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Estimating South Africa's Output Gap and Potential Growth Rate

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  • Johannes W. Fedderke
  • Daniel K. Mengisteab

Abstract

The potential output of an economy is an unobservable variable which represents the level of output that an economy can sustain without affecting inflation. The associated output gap is the difference between actual and potential output. The potential growth rate is the growth rate associated with potential output. This paper reviews the methodologies that have […]
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Suggested Citation

  • Johannes W. Fedderke & Daniel K. Mengisteab, 2017. "Estimating South Africa's Output Gap and Potential Growth Rate," South African Journal of Economics, Economic Society of South Africa, vol. 85(2), pages 161-177, June.
    • Handle: RePEc:bla:sajeco:v:85:y:2017:i:2:p:161-177
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    File URL: http://hdl.handle.net/10.1111/saje.12153
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    More about this item

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • E23 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Production
    • E27 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Forecasting and Simulation: Models and Applications

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