Text in English / The introduction of the New Growth Path (NGP) and the New Industrial Policy Framework (NIPF) have created an opportunity for the industrialisation of indigenous medicinal and aromatic plants (MAPs Amarula (Sclerocarya birrea), Buchu (Agathosma betulina), and Pelargonium (Pelargonium sidoides) for job creation and economic development in South Africa. The aim is to create a locally sustainable industry which creates jobs as well as improvement of the balance of payments. The National Growth Plan highlights some of the opportunities for industrialization as well as creation of decent jobs. There is increasing pressure on the harvesting of wild indigenous medicinal and aromatic plants (MAPS). The establishment of a local pharmaceutical and nutraceutical industry for processing MAPS remains a challenge in South Africa and many low income countries. The objective of this study was to assess the challenges and their impact looking at particular species, Amarula, Buchu and Pelargonium by using structured focus group interviews with users in communities and businesses in KwaZulu Natal Province, Eastern Cape and the Western Cape. More data/information was also collected from key stakeholder companies including desk-top reviews. Data/information was analysed using the SPSS computer programme and the Atlas software to summarize data and the results. Graphs and tables were used where necessary. The qualitative research reported on some qualitative assessments and challenges facing the establishment of medicinal and aromatic plants in South Africa. Comparative findings from BRICS were also reported. The results of the study indicated that there is continuous exploitation of several medicinal plant species, for plant trade, from the wild and substantial loss of their habitat. The research identifies a number of challenges such as: poor standards for raw materials, lack of research and development linking industry driven revenues, demand exceeding supply, regulatory risk, community risk, lack of understanding of judicious agronomic practices, ethical challenges, liquidity risk as well as political instability fail to attract foreign direct investments. The research concludes that for the establishment of a viable local pharmaceutical industry, iii beverage industry and nutraceutical industry with sustainable harvesting, there are serious hegemonic challenges which will require multi-stakeholder analysis. However, for the South African (SA) industry to be competitive, detailed feasibility studies need to be done comparing SA with other BRICS countries. There is also a need for the Research and Development to be strengthened. It must also be linked into industrial development in the industry. Furthermore there is a need to initiate the incentivizing of the pharmaceutical manufacturing to lower the cost of setting up the businesses in the industry and lessen the need to harvest from South African forests. Furthermore there is a need for programmes of production so that key species are given opportunity for cultivation and the attention they deserve to preserve these depleting resources. / Agriculture and  Animal Health / M. Sc. (Agriculture)

Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2005.

Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2005.

Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2006.

This dissertation studies the role of clothing manufacturing co-operatives in job creation and poverty alleviation in Sharpeville. Ttie study focuses on three areas, namely, the theories of unemployment, poverty and clothing manufacturing, the state of unemployment and poverty in Sharpeville and clothing manufacturing co-operatives as one of the contributors to the solution to unemployment and poverty. Unemployment is identified, among others, as a major determinant of poverty; therefore, the main component of any policy aimed at eradicating poverty should focus on employment creation. The clothing industry being the most labour-intensive industry in South Africa with low capital entry requirement creates opportunities for entrepreneurially driven employment creation in Sharpeville. The approach in the dissertation was to define and measure unemployment and poverty and determine the profile of the poor in Sharpeville. This is done by employing household-level indicators. For measuring poverty the following tools are used: the Household Subsistence Level (HSL) as poverty line, the, headcount index, the poverty gap and the dependency ratio. Unemployment is also used to determine poverty levels. The dissertation shows that Sharpeville experiences high unemployment rates and low levels of poverty based on the indicators employed. Compared to Bophelong, most indicators (except for unemployment) show that Sharpeville is better off. Comparing the operations of clothing businesses in Sharpeville and Mitchell's Plain, the dissertation shows that clothing manufacturing has the potential to create job opportunities in Sharpeville if assistance could be offered. Assuming that assistance is offered to form clothing manufacturing cooperatives. The dissertation shows that 374 jobs could be created and that the unemployment rate could decrease from 59.2 percent to 52.9 percent. The expenditure of the whole population of Sharpeville on clothing (also considering nearby communities) shows a potential big market for clothing manufacturing co-operatives in the township. At an average income of R600 per month the impact will be that the poverty rate will be reduced from 43.1 percent to 40.8 percent and at an average income of R1 500 the impact will be that the poverty rate decrease from 43.1 percent to 39.1 percent. Finally, the dissertation concludes that clothing manufacturing co-operatives can indeed create job opportunities and alleviate poverty, but assistance from different structures is needed. The dissertation suggests major support systems like involvement by industry and training institutions, the formation of associations working directly with operators, the addressing of the problem of geographic location of service providers and government involvement. / Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2005.

