Thesis (D.Comm.))--University of Pretoria, 2003. / Includes bibliographical references (leaves 221-235).

The South African Department of Trade and Industry administers supply side incentive programmes aimed at promoting industrial development. This report presents a strategic analysis of the Chief Directorate: Manufacturing Development, and the Small Medium Manufacturing Development Program (SMMDP), in the context of South African Economic Development. Principles of corporate strategic theory are applied to analyse the SMMDP, a key element of government's basket of supply side measures. The programme has been implemented under the direction of the Board for Manufacturing Development whose objective is "To promote manufacturing Growth by way of incentives or concessions with regard to requirements within the framework of the economic policy of the republic." The success of the SMMDP is measured by the extent to which it accomplished the objectives of Wealth Creation, Employment Creation, Development of Entrepreneurship, Promoting the Utilisation of Raw Materials, Ensuring the Long Term Sustainability of Projects Receiving Incentives, Creating Opportunities for the Introduction of New and Advanced Skills into South Africa, and Facilitating International Competitiveness. Its effectiveness is hindered by policy conditions embodied in the SMMDP. Policy requirements that are within the Board for Manufacturing Development's control, ranked in order of severity are: Plant and Machinery, Equity, Turnover, and Human Resources. The requirement that has the highest frequency of non-compliance and the greatest effect is the Plant and Machinery requirement. Since this requirement has no bearing on the achievement of objectives and is only in place for the board's convenience, it should be removed from the programme. A strategy that focuses on clusters of industry that produce high numbers of employment relative to the investment made would be better suited to the objective of employment creation. Employment creation can also be more easily achieved if the Board allows the use of second-generation machinery. Insufficient correlation between the Board for Manufacturing Development's strategy and that of the labour authorities negate the positive effects of incentives on employment creation. The strategy was acceptable to the stakeholders at the time of implementation, but since many of the intended outcomes did not materialise, a post implementation assessment does not find the strategy acceptable. In assessing the feasibility of the strategy, the resources and competencies of the Chief Directorate: Manufacturing Development are considered. Many industrialists loose incentives due to the exclusion of expansion projects from the scope of the SMMDP. However, since the exclusion is due to lack of resources, the strategy cannot be feasible if expansions are included within the scope of the programme. Although the SMMDP has failed to achieve most of it's objectives, the overriding objective of the Board for Manufacturing Development, is the creation of wealth. The programme has achieved this requirement, in spite of its failures, and should therefore not be considered a total failure. The study recommends that: • The Plant and Machinery requirement be removed from the SMMDP. • The equity ratio is re-evaluated to produce a more desirable outcome. • The Board for Manufacturing Development employ's a bird's eye economic approach to stimulate growth in industries that will produce the most favourable economic outcomes. In other words, blanket incentives should be traded for specific incentivisation. • Expansions are included in the scope of industrial incentives. • The Board for Manufacturing Development adopts a transparent approach so that industry and government may work together to produce favourable economic outcomes. / Thesis (MBA)- University of Natal, 2003.

The conventional approach to increasing economic growth - increasing inputs, such as labour and capital, is not always possible. The wider, fundamental sources of economic growth need to be considered too. Foreign aid is a temporary lifeline and does not spur economic growth. Conversely, financial assistance negatively affects growth and can hamper development prospects. Economic freedom and economically freer countries have been associated with higher growth rates, higher per capita incomes, greater volumes of trade, prosperity and overall wellbeing. By improving their economic freedom, deregulating the economy and allowing economic freedom to prosper, countries can experience sustained GDP growth. Previous studies have shown that economic freedom and economic growth are exponentially related - and that by initially becoming freer, countires can increase their growth rates at higher rates. The main objective of the SADC is to achieve development and economic growth, to alleviate poverty and enhance the standard and quality of life for the peoples of Southern Africa. The SADC is attempting to achieve economic integration through macroeconomic convergence. A number of macroeconomic variables have been set to act as primary indicators. These include inflation, fiscal balance, public debt and the current account balance. By introducing the concept that economic freedom can lead to higher growth rates and being able to identify economic freedom, it makes it possible to investigate how the SADC can achieve its set goals by becoming freer. By investigating individual components that constitute the overall freedom index, it becomes possible to establish the relationship that exists between this viriable and economic growth. This will illustrate where deregulation and freedom are most effective and where policy decisions need to be highlighted. The 2008 economic crisis revealed that countries that decreased their economic freedom have fared worse than countries allowing freedom to prosper. Government fiscal stimulus has had no positive impact on growth rates; the negative effects of reducing economic freedom will onlky be fully seen in future years. However, the majority of the SADC countries showed a relatively strong fiscal stance during the recession. This study established whether that a positive relationship between economic freedom and economic growth in the SADC. Secondly, the direction of causality that economic freedom leads to economic growth. The findings reveal that economic freedom fosters economic growth in general, and for the SADC in particular. Empirical evidence has been found for the SADC; and the implications of becoming freer are more fully explained.

