needs of stakeholders in the local SRI sector. It is also recommended that local asset managers adopt a focused differentiation strategy to take advantage of the growing SRI sector in South Africa.
- Full Text:
- Date Issued: 2007
- Authors: Viviers, Suzette
- Date: 2007
- Subjects: Investments -- Moral and ethical aspects
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:9293 , http://hdl.handle.net/10948/637 , http://hdl.handle.net/10948/d1011340 , Investments -- Moral and ethical aspects
- Description: This research deals with socially responsible investing (SRI) in its broadest context in South Africa and includes an analysis of the risk-adjusted performance of local SRI funds. SRI refers to an investment strategy whereby investors integrate moral as well as environmental, social and governance (ESG) considerations alongside conventional financial criteria in evaluating investment opportunities. Typical SRI strategies include screening, shareholder activism and cause-based (targeted) investing. The primary objective of this research was to obtain a deeper understanding of SRI in South Africa as it represents a powerful means whereby private sector capital can be channelled into areas of national priority. Data and methodological triangulation strategies were adopted to investigate the research problem, respond to the research questions and test the research hypotheses of this study. The phenomenological component of the research consisted of an extensive literature review as well as in-depth, face-to-face interviews conducted with twelve SRI fund managers and industry experts. The positivistic dimension of this research centred on the construction of the first complete database of SRI funds in South Africa, the sourcing of quantitative primary data and the testing of eight pairs of null and alternative hypotheses. Risk-adjusted performance was evaluated by means of the Sharpe, Sortino and Upside-potential ratios during three sub-periods, namely 1 June 1992 to 31 August 1998, 1 September 1998 to 31 March 2002 and 1 April 2002 to 31 March 2006. Forty-three SRI funds have been launched in South Africa since June 1992 and it is estimated that SRIs constitute approximately 0.7 percent of the total investment capacity in the country. It was found that most local SRI funds combine a cause-based investment strategy with a positive or best-of-sector screening approach. ESG screens were found to focus on the promotion of broad-based Black Economic Empowerment and the development of social infrastructure in South Africa. The FTSE/JSE SRI Index and the Financial Sector Charter were identified as the most prominent drivers of SRI in South Africa, whereas a lack of skills and a shortage of new SRI opportunities, asset classes and funds were seen as impediments to the growth of the local SRI sector. The empirical evidence shows that: - local SRI funds underperformed relative to their respective benchmark indices during the first two sub-periods but significantly outperformed them during sub-period three (the resurgence period of SRI in South Africa); - local SRI fund performance is not significantly different from that of a matched sample of conventional (non-SRI) funds; and - local SRI funds significantly underperformed relative to the general equity market in South Africa during sub-period two (the decline period of SRI in South Africa) but performed on a par with the FTSE/JSE All Share Index during sub-periods one and two. The findings of this research therefore suggest that investors can consider SRI funds as part of a well-diversified investment strategy. It is strongly recommended that a Social Investment Forum be established in South Africa to address the educational needs of stakeholders in the local SRI sector. It is also recommended that local asset managers adopt a focused differentiation strategy to take advantage of the growing SRI sector in South Africa.
- Full Text:
- Date Issued: 2007
Travelling shoppers' perceptions on the comprehensive servicescape within the South African retail environment
- Authors: Zinhumwe, Cephas
- Date: 2012
- Subjects: Retail trade -- Customer services -- South Africa , Consumer satisfaction -- South Africa , Consumption (Economics) -- Social aspects , Consumer behavior
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:9296 , http://hdl.handle.net/10948/d1013610
- Description: The study is on the influence of comprehensive servicescape on shopping behaviour of road and rail travelling shoppers. The comprehensive servicescape is referred to as synchronization of the multidimensional servicescape dimensions, which are the physical environment, social environment, socially symbolic and the natural dimensions into one entity that the travellers encounter during the shopping exercise. The servicescape cues that include shoppers and the physical set-up of the service firm are important in influencing service quality evaluation and consumer satisfaction. The aim of this study was to establish the impact of servicescape on travelling shoppers’ buying behaviour and shopping motivations amongst different shoppers that were identified within the South African bus and railway stations. The bus and railway station environment induces an interesting type of shopping behaviour amongst the travelers. The purpose of the study was also to explore the travelling shoppers’ expectations and perceptions on the comprehensive servicescape within the bus station’s retail environment. Additionally the study attempted to address important gaps in the South African literature in respect of the influence of socialservicescape on the buyer behaviour and hedonic motivation of travelling shopper. The questionnaires used in the study were constructed along five dimensions of service quality