Interest rate pass-through in Cameroon and Nigeria: a comparative analysis
- Authors: Tita, Anthanasius Fomum
- Date: 2012
- Subjects: Interest rates -- Cameroon Interest rates -- Nigeria Interest rates -- Effect of inflation on -- Cameroon Interest rates -- Effect of inflation on -- Nigeria Interest rates -- Econometric models Cointegration Monetary policy -- Cameroon Monetary policy -- Nigeria Banque des états de l'Afrique centrale Banks and banking -- Cameroon Banks and banking -- Nigeria
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1005 , http://hdl.handle.net/10962/d1002740
- Description: One of the most important aspects of monetary policy is an understanding of the transmission process: the mechanism through which the monetary policy actions of the Central Bank impact on aggregate demand and prices by influencing the investment and consumption decisions of households and firms. Thus, commercial banks are regarded as conveyers of monetary policy shocks and are expected to adjust retail interest rates in response to policy shocks one-to-one. In practice, commercial banks adjust their retail rates in response to changes in monetary policy with a lag of several months and this delay is often viewed as an impediment on the ability of the Central Bank to steer the economy. Several reasons, such as credit rationing and adverse selection, switching costs, risk sharing, consumer irrationality, structure of the financial system, menu costs and asymmetric information are some of the causes advanced for commercial banks retail rates being sticky. In spite of the important role of pass-through analysis in the monetary policy transmission process, it has received very little attention in Sub-Saharan Africa, especially in Cameroon and Nigeria, which have implemented a series of reforms. To this end, this study gives a comparative analysis of interest rate pass-through in Nigeria and Cameroon using retail rates (lending and deposit) and a discount rate (policy rate) from January 1990 to December 2010 for Nigeria and from January 1990 to June 2008 for Cameroon. The study examines the magnitude and speed of retail rate adjustments to changes in the Central Bank policy rate as well as examining the possibility of symmetric and asymmetric pass-through in both countries. In addition, the study also investigates whether there is pass-through of monetary policy from one country to the other. The empirical analysis employs four different types of co-integration techniques to test the presence of a long run co-integrating relationship between retail and the policy rates in order to ensure that the relationship detected is robust. Three sets of analyses are carried out in the study. Following Cottarelli and Kourelis (1994), the study employed a co-integration technique, firstly, to analyse pass-through for the entire sample, secondly, to analyse symmetric and asymmetric pass-through using a ten year rolling window analysis in an error correction framework. Finally, the policy rates were swapped around to investigate if there are transmissions of impulses from one country to the other. Overall, evidence from the entire sample and rolling window analysis suggests that monetary policy in Cameroon is less effective. This is perhaps one of the reasons why the Banque Des Etats De L’Afrique Centrale (BEAC) is unable to sterilise the excess liquidity of the banking sector in Cameroon. The long run pass-through of 0.72 and 0.71 for the entire sample, and the average long run pass-through for the rolling window of 0.78 and 0.76 for the lending and deposit rates, suggest that monetary policy is highly effective in Nigeria compared to Cameroon. The empirical evidence confirmed asymmetric adjustment in six rolling windows in the lending rate in Nigeria. Three rolling windows indicated that the direction of rigidity is downward, supporting Scholnick’s (1996) collusive pricing arrangement between banks, and the other three suggested that the lending rate is rigid in the upward direction, corroborating Scholnick’s (1996) customer reaction hypothesis. The deposit rate in Cameroon was also found to adjust asymmetrically and the direction of rigidity is downward, supporting Hannan and Berger’s (1991) customer reaction hypothesis. The investigation of impulse transmission between the two countries revealed that only the policy rate in Nigeria exerts some influence on the deposit rate in Cameroon. Policy recommendations are also discussed.
- Full Text:
- Date Issued: 2012
- Authors: Tita, Anthanasius Fomum
- Date: 2012
- Subjects: Interest rates -- Cameroon Interest rates -- Nigeria Interest rates -- Effect of inflation on -- Cameroon Interest rates -- Effect of inflation on -- Nigeria Interest rates -- Econometric models Cointegration Monetary policy -- Cameroon Monetary policy -- Nigeria Banque des états de l'Afrique centrale Banks and banking -- Cameroon Banks and banking -- Nigeria
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1005 , http://hdl.handle.net/10962/d1002740
- Description: One of the most important aspects of monetary policy is an understanding of the transmission process: the mechanism through which the monetary policy actions of the Central Bank impact on aggregate demand and prices by influencing the investment and consumption decisions of households and firms. Thus, commercial banks are regarded as conveyers of monetary policy shocks and are expected to adjust retail interest rates in response to policy shocks one-to-one. In practice, commercial banks adjust their retail rates in response to changes in monetary policy with a lag of several months and this delay is often viewed as an impediment on the ability of the Central Bank to steer the economy. Several reasons, such as credit rationing and adverse selection, switching costs, risk sharing, consumer irrationality, structure of the financial system, menu costs and asymmetric information are some of the causes advanced for commercial banks retail rates being sticky. In spite of the important role of pass-through analysis in the monetary policy transmission process, it has received very little attention in Sub-Saharan Africa, especially in Cameroon and Nigeria, which have implemented a series of reforms. To this end, this study gives a comparative analysis of interest rate pass-through in Nigeria and Cameroon using retail rates (lending and deposit) and a discount rate (policy rate) from January 1990 to December 2010 for Nigeria and from January 1990 to June 2008 for Cameroon. The study examines the magnitude and speed of retail rate adjustments to changes in the Central Bank policy rate as well as examining the possibility of symmetric and asymmetric pass-through in both countries. In addition, the study also investigates whether there is pass-through of monetary policy from one country to the other. The empirical analysis employs four different types of co-integration techniques to test the presence of a long run co-integrating relationship between retail and the policy rates in order to ensure that the relationship detected is robust. Three sets of analyses are carried out in the study. Following Cottarelli and Kourelis (1994), the study employed a co-integration technique, firstly, to analyse pass-through for the entire sample, secondly, to analyse symmetric and asymmetric pass-through using a ten year rolling window analysis in an error correction framework. Finally, the policy rates were swapped around to investigate if there are transmissions of impulses from one country to the other. Overall, evidence from the entire sample and rolling window analysis suggests that monetary policy in Cameroon is less effective. This is perhaps one of the reasons why the Banque Des Etats De L’Afrique Centrale (BEAC) is unable to sterilise the excess liquidity of the banking sector in Cameroon. The long run pass-through of 0.72 and 0.71 for the entire sample, and the average long run pass-through for the rolling window of 0.78 and 0.76 for the lending and deposit rates, suggest that monetary policy is highly effective in Nigeria compared to Cameroon. The empirical evidence confirmed asymmetric adjustment in six rolling windows in the lending rate in Nigeria. Three rolling windows indicated that the direction of rigidity is downward, supporting Scholnick’s (1996) collusive pricing arrangement between banks, and the other three suggested that the lending rate is rigid in the upward direction, corroborating Scholnick’s (1996) customer reaction hypothesis. The deposit rate in Cameroon was also found to adjust asymmetrically and the direction of rigidity is downward, supporting Hannan and Berger’s (1991) customer reaction hypothesis. The investigation of impulse transmission between the two countries revealed that only the policy rate in Nigeria exerts some influence on the deposit rate in Cameroon. Policy recommendations are also discussed.
- Full Text:
- Date Issued: 2012
Analyzing the Anthropogenic Allee Effect in cycad (Encephalartos species) populations in South Africa: an evaluation of illegal trade and conservation policy
- Authors: Earle, Sasha
- Date: 2019
- Subjects: Allee effect , Cycads -- Conservation -- South Africa , Botany, Economic -- South Africa , Rare plants -- South Africa , Endangered plants -- South Africa , Wild plant trade -- Law and legislation -- South Africa
- Language: English
- Type: text , Thesis , Masters , Mcom
- Identifier: http://hdl.handle.net/10962/95565 , vital:31171
- Description: South Africa is a country known for rich biodiversity and ecosystems across the land and seascape. South Africa is one of the global hotspots for cycad diversity. Cycads are known to be the world’s most threatened plant species; declining in South Africa at a rapid pace, with threat of extinction in the wild. The main factor being harvesting from the wild for private collections. Rare cycad species’ are especially sought after by collectors. Economic theory assumes that the exploitation of a species is unlikely to result in extinction due to the increasing costs of finding the last few individuals of a species. However, the theory of the Anthropogenic Allee Effect (AAE) suggests that if consumers place a disproportionate value on a rare species’, a cycle may result whereby increased exploitation decreases population size, increasing the value of the species and, consequently, leading to its extinction in the wild. This hypothesis was tested for 37 Encephalartos species using data collected on wild populations, auction prices and the IUCN Red List status for the year 2010. It was hypothesised that an AAE was present within Encephalartos species, as three species have already gone extinct in the wild. The price per centimetre was positively correlated to the rarity of the species and the price per centimetre was negatively correlated to the wild population size. The results suggest a trend of an AAE for the year 2010. Adequate conservation policies are needed to reduce the effects of demand on illegal harvesting and prevent extinction in the wild. The effect of rarity needs to be taken into account to ensure successfulness of such policies. The most recent conservation policy implemented to protect cycads in South Africa is the Strategy and Action for the Management of Cycads in South Africa, which was introduced in 2016. The successfulness of this policy cannot, however, be analysed due to a lack of census data following its implementation.
- Full Text:
- Date Issued: 2019
- Authors: Earle, Sasha
- Date: 2019
- Subjects: Allee effect , Cycads -- Conservation -- South Africa , Botany, Economic -- South Africa , Rare plants -- South Africa , Endangered plants -- South Africa , Wild plant trade -- Law and legislation -- South Africa
- Language: English
- Type: text , Thesis , Masters , Mcom
- Identifier: http://hdl.handle.net/10962/95565 , vital:31171
- Description: South Africa is a country known for rich biodiversity and ecosystems across the land and seascape. South Africa is one of the global hotspots for cycad diversity. Cycads are known to be the world’s most threatened plant species; declining in South Africa at a rapid pace, with threat of extinction in the wild. The main factor being harvesting from the wild for private collections. Rare cycad species’ are especially sought after by collectors. Economic theory assumes that the exploitation of a species is unlikely to result in extinction due to the increasing costs of finding the last few individuals of a species. However, the theory of the Anthropogenic Allee Effect (AAE) suggests that if consumers place a disproportionate value on a rare species’, a cycle may result whereby increased exploitation decreases population size, increasing the value of the species and, consequently, leading to its extinction in the wild. This hypothesis was tested for 37 Encephalartos species using data collected on wild populations, auction prices and the IUCN Red List status for the year 2010. It was hypothesised that an AAE was present within Encephalartos species, as three species have already gone extinct in the wild. The price per centimetre was positively correlated to the rarity of the species and the price per centimetre was negatively correlated to the wild population size. The results suggest a trend of an AAE for the year 2010. Adequate conservation policies are needed to reduce the effects of demand on illegal harvesting and prevent extinction in the wild. The effect of rarity needs to be taken into account to ensure successfulness of such policies. The most recent conservation policy implemented to protect cycads in South Africa is the Strategy and Action for the Management of Cycads in South Africa, which was introduced in 2016. The successfulness of this policy cannot, however, be analysed due to a lack of census data following its implementation.