Commercial trading in various formats has characterised relations between humans for centuries. However, in a world driven by higher levels of consumption, and where citizens demand higher returns for their hard-earned taxes, governments are becoming more active in ensuring favourable conditions for their own enterprises, either operating or seeking to operate, in foreign markets, as well as local enterprises that seek to extract value from foreign markets. The past failure of the markets to self-regulate, with the recent events of the 2008/09 market crash, gave fresh impetus for governments to play a more active role in ensuring favourable outcomes for their local economies. To be effective, requires the deployments of capable officials to fulfil this mandate. However, given that governments have traditionally not operated in the sphere of what is termed as ‘commercial diplomacy’, it is evident that a concerted effort needs to be made to have a skilled and capable workforce which can function in both the commercial and diplomatic market spaces across the world. Against the background sketched above, the South African government, with the dti spearheading the initiative, has been running capacity building programmes to train officials as designate FERs, to function as commercial diplomats in targeted foreign markets. This contrasts with its sister-department, DIRCO, which has established 126 foreign missions focusing on political diplomacy. Anecdotal evidence, and previous capacity building reports, have highlighted the need for a framework to regulate and inform the development of officials. Due to the framework’s broader focus, and the acknowledgement of the rich experiences of the officials being trained in the programme, it has been termed as capacity development. An initial review of the topic, revealed that there had been limited research into a framework that regulates the capacity development of foreign economic representatives (FERs), the term used for commercial diplomats of the South African government. Thus, the purpose of this study was to explore a capacity development framework (CDF) for South African FERs. This exploratory capacity development framework will then be tested, to inform the capacity development programme used for the training of designated FERs. To achieve this goal, a literature review of academic sources of information regarding the concepts of commercial diplomacy, capacity development and conceptual frameworks, was conducted. This led to the development of a qualitative questionnaire which was then distributed to all currently posted (27) and returned FERs (33), with 18 completed questionnaires returned. The questionnaire contained both closed and open-ended statements that delved deeper into the experiences and opinions held by the respondents. Using the dti as a case study, the content analysis method, which uses open coding, was applied to identify the theme and codes emanating from the data. This was assessed against the research questions (RQs) constructed in the research proposal, and was found to be in line with the sentiments flowing from the research data. The theme, indicated as capacity development and its concomitant codes (Process, Content, Technology and Management Support), thus formed the basis and skeleton of the exploratory capacity development framework. The codes were further analysed and sub-codes identified, which were incorporated into the exploratory capacity development framework. The analysis further revealed that, while the dti is committed to ensuring the designate FERs are adequately capacitated before being posted, much more could be done to improve the efficacy of the training provided. To this end, a number of gaps were identified from the data and these will need to be addressed to ensure that an effective capacity development programme is developed.

This research study aims to make recommendations on how the Local Economic Development (LED) of the Inkwanca Local Municipality can be made effective. The researcher has conducted a qualitative research study through the use of interviews as the data collection tool, in order to obtain information from specific population members of the concerned local municipality on LED issues. The participants of the research included municipal officials, community project members and the official from the Department of Social Development. The study consists of five chapters:  Chapter 1 is the introduction chapter where the whole project background is outlined.  Chapter 2 consists of the literature review, where various ideologies on the concepts of LED have been discussed.  Chapter 3 describes the methodology used to conduct the research and outlines the route that was taken in acquiring the required data.  Chapter 4 consists of the findings of the study. This chapter presents these findings in different themes and covers responses given by coded participants. Moreover, Chapter 4 also discusses the aims and objectives of the study, and states that the research findings have achieved the aims of the research in the analysis of data.  Finally, Chapter 5 consists of the summary of the study background, challenges of the study and some recommendations by the researcher. The conclusion is that the presumption of the research problem has been confirmed by the study. The Inkwanca Local Municipality does need some urgent intervention in order to enhance the LED of the area. Recommendations for LED challenges and opportunities acquired from the findings provide direction on how the LED of the Inkwanca Local Municipality can be made effective in order to reduce poverty and the unemployment rate in the area.