containing statements linked to a five-point Likert-type interval scale anchored by “strongly agree” and “strongly disagree. Self administered questionnaires were used for data collection from the travelling shoppers through “mall intercept technique” and 300 questionnaires were collected from respondents. The academia benefits from this study from the comprehensive servicescape model of the South African bus and railway stations that was developed. The study built on literature by nvestigating the influence of the comprehensive servicescapes as perceived by travelling shoppers within the South African retail environment. Additionally it was shown both theoretically and empirically, that, that service quality in high contact service environment like the bus and railway station can best be explained by an analysis of the comprehensive servicescape or the multidimensional and hierarchical model. As a result of this study retailers will have a full picture on the specific needs, perception and expectations of road and rail travellers in relation to the quality of the stations’ servicescape, which retailers have to improve in order to increase customer patronage. It is assumed that retailers will be aware that store image and the store ambience should meet the challenges of the perceptions, motivations and consumer behaviour of travellers within the comprehensive servicescape of the station. This study provides a trigger effect to spatial planners to design high quality servicescape that will attract travellers for both hedonic and utilitarian shopping. Hirschman and Holbrook (1982) believed that shoppers derive pleasure from the experience of shopping itself, regardless of the joy from acquiring goods, this more so with travelling shoppers. A bus station can be both a growth node and a tourist attraction, if its features are attractive, therefore planners can benefit from this study. In this study theory that forms the bases of the influence of social servicescape on the behaviour of travelling shoppers that frequently visit and participate in shopping at various South African bus station retail outlets is provided. Additionally, this study provided empirical information on the relationships that exist amongst the characteristics of the South African Park Stations’ physical retail environments, user perceptions and interpersonal encounters. The behaviour of shopping travellers was extensively discussed to provide the background of theories and various models concerning shopping behaviour of travellers. Through this work, clarity on consumer behavioural trends of travelling shoppers in the South African retail sector is provided, which assist in differentiating retail products, services and segmentation of markets in a way that could enhance marketing effectiveness amongst the travelling shopping segment. Special attention was paid to factors that motivate road travellers’ choice of stores; the type of products they purchase and their decision making processes. Effort were made to identify, categorize and segment shopper typologies and their shopping behaviours. Effort was also made to discuss extensively the social and physical influences of environments in a retail environment such as that of the bus and railway station. The discussions in this study focussed on describing the comprehensive servicescape model dimensions which shoppers encountered during their shopping activity. The study also indicated the significance of the interaction of service staff with the customers in determining the service quality, customer satisfaction and the future intention of travelers. Additionally this study emphasised the importance of social encounters and perceptiveness to cues within the station, which determine whether they actively or passively are involved in the shopping encounter. The research findings reveal that, travellers perceive the servicescape within the bus station as unattractive and lack appropriate facilities. Furthermore travelers considered the two dimensions (store image and store ambience) of the store’s servicescape as one composite unit of the servicescape. This position is supported in literature, where it is argued that people respond to their environment holistically, rather than to individual stimuli. The travelling shoppers reveal that although they always find the shops from the bus station clean and neat, consumers expect a certain level of ambient environmental conditions to be present. The empirical findings in this study indicate that travelling shoppers are not interested in visiting the stores at the bus and railway station for shopping because merchandise from the bus station stores is poor in quality and unreliable; the surroundings at the station as unpleasant and the bus and railway station stores are congested. Thus, hasty shopping and spending more time or stay longer than planned for shopping at the bus and railway station is not useful to travelling shoppers. Therefore, travellers feel strongly that the shopping environment of the station is not conducive to shopping. These facilities (stations) are only used for travelling purposes; therefore there is a need for improvement in the retail and station facilities in order to increase shopping activities within this servicescape. The research findings reveal that shopping at the bus station seems to be driven by traditional needs such as functional and experiential motivations as well as travelrelated needs such as busstation-atmosphere-related and bus station-infrastructurerelated motivations. It was difficult to deduce a particular typology of shoppers in this environment, but due to the stress related to travelling. Passive shopping was observed amongst travellers, which is not a positive shopping behaviour for retailers.