This dissertation studies the role of education and training in job creation and poverty alleviation in the Sicelo Township. The study focuses on three areas, namely, unemployment, poverty and education and training. The actual state of unemployment and poverty in Sicelo is determined and the role of education and training in solving the problems of unemployment and poverty is discussed. Unemployment is identified, amongst others, as a major determinant of poverty. The main component of any policy aimed at eradicating poverty should therefore focus on employment creation. Education and training is found to be important in labour force participation, finding employment and, therefore, in alleviating poverty. Across both genders, individuals with a low level of education have less chance of finding employment than those with a higher level. Both unemployment and poverty is measured and a profile of the poor in Sicelo is given in terms of several household-level indicators. To measure poverty, the following tools are used: the household subsistence level (HSL) as poverty line, the headcount index, the poverty gap and the dependency ratio. The dissertation shows that Sicelo, compared to Bophelong, experiences lower unemployment rates as well as lower levels of poverty. Most of the indicators show that households in Sicelo are better off than Bophelong. From the analysis it is clear that a high percentage of the poor population have only a primary or incomplete secondary education, which could therefore imply that the lack of education (especially higher education) is a contributing factor to unemployment and poverty in Sicelo. Hence this study shows that access to education is clearly a key component, not only for human resource development, but also of an individual's ability to cope with modern living and to benefit from available opportunities. The unemployment rate amongst the poor was determined at 61.7 percent for Sicelo and the number of poor unemployed persons estimated at 908. If the poor unemployed with skills could be assisted in acquiring further training in the same field in which they already have skills, job opportunities could possibly be found in catering, retail trade, building construction, sewing and welding. Assuming that jobs for all 908 unemployed poor persons in Sicelo could be created at an average monthly income of R600 per month, the impact on the Sicelo community would be that the headcount index would be reduced from 0.50 to 0.23 and the poverty gap index from 0.37 to 0.22. This implies that the percentage of households below their poverty lines would be reduced from the present 50 percent to only 23 percent, and the average shortfall in income of the poor households would be reduced from 37 percent to 22 percent. More training and/or higher qualifications may lead to an increase in the average income, which will result in the reduction of the headcount index. Finally, the dissertation concludes that investing in education and training indeed can create job opportunities and reduce unemployment. This conclusion was drawn from the contention that uneducated individuals have fewer employment opportunities than their educated counterparts. Educated people have also a higher income earning potential, and are better able to improve the quality of their lives. / Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2006.

Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2005.

This dissertation studies the role of clothing manufacturing co-operatives in job creation and poverty alleviation in Sharpeville. Ttie study focuses on three areas, namely, the theories of unemployment, poverty and clothing manufacturing, the state of unemployment and poverty in Sharpeville and clothing manufacturing co-operatives as one of the contributors to the solution to unemployment and poverty. Unemployment is identified, among others, as a major determinant of poverty; therefore, the main component of any policy aimed at eradicating poverty should focus on employment creation. The clothing industry being the most labour-intensive industry in South Africa with low capital entry requirement creates opportunities for entrepreneurially driven employment creation in Sharpeville. The approach in the dissertation was to define and measure unemployment and poverty and determine the profile of the poor in Sharpeville. This is done by employing household-level indicators. For measuring poverty the following tools are used: the Household Subsistence Level (HSL) as poverty line, the, headcount index, the poverty gap and the dependency ratio. Unemployment is also used to determine poverty levels. The dissertation shows that Sharpeville experiences high unemployment rates and low levels of poverty based on the indicators employed. Compared to Bophelong, most indicators (except for unemployment) show that Sharpeville is better off. Comparing the operations of clothing businesses in Sharpeville and Mitchell's Plain, the dissertation shows that clothing manufacturing has the potential to create job opportunities in Sharpeville if assistance could be offered. Assuming that assistance is offered to form clothing manufacturing cooperatives. The dissertation shows that 374 jobs could be created and that the unemployment rate could decrease from 59.2 percent to 52.9 percent. The expenditure of the whole population of Sharpeville on clothing (also considering nearby communities) shows a potential big market for clothing manufacturing co-operatives in the township. At an average income of R600 per month the impact will be that the poverty rate will be reduced from 43.1 percent to 40.8 percent and at an average income of R1 500 the impact will be that the poverty rate decrease from 43.1 percent to 39.1 percent. Finally, the dissertation concludes that clothing manufacturing co-operatives can indeed create job opportunities and alleviate poverty, but assistance from different structures is needed. The dissertation suggests major support systems like involvement by industry and training institutions, the formation of associations working directly with operators, the addressing of the problem of geographic location of service providers and government involvement. / Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2005.