- Full Text:
- Date Issued: 2019
Equilibrium, expectations and information : a study of the general theory, the neo-classical synthesis and modern classical macroeconomics
- Authors: Torr, Christopher
- Date: 1984
- Subjects: Macroeconomics Equilibrium (Economics) Economics
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: vital:1035 , http://hdl.handle.net/10962/d1004515
- Description: From Introduction: It is now nearly 50 years since the appearance of Keynes's General Theory of Employment, Interest and Money and the stream of articles and books on what Keynes really meant or didn't mean shows no sign of abating. In part, this dissertation is a contribution to this voluminous literature, but what follows is hardly an attempt to provide an exhaustive interpretation. Instead the General Theory is examined from a certain angle, with the title "Equilibrium, Expectations and Information" providing the framework for the investigation. That the title has been borrowed from G.B. Richdrdson's 1959 Economic Journal article is no accident. Richardson's work has been unduly neglected and his trichotomy serves as a convenient platform from which to analyse Keynes's method and those of his interpreters, in particular the approaches stemming from the work of Clower and Leijonhufvud. The information structure of the Walrasian type of general equilibrium model is also examined as the latter forms the basis of both the neo-classical interpretation of Keynes's contribution and the rational expectations approach that will be discussed. Finally Richardson's framework is applied in an analysis of two modern classical schools of thought, namely the rational expectations approach headed by Lucas, and the neoRicardian school amongst which Garegnani, Eatwell and Milgate, for example, are prominent. In a sentence, therefore, what follows is an examination of the General Theory and certain interpretations thereof as well as an analysis of modern classical macroeconomics, with the equilibrium-expectations-information framework providing the unifying theme. As will become apparent, the framework does not consist of three watertight compartments. For example, whether a system is in equilibrium or not will depend on whether the expectations of those who have the ablility to effect change are realised. The specification of which agents have this power will depend on the information with which the model builder endows the agents in the model. In discussing this, attention is drawn to Keynes's important distinction between an entrepreneur economy and a cooperative economy. The distinction between the information available to the model builder and that with which he endows the agents in the model is also emphasized.
- Full Text:
- Date Issued: 1984
- Authors: Torr, Christopher
- Date: 1984
- Subjects: Macroeconomics Equilibrium (Economics) Economics
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: vital:1035 , http://hdl.handle.net/10962/d1004515
- Description: From Introduction: It is now nearly 50 years since the appearance of Keynes's General Theory of Employment, Interest and Money and the stream of articles and books on what Keynes really meant or didn't mean shows no sign of abating. In part, this dissertation is a contribution to this voluminous literature, but what follows is hardly an attempt to provide an exhaustive interpretation. Instead the General Theory is examined from a certain angle, with the title "Equilibrium, Expectations and Information" providing the framework for the investigation. That the title has been borrowed from G.B. Richdrdson's 1959 Economic Journal article is no accident. Richardson's work has been unduly neglected and his trichotomy serves as a convenient platform from which to analyse Keynes's method and those of his interpreters, in particular the approaches stemming from the work of Clower and Leijonhufvud. The information structure of the Walrasian type of general equilibrium model is also examined as the latter forms the basis of both the neo-classical interpretation of Keynes's contribution and the rational expectations approach that will be discussed. Finally Richardson's framework is applied in an analysis of two modern classical schools of thought, namely the rational expectations approach headed by Lucas, and the neoRicardian school amongst which Garegnani, Eatwell and Milgate, for example, are prominent. In a sentence, therefore, what follows is an examination of the General Theory and certain interpretations thereof as well as an analysis of modern classical macroeconomics, with the equilibrium-expectations-information framework providing the unifying theme. As will become apparent, the framework does not consist of three watertight compartments. For example, whether a system is in equilibrium or not will depend on whether the expectations of those who have the ablility to effect change are realised. The specification of which agents have this power will depend on the information with which the model builder endows the agents in the model. In discussing this, attention is drawn to Keynes's important distinction between an entrepreneur economy and a cooperative economy. The distinction between the information available to the model builder and that with which he endows the agents in the model is also emphasized.
- Full Text:
- Date Issued: 1984
Agricultural-based commodity chains and development: the case of the tobacco sector in Zimbabwe
- Authors: Thring, Stephen Richard
- Date: 2017
- Language: English
- Type: Thesis , Masters , MSocSc
- Identifier: http://hdl.handle.net/10962/5337 , vital:20814
- Description: This thesis examines the nature of governance in the Zimbabwean tobacco value chain and what upgrading implications this has for participants at the lower end of the value chain, with a particular focus on smallholder tobacco growers. The nature of governance and upgrading opportunities will provide further implications for broader economic development in Zimbabwe. Value chain analysis was the over-arching method, adopting a mixed methods approach of both quantitative and qualitative data analysis. Data attained from the Tobacco and Industry Marketing Board (TIMB) was used to construct a Zimbabwean tobacco profile. This information was used to construct a simple Global Value Chain (GVC) framework in order to obtain an understanding of the Zimbabwean tobacco value chain. Information was gathered at the top end of the value chain via documents and data from British American Tobacco (BAT) and information was gathered at the middle and lower end of the value chain through interviews. It was found that the Zimbabwean tobacco value chain is characterised by two types of governance: modular and hierarchy. Modular governance existed where the value chain was disjointed by the leaf merchant and hierarchy governance existed where cigarette manufacturers have vertically integrated themselves backwards into the tobacco growing segment. It was found that contract lines offer smallholder tobacco growers’ financial and technical support that would otherwise be difficult to attain. This increased the likelihood for smallholder tobacco growers to produce a high quality crop that met Good Agricultural Practices (GAP) and other compliancy requirements; therefore achieving product and process upgrading. However, the environmental impact of tobacco growing through deforestation and the possibility of lead cigarette manufacturers relocating their operations to a different geographical location (as is the nature of GVCs) threatens the sustainability of Zimbabwe’s tobacco industry. Despite these issues it was argued that the tobacco value chain could assist Zimbabwe’s economy in diversifying away from simple tobacco production towards valueadding tobacco sectors, such as processing, by-product processing and cigarette manufacturing.
- Full Text:
- Date Issued: 2017
- Authors: Thring, Stephen Richard
- Date: 2017
- Language: English
- Type: Thesis , Masters , MSocSc
- Identifier: http://hdl.handle.net/10962/5337 , vital:20814
- Description: This thesis examines the nature of governance in the Zimbabwean tobacco value chain and what upgrading implications this has for participants at the lower end of the value chain, with a particular focus on smallholder tobacco growers. The nature of governance and upgrading opportunities will provide further implications for broader economic development in Zimbabwe. Value chain analysis was the over-arching method, adopting a mixed methods approach of both quantitative and qualitative data analysis. Data attained from the Tobacco and Industry Marketing Board (TIMB) was used to construct a Zimbabwean tobacco profile. This information was used to construct a simple Global Value Chain (GVC) framework in order to obtain an understanding of the Zimbabwean tobacco value chain. Information was gathered at the top end of the value chain via documents and data from British American Tobacco (BAT) and information was gathered at the middle and lower end of the value chain through interviews. It was found that the Zimbabwean tobacco value chain is characterised by two types of governance: modular and hierarchy. Modular governance existed where the value chain was disjointed by the leaf merchant and hierarchy governance existed where cigarette manufacturers have vertically integrated themselves backwards into the tobacco growing segment. It was found that contract lines offer smallholder tobacco growers’ financial and technical support that would otherwise be difficult to attain. This increased the likelihood for smallholder tobacco growers to produce a high quality crop that met Good Agricultural Practices (GAP) and other compliancy requirements; therefore achieving product and process upgrading. However, the environmental impact of tobacco growing through deforestation and the possibility of lead cigarette manufacturers relocating their operations to a different geographical location (as is the nature of GVCs) threatens the sustainability of Zimbabwe’s tobacco industry. Despite these issues it was argued that the tobacco value chain could assist Zimbabwe’s economy in diversifying away from simple tobacco production towards valueadding tobacco sectors, such as processing, by-product processing and cigarette manufacturing.
- Full Text:
- Date Issued: 2017
How integrated are the African stock exchanges?: evidence from long term comovement, returns and volatility spillovers
- Kambadza, Tinashe Harry Dumile
- Authors: Kambadza, Tinashe Harry Dumile
- Date: 2011
- Subjects: Stock exchanges -- Africa Money market -- Africa Globalization -- Economic aspects -- Africa International economic relations
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1017 , http://hdl.handle.net/10962/d1002752
- Description: Stock market linkages have implications for portfolio diversification, asset pricing, monetary and regulatory policy as well as financial stability. This study examines the extent to which African stock markets are linked using daily data for the period 2000-2010. The study is divided into three main parts each focussing on the ways in which integration of the stock markets can be viewed. Firstly, we analyse the long run co-movement of the stock markets using both bivariate and multivariate Johansen (1988) and Johansen and Juselius (1990) cointegration approaches. Secondly, we analyse returns linkages using Factor analysis and the Vector Autoregressive (VAR) models. In the Factor Analysis model, we used two extraction methods, namely Principal Component Analysis and the Maximurn Likelihood technique. The VAR model was extended with impulse response, variance decomposition and block exogeniety. Thirdly, we analyse the behaviour of volatility and the volatility linkages among the stock markets. We initially analysed and modelled volatility in each stock market using the GARCH, EGARCH and GJR GARCH and then examined the long-term trend of the volatility. Conditional volatility series for each country were then estimated using the most appropriate model and were analysed using VAR, block exogeniety, impulse response and variance decomposition to determine the extent of their linkages. The findings of the study are as follows: Both the bivariate and multivariate models found slim evidence of cointegration amongst the stock markets, suggesting that there were opportunities for portfolio diversification for investors. In general, the financial crisis had very little impact on the long-run relationships of the stock markets. Results for the returns linkages showed that there were limited retums linkages with the exceptions of South African-Namibia and Egypt-Morocco to a lesser extent. South Africa was found to be the most endogenous, whilst Ghana and Nigeria were the most exogenous on the continent. We regards to volatility, we found that it was asymmetric and persistent across all the stock markets with long term trend of volatility showing that it significantly increased for most of the markets. Finally, there were limited volatility linkages, only between South Africa, Egypt and Namibia, implying that African stock markets are still largely segmented from each other. However, the linkages between South Africa and Egypt could have negative effects as they could lead to the spread of contagion effects during times of crises. Therefore, policymakers should consider revising and improving policies to enhance economic integration on the continent.
- Full Text:
- Date Issued: 2011
- Authors: Kambadza, Tinashe Harry Dumile
- Date: 2011
- Subjects: Stock exchanges -- Africa Money market -- Africa Globalization -- Economic aspects -- Africa International economic relations
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1017 , http://hdl.handle.net/10962/d1002752
- Description: Stock market linkages have implications for portfolio diversification, asset pricing, monetary and regulatory policy as well as financial stability. This study examines the extent to which African stock markets are linked using daily data for the period 2000-2010. The study is divided into three main parts each focussing on the ways in which integration of the stock markets can be viewed. Firstly, we analyse the long run co-movement of the stock markets using both bivariate and multivariate Johansen (1988) and Johansen and Juselius (1990) cointegration approaches. Secondly, we analyse returns linkages using Factor analysis and the Vector Autoregressive (VAR) models. In the Factor Analysis model, we used two extraction methods, namely Principal Component Analysis and the Maximurn Likelihood technique. The VAR model was extended with impulse response, variance decomposition and block exogeniety. Thirdly, we analyse the behaviour of volatility and the volatility linkages among the stock markets. We initially analysed and modelled volatility in each stock market using the GARCH, EGARCH and GJR GARCH and then examined the long-term trend of the volatility. Conditional volatility series for each country were then estimated using the most appropriate model and were analysed using VAR, block exogeniety, impulse response and variance decomposition to determine the extent of their linkages. The findings of the study are as follows: Both the bivariate and multivariate models found slim evidence of cointegration amongst the stock markets, suggesting that there were opportunities for portfolio diversification for investors. In general, the financial crisis had very little impact on the long-run relationships of the stock markets. Results for the returns linkages showed that there were limited retums linkages with the exceptions of South African-Namibia and Egypt-Morocco to a lesser extent. South Africa was found to be the most endogenous, whilst Ghana and Nigeria were the most exogenous on the continent. We regards to volatility, we found that it was asymmetric and persistent across all the stock markets with long term trend of volatility showing that it significantly increased for most of the markets. Finally, there were limited volatility linkages, only between South Africa, Egypt and Namibia, implying that African stock markets are still largely segmented from each other. However, the linkages between South Africa and Egypt could have negative effects as they could lead to the spread of contagion effects during times of crises. Therefore, policymakers should consider revising and improving policies to enhance economic integration on the continent.
