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The Premature De-Industrialization of South Africa

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  • Jean Imbs

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

Abstract

Manufacturing activities are on the wane in Sub-Saharan Africa. With the relocation of many industries into Asia, the trend is widespread across the world economy. The USA and most of the European Union are also deindustrializing, but at higher levels of per capita GDP than Africa. Their economies tend to move into services. In contrast, the deindustrialization of Sub-Saharan Africa is often associated with the rising importance of extractive activities in its economy, exported to emerging Asia. Thus, contrary to the developed world, Sub-Saharan Africa is not moving away from industries and into services. Rather it is moving back into extractive activities, to take advantage, so the argument goes, from temporarily sky-high commodity prices. Such a trend has far-ranging consequences for the region’s aggregate activity, which then depends on commodity prices. It also raises the question of the long-run desirability of structural change there.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Jean Imbs, 2013. "The Premature De-Industrialization of South Africa," PSE-Ecole d'économie de Paris (Postprint) hal-00970271, HAL.
  • Handle: RePEc:hal:pseptp:hal-00970271
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    Cited by:

    1. Gideon Ndubuisi & Elvis Korku Avenyo & Rex Asiama, 2024. "Dancing on the grid: electricity crises, manufacturing energy vulnerability, and jobs in South Africa," WIDER Working Paper Series wp-2024-41, World Institute for Development Economic Research (UNU-WIDER).
    2. Taguchi, Hiroyuki, 2022. "Risk of premature deindustrialization: the case of the latecomer’s developing countries in Asia," MPRA Paper 113551, University Library of Munich, Germany.

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