- Full Text:
- Date Issued: 2012
- Authors: Zinhumwe, Cephas
- Date: 2012
- Subjects: Retail trade -- Customer services -- South Africa , Consumer satisfaction -- South Africa , Consumption (Economics) -- Social aspects , Consumer behavior
- Language: English
- Type: Thesis , Doctoral , DCom
- Identifier: vital:9296 , http://hdl.handle.net/10948/d1013610
- Description: The study is on the influence of comprehensive servicescape on shopping behaviour of road and rail travelling shoppers. The comprehensive servicescape is referred to as synchronization of the multidimensional servicescape dimensions, which are the physical environment, social environment, socially symbolic and the natural dimensions into one entity that the travellers encounter during the shopping exercise. The servicescape cues that include shoppers and the physical set-up of the service firm are important in influencing service quality evaluation and consumer satisfaction. The aim of this study was to establish the impact of servicescape on travelling shoppers’ buying behaviour and shopping motivations amongst different shoppers that were identified within the South African bus and railway stations. The bus and railway station environment induces an interesting type of shopping behaviour amongst the travelers. The purpose of the study was also to explore the travelling shoppers’ expectations and perceptions on the comprehensive servicescape within the bus station’s retail environment. Additionally the study attempted to address important gaps in the South African literature in respect of the influence of socialservicescape on the buyer behaviour and hedonic motivation of travelling shopper. The questionnaires used in the study were constructed along five dimensions of service quality containing statements linked to a five-point Likert-type interval scale anchored by “strongly agree” and “strongly disagree. Self administered questionnaires were used for data collection from the travelling shoppers through “mall intercept technique” and 300 questionnaires were collected from respondents. The academia benefits from this study from the comprehensive servicescape model of the South African bus and railway stations that was developed. The study built on literature by nvestigating the influence of the comprehensive servicescapes as perceived by travelling shoppers within the South African retail environment. Additionally it was shown both theoretically and empirically, that, that service quality in high contact service environment like the bus and railway station can best be explained by an analysis of the comprehensive servicescape or the multidimensional and hierarchical model. As a result of this study retailers will have a full picture on the specific needs, perception and expectations of road and rail travellers in relation to the quality of the stations’ servicescape, which retailers have to improve in order to increase customer patronage. It is assumed that retailers will be aware that store image and the store ambience should meet the challenges of the perceptions, motivations and consumer behaviour of travellers within the comprehensive servicescape of the station. This study provides a trigger effect to spatial planners to design high quality servicescape that will attract travellers for both hedonic and utilitarian shopping. Hirschman and Holbrook (1982) believed that shoppers derive pleasure from the experience of shopping itself, regardless of the joy from acquiring goods, this more so with travelling shoppers. A bus station can be both a growth node and a tourist attraction, if its features are attractive, therefore planners can benefit from this study. In this study theory that forms the bases of the influence of social servicescape on the behaviour of travelling shoppers that frequently visit and participate in shopping at various South African bus station retail outlets is provided. Additionally, this study provided empirical information on the relationships that exist amongst the characteristics of the South African Park Stations’ physical retail environments, user perceptions and interpersonal encounters. The behaviour of shopping travellers was extensively discussed to provide the background of theories and various models concerning shopping behaviour of travellers. Through this work, clarity on consumer behavioural trends of travelling shoppers in the South African retail sector is provided, which assist in differentiating retail products, services and segmentation of markets in a way that could enhance marketing effectiveness amongst the travelling shopping segment. Special attention was paid to factors that motivate road travellers’ choice of stores; the type of products they purchase and their decision making processes. Effort were made to identify, categorize and segment shopper typologies and their shopping behaviours. Effort was also made to discuss extensively the social and physical influences of environments in a retail environment such as that of the bus and railway station. The discussions in this study focussed on describing the comprehensive servicescape model dimensions which shoppers encountered during their shopping activity. The study also indicated the significance of the interaction of service staff with the customers in determining the service quality, customer satisfaction and the future intention of travelers. Additionally this study emphasised the importance of social encounters and perceptiveness to cues within the station, which determine whether they actively or passively are involved in the shopping encounter. The research findings reveal that, travellers perceive the servicescape within the bus station as unattractive and lack appropriate facilities. Furthermore travelers considered the two dimensions (store image and store ambience) of the store’s servicescape as one composite unit of the servicescape. This position is supported in literature, where it is argued that people respond to their environment holistically, rather than to individual stimuli. The travelling shoppers reveal that although they always find the shops from the bus station clean and neat, consumers expect a certain level of ambient environmental conditions to be present. The empirical findings in this study indicate that travelling shoppers are not interested in visiting the stores at the bus and railway station for shopping because merchandise from the bus station stores is poor in quality and unreliable; the surroundings at the station as unpleasant and the bus and railway station stores are congested. Thus, hasty shopping and spending more time or stay longer than planned for shopping at the bus and railway station is not useful to travelling shoppers. Therefore, travellers feel strongly that the shopping environment of the station is not conducive to shopping. These facilities (stations) are only used for travelling purposes; therefore there is a need for improvement in the retail and station facilities in order to increase shopping activities within this servicescape. The research findings reveal that shopping at the bus station seems to be driven by traditional needs such as functional and experiential motivations as well as travelrelated needs such as busstation-atmosphere-related and bus station-infrastructurerelated motivations. It was difficult to deduce a particular typology of shoppers in this environment, but due to the stress related to travelling. Passive shopping was observed amongst travellers, which is not a positive shopping behaviour for retailers.
- Full Text:
- Date Issued: 2012