- Full Text:
- Date Issued: 2011
Sectoral co-integration and portfolio diversification benefits: a business cycle examination of South African equity sectors
- Authors: Hofisi, Tinashe S
- Date: 2020
- Subjects: Portfolio management -- South Africa , Investments -- South Africa , Investments, South African , Stocks -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/146379 , vital:38521
- Description: The onset of globalisation and simultaneous changes in financial technology and financial reforms dissipated hurdles once faced in financial transactions among stock markets. Hence, stock markets around the world became increasingly integrated because there was a free flow of cross border investments. Consequently, international diversification diminished thereby undermining the ability of investors to diversify investments across borders. For that reason, recent literature on portfolio diversification is urging investors to shift their focus to domestic portfolio diversification as an alternative. On that account, this study aims to examine the co-integration and dynamic causalities between South African equity market sectors in order to ascertain the sectoral diversification opportunities available to domestic investors over time. The study was examined over the different phases of the business cycle as well as the full sample, i.e. 2004 – 2018, with a view to shedding light on the inter-sectoral diversification opportunities of domestic investors over the South African business cycle. The phases of the business cycle applied are a| expansion and boom; b| recession and recovery phase and c| stagnation phase. The Johansen co-integration and Granger-causality tests were employed. The hypothesis of the study is that, if sectors are not cointegrated, then diversification benefits can be reaped by constructing a portfolio that combines stocks from the respective sectors. On the whole, the findings of this study show that there are both long-run and short-run diversification opportunities across the different phases of the South African business cycle as well as the full sample. However, there are lesser diversification opportunities in the recession and recovery phase over both the long-run and short-run. These results indicate that domestic sectoral portfolio diversification is least effective when it is needed the most (i.e. in a period of heightened volatility such as recession and recovery phase). This study will contribute to the existing literature in two ways; firstly, to investors who intend to diversify their portfolios domestically rather than internationally and, secondly, after reasonably thorough research it was evident that there is scant literature on domestic sectoral diversification in South Africa. As a result, the study attempts to address this gap. Additionally, the essence of the business cycle in this study is to make investors aware of potential diversification opportunities when positioning their portfolios for the next shift in the business cycle.
- Full Text:
- Date Issued: 2020
- Authors: Hofisi, Tinashe S
- Date: 2020
- Subjects: Portfolio management -- South Africa , Investments -- South Africa , Investments, South African , Stocks -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/146379 , vital:38521
- Description: The onset of globalisation and simultaneous changes in financial technology and financial reforms dissipated hurdles once faced in financial transactions among stock markets. Hence, stock markets around the world became increasingly integrated because there was a free flow of cross border investments. Consequently, international diversification diminished thereby undermining the ability of investors to diversify investments across borders. For that reason, recent literature on portfolio diversification is urging investors to shift their focus to domestic portfolio diversification as an alternative. On that account, this study aims to examine the co-integration and dynamic causalities between South African equity market sectors in order to ascertain the sectoral diversification opportunities available to domestic investors over time. The study was examined over the different phases of the business cycle as well as the full sample, i.e. 2004 – 2018, with a view to shedding light on the inter-sectoral diversification opportunities of domestic investors over the South African business cycle. The phases of the business cycle applied are a| expansion and boom; b| recession and recovery phase and c| stagnation phase. The Johansen co-integration and Granger-causality tests were employed. The hypothesis of the study is that, if sectors are not cointegrated, then diversification benefits can be reaped by constructing a portfolio that combines stocks from the respective sectors. On the whole, the findings of this study show that there are both long-run and short-run diversification opportunities across the different phases of the South African business cycle as well as the full sample. However, there are lesser diversification opportunities in the recession and recovery phase over both the long-run and short-run. These results indicate that domestic sectoral portfolio diversification is least effective when it is needed the most (i.e. in a period of heightened volatility such as recession and recovery phase). This study will contribute to the existing literature in two ways; firstly, to investors who intend to diversify their portfolios domestically rather than internationally and, secondly, after reasonably thorough research it was evident that there is scant literature on domestic sectoral diversification in South Africa. As a result, the study attempts to address this gap. Additionally, the essence of the business cycle in this study is to make investors aware of potential diversification opportunities when positioning their portfolios for the next shift in the business cycle.
- Full Text:
- Date Issued: 2020
Preservation or exploitation? : a study of the development of the mining rights legislation on the Witwatersrand goldfields from 1886 to 2008
- Authors: Stott, Joan
- Date: 2009
- Subjects: Ostrom, Elinor Chamber of Mines of South Africa Gold mines and mining -- South Africa -- Witwatersrand -- History Mineral industries -- Finance -- South Africa Mining law -- South Africa
- Language: English
- Type: Thesis , Masters , MEcon
- Identifier: vital:988 , http://hdl.handle.net/10962/d1002723
- Description: Elinor Ostrom (2005: 238) assumes that in understanding the make up and behaviour of institutional systems governing natural resources: “Resource users are explicitly thought of as rational egoists who plunder local resources so as to maximise their own short-term benefits. Government officials are implicitly depicted, on the other hand, as seeking, the more general public interest, having the relevant information at hand and the capability of designing optimal policies.” This thesis examines the validity of this assumption through an historical analysis of the deep-level gold mining industry of the Witwatersrand, South Africa. The main focus of the assessment is on the institutions of ownership – that is, the development of mining rights and title legislation between 1886 and 2008. The study looks at the legislations’ transformation and implementation from the perspective of the gold mining industry – made up of the mining finance houses and the Chamber of Mines of South Africa – and that of the state. The transformation of the mining industry’s institutional framework was both a choice by government as well as that of the firms in the mining industry. The theoretical framework is constructed from four areas of economic thought. These include: the neoclassical and Keynesian schools of macroeconomic thought; industrial organisation and its relevance to the relationship between firms and the market; institutional and new institutional economics; and finally property rights. The determinants of policy design and the impact of such design on firms and industry is examined. The development, implementation and use of the aforementioned legislation is examined from two perspectives, namely, that of preserver or exploiter. Throughout the history of this prominent South African industry, the motivation for action from the industry or government has oscillated between the two extremes of preserver or exploiter over the time period examined. The conclusion is drawn on an overall and broad focus of actions – with a strong focus on the most recent developments in mining legislation – post-1992.
- Full Text:
- Date Issued: 2009
- Authors: Stott, Joan
- Date: 2009
- Subjects: Ostrom, Elinor Chamber of Mines of South Africa Gold mines and mining -- South Africa -- Witwatersrand -- History Mineral industries -- Finance -- South Africa Mining law -- South Africa
- Language: English
- Type: Thesis , Masters , MEcon
- Identifier: vital:988 , http://hdl.handle.net/10962/d1002723
- Description: Elinor Ostrom (2005: 238) assumes that in understanding the make up and behaviour of institutional systems governing natural resources: “Resource users are explicitly thought of as rational egoists who plunder local resources so as to maximise their own short-term benefits. Government officials are implicitly depicted, on the other hand, as seeking, the more general public interest, having the relevant information at hand and the capability of designing optimal policies.” This thesis examines the validity of this assumption through an historical analysis of the deep-level gold mining industry of the Witwatersrand, South Africa. The main focus of the assessment is on the institutions of ownership – that is, the development of mining rights and title legislation between 1886 and 2008. The study looks at the legislations’ transformation and implementation from the perspective of the gold mining industry – made up of the mining finance houses and the Chamber of Mines of South Africa – and that of the state. The transformation of the mining industry’s institutional framework was both a choice by government as well as that of the firms in the mining industry. The theoretical framework is constructed from four areas of economic thought. These include: the neoclassical and Keynesian schools of macroeconomic thought; industrial organisation and its relevance to the relationship between firms and the market; institutional and new institutional economics; and finally property rights. The determinants of policy design and the impact of such design on firms and industry is examined. The development, implementation and use of the aforementioned legislation is examined from two perspectives, namely, that of preserver or exploiter. Throughout the history of this prominent South African industry, the motivation for action from the industry or government has oscillated between the two extremes of preserver or exploiter over the time period examined. The conclusion is drawn on an overall and broad focus of actions – with a strong focus on the most recent developments in mining legislation – post-1992.
- Full Text:
- Date Issued: 2009
Human resources in the Cape midlands
- Authors: Truu, Mihkel Lemmit
- Date: 1972
- Subjects: Human capital -- South Africa Personnel management -- South Africa -- Cape of Good Hope.
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: vital:1056 , http://hdl.handle.net/10962/d1007288
- Description: From Preface: Although Alfred Marshall's definition of economics has been criticised for its allegedly narrow conception of the subject, it is sometimes overlooked that he considered the study of wealth but one side of the matter. To Marshall, the other and "more important" side of economics was that it also forms "a part of the study of man". The basic thought which underlies the present study is a similar one, namely, that economics is not only concerned with goods and service, but also with men and human action. It is spatially confined to an analysis of the human resources in a region consisting of 21 magisterial districts in the Eastern Cape Province, which cover an area of 72, 462 square kilometres, collectively described here as the Cape Midlands.
- Full Text:
- Date Issued: 1972
- Authors: Truu, Mihkel Lemmit
- Date: 1972
- Subjects: Human capital -- South Africa Personnel management -- South Africa -- Cape of Good Hope.
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: vital:1056 , http://hdl.handle.net/10962/d1007288
- Description: From Preface: Although Alfred Marshall's definition of economics has been criticised for its allegedly narrow conception of the subject, it is sometimes overlooked that he considered the study of wealth but one side of the matter. To Marshall, the other and "more important" side of economics was that it also forms "a part of the study of man". The basic thought which underlies the present study is a similar one, namely, that economics is not only concerned with goods and service, but also with men and human action. It is spatially confined to an analysis of the human resources in a region consisting of 21 magisterial districts in the Eastern Cape Province, which cover an area of 72, 462 square kilometres, collectively described here as the Cape Midlands.
- Full Text:
- Date Issued: 1972
Financial system development and economic growth in selected African countries: evidence from a panel cointegration analysis
- Authors: Starkey, Randall Ashley
- Date: 2011
- Subjects: Economic development -- Africa Economic development -- Developing countries Banks and banking -- Africa Banks and banking -- Developing countries Stock exchanges -- Africa Stock exchanges -- Developing countries Econometric models Economic policy -- Africa Economic policy -- Developing countries
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:979 , http://hdl.handle.net/10962/d1002713
- Description: Financial systems (i.e. banking systems and stock markets) can influence economic growth by performing the five key financial functions, namely: mobilising savings, allocating capital, easing of exchange, monitoring and exerting corporate governance, as well as ameliorating risk. The level of development of the financial system is a key determinant of how effectively and efficiently these functions are performed. This study examines the short-run and long-run relationships between financial system development and economic growth for a panel of seven African countries (namely: Egypt, Ivory Coast, Kenya, Morocco, Nigeria, South Africa and Tunisia) covering the period 1988 to 2008. While numerous empirical studies have researched this topic, none of the previous African empirical literature have investigated thjs by using three groups of financial development measures (i.e. overall financial development, banking system development and stock market development measures) as well as employing panel cointegration analyses. The investigation of the long-run finance-growth relationship is conducted using two methods; the Pedroni panel cointegration approach and the Kao panel cointegration technique. The Pedroni panel cointegracion approach is more often applied in empirical research as it has less restrictive deterministic trend assumptions, while the Kao panel cointegration technique is employed in this study for comparison purposes. Furthermore, the short-run linkages bet\veen financial development and economic growth are analysed using the Holtz-Eakin d of (1989) panel Granger causality test. The results of the Pedroni cointegration tests show that there are long-run relationships between overall financial development (measured by LOFD and OFD2) and economic growth, banking system development (measured by LPSC) and economic growth, as well as stock marker development (measured by LMCP and LVLT) and economic growth. In contrast, the Kao test fails to find any cointegration between finance and growth. However, on the balance, findings largely support a conclusion of cointegration between financial development and economic growth since the Pedroni approach is more appropriate for examining cointegration in heterogeneous panels. Estimates of these long-run cointegrating relationships show that all five financial development measures have the expected positive linkages with growth. However, only four of the five financial development measures were found to have significant long-run linkages with growth, as the relationship between LOFD and growth was not found to be significant in the long-run. The panel Granger causality results show that economic growth Granger causes banking system development in the short-run (i.e. there is demand-following finance), irrespective of the measure of banking development used. While there is bi-directional, reciprocal causality between economic growth and both of the measures of overall financial development and one measure of srock market development (i.e. LVLT). Thus, pulicy makers should focus on formulating policy which promotes faster paced economic growth so as to stimulate financial development, while at the same time encourage policy that promotes the balanced expansion of the banking systems and srock markets in ordet to augment economic growth.