The apartheid Johannesburg was built on spatial divisions, uneven development was undertaken literally to ensure that whites and blacks were to live apart from each other. In the post-apartheid Johannesburg, uneven development persists, though no longer solely based on racial differences. These spatial divisions, as they did under apartheid, reinforce existing structures of the privileged, which mutually reinforce the system of spatial, economic and social exclusion, particularly for the unemployed poor. In the light of the continuation of this urban form, the study aimed to show that people are not unemployed only because there are no jobs generally available to people lacking marketable skills, as primarily argued by most researchers; but also because there is a strong correlation between unemployment and the spatial distribution of employment opportunities within the Johannesburg city. The study also aimed to test the applicability of various theories imported from USA and Europe, which are generally used to explain urban problems in South Africa, through identification of possible areas of contention. In attempt to explain the continuation of the apartheid urban form by the current government policy, the study adopted qualitative data collection techniques focusing on literature studies, documentary, personal observation and the design of a theoretical framework Based on the theoretical framework, the study came to the conclusion that the preoccupation with compact city development to eradicate the effects of uneven development and urban unemployment in Johannesburg is misdirected. It has revealed the need for the government to explore how best to improve the circumstances of low-income households in condition of urban sprawl. The outcome of the study in relation to uneven development is that, although Johannesburg exhibits apartheid patterns of racial oppression and exploitation, in post-apartheid South Africa, Johannesburg is characterized by structural inequality driven by two income gaps: between an increasingly multiracial middle class and the rest; and between the African urban working class and the African unemployed and marginalized poor. In this context, uneven development in Johannesburg can no longer be explained solely by race. High levels of intra-racial inequality, especially among the African population, mean that there are other social forces at work. The study also found that there has been the steady relocation of economic activities to the southern part of Johannesburg, particularly in Soweto. And that the vast majority of new households in Johannesburg are settling in and on the edges of existing townships, most often on the outer edges, mainly because of the informal housing and government's subsidised housing. Nonetheless, these developments continue to perpetuate the apartheid legacy of uneven development. According to the conclusion of the study there is evidence to suggest that employment accessibility within different population groups is largely caused by spatial factors, such as employment decentralisation and residential segregation. / Development Studies / D. Litt. et Phil. (Development Studies)

M.Comm. (Economics) / The Gauteng provincial government is currently exploring possible sources for raising revenue to finance the increasing demand in social services. In the current fiscal stance, the bulk of provincial government revenue is constituted of funds transferred from the national government in the form of equitable share to provinces. Thus, the main purpose of this study is to assess the overall impact of the increase in the motor vehicle license fees and tourism levy, as important sources of the Gauteng provincial government own sources of revenue, on economic activities in the Gauteng Province. The study uses the provincial Computable General Equilibrium (CGE) model to simulate an increase in motor vehicle license fees and tourism levy, and to determine how such increases in taxation will affect provincial socio-economic variables such as the gross domestic product (GDP), employment and household consumption expenditure. The findings of the study are that a 10% increase in motor vehicle license fees or tourism levy negatively affects the Gauteng GDP, employment and household consumption. Nonetheless, the effect on provincial government revenue is positive. Given the negative effect of such an increase in taxation on key socio-economic variables, the study suggests that an increase in taxation on motor vehicle license fees or tourism levy should not be considered as options for raising revenue for the Gauteng Province.

