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Trade, Technology and Employment in South Africa

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  • Rhys Jenkins

Abstract

South Africa has become increasingly integrated with the global economy since the early 1990s and particularly after the ending of apartheid. However this has not been associated with increased employment and high levels of unemployment are a major economic and social problem. The paper considers the impact of trade and technological change on both the level and skill composition of manufacturing employment. First a Chenery-type decomposition analysis of employment change is carried out and then labour demand functions are estimated econometrically. Both trade and technology are found to have had a negative impact on employment but these are only partial explanations of the low rate of employment growth.

Suggested Citation

  • Rhys Jenkins, 2008. "Trade, Technology and Employment in South Africa," Journal of Development Studies, Taylor & Francis Journals, vol. 44(1), pages 60-79.
    • Handle: RePEc:taf:jdevst:v:44:y:2008:i:1:p:60-79
    DOI: 10.1080/00220380701722308
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    Cited by:

    1. Sèna Kimm Gnangnon, 2023. "Do unilateral trade preferences help reduce poverty in beneficiary countries?," International Journal of Economic Policy Studies, Springer, vol. 17(1), pages 249-288, February.
    2. Edwards, Lawrence & Rankin, Neil A. & Schöer, Volker, 2008. "South African exporting firms: What do we know and what should we know?," MPRA Paper 16906, University Library of Munich, Germany.
    3. Gnangnon, Sèna Kimm, 2021. "Do Unilateral Trade Preferences Help Reduce Poverty in Beneficiary Countries?," EconStor Preprints 247346, ZBW - Leibniz Information Centre for Economics.
    4. Koen Smet, 2013. "Trade-Induced Unemployment: The Case of Post-Apartheid South Africa," South African Journal of Economics, Economic Society of South Africa, vol. 81(2), pages 240-259, June.
    5. Sofia Torreggiani & Antonio Andreoni, 2019. "Dancing with dragons: Chinese import penetration and the performances of manufacturing firms in South Africa," WIDER Working Paper Series wp-2019-63, World Institute for Development Economic Research (UNU-WIDER).
    6. Admasu Shiferaw & Degol Hailu, 2016. "Job creation and trade in manufactures: industry-level analysis across countries," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-36, December.
    7. Lawrence Edwards & Marco Sanfilippo & Asha Sundaram, 2016. "Importing and firm performance: New evidence from South Africa," WIDER Working Paper Series wp-2016-39, World Institute for Development Economic Research (UNU-WIDER).
    8. Aykut Lenger, 2016. "The inter-industry employment effects of technological change," Journal of Productivity Analysis, Springer, vol. 46(2), pages 235-248, December.
    9. Hlalefang Khobai & Clement Moyo, 2021. "Trade openness and industry performance in SADC countries: is the manufacturing sector different?," International Economics and Economic Policy, Springer, vol. 18(1), pages 105-126, February.
    10. Xavier Cirera & Dirk Willenbockel & Rajith W.D. Lakshman, 2014. "Evidence On The Impact Of Tariff Reductions On Employment In Developing Countries: A Systematic Review," Journal of Economic Surveys, Wiley Blackwell, vol. 28(3), pages 449-471, July.
    11. Lawrence Edwards & Marco Sanfilippo & Asha Sundaram, 2016. "Importing and firm performance: New evidence from South Africa," WIDER Working Paper Series 039, World Institute for Development Economic Research (UNU-WIDER).
    12. Torreggiani, Sofia & Andreoni, Antonio, 2023. "Rising to the challenge or perish? Chinese import penetration and its impact on growth dynamics of manufacturing firms in South Africa," Structural Change and Economic Dynamics, Elsevier, vol. 64(C), pages 199-212.
    13. David KUCERA & Leanne RONCOLATO, 2011. "Trade liberalization, employment and inequality in India and South Africa," International Labour Review, International Labour Organization, vol. 150(1-2), pages 1-41, June.
    14. Lawrence Edwards & Marco Sanfilippo & Asha Sundaram, 2020. "Importing and Productivity: An Analysis of South African Manufacturing Firms," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 57(2), pages 411-432, September.

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