- Full Text:
- Date Issued: 2011
- Authors: Starkey, Randall Ashley
- Date: 2011
- Subjects: Economic development -- Africa Economic development -- Developing countries Banks and banking -- Africa Banks and banking -- Developing countries Stock exchanges -- Africa Stock exchanges -- Developing countries Econometric models Economic policy -- Africa Economic policy -- Developing countries
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:979 , http://hdl.handle.net/10962/d1002713
- Description: Financial systems (i.e. banking systems and stock markets) can influence economic growth by performing the five key financial functions, namely: mobilising savings, allocating capital, easing of exchange, monitoring and exerting corporate governance, as well as ameliorating risk. The level of development of the financial system is a key determinant of how effectively and efficiently these functions are performed. This study examines the short-run and long-run relationships between financial system development and economic growth for a panel of seven African countries (namely: Egypt, Ivory Coast, Kenya, Morocco, Nigeria, South Africa and Tunisia) covering the period 1988 to 2008. While numerous empirical studies have researched this topic, none of the previous African empirical literature have investigated thjs by using three groups of financial development measures (i.e. overall financial development, banking system development and stock market development measures) as well as employing panel cointegration analyses. The investigation of the long-run finance-growth relationship is conducted using two methods; the Pedroni panel cointegration approach and the Kao panel cointegration technique. The Pedroni panel cointegracion approach is more often applied in empirical research as it has less restrictive deterministic trend assumptions, while the Kao panel cointegration technique is employed in this study for comparison purposes. Furthermore, the short-run linkages bet\veen financial development and economic growth are analysed using the Holtz-Eakin d of (1989) panel Granger causality test. The results of the Pedroni cointegration tests show that there are long-run relationships between overall financial development (measured by LOFD and OFD2) and economic growth, banking system development (measured by LPSC) and economic growth, as well as stock marker development (measured by LMCP and LVLT) and economic growth. In contrast, the Kao test fails to find any cointegration between finance and growth. However, on the balance, findings largely support a conclusion of cointegration between financial development and economic growth since the Pedroni approach is more appropriate for examining cointegration in heterogeneous panels. Estimates of these long-run cointegrating relationships show that all five financial development measures have the expected positive linkages with growth. However, only four of the five financial development measures were found to have significant long-run linkages with growth, as the relationship between LOFD and growth was not found to be significant in the long-run. The panel Granger causality results show that economic growth Granger causes banking system development in the short-run (i.e. there is demand-following finance), irrespective of the measure of banking development used. While there is bi-directional, reciprocal causality between economic growth and both of the measures of overall financial development and one measure of srock market development (i.e. LVLT). Thus, pulicy makers should focus on formulating policy which promotes faster paced economic growth so as to stimulate financial development, while at the same time encourage policy that promotes the balanced expansion of the banking systems and srock markets in ordet to augment economic growth.
- Full Text:
- Date Issued: 2011
An analysis of the determinants and recent decline of private savings in South Africa
- Authors: Linde, Kathryn Leigh
- Date: 2012
- Subjects: Saving and investment -- Research -- South Africa Finance, Personal -- Research -- South Africa Corporations -- Finance -- Research -- South Africa Economic development -- Research -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1007 , http://hdl.handle.net/10962/d1002742
- Description: Low domestic saving rates make South Africa highly dependent on foreign capital inflows to fund higher investment levels. These inflows are highly volatile and may prove to be unsustainable in the long-run. This study analyses the determinants of private saving in South Africa, with specific reference to the decline in private saving rates that occurred at a time of higher economic growth prior to the 2008 global financial crisis. The Johansen cointegration method is used to estimate separate vector error correction models (VECM) in order to assess the effect of specific variables on both corporate and household saving. The results obtained that are common to both corporate and household savmg show that the govemment budget balance negatively impacts private saving rates though the offset is less than one. The real prime overdraft rate positively impacts private saving, although the result is small . The impact of real Gross Domestic Product (GDP) is positive. In recent years, however, private saving rates fell alongside higher economic growth, which may reflect a structural change in corporate saving behaviour. The results distinct to the corporate saving model show that commodity prices have a negative impact on corporate saving. This does not conform to a priori expectations, but is supported by the behaviour of these two variables in recent years. Foreign savings were found to impact negatively on corporate saving. This result is important, since the dependence of the South African economy on foreign capital inflows to fund higher investment levels is reflected by high current account deficits during recent periods of economic growth. Evidence of financial liberalization negatively impacting on private saving in South Africa due to the removal of borrowing constraints was found. A negative relationship was found between corporate saving and investment demonstrating that corporations have reduced levels of retained eamings for funding investment expenditures. The results distinct to the household saving model provide evidence of a negative wealth effect in South Africa, with rising housing wealth found to increase consumption. Evidence of households "piercing the corporate veil" in South Africa was found. Therefore, households view corporate saving behaviour as essentially being conducted on their behalf. This finding and the finding that the offset between the budget deficit and private saving is less than one suggest that counter-cyclical fiscal policy will be an important policy response for achieving higher domestic saving rates in South Africa.
- Full Text:
- Date Issued: 2012
- Authors: Linde, Kathryn Leigh
- Date: 2012
- Subjects: Saving and investment -- Research -- South Africa Finance, Personal -- Research -- South Africa Corporations -- Finance -- Research -- South Africa Economic development -- Research -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1007 , http://hdl.handle.net/10962/d1002742
- Description: Low domestic saving rates make South Africa highly dependent on foreign capital inflows to fund higher investment levels. These inflows are highly volatile and may prove to be unsustainable in the long-run. This study analyses the determinants of private saving in South Africa, with specific reference to the decline in private saving rates that occurred at a time of higher economic growth prior to the 2008 global financial crisis. The Johansen cointegration method is used to estimate separate vector error correction models (VECM) in order to assess the effect of specific variables on both corporate and household saving. The results obtained that are common to both corporate and household savmg show that the govemment budget balance negatively impacts private saving rates though the offset is less than one. The real prime overdraft rate positively impacts private saving, although the result is small . The impact of real Gross Domestic Product (GDP) is positive. In recent years, however, private saving rates fell alongside higher economic growth, which may reflect a structural change in corporate saving behaviour. The results distinct to the corporate saving model show that commodity prices have a negative impact on corporate saving. This does not conform to a priori expectations, but is supported by the behaviour of these two variables in recent years. Foreign savings were found to impact negatively on corporate saving. This result is important, since the dependence of the South African economy on foreign capital inflows to fund higher investment levels is reflected by high current account deficits during recent periods of economic growth. Evidence of financial liberalization negatively impacting on private saving in South Africa due to the removal of borrowing constraints was found. A negative relationship was found between corporate saving and investment demonstrating that corporations have reduced levels of retained eamings for funding investment expenditures. The results distinct to the household saving model provide evidence of a negative wealth effect in South Africa, with rising housing wealth found to increase consumption. Evidence of households "piercing the corporate veil" in South Africa was found. Therefore, households view corporate saving behaviour as essentially being conducted on their behalf. This finding and the finding that the offset between the budget deficit and private saving is less than one suggest that counter-cyclical fiscal policy will be an important policy response for achieving higher domestic saving rates in South Africa.
- Full Text:
- Date Issued: 2012
Sport consumption patterns in the Eastern Cape: cricket spectators as sporting univores or omnivores
- Authors: Brock, Kelcey
- Date: 2015
- Subjects: Cricket -- South Africa -- Eastern Cape , Cricket -- Social aspects , Consumption (Economics) , Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1115 , http://hdl.handle.net/10962/d1017534
- Description: Since its inception, consumption behaviour theory has developed to account for the important social aspect that underpins or at least to some extent can be used to explain consumption behaviour. Modern consumption behaviour theory is anthropocentric in nature, with people and societal influence at the forefront of the theory. To date, empirical studies on consumption behaviour of cultural activities (for example, music and arts), entertainment and sport have used Bourdieu’s (1984) omnivore/univore theory to suggest that consumption of leisure activities is bound up in social ties. To date, no such investigation has been conducted in the context of sport in South Africa. The aim of the study therefore is to investigate whether South African cricket spectators are sporting omnivores or univores, thus, essentially investigating whether sports consumption behaviour in South Africa is bound up in social ties. A number of positive economic and social ramifications could result from gaining a holistic understanding of sports consumption behaviour in South Africa. Given these ramifications, the secondary goal of the research is to identify motives for consumers making specific sport consumption decisions, and determining whether certain characteristics can be attributed to these consumption decisions. Recommendations based on the findings of the research could help various stakeholders understand sports consumption patterns in South Africa, which could in turn lead to the realization of positive economic and social benefits. The study made use of a questionnaire, administered at four different limited overs cricket matches in the 2012/13 cricket season, to obtain a range of responses reflecting specific types of consumption behaviour as well as motives for consumption decisions of cricket spectators in the Eastern Cape. Using individual binary probit models and post estimation F-tests, the results indicate that consumption behaviour of sport within South Africa predominantly differs on the grounds of education and race. This suggests that there are aspects of social connotations underpinning sports consumption behaviour within South Africa
- Full Text:
- Date Issued: 2015
Sport consumption patterns in the Eastern Cape: cricket spectators as sporting univores or omnivores
- Authors: Brock, Kelcey
- Date: 2015
- Subjects: Cricket -- South Africa -- Eastern Cape , Cricket -- Social aspects , Consumption (Economics) , Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1115 , http://hdl.handle.net/10962/d1017534
- Description: Since its inception, consumption behaviour theory has developed to account for the important social aspect that underpins or at least to some extent can be used to explain consumption behaviour. Modern consumption behaviour theory is anthropocentric in nature, with people and societal influence at the forefront of the theory. To date, empirical studies on consumption behaviour of cultural activities (for example, music and arts), entertainment and sport have used Bourdieu’s (1984) omnivore/univore theory to suggest that consumption of leisure activities is bound up in social ties. To date, no such investigation has been conducted in the context of sport in South Africa. The aim of the study therefore is to investigate whether South African cricket spectators are sporting omnivores or univores, thus, essentially investigating whether sports consumption behaviour in South Africa is bound up in social ties. A number of positive economic and social ramifications could result from gaining a holistic understanding of sports consumption behaviour in South Africa. Given these ramifications, the secondary goal of the research is to identify motives for consumers making specific sport consumption decisions, and determining whether certain characteristics can be attributed to these consumption decisions. Recommendations based on the findings of the research could help various stakeholders understand sports consumption patterns in South Africa, which could in turn lead to the realization of positive economic and social benefits. The study made use of a questionnaire, administered at four different limited overs cricket matches in the 2012/13 cricket season, to obtain a range of responses reflecting specific types of consumption behaviour as well as motives for consumption decisions of cricket spectators in the Eastern Cape. Using individual binary probit models and post estimation F-tests, the results indicate that consumption behaviour of sport within South Africa predominantly differs on the grounds of education and race. This suggests that there are aspects of social connotations underpinning sports consumption behaviour within South Africa
- Full Text:
- Date Issued: 2015
Regional value chains and development integration in the SADC Region: the case of the pharmaceutical industry
- Authors: Faydherbe, Sean
- Date: 2018
- Subjects: Pharmaceutical industry -- Africa, Southern , Southern African Development Community , Africa, Southern -- Economic integration , Regional value chains (RVCs) , Global value chains (GVCs)
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/62906 , vital:28309
- Description: This thesis investigates how regional value chains (RVCs) can be used to further development integration in the Southern African Development Community (SADC) region with a focus on the pharmaceutical manufacturing industry. The study is motivated by the apparent lack of attention given to the development of the pharmaceutical manufacturing industry in Southern Africa, the region’s high disease burden and the identification of the industry as economically and socially important by the SADC (2015) Industrialisation Strategy and Roadmap and the Department of Trade and Industry (DTI) (2017a) Industrial Policy Action Plan (IPAP). At the same time, South Africa and other countries in the region are exploring alternative approaches to regional integration, given the failure or stagnation of numerous formal integration arrangements throughout Africa, which have often lead to polarised rather than balanced development. This thesis argues that the development of RVCs within SADC may be an effective tool for development integration in the region, particularly in sectors such as pharmaceuticals. The study employs a value chain framework for the analysis and discusses development integration options, drawing on the East Asian experience with RVCs and on case studies involving India in the case of the pharmaceutical industry. It provides a sector profile of the industry in South Africa, due to its dominant status in the region, and also of Zimbabwe, due to that country’s potential to become a pharmaceutical industry leader in the region once again. The thesis first explores the important theoretical aspects underlying value chain analysis, namely governance and upgrading, while also outlining the rise of global value chains (GVCs). It analyses the complex relationships between RVCs and GVCs, and RVCs and regional integration. From this it concludes that RVCs are a stepping stone to participation in GVCs and that RVCs should be promoted within a development integration framework through strong regional cooperation. Value chain analysis is applied to the entire pharmaceutical manufacturing industry with a focus on SADC. The thesis examines how the sector is evolving with manufacturing multinational corporations (MNCs) outsourcing production and setting up centres of excellence in regional production hubs. The study argues that with the application of recommended policies, RVCs in sectors such as pharmaceutical manufacturing may provide a tool for achieving balanced development in the region. However, the study also finds that the pharmaceutical industry in SADC lags a long way behind the rest of the world and that many countries and firms will need to begin at the bottom of the value chain, with formulation, in order to contribute to the development of RVCs. The thesis concludes with recommendations on what policies are needed to foster the growth and development of pharmaceutical RVCs in the SADC region. These include strengthening public procurement, providing incentives for investment into the industry, incremental production and incremental export volumes, as well as certainty and predictability around the regulatory and business environment. Further, policy should aim to construct synergies and linkages on the ground between health systems and industrial developments; regulate service links important to pharmaceutical manufacturing; develop a coherent regional policy agenda; remove unnecessary non-tariff barriers to trade in the region and, in line with development integration, implement trade policy along with trade infrastructure that is efficient and includes airports, rail, roads and ports, as well as effective access to the internet.