M.Comm. / The agricultural sector is important in South Africa, because it contributes approximately 4 percent to the country’s Gross Domestic Product. Agriculture can contribute significantly to economic growth, by means of food production and job creation, and thereby it can play an important role in reducing poverty. This paper examines the contribution of agriculture to economic growth in South Africa, and its possible role in poverty alleviation. It begins by conducting a literature review of the contribution of agriculture to economic growth. In particular, it examines two stages of farming, namely, the subsistence and commercial stages, to determine how each of these contributes to economic growth and poverty alleviation. It finds that both of these stages have undergone little improvement over the years and have performed poorly. Next, the challenges that prevent the farming sector from performing better are described and investigated in detail. Importantly, unavailability of the data in the subsistence sector makes it harder to arrive at a conclusion as to whether agriculture contributes to poverty alleviation. Despite these challenges, the study finds that agriculture remains the key to survival for most of the rural poor. Finally the paper draws conclusions and makes recommendations for policy measures to increase growth in the agricultural sector based on the findings of the research. The key conclusion emanating from this study is that agriculture does not indeed contribute to economic growth and that it is able to alleviate poverty. However, resources such as land, skilled labour, machinery and capitals are a major limiting factor. As for recommendations, a critical strategy must be to recapitalise agriculture, investing more heavily in this sector and in programmes to develop rural economic and social infrastructure. Public investment needs to be directed in particular towards promoting agricultural research and extension, improving access to financial services, providing investment incentives, and increasing access of the poor to support services and productive resources. The study concludes that data and information should be separated between subsistence and commercial farmers to be able to determine whether agriculture contributes to poverty alleviation.

M.Comm. (Financial Economics) / This dissertation examines the relationship between inflation, inflation uncertainty, and economic growth using quarterly data for South Africa covering the period 1960-2012. Inflation uncertainty is estimated using the Generalized Autoregressive Conditional Heteroscedasticity modelling framework. Granger methods are employed in order to investigate the interaction between inflation, inflation uncertainty, and economic growth. The presence of structural change is investigated through dummy variables representing changes in monetary policy regime. No evidence is found of any significant structural change in either inflation or inflation uncertainty. Granger results indicate that inflation uncertainty has a negative impact on inflation, supporting Holland’s (1995) argument of stabilising central bank behaviour. Conversely, there is evidence that high inflation leads to elevated inflation uncertainty, in accordance with Friedman’s (1977) hypothesis. Inflation uncertainty does not have a significant impact on economic growth in South Africa. However, inflation does have an adverse effect on economic growth, whilst economic growth exerts a positive impact on the rate of inflation. Lastly, economic growth does not have any meaningful effect on inflation uncertainty.

A research report submitted to the Wits Business School in the University of the Witwatersrand, in partial fulfilment of the requirements for the degree of Master of Management in Innovation Studies Johannesburg, 2015 / Innovation policy is a crucial driver for development, especially in developing countries. Developing countries are characterised by weak and fragmented innovation systems that pose an even greater challenge to integrating innovation policy. The key and most persistent weakness identified in South Africa’s national innovation system has been its lack of vertical and horizontal policy integration and coherence. Regions in South Africa are increasingly becoming active in developing, designing and implementing their own innovation policies. This creates an urgent need for integrating national and regional innovation policies and programmes. The basis for the study was an assessment of the extent of integration between national and regional innovation policies in South Africa and the Gauteng region in particular. The study employed both a qualitative and quantitative research approach and the methodology applied was content analysis as well as semi-structured interviews with key informants at the national and regional level. While there was no specific innovation framework regarding the question of integration across different regions due to restrictions, this study employed a more general framework utilising the policy studies to investigate this issue. The framework was based on three categories: complementary policy goals, priorities and scope; policy structures and procedures for policy integration; and mechanisms and policy instruments to steer integration. The findings of the study suggest that there is weak integration between South Africa’s national innovation policy and Gauteng’s regional innovation policy based on the framework selected for analysing policy integration. The finding revealed that there is significant lack of integration between national and regional policy structures and procedures; and mechanisms and policy instruments in promoting innovation policy. Moreover, the findings showed that South Africa’s national innovation policy is embedded in a linear, narrow path of supply-driven technology and has a top-down perspective approach. Overall, there is an opportunity for South Africa and Gauteng to improve innovation policy integration by prioritising strong leadership and commitment at the political level; establishing specific coordination mechanisms; and improving interactions between national and regional levels through policy experimentation. To achieve these objectives, functional regions should be targeted and used for improving quality of policy-relevant evidence.