Analysing exports in South Africa's chemical sector : a panel data approach

Under the Industrial Policy Action Plan of 2007, the South African government identified priority sectors that need to be promoted and developed in order to accelerate growth, reduce unemployment and alleviate poverty. Among these, the chemical sector was identified as a priority sector that needs to be developed for this purpose. This paper analyses exports within the chemical sector using a gravity model approach. It further investigates whether there is unexploited trade potential between South Africa and its trading partners within this sector. The paper identified unexploited trade potential in Austria, Czech Republic, Finland, France, Greece, Hungary, Japan, Malawi, Mauritius, Spain, Tanzania, United Kingdom, United States and Zimbabwe. The analysis concludes by identifying stable and reliable export destinations within the chemical sector which could be targeted to alleviate unemployment, poverty and stimulate growth.http://www.journals.co.za/ej/ejour_bersee.htm

Urban economic development : a conceptual framework

The purpose of this study is to develop an economic policy framework for local urban authorities to empower them to increase economic growth and development and thus quality of life of its residents. The study integrates conventional economic growth theories with the urban environment and shows their applicability within the urban environment. An urban area is perceived as an economic powerhouse within the national economy where the majority of economic activity is generated. The concentration of people and economic activity creates certain positive externalities that should be exploited by residents, businesses and local authorities. High levels of research and development as well as innovation is possible in urban areas and contribute to realize increased economic growth and development. Unfortunately, urban areas also experience negative externalities and this should be addressed because this leads to a decrease in economic efficiency and thus a decline in quality of life. The study thus introduces several options of urban economic policies for use by the local urban authorities. The main aim of these policies is to serve as a framework for local urban authorities to address the typical relevant urban problems in order to stimulate sustainable economic growth and development and quality of life.Thesis (DCom (Economics))--University of Pretoria, 2007.Economicsunrestricte

An inter-disciplinary perspective on the information privacy issue in a global environment

The world economic system's transformation from a dominantly massproduction model, to a mass-customisation model is seen as creating a demand for personal information on consumers. This has lead many consumers to feel the need to protect their information because businesses request personal information during commercial transactions. This conceptual paper addresses information privacy as a marketing-related issue with an inter-disciplinary nature and aims to illustrate how marketing and economics can work together in a more cohesive manner. The information privacy issue is presented as striking a fair balance between the privacy interests of consumers, the financial interests of businesses, and the sustainability of an economy in the global environment. The paper concludes that consumer information privacy will always remain an issue of protection for consumers, an ethical issue for marketers, and is fast becoming an issue of social responsibility for government

BRICS – quo vadis?

The BRICS countries gained importance on the international stage with two opposing scenarios from the literature dictating discussions. The first proclaimed that BRICS would become a major economic force globally, while the second perceived it as a mere symbolic type of gesture with minimal impact. Based on this, should the group be able to fully converge and unite, the first may become true, but if the second narrative becomes reality, the group may diverge with limited impact globally. To become an economic entity that has significant influence in international affairs, unity rather than diversity is imperative. Following a desk-top literature approach in this study, it seems to indicate that BRICS forms a heterogeneous coalition, focussed on advancing members’ individual, rather than collective interest, using the benefit of being aligned with a potential economic powerhouse. Therefore, it seems as if the second scenario, seems more plausible.https://www.tandfonline.com/loi/cdsa20hj2022Economic

Determining South Africa’s export potential to Australia : a panel data approach

This study explores South Africa’s exports to Australia from 2000 to 2012, using both a static and a dynamic augmented gravity model. Sectors with export potential are identified, whether these are reliable and stable is considered. The largest export potential includes the apparel sectors as well as the basic metals, communication, furniture, glass, iron, leather, motor, paper and printing sectors. The most stable and reliable export sectors are the motor, machinery, iron, basic chemicals and food sectors. Although these sectors could target the promotion of South African exports, South Africa could also serve as an important source country for Australia in strengthening ties with the African continent.http://www.sajems.orgam201

The impact of trade facilitation factors on South Africa's exports to a selection of African countries

Economic growth can be enhanced through increased trade among countries, provided the correct institutional structures are in place. A country’s trade is dependent not only on its own trade facilitation reforms but also on those of the trading partners. This paper, using an augmented gravity model, examines trade facilitation factors that impact on South Africa’s exports to other selected African countries. The results of the estimation reveal the following. An improvement in the customs environment within the importing country provides the largest gain in terms of increasing trade flows, followed by the regulatory environment and domestic infrastructure. Furthermore, adjacency and common language impact positively on South African exports, while distance between countries impacts negatively on it. Being part of the Southern African Development Community is also enhancing exports from South Africa, compared with being part of the East African Community.http://www.tandfonline.com/loi/cdsa202015-12-30hj201

South Africa’s exports to China : higher quantity or bigger variety?

In general, a country’s “fundamentals”, namely its endowments of physical and human capital, labour and natural resources along with the quality of its institutions, largely determine what it produces. Any attempt to reshape the production structure beyond the boundaries of these fundamentals is likely to fail and limit potential economic performance. Although fundamentals play an important role, it does not necessarily pin down exactly what a country will produce and export. Export expansion is pivotal in a country’s attempt to promote economic growth and can be based on either the intensive margin, involving expansion in the quantity of existing exports or the extensive margin, involving expansion in the variety of products exported. Furthermore, a country also needs to evaluate its domestic production capacity given a specific trading partner. South Africa and China are moving closer to one another as trading partners, presenting ample trade opportunities. South Africa’s sectoral exports to China identifies key trade opportunities, while export sectors with potential to export more existing products (intensive margin) or more product varieties (extensive margin) are identified in this article. This analysis could provide valuable insight into the government’s trade institutions. The information could assist in providing guidance to exporting firms to ensure increased effectiveness in a very competitive environment.am2016Economic

Choice of exchange rate regime in a selection of African countries

An exchange rate regime has an important impact on macroeconomic policies within developing countries and therefore essential in macroeconomic policy formation. The main research question is to determine how the variety of determinants would influence the exchange rate regime choice for a selection of 19 African developing countries. A distinction is made between three groups of variables, namely economic fundamentals, economic stabilisation aspects and currency crises factors, all affecting a country’s exchange regime choice. The probability of these determinants is then estimated to establish whether the selected countries would choose a fixed, an intermediate or a flexible exchange regime.http://www.tandfonline.com/loi/wjab202017-02-20hb201

Determining South Africa’s export potential to Australia : a panel data approach

This study explores South Africa’s exports to Australia from 2000 to 2012, using both a static and a dynamic augmented gravity model. Sectors with export potential are identified, whether these are reliable and stable is considered. The largest export potential includes the apparel sectors as well as the basic metals, communication, furniture, glass, iron, leather, motor, paper and printing sectors. The most stable and reliable export sectors are the motor, machinery, iron, basic chemicals and food sectors. Although these sectors could target the promotion of South African exports, South Africa could also serve as an important source country for Australia in strengthening ties with the African continent.http://www.sajems.orgam201

The further the distance, the closer the ties

In his article "death of distance‟, Caincross (1997) challenged the orthodoxy with regard to the role and direction of proximity in international trade. The mainstream model for trade analysis, the gravity model has only two prominent determinants – one of which is distance. But while this theory predicts a negative impact of distance on trade, empirical evidence seems to be evenly split between those finding a positive and those finding a negative impact of distance on trade. South Africa‟s total exports to three groups of countries at different distances are measured to determine the impact of distance. The results indicate that distance shows a negative sign when African countries are concerned but turns positive when European countries, even more distant, enter the equation.http://www.virtusinterpress.orgam201