- Full Text:
- Date Issued: 2018
- Authors: Faydherbe, Sean
- Date: 2018
- Subjects: Pharmaceutical industry -- Africa, Southern , Southern African Development Community , Africa, Southern -- Economic integration , Regional value chains (RVCs) , Global value chains (GVCs)
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/62906 , vital:28309
- Description: This thesis investigates how regional value chains (RVCs) can be used to further development integration in the Southern African Development Community (SADC) region with a focus on the pharmaceutical manufacturing industry. The study is motivated by the apparent lack of attention given to the development of the pharmaceutical manufacturing industry in Southern Africa, the region’s high disease burden and the identification of the industry as economically and socially important by the SADC (2015) Industrialisation Strategy and Roadmap and the Department of Trade and Industry (DTI) (2017a) Industrial Policy Action Plan (IPAP). At the same time, South Africa and other countries in the region are exploring alternative approaches to regional integration, given the failure or stagnation of numerous formal integration arrangements throughout Africa, which have often lead to polarised rather than balanced development. This thesis argues that the development of RVCs within SADC may be an effective tool for development integration in the region, particularly in sectors such as pharmaceuticals. The study employs a value chain framework for the analysis and discusses development integration options, drawing on the East Asian experience with RVCs and on case studies involving India in the case of the pharmaceutical industry. It provides a sector profile of the industry in South Africa, due to its dominant status in the region, and also of Zimbabwe, due to that country’s potential to become a pharmaceutical industry leader in the region once again. The thesis first explores the important theoretical aspects underlying value chain analysis, namely governance and upgrading, while also outlining the rise of global value chains (GVCs). It analyses the complex relationships between RVCs and GVCs, and RVCs and regional integration. From this it concludes that RVCs are a stepping stone to participation in GVCs and that RVCs should be promoted within a development integration framework through strong regional cooperation. Value chain analysis is applied to the entire pharmaceutical manufacturing industry with a focus on SADC. The thesis examines how the sector is evolving with manufacturing multinational corporations (MNCs) outsourcing production and setting up centres of excellence in regional production hubs. The study argues that with the application of recommended policies, RVCs in sectors such as pharmaceutical manufacturing may provide a tool for achieving balanced development in the region. However, the study also finds that the pharmaceutical industry in SADC lags a long way behind the rest of the world and that many countries and firms will need to begin at the bottom of the value chain, with formulation, in order to contribute to the development of RVCs. The thesis concludes with recommendations on what policies are needed to foster the growth and development of pharmaceutical RVCs in the SADC region. These include strengthening public procurement, providing incentives for investment into the industry, incremental production and incremental export volumes, as well as certainty and predictability around the regulatory and business environment. Further, policy should aim to construct synergies and linkages on the ground between health systems and industrial developments; regulate service links important to pharmaceutical manufacturing; develop a coherent regional policy agenda; remove unnecessary non-tariff barriers to trade in the region and, in line with development integration, implement trade policy along with trade infrastructure that is efficient and includes airports, rail, roads and ports, as well as effective access to the internet.
- Full Text:
- Date Issued: 2018
An analysis of the long run comovements between financial system development and mining production in South Africa
- Authors: Ajagbe, Stephen Mayowa
- Date: 2011
- Subjects: Economic development -- South Africa , Econometric models , Mineral industries -- Economic aspects -- South Africa , South Africa -- Economic conditions , South Africa -- Economic policy , Principal components analysis , Cointegration , Stock exchanges -- South Africa , Banks and banking -- South Africa , Foreign exchange rates
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:955 , http://hdl.handle.net/10962/d1002689 , Economic development -- South Africa , Econometric models , Mineral industries -- Economic aspects -- South Africa , South Africa -- Economic conditions , South Africa -- Economic policy , Principal components analysis , Cointegration , Stock exchanges -- South Africa , Banks and banking -- South Africa , Foreign exchange rates
- Description: This study examines the nature of the relationship which exists between mining sector production and development of the financial systems in South Africa. This is particularly important in that the mining sector is considered to be one of the major contributors to the country’s overall economic growth. South Africa is also considered to have a very well developed financial system, to the point where the dominance of one over the other is difficult to identify. Therefore offering insight into the nature of this relationship will assist policy makers in identifying the most effective policies in order to ensure that the developments within the financial systems impact appropriately on the mining sector, and ultimately on the economy. In addition to using the conventional proxies of financial system development, this study utilises the principal component analysis (PCA) to construct an index for the entire financial system. The multivariate cointegration approach as proposed by Johansen (1988) and Johansen and Juselius (1990) was then used to estimate the relationship between the development of the financial systems and the mining sector production for the period 1988-2008. The study reveals mixed results for different measures of financial system development. Those involving the banking system show that a negative relationship exists between total mining production and total credit extended to the private sector, while liquid liabilities has a positive relationship. Similarly, with the stock market system, mixed results are also obtained which reveal a negative relationship between total mining production and stock market capitalisation, while a positive relationship is found with secondary market turnover. Of all the financial system variables, only that of stock market capitalisation was found to be significant. The result with the financial development index reveals that a significant negative relationship exists between financial system development and total mining sector production. Results on the other variables controlled in the estimation show that positive and significant relationships exist between total mining production and both nominal exchange rate and political stability respectively. Increased mining production therefore takes place in periods of appreciating exchange rates, and similarly in the post-apartheid era. On the other hand, negative relationships were found for both trade openness and inflation control variables. The impulse response and variance decomposition analyses showed that total mining production explains the largest amount of shocks within itself. Overall, the study reveals that the mining sector might not have benefited much from the development in the South African financial system.
- Full Text:
- Date Issued: 2011
- Authors: Ajagbe, Stephen Mayowa
- Date: 2011
- Subjects: Economic development -- South Africa , Econometric models , Mineral industries -- Economic aspects -- South Africa , South Africa -- Economic conditions , South Africa -- Economic policy , Principal components analysis , Cointegration , Stock exchanges -- South Africa , Banks and banking -- South Africa , Foreign exchange rates
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:955 , http://hdl.handle.net/10962/d1002689 , Economic development -- South Africa , Econometric models , Mineral industries -- Economic aspects -- South Africa , South Africa -- Economic conditions , South Africa -- Economic policy , Principal components analysis , Cointegration , Stock exchanges -- South Africa , Banks and banking -- South Africa , Foreign exchange rates
- Description: This study examines the nature of the relationship which exists between mining sector production and development of the financial systems in South Africa. This is particularly important in that the mining sector is considered to be one of the major contributors to the country’s overall economic growth. South Africa is also considered to have a very well developed financial system, to the point where the dominance of one over the other is difficult to identify. Therefore offering insight into the nature of this relationship will assist policy makers in identifying the most effective policies in order to ensure that the developments within the financial systems impact appropriately on the mining sector, and ultimately on the economy. In addition to using the conventional proxies of financial system development, this study utilises the principal component analysis (PCA) to construct an index for the entire financial system. The multivariate cointegration approach as proposed by Johansen (1988) and Johansen and Juselius (1990) was then used to estimate the relationship between the development of the financial systems and the mining sector production for the period 1988-2008. The study reveals mixed results for different measures of financial system development. Those involving the banking system show that a negative relationship exists between total mining production and total credit extended to the private sector, while liquid liabilities has a positive relationship. Similarly, with the stock market system, mixed results are also obtained which reveal a negative relationship between total mining production and stock market capitalisation, while a positive relationship is found with secondary market turnover. Of all the financial system variables, only that of stock market capitalisation was found to be significant. The result with the financial development index reveals that a significant negative relationship exists between financial system development and total mining sector production. Results on the other variables controlled in the estimation show that positive and significant relationships exist between total mining production and both nominal exchange rate and political stability respectively. Increased mining production therefore takes place in periods of appreciating exchange rates, and similarly in the post-apartheid era. On the other hand, negative relationships were found for both trade openness and inflation control variables. The impulse response and variance decomposition analyses showed that total mining production explains the largest amount of shocks within itself. Overall, the study reveals that the mining sector might not have benefited much from the development in the South African financial system.
- Full Text:
- Date Issued: 2011
Investment-grade or “junk” status: do sovereign credit ratings really matter?
- Authors: Slabbert, Adriaan
- Date: 2019
- Subjects: Credit ratings , Rating agencies (Finance) , Developing countries -- Economic conditions , Developing countries -- Foreign economic relations
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/97067 , vital:31393
- Description: Credit ratings play a well-established part in modern financial markets, reducing asymmetric information between investors and borrowers. In particular, sovereign credit ratings allow the world’s lesser-known economies to access a wider pool of international capital, while simultaneously allowing international investors to access a more diverse set of investment opportunities. The importance of sovereign credit ratings in terms of the cost of government debt in developing nations was observed. The relationship between sovereign credit ratings and average bond spreads over the time period spanning 2006 – 2017 was examined in 25 emerging economies. Regression analysis in the form of fixed-effects and random-effects models was used to determine the impact of changes in sovereign credit ratings on the cost of sovereign debt, controlling for certain macroeconomic factors. It was concluded that sovereign credit ratings are relevant in helping to determine the cost of sovereign debt for developing economies, but that they are not the only factor considered by global markets. The thesis therefore recommended further research into the factors affecting the cost of sovereign debt as well as further refinements to the methodologies that ratings agencies use to assign ratings.