This dissertation studies the role of education and training in job creation and poverty alleviation in the Sicelo Township. The study focuses on three areas, namely, unemployment, poverty and education and training. The actual state of unemployment and poverty in Sicelo is determined and the role of education and training in solving the problems of unemployment and poverty is discussed. Unemployment is identified, amongst others, as a major determinant of poverty. The main component of any policy aimed at eradicating poverty should therefore focus on employment creation. Education and training is found to be important in labour force participation, finding employment and, therefore, in alleviating poverty. Across both genders, individuals with a low level of education have less chance of finding employment than those with a higher level. Both unemployment and poverty is measured and a profile of the poor in Sicelo is given in terms of several household-level indicators. To measure poverty, the following tools are used: the household subsistence level (HSL) as poverty line, the headcount index, the poverty gap and the dependency ratio. The dissertation shows that Sicelo, compared to Bophelong, experiences lower unemployment rates as well as lower levels of poverty. Most of the indicators show that households in Sicelo are better off than Bophelong. From the analysis it is clear that a high percentage of the poor population have only a primary or incomplete secondary education, which could therefore imply that the lack of education (especially higher education) is a contributing factor to unemployment and poverty in Sicelo. Hence this study shows that access to education is clearly a key component, not only for human resource development, but also of an individual's ability to cope with modern living and to benefit from available opportunities. The unemployment rate amongst the poor was determined at 61.7 percent for Sicelo and the number of poor unemployed persons estimated at 908. If the poor unemployed with skills could be assisted in acquiring further training in the same field in which they already have skills, job opportunities could possibly be found in catering, retail trade, building construction, sewing and welding. Assuming that jobs for all 908 unemployed poor persons in Sicelo could be created at an average monthly income of R600 per month, the impact on the Sicelo community would be that the headcount index would be reduced from 0.50 to 0.23 and the poverty gap index from 0.37 to 0.22. This implies that the percentage of households below their poverty lines would be reduced from the present 50 percent to only 23 percent, and the average shortfall in income of the poor households would be reduced from 37 percent to 22 percent. More training and/or higher qualifications may lead to an increase in the average income, which will result in the reduction of the headcount index. Finally, the dissertation concludes that investing in education and training indeed can create job opportunities and reduce unemployment. This conclusion was drawn from the contention that uneducated individuals have fewer employment opportunities than their educated counterparts. Educated people have also a higher income earning potential, and are better able to improve the quality of their lives. / Thesis (M.Com. (Economics))--North-West University, Vaal Triangle Campus, 2006.

