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South Africa’s Export Predicament

Author

Listed:
  • Ricardo Hausmann

    (Harvard's Growth Lab)

  • Bailey Klinger

Abstract

This paper explores export performance in South Africa over the past 50 years, and concludes that a lagging process of structural transformation is part of the explanation for stagnant exports per capita. Slow structural transformation in South Africa is found to be a consequence of the peripheral nature of South Africa’s productive capabilities. We apply new tools to evaluate South Africa’s future prospects for structural transformation, as well as to explore the sectoral priorities of the DTI’s draft industrial strategy. We then discuss policy conclusions, advocating an ‘open-architecture’ industrial policy where the methods applied herein are but one tool to screen private sector requests for sector-specific coordination and public goods.

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Handle: RePEc:glh:wpfacu:6
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File URL: https://growthlab.hks.harvard.edu/sites/projects.iq.harvard.edu/files/2006-08-glwp-06-south_africa_export_predicament.pdf
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More about this item

Keywords

South Africa; Structural Transformation;

JEL classification:

  • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
  • F19 - International Economics - - Trade - - - Other
  • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
  • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
  • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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