- Full Text:
- Date Issued: 2019
- Authors: Slabbert, Adriaan
- Date: 2019
- Subjects: Credit ratings , Rating agencies (Finance) , Developing countries -- Economic conditions , Developing countries -- Foreign economic relations
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/97067 , vital:31393
- Description: Credit ratings play a well-established part in modern financial markets, reducing asymmetric information between investors and borrowers. In particular, sovereign credit ratings allow the world’s lesser-known economies to access a wider pool of international capital, while simultaneously allowing international investors to access a more diverse set of investment opportunities. The importance of sovereign credit ratings in terms of the cost of government debt in developing nations was observed. The relationship between sovereign credit ratings and average bond spreads over the time period spanning 2006 – 2017 was examined in 25 emerging economies. Regression analysis in the form of fixed-effects and random-effects models was used to determine the impact of changes in sovereign credit ratings on the cost of sovereign debt, controlling for certain macroeconomic factors. It was concluded that sovereign credit ratings are relevant in helping to determine the cost of sovereign debt for developing economies, but that they are not the only factor considered by global markets. The thesis therefore recommended further research into the factors affecting the cost of sovereign debt as well as further refinements to the methodologies that ratings agencies use to assign ratings.
- Full Text:
- Date Issued: 2019
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
Examining the feasibility of introducing environmental surcharges to finance local coastal management initiatives in South Africa : a case study in Plettenberg Bay
- Authors: Mollatt, David G R
- Date: 2004
- Subjects: Marine resources -- South Africa Marine resources conservation -- South Africa Coastal zone management -- South Africa Marine parks and reserves -- Management--South Africa Tourism--South Africa -- Taxation Tourism -- South Africa -- Economic aspects
- Language: English
- Type: Thesis , Masters , MEcon
- Identifier: vital:999 , http://hdl.handle.net/10962/d1002734
- Description: The management of coastal resources in South Africa has come under review as a result of the degradation of environmental resources along the coast. The challenge being faced by resource managers is to achieve economic growth while sustaining South Africa’s coastal resource base (Nobel, 2000). The South African government (RSA, 2000) has developed a coastal management strategy to meet this challenge: The strategy involves the inclusion of all stakeholders in the formation of policy regarding the management of coastal resources, in a more integrated approach to coastal management. To effectively achieve this stakeholder inclusion, it has become necessary to decentralize the political, administrative and fiscal authority to conduct coastal management functions. With regard to the need for fiscal decentralisation this thesis considers the possibility of implementing localised environmental surcharges to finance coastal management initiatives. The ability of the White Paper for Sustainable Coastal Development (RSA, 2000) to provide theformal institutional structure necessary for the introduction of environmental surcharges is firstconsidered. It is shown that the decentralised management strategy has the potential to create a management style that is transparent and accountability orientated. In addition to this the style is capable of adapting to dynamic local coastal conditions and is therefore an appropriate direction in which to steer coastal management in South Africa. The effectiveness of coastal co-management as an informal institutional arrangement is then examined. Provided that local Coastal Management Fora are created to include all relevant stakeholders and that a source of long term financing is secured co-management has the potential to create the conditions necessary for effective coastal management. With regard to a source of long term financing, local environmental surcharges to finance coastal management initiatives are considered. The public’s willingness to contribute to such a surcharge is analysed in the context of Plettenberg Bay by probing their willingness to pay (WTP) for a Bay Management Plan. A survey instrument is developed to measure the public’s WTP. The design of the instrument is based on the Contingent Valuation (CV) method that is used to analyse the nonmarket benefits that environmental resources (such as Plettenberg Bay) provide the public. It is found that the resident population is willing to pay R15 per month toward a Bay Management Plan whilst domestic and foreign tourists respectively are willing to pay R6 and R22 daily. The aggregation of these WTP estimates yields a total passive use value of between R15 397 900 – R20330 500 annually. This nuclear value of the Bay should be included in the formation of local coastal management policy and provides guidance for the introduction of a local environmental surcharge. A budget for a Bay Management Plan is proposed and a progressive surcharge based on municipal property value is set. To finance the local residents’ share of the budget, a monthly surcharge of R1 would be required of the average valued property. To calculate the domestic and foreign tourist contribution to the budget a schedule of accommodation offering property will be required. However, to finance the entire budget a residential surcharge of approximately R10 would be required of the average valued property. This figure is well below the average resident population WTP of R15, highlighting the fact that an environmental surcharge in Plettenberg Bay is indeed feasible. The difference in reported WTP and the contribution required to finance the Bay Management Plan also highlights that there is scope for experimentation in the introduction of such a surcharge.
- Full Text:
- Date Issued: 2004
- Authors: Mollatt, David G R
- Date: 2004
- Subjects: Marine resources -- South Africa Marine resources conservation -- South Africa Coastal zone management -- South Africa Marine parks and reserves -- Management--South Africa Tourism--South Africa -- Taxation Tourism -- South Africa -- Economic aspects
- Language: English
- Type: Thesis , Masters , MEcon
- Identifier: vital:999 , http://hdl.handle.net/10962/d1002734
- Description: The management of coastal resources in South Africa has come under review as a result of the degradation of environmental resources along the coast. The challenge being faced by resource managers is to achieve economic growth while sustaining South Africa’s coastal resource base (Nobel, 2000). The South African government (RSA, 2000) has developed a coastal management strategy to meet this challenge: The strategy involves the inclusion of all stakeholders in the formation of policy regarding the management of coastal resources, in a more integrated approach to coastal management. To effectively achieve this stakeholder inclusion, it has become necessary to decentralize the political, administrative and fiscal authority to conduct coastal management functions. With regard to the need for fiscal decentralisation this thesis considers the possibility of implementing localised environmental surcharges to finance coastal management initiatives. The ability of the White Paper for Sustainable Coastal Development (RSA, 2000) to provide theformal institutional structure necessary for the introduction of environmental surcharges is firstconsidered. It is shown that the decentralised management strategy has the potential to create a management style that is transparent and accountability orientated. In addition to this the style is capable of adapting to dynamic local coastal conditions and is therefore an appropriate direction in which to steer coastal management in South Africa. The effectiveness of coastal co-management as an informal institutional arrangement is then examined. Provided that local Coastal Management Fora are created to include all relevant stakeholders and that a source of long term financing is secured co-management has the potential to create the conditions necessary for effective coastal management. With regard to a source of long term financing, local environmental surcharges to finance coastal management initiatives are considered. The public’s willingness to contribute to such a surcharge is analysed in the context of Plettenberg Bay by probing their willingness to pay (WTP) for a Bay Management Plan. A survey instrument is developed to measure the public’s WTP. The design of the instrument is based on the Contingent Valuation (CV) method that is used to analyse the nonmarket benefits that environmental resources (such as Plettenberg Bay) provide the public. It is found that the resident population is willing to pay R15 per month toward a Bay Management Plan whilst domestic and foreign tourists respectively are willing to pay R6 and R22 daily. The aggregation of these WTP estimates yields a total passive use value of between R15 397 900 – R20330 500 annually. This nuclear value of the Bay should be included in the formation of local coastal management policy and provides guidance for the introduction of a local environmental surcharge. A budget for a Bay Management Plan is proposed and a progressive surcharge based on municipal property value is set. To finance the local residents’ share of the budget, a monthly surcharge of R1 would be required of the average valued property. To calculate the domestic and foreign tourist contribution to the budget a schedule of accommodation offering property will be required. However, to finance the entire budget a residential surcharge of approximately R10 would be required of the average valued property. This figure is well below the average resident population WTP of R15, highlighting the fact that an environmental surcharge in Plettenberg Bay is indeed feasible. The difference in reported WTP and the contribution required to finance the Bay Management Plan also highlights that there is scope for experimentation in the introduction of such a surcharge.
- Full Text:
- Date Issued: 2004
The political ecological economics of coal mining and water resources: a participatory economic valuation approach in Carolina, Mpumalanga
- Authors: Nzimande, Nqobile
- Date: 2020
- Subjects: Natural resources -- Management , Natural resources -- Management -- South Africa -- Carolina , Natural resources -- Valuation , Natural resources -- Valuation -- South Africa -- Carolina , Coal mines and mining -- Environmental aspects -- South Africa -- Carolina , Water-supply -- South Africa -- Carolina , Water-supply -- Government policy -- South Africa -- Carolina , Water conservation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/167274 , vital:41463
- Description: Globally, resource economic valuation has traditionally focused on monetary and market-based methods. However, there has been a recent move towards more transdiciplinary methods that encourage civil participation in resource economic valuation studies with the aim of generating more site-specific and appropriate values which can potentially improve natural resource management decisions. With a focus on Carolina, this thesis investigated whether citizen based participatory approaches can result in more appropriate resource economic values that reflect the social environmental values in Carolina. A qualitative research approach was adopted for this research which incorporated questionnaires and semi-structured interviews. The research also adopted an inductive thematic analysis. The findings of the research showed that local scale stakeholders have different perceived values of natural resources. The research further showed that national scale resource governance institutions deal with issues of natural resource economic conflicts related to environmental policy and decision making. The study will contribute to deepening an understanding of the contribution that a natural resource economics assessment, or analysis can have on equitable, sustainable and efficient water resource management in the face of water-use contestation
- Full Text:
- Date Issued: 2020
- Authors: Nzimande, Nqobile
- Date: 2020
- Subjects: Natural resources -- Management , Natural resources -- Management -- South Africa -- Carolina , Natural resources -- Valuation , Natural resources -- Valuation -- South Africa -- Carolina , Coal mines and mining -- Environmental aspects -- South Africa -- Carolina , Water-supply -- South Africa -- Carolina , Water-supply -- Government policy -- South Africa -- Carolina , Water conservation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/167274 , vital:41463
- Description: Globally, resource economic valuation has traditionally focused on monetary and market-based methods. However, there has been a recent move towards more transdiciplinary methods that encourage civil participation in resource economic valuation studies with the aim of generating more site-specific and appropriate values which can potentially improve natural resource management decisions. With a focus on Carolina, this thesis investigated whether citizen based participatory approaches can result in more appropriate resource economic values that reflect the social environmental values in Carolina. A qualitative research approach was adopted for this research which incorporated questionnaires and semi-structured interviews. The research also adopted an inductive thematic analysis. The findings of the research showed that local scale stakeholders have different perceived values of natural resources. The research further showed that national scale resource governance institutions deal with issues of natural resource economic conflicts related to environmental policy and decision making. The study will contribute to deepening an understanding of the contribution that a natural resource economics assessment, or analysis can have on equitable, sustainable and efficient water resource management in the face of water-use contestation
- Full Text:
- Date Issued: 2020
Job creation and income generation in the cultural and creative industries: a case study of the shweshwe sewing industry
- Authors: Mapuma, Aviwe Simbonge
- Date: 2019
- Subjects: Textile industry -- South Africa -- Eastern Cape , Clothing trade -- South Africa -- Eastern Cape , Sewing -- South Africa -- Eastern Cape , Job creation -- South Africa -- Eastern Cape , Textile manufacturers -- South Africa -- Eastern Cape , Textile fabrics , Income -- South Africa -- Eastern Cape
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/122948 , vital:35378
- Description: Worldwide, there has been a growing realisation of the importance of Cultural and Creative Industries as a driving force for employment creation, income generation and economic growth. Therefore, there is a need in South Africa to study and understand these industries setting, and business environment. Shweshwe is a unique local fabric produced by Da Gama Textiles in the Eastern Cape province of South Africa. This fabric is used by many micro-enterprises as an input to make clothes and other items for traditional cultural celebrations and ceremonies. This study is about the micro-enterprises who use South Africa made textiles (i.e. shweshwe textile) as business input. More specifically, it looks at employment creation and income generation opportunities of the micro-enterprises that use shweshwe textile as an input. These micro-enterprises and shweshwe production are being threatened by the rising influx of cheaper ready-made imported clothes that mimic the shweshwe designs and colours, in some cases, the logo as well. This study also plans to estimate the size and discover the attributes of the micro-enterprises that use shweshwe as an input in their businesses in South Africa, in order to estimate the impact of the counterfeit shweshwe imports on those micro-enterprises. This study adopted a mixed-methods approach-using a combination of both qualitative and quantitative data collection methods. Face-to-face interviews with questionnaires, were done with a total sample of 62 owners of the micro-enterprises that use shweshwe as input, in the Western Cape (Cape Town) and Eastern Cape (i.e. Makhanda and East London), South Africa. Self-administered questionnaires were emailed to 20 Jackson’s Stores managers across the country. Lastly, face-to-face interviews were done with the key stakeholder-the representative of Cowie trading (the main shweshwe distributor) and Da Gama Textiles (the factory of shweshwe), during a field visit. The Qualitative data was analysed using thematic analysis, whereas the quantitative data was analysed using inferential and descriptive statistics. The results show, that the micro-enterprises that use shweshwe as input are a significant contributor in terms of employment creation and income generation in South Africa. They also reveal that there is a big number of micro-enterprises that use shweshwe as an input in SA. The findings showed an estimate of between 5077 and 6000 small businesses that are using shweshwe an input, which are associated with 10 900 to 12 900 jobs. It was also found out that there is a transformation in this industry, and that this sector is B-BEE compliant. There are also high levels of human capital in this industry. This is an important finding revealing that there is potential for future growth in this sector. Results also found that the majority micro-enterprise owners (80%) have no other source of income, meaning that they are highly reliant on their shweshwe sewing business income. Additionally, 85% of those business, shweshwe garments makes up half or more of their sewing business proceeds. This reveals that a decline in income caused by the import of ready-made clothes in “fake” shweshwe will have a negative impact on the micro-enterprises’ ability to contribute to economic growth and job creation in this industry. To show the impact of the import of ready-made clothes in “fake” shweshwe on the micro-enterprises’ ability to contribute to economic growth and job creation in this industry. In the questionnaires that were used to conduct face-to-face interviews with the micro-enterprises, respondents were asked to indicate whether they had other sources of income other than the income they generate from the shweshwe sewing business. They were further asked as follow up question to choose from a given list of possible options containing a range of percentages of their business income that comes from the work sewn with shweshwe. This question was asked in order to be able to see, if there were to be a decline in income caused by the import of ready-made clothes in “fake” shweshwe what impact it would have on the micro-enterprises that use shweshwe as an input. The theory of industrial organisation has adopted the view of that businesses operating in the formal sector are more efficient and productive than those in the informal sector (Lobato, 2010). The study found that the micro-enterprises that operate in the formal sector generate more turnover than the ones that operate in the informal sector. However, the theory was further tested by running OLS regression, the results showed that operating in the informal sector does not affect turnover when other variables are controlled for, however, that it does affect job creation. In closing, this thesis provides suggestions on how to support, and protect the micro-enterprises that use shweshwe as an input, in order to enhance this industry’s potential also to ensure its continuous contribution in terms of employment creation and income generation in South Africa.