This thesis consists of four self-contained studies in empirical labor economics. Micro data on both employers and workers are used to analyze the questions asked in the essays. By using disaggregated information, issues related to firm and individual heterogeneity can be studied.The first essay, The Impact of Temporary Contracts on Gross Job and Worker Flows (with Mahmood Arai), examines job and worker flow dynamics for temporary and permanent contracts. The micro approach to job flows concerns changes in employment at the plant or firm level. Data used in earlier research on gross labor flows do not allow for a distinction between different types of employment contracts (an exception is Abowd et al. (1999). This distinction is especially important in Europe since several European countries discriminate between permanent and temporary contracts in their employment legislation.The data contain quarterly information on the stock of permanent and temporary contracts, as well as direct information on hires and separations for permanent and temporary workers. The information is from a representative sample of around 10,000 Swedish private establishments.The results indicate that temporary contracts, covering only around 10 percent of all contracts, stand for half of all gross job (and worker) flows. This means that gross job (and worker) flow rates for temporary contracts are around 10 times larger than job (and worker) flows for permanent contracts. Our results imply that job reallocation associated with temporary contracts is acyclical in both manufacturing and non-manufacturing sectors. For permanent contracts, job reallocation only exhibits a countercyclical pattern in manufacturing, characterized by a low fraction of temporary contracts. Services employing a higher fraction of temporary contracts exhibit no cyclical pattern in job reallocation, implying that establishments in services use temporary contracts as an adjustment buffer and can adjust its labor input more smoothly.The share of temporary contracts varies with the industry structure and changes as a result of sectoral shifts. This implies that cross-country comparisons, as well as studies of the dynamics of job and worker flows, based on aggregated time-series data, can be distorted by the impact of the fraction of temporary labor on gross labor flows. This, in turn, makes the distinction between permanent and temporary contracts crucial in analyzing job and worker flows, especially when labor protection laws discriminate between short-and long-term employment contracts. The second essay, Wage Dispersion and Allocation of Jobs, investigates the relationship between job turnover and the distribution of wages. One possible explanation for similar labor reallocation rates across labor markets with very different employment-protection legislations is related to differences in wage setting institutions. Bertola and Rogerson (1997) argue that although job-security laws lead to lower job flows, their impact might be reduced if differences in wage-setting institutions have opposite effects. Bertola and Rogerson’s conclusion is that when labor protection laws and wages are jointly considered, the result might very well be that job flows in countries with high adjustment costs and a compressed wage structure mimic those in countries with low adjustment costs and decentralized wages.Using establishment data on job turnover and wages for a panel of around 10,000 establishments in the Swedish private sector, the relationship between wage compression and job reallocation is studied at the industry level.Estimating industry fixed-effects models for 14 two-digit industries yield results indicating large sector differences regarding the effect of the degree of wage dispersion on job reallocation. In accordance with the Bertola and Rogerson hypothesis, this effect is positive in the manufacturing sector. Running separate regressions for job creation and job destruction shows a negative and significant effect of wage dispersion on job destruction, whereas it is insignificant in the job-creation equation. These results are in accordance with wages being more rigid downwards than upwards. The quantitative effect of the impact of wage dispersion on job turnover is limited, however. A one standard deviation increase in wage dispersion reduces the total job reallocation by around 10 percent. Turning to the non-manufacturing sector, the Bertola and Rogerson hypothesis is not supported.Further results include (i) a strong positive effect of the industry-share of temporary employees on job reallocation and (ii) a negative relationship between the use of overtime and job turnover.In the third essay, Wages, Profits and Individual Unemployment Risk: Evidence from Matched Worker-Firm Data (with Mahmood Arai), the impact of firm performance on individual wages is studied. Several studies have found a positive and significant effect of profits on wages. The most widely suggested interpretation for this phenomenon is that employers and employees engage in rent-sharing, thereby splitting the profits created between themselves.The purpose of this study is to examine the extent of rent-sharing and the impact of individual and aggregated unemployment risk on wages of individual workers. We use a sample of over 170,000 Swedish employees for 1991 and 1995 matched with their employing firm’s profits and the unemployment registers. The matched data contain detailed information on individual characteristics, including their unemployment experience during 1992-1995 as well as annual profits as reported in the firms’ balance-sheet reports.The contribution of this paper is that it provides evidence on the wage determination, based on disaggregated individual and firm data dealing with the problems of firm and worker heterogeneity, and the endogeneity of profits. Our results imply positive effects of profits on wages, both in 1991 and 1995. The reported elasticities imply that the wage inequality in Sweden due to the spread in profits is as high as 13% of the mean wages in 1991, according to Lester’s range of pay. These correlations are robust for controlling for time-invariant unobserved individual- and firm characteristics.Using firm-reported short-term product market elasticity and the number of competitors as instruments for profits suggest Lester’s measure of wage inequality due to profits to be as high as 50% of the mean wages.Finally, we investigate the impact of individual heterogeneity with respect to unemployment risk that might also affect wages. We include the individuals’ unemployment event record in our regressions, and our results confirm that individuals with a higher unemployment risk also have lower wages. Including aggregated measures along with individual unemployment risk in our estimations show results suggesting that there exists a robust negative correlation between unemployment risk and wages at various aggregation levels.The final essay, Pay Inequality and Firm Performance: Evidence from Matched Employer-Employee Data, tests several implications from tournament models on the same matched employer-employee data set as in essay 3.According to a variety of theories, the wage distribution both within and between firms can have important effects on individual productivity and firm performance. One argument for high wage differentials, based on incentive effects, is found in Lazear and Rosen’s (1981) tournament theory. Higher wage differentials lead to higher individual effort, and are therefore productivity enhancing. This, in turn, suggests that there is a positive relationship between wage dispersion and productivity. The opposite relationship is found in theories stressing fairness and cooperation between co-workers.For white-collar workers, the results show a positive effect of intra-firm pay spread on firm performance for 1991 and 1995. This applies to different measures of wage dispersion, capturing both raw differences and differences corrected for the fact that part of the wage spread is due to differences in human capital accumulation. To take firm heterogeneity into account, difference equations are estimated on a panel of firms. Once more, consistent with tournament theory, a positive and significant effect of wage dispersion on profits is found. The results for managers are based on information on about 10,000 managers. For various measures of wage dispersion and specifications, a positive and significant association between managerial pay and profits is found. No support is found for the hypothesis of a positive relationship between the number of managers (contestants) and wage spread. Instead, the results show a negative and significant effect of the number of executives and pay spread among managers.Finally, consistent with tournament theory, higher wage dispersion is found in firms operating in volatile product markets characterized by a high degree of output uncertainty. / Diss. Stockholm : Handelshögsk., 2002