- Full Text:
- Date Issued: 2019
- Authors: Mapuma, Aviwe Simbonge
- Date: 2019
- Subjects: Textile industry -- South Africa -- Eastern Cape , Clothing trade -- South Africa -- Eastern Cape , Sewing -- South Africa -- Eastern Cape , Job creation -- South Africa -- Eastern Cape , Textile manufacturers -- South Africa -- Eastern Cape , Textile fabrics , Income -- South Africa -- Eastern Cape
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/122948 , vital:35378
- Description: Worldwide, there has been a growing realisation of the importance of Cultural and Creative Industries as a driving force for employment creation, income generation and economic growth. Therefore, there is a need in South Africa to study and understand these industries setting, and business environment. Shweshwe is a unique local fabric produced by Da Gama Textiles in the Eastern Cape province of South Africa. This fabric is used by many micro-enterprises as an input to make clothes and other items for traditional cultural celebrations and ceremonies. This study is about the micro-enterprises who use South Africa made textiles (i.e. shweshwe textile) as business input. More specifically, it looks at employment creation and income generation opportunities of the micro-enterprises that use shweshwe textile as an input. These micro-enterprises and shweshwe production are being threatened by the rising influx of cheaper ready-made imported clothes that mimic the shweshwe designs and colours, in some cases, the logo as well. This study also plans to estimate the size and discover the attributes of the micro-enterprises that use shweshwe as an input in their businesses in South Africa, in order to estimate the impact of the counterfeit shweshwe imports on those micro-enterprises. This study adopted a mixed-methods approach-using a combination of both qualitative and quantitative data collection methods. Face-to-face interviews with questionnaires, were done with a total sample of 62 owners of the micro-enterprises that use shweshwe as input, in the Western Cape (Cape Town) and Eastern Cape (i.e. Makhanda and East London), South Africa. Self-administered questionnaires were emailed to 20 Jackson’s Stores managers across the country. Lastly, face-to-face interviews were done with the key stakeholder-the representative of Cowie trading (the main shweshwe distributor) and Da Gama Textiles (the factory of shweshwe), during a field visit. The Qualitative data was analysed using thematic analysis, whereas the quantitative data was analysed using inferential and descriptive statistics. The results show, that the micro-enterprises that use shweshwe as input are a significant contributor in terms of employment creation and income generation in South Africa. They also reveal that there is a big number of micro-enterprises that use shweshwe as an input in SA. The findings showed an estimate of between 5077 and 6000 small businesses that are using shweshwe an input, which are associated with 10 900 to 12 900 jobs. It was also found out that there is a transformation in this industry, and that this sector is B-BEE compliant. There are also high levels of human capital in this industry. This is an important finding revealing that there is potential for future growth in this sector. Results also found that the majority micro-enterprise owners (80%) have no other source of income, meaning that they are highly reliant on their shweshwe sewing business income. Additionally, 85% of those business, shweshwe garments makes up half or more of their sewing business proceeds. This reveals that a decline in income caused by the import of ready-made clothes in “fake” shweshwe will have a negative impact on the micro-enterprises’ ability to contribute to economic growth and job creation in this industry. To show the impact of the import of ready-made clothes in “fake” shweshwe on the micro-enterprises’ ability to contribute to economic growth and job creation in this industry. In the questionnaires that were used to conduct face-to-face interviews with the micro-enterprises, respondents were asked to indicate whether they had other sources of income other than the income they generate from the shweshwe sewing business. They were further asked as follow up question to choose from a given list of possible options containing a range of percentages of their business income that comes from the work sewn with shweshwe. This question was asked in order to be able to see, if there were to be a decline in income caused by the import of ready-made clothes in “fake” shweshwe what impact it would have on the micro-enterprises that use shweshwe as an input. The theory of industrial organisation has adopted the view of that businesses operating in the formal sector are more efficient and productive than those in the informal sector (Lobato, 2010). The study found that the micro-enterprises that operate in the formal sector generate more turnover than the ones that operate in the informal sector. However, the theory was further tested by running OLS regression, the results showed that operating in the informal sector does not affect turnover when other variables are controlled for, however, that it does affect job creation. In closing, this thesis provides suggestions on how to support, and protect the micro-enterprises that use shweshwe as an input, in order to enhance this industry’s potential also to ensure its continuous contribution in terms of employment creation and income generation in South Africa.
- Full Text:
- Date Issued: 2019
Exploring the suitability of causal loop diagrams to assess the value chains of aquatic ecosystem services: a case study of the Baviaanskloof, South Africa
- Authors: Rawlins, Jonathan Mark
- Date: 2017
- Language: English
- Type: Thesis , Masters , MSc
- Identifier: http://hdl.handle.net/10962/4909 , vital:20742
- Description: Healthy, functioning aquatic ecosystems are fundamental to the survival and development of any nation, particularly so for water-stressed countries like South Africa. Aquatic ecosystem services (AESs) are becoming increasingly recognised for their importance to society with regards to the ecological goods and services they provide in terms of health, social, cultural and economic benefits. The development of markets for AESs begins with a clear understanding of the nature and extent of the goods and services provided by aquatic ecosystems. However, an inclusive understanding of AESs and their associated values is currently lacking in South Africa. Although flows of ecosystem services provide a nearly limitless set of valuable properties, a large proportion of their services remain unpriced or inaccurately priced through traditional neo-classical markets. This often results in market failure, as these markets do not reflect the full social costs and/or benefits of ecosystem services. This provides incentive to identify and develop a tool to bridge the gap between ecosystem service valuation and practical, sustainable management recommendations for improving the provision of ecosystem services and their associated markets. This study explores the suitability of causal loop diagrams (CLDs) to assess the value chains of AESs in South Africa within the context of a case study. AESs do not usually have finite market values nor are they traded in formal markets, thus, a traditional approach to value chain analysis is unsuitable. A professional workshop environment was utilised to facilitate a transdisciplinary approach towards identifying relevant AESs and their complex inputs, interactions and trade-offs. Numerous CLDs were developed in an effort to map the complex relationships between these AESs and their associated inputs, which formed the basis to attempt subsequent scenario analyses and 'alternative' value chain analyses. The findings of this study show that CLDs have the potential to qualitatively identify challenges and opportunities within the value chains of AESs. Thus, the use of such 'alternative' value chain analyses can directly contribute towards the development of recommendations for improving sustainable management of aquatic ecosystems.
- Full Text:
- Date Issued: 2017
- Authors: Rawlins, Jonathan Mark
- Date: 2017
- Language: English
- Type: Thesis , Masters , MSc
- Identifier: http://hdl.handle.net/10962/4909 , vital:20742
- Description: Healthy, functioning aquatic ecosystems are fundamental to the survival and development of any nation, particularly so for water-stressed countries like South Africa. Aquatic ecosystem services (AESs) are becoming increasingly recognised for their importance to society with regards to the ecological goods and services they provide in terms of health, social, cultural and economic benefits. The development of markets for AESs begins with a clear understanding of the nature and extent of the goods and services provided by aquatic ecosystems. However, an inclusive understanding of AESs and their associated values is currently lacking in South Africa. Although flows of ecosystem services provide a nearly limitless set of valuable properties, a large proportion of their services remain unpriced or inaccurately priced through traditional neo-classical markets. This often results in market failure, as these markets do not reflect the full social costs and/or benefits of ecosystem services. This provides incentive to identify and develop a tool to bridge the gap between ecosystem service valuation and practical, sustainable management recommendations for improving the provision of ecosystem services and their associated markets. This study explores the suitability of causal loop diagrams (CLDs) to assess the value chains of AESs in South Africa within the context of a case study. AESs do not usually have finite market values nor are they traded in formal markets, thus, a traditional approach to value chain analysis is unsuitable. A professional workshop environment was utilised to facilitate a transdisciplinary approach towards identifying relevant AESs and their complex inputs, interactions and trade-offs. Numerous CLDs were developed in an effort to map the complex relationships between these AESs and their associated inputs, which formed the basis to attempt subsequent scenario analyses and 'alternative' value chain analyses. The findings of this study show that CLDs have the potential to qualitatively identify challenges and opportunities within the value chains of AESs. Thus, the use of such 'alternative' value chain analyses can directly contribute towards the development of recommendations for improving sustainable management of aquatic ecosystems.
- Full Text:
- Date Issued: 2017
A Veblenian Dichotomy re-examination of labour brokerage and South African labour market functionality
- Authors: Haaketa, Bernadatte Tina
- Date: 2020
- Subjects: Veblen, Thorstein, 1857-1929 , Contracting out -- South Africa , Temporary employment -- South Africa , Industrial relations -- South Africa , Labor supply -- South Africa , Labor supply -- Effect of technological innovations on -- South Africa , Manpower policy -- South Africa , Labor market -- South Africa
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/168446 , vital:41583
- Description: Labour markets ar ound the world have witnessed a great change in labour relations. The introduction of globa lisation, increased competition and technological advancements has caused business organisations to change their employment methods. While trying to survive and remain profitable, employers have adopted a new form of triangular employment relationship. Thi s form of employment relationship known as labour broking and which forms part of the Temporary Employment Services (TES) involves a relationship between the worker, labour agent (broker) and a client c ompany. Although it may seem like a good strategy for business organisations, the change in employment relationships has had negative effects and contributed to labour market dysfunctionalities . This has resulted in critics of labour broking calling or an end in labour broking and supporters of labour broking asking for better regulation of the industry. Labour markets are me When it comes to analysing labour broking and its impact on labour market functionality in South Africa. Scholars and analysts such as Budlender ( 2013 ) and Bhorat, Lil enstein, Oosthuizen , and Thornton ( 2016 ) have used the Neoclassical , New Institutional Economics and Marxist approach es. The current views on labour broking and the current schools of thought fail to look at the underlying behavioural aspect of labour brokers and the client c ompanies. Hence making it easy for labour brokers and their client companies to continue with their unscrupulous activities. However, this t hesis adapted the Veblenian Dichotomy framework which focuses on understanding the role of the evolutionary proce ss and the role of institutions in shaping economic behaviour. The Veblenian dichotomy shows that power plays an important role in how labour markets are run. Similarly, behaviour also influences the manner in which labour brokers and client companies trea t workers. And lastly the Veblenian dichotomy shows that in order for the industry to be run better there has to be change in the behaviour and cultu re of the labour brokers and client companies . This view allows for deeper analysis of the reasons for the flour ishing nature of labour broking and the rationale behind the behaviour of economic players and attempts to provide solutions on how labour brok ing can be correctly administered in South Africa. The Veblenian Dichotomy categorises institutions into t wo sets, namely the ceremonial institutions and instrumental institutions. Where Ceremonial institutions are said to be institutions that foster the interests of business such as profitability and earning of free income, even if there is no corresponding i ncrease in production. While Instrumental institutions, usually working through the influence of technology, address the interests of the common pers on and the labourer as well as business (Waller, 1982; Foster, 1981; Veblen, 1919). These two systems of va lues and institutions are antagonistic and the relative strength of one to the other determines economic outcomes and in whose interests the outcomes would be (Waller, 1982; Foster, 1981; Veblen, 1919). The Veblenian Dichotomy further looks at ceremonial encapsulation which occurs when ceremonial systems prevail over instrumental systems. Ceremonial encapsulation presents the hypothesis that the insti tutional structure will absorb new technology only to the extent that it can do so without disrupting the e xisting value structure (Waller, 1987; Bush, 1979.) The thesis use d various sources , such as working papers, public hearings, court cases, trade union submissions, integrated reports from companies, employee submissions and media publications on the debate about labour broking whether labour broking and applied the Interpretative Phenomenological Analysi s (IPA) research approach, in the process of data collection and analysis . The thesis further applied thematic analysis to derive themes that would be used to analyse the impact of labour broking on labour market functionality in South Africa. The emergent themes and subthemes were Exploitative lab our relations subthemes; job Insecurity, increased financial burden and no skills development. The second theme was; Competitive advantage and the subthemes were; i ncreased profits and organisational efficiency. The third theme was l abour market efficiency and the subthemes were. E mployment creation and labour market flexibility. And, the last theme was a mbiguous l abour regulation s with subthemes; n o freedom of association and a tool for circumventing labour regulations . Lastly, Tool’s (1994) criteria of j udgement for institutional adjustments was used to evaluate the emergent themes and to evaluate the impact of l abour broking on the overall welfare of individuals, which includes determining whether employees in the TES sector gain skills and improved stan dards of living. The findings of the research the TES sector is characterised by ceremonial values. Ceremonial values (as mentioned in section 3.3) are those values that are warranted by the ways of life that prescribe status and hierarchies and unpleasant distinctions to apply value and status on other people (Bush, 1987, 1988; Ayres, 1967). Thus changing the way in which labour brokers conduct themselves or handle labour broking activities would prove to be difficult . T he power that is mostly used in TES employment sectors is condign power. Condign power is explained as the form of power that is predominantly used in ceremonially encapsulated markets. And it involves making use of punishment or fear in order to get people to do something. This is because w orkers in the TES sector are forced to submit to conditions that they would not normally have submitted to if t hey did not have a fear of losing their jobs. This supports existing literature which shows that in the TES sector, TES employers use force and p ower in order to get the workers to do something, and this results in a master - servant relationship between the employer and the employee. Furthermore, the protests that erupt in the TES sector agree with Marxist theory which notes that the frustrations in the way workers are treated would result in a revolution of the working class against the employers. However, now, workers have not been able to overcome the employers and take over the industry. In addition to what current literature says, the research found that some managers make use of labour broking as a way of manifesting their exploitative characteristics on the labour market, thus creating information asymmetries in order to advance their own personal needs. Situations such as these reve al characteristics of opportunistic behaviour, which is perpetuated by the imperfect flow of information. This means th at the market is imperfect, and imperfect markets are characteristics of dysfunctional labour markets. The research also found that it i s the South African Constitution that protects labour brokers and client companies from accounting for the unfair treatm ent of workers. Labour brokers and client companies rely on the South African Constitution to defend them when it comes to banning labou r broking. This is because section 22 of the Constitution talks about the right of every individual to trade freely in S outh Africa (Kutumela, 2015). When institutional adjustments do not meet the requirements of the progressive criteria, it means they are regressive. Based on the data that was collected and the responses and remarks of the workers, trade unions, and trade union federations, it can be said that TES employment and labour broking hinders labour market functionality. Hence, it can be concluded that, due to the characteristics mentioned, labour broking does indeed have a regressive element which hinders labour m arket functionality. An area for further research for TES employment would be to look at the impact of the amendments to the Labour Rela tions Act. Specifically focusing on the Constitutional Court ruling, which forces labour brokers to treat employees who have been employed for longer than three months as permanent employees.
- Full Text:
- Date Issued: 2020
- Authors: Haaketa, Bernadatte Tina
- Date: 2020
- Subjects: Veblen, Thorstein, 1857-1929 , Contracting out -- South Africa , Temporary employment -- South Africa , Industrial relations -- South Africa , Labor supply -- South Africa , Labor supply -- Effect of technological innovations on -- South Africa , Manpower policy -- South Africa , Labor market -- South Africa
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/168446 , vital:41583
- Description: Labour markets ar ound the world have witnessed a great change in labour relations. The introduction of globa lisation, increased competition and technological advancements has caused business organisations to change their employment methods. While trying to survive and remain profitable, employers have adopted a new form of triangular employment relationship. Thi s form of employment relationship known as labour broking and which forms part of the Temporary Employment Services (TES) involves a relationship between the worker, labour agent (broker) and a client c ompany. Although it may seem like a good strategy for business organisations, the change in employment relationships has had negative effects and contributed to labour market dysfunctionalities . This has resulted in critics of labour broking calling or an end in labour broking and supporters of labour broking asking for better regulation of the industry. Labour markets are me When it comes to analysing labour broking and its impact on labour market functionality in South Africa. Scholars and analysts such as Budlender ( 2013 ) and Bhorat, Lil enstein, Oosthuizen , and Thornton ( 2016 ) have used the Neoclassical , New Institutional Economics and Marxist approach es. The current views on labour broking and the current schools of thought fail to look at the underlying behavioural aspect of labour brokers and the client c ompanies. Hence making it easy for labour brokers and their client companies to continue with their unscrupulous activities. However, this t hesis adapted the Veblenian Dichotomy framework which focuses on understanding the role of the evolutionary proce ss and the role of institutions in shaping economic behaviour. The Veblenian dichotomy shows that power plays an important role in how labour markets are run. Similarly, behaviour also influences the manner in which labour brokers and client companies trea t workers. And lastly the Veblenian dichotomy shows that in order for the industry to be run better there has to be change in the behaviour and cultu re of the labour brokers and client companies . This view allows for deeper analysis of the reasons for the flour ishing nature of labour broking and the rationale behind the behaviour of economic players and attempts to provide solutions on how labour brok ing can be correctly administered in South Africa. The Veblenian Dichotomy categorises institutions into t wo sets, namely the ceremonial institutions and instrumental institutions. Where Ceremonial institutions are said to be institutions that foster the interests of business such as profitability and earning of free income, even if there is no corresponding i ncrease in production. While Instrumental institutions, usually working through the influence of technology, address the interests of the common pers on and the labourer as well as business (Waller, 1982; Foster, 1981; Veblen, 1919). These two systems of va lues and institutions are antagonistic and the relative strength of one to the other determines economic outcomes and in whose interests the outcomes would be (Waller, 1982; Foster, 1981; Veblen, 1919). The Veblenian Dichotomy further looks at ceremonial encapsulation which occurs when ceremonial systems prevail over instrumental systems. Ceremonial encapsulation presents the hypothesis that the insti tutional structure will absorb new technology only to the extent that it can do so without disrupting the e xisting value structure (Waller, 1987; Bush, 1979.) The thesis use d various sources , such as working papers, public hearings, court cases, trade union submissions, integrated reports from companies, employee submissions and media publications on the debate about labour broking whether labour broking and applied the Interpretative Phenomenological Analysi s (IPA) research approach, in the process of data collection and analysis . The thesis further applied thematic analysis to derive themes that would be used to analyse the impact of labour broking on labour market functionality in South Africa. The emergent themes and subthemes were Exploitative lab our relations subthemes; job Insecurity, increased financial burden and no skills development. The second theme was; Competitive advantage and the subthemes were; i ncreased profits and organisational efficiency. The third theme was l abour market efficiency and the subthemes were. E mployment creation and labour market flexibility. And, the last theme was a mbiguous l abour regulation s with subthemes; n o freedom of association and a tool for circumventing labour regulations . Lastly, Tool’s (1994) criteria of j udgement for institutional adjustments was used to evaluate the emergent themes and to evaluate the impact of l abour broking on the overall welfare of individuals, which includes determining whether employees in the TES sector gain skills and improved stan dards of living. The findings of the research the TES sector is characterised by ceremonial values. Ceremonial values (as mentioned in section 3.3) are those values that are warranted by the ways of life that prescribe status and hierarchies and unpleasant distinctions to apply value and status on other people (Bush, 1987, 1988; Ayres, 1967). Thus changing the way in which labour brokers conduct themselves or handle labour broking activities would prove to be difficult . T he power that is mostly used in TES employment sectors is condign power. Condign power is explained as the form of power that is predominantly used in ceremonially encapsulated markets. And it involves making use of punishment or fear in order to get people to do something. This is because w orkers in the TES sector are forced to submit to conditions that they would not normally have submitted to if t hey did not have a fear of losing their jobs. This supports existing literature which shows that in the TES sector, TES employers use force and p ower in order to get the workers to do something, and this results in a master - servant relationship between the employer and the employee. Furthermore, the protests that erupt in the TES sector agree with Marxist theory which notes that the frustrations in the way workers are treated would result in a revolution of the working class against the employers. However, now, workers have not been able to overcome the employers and take over the industry. In addition to what current literature says, the research found that some managers make use of labour broking as a way of manifesting their exploitative characteristics on the labour market, thus creating information asymmetries in order to advance their own personal needs. Situations such as these reve al characteristics of opportunistic behaviour, which is perpetuated by the imperfect flow of information. This means th at the market is imperfect, and imperfect markets are characteristics of dysfunctional labour markets. The research also found that it i s the South African Constitution that protects labour brokers and client companies from accounting for the unfair treatm ent of workers. Labour brokers and client companies rely on the South African Constitution to defend them when it comes to banning labou r broking. This is because section 22 of the Constitution talks about the right of every individual to trade freely in S outh Africa (Kutumela, 2015). When institutional adjustments do not meet the requirements of the progressive criteria, it means they are regressive. Based on the data that was collected and the responses and remarks of the workers, trade unions, and trade union federations, it can be said that TES employment and labour broking hinders labour market functionality. Hence, it can be concluded that, due to the characteristics mentioned, labour broking does indeed have a regressive element which hinders labour m arket functionality. An area for further research for TES employment would be to look at the impact of the amendments to the Labour Rela tions Act. Specifically focusing on the Constitutional Court ruling, which forces labour brokers to treat employees who have been employed for longer than three months as permanent employees.
- Full Text:
- Date Issued: 2020