An analysis of the relationship between bank efficiency and access to banking services in South Africa
- Authors: Maredza, Andrew
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , Doctor of Administration (in Public Administration)
- Identifier: http://hdl.handle.net/10353/910 , vital:26508
- Description: The primary objective of this study is to investigate the nature of the relationship between bank efficiency gains and access to banking services in South Africa. The importance of making such an enquiry arises from the fact that various studies have identified access to financial services as an important vehicle for lifting the poor out of poverty. In particular, there is concern that banks` appetite for better scores on efficiency has the potential of reducing access to services for consumers particularly the low-income clients. The study attempted to answer two central research questions: Firstly, does the quest for banks to improve efficiency preclude access to banking services for some group of consumers? Secondly, do bank efficiency gains necessarily translate to improved accessibility to banking services? The researcher applied a two-stage methodology approach. In the first stage, the Hicks-Moorsteen aggregator functions were used to generate and decompose total factor productivity (TFP) into several efficiency measures for a panel of eight South African banks. First stage results revealed that the average banking sector total factor productivity efficiency (TFPE) was 59 percent implying that the observed TFP was 41 percent short of the maximum TFP possible using the available technology. A further comparison of performance revealed that large banks were better performing than small banks in terms of TFPE. Apart from estimating and decomposing TFP indices we needed to determine if there was a statistically significant change in the TFPE of South African banking system as a result of the global financial crisis. A general analysis of the generated scores showed that TFPE clearly decreased during 2008-2009, the period that coincided with the global financial crisis. We then used the Fixed Effects Model (FEM) in the second-stage analysis to examine the link between banking sector TFPE and access. The FEM was utilised to take account of bankspecific heterogeneity. The obtained results indicated existence of a positive and significant relationship between banking efficiency and access to banking services. This study suggests that banking sector efficiency plays a crucial role in promoting access to bank services in South Africa. We therefore underscore the need for all banks to attain and maintain high efficiency in order to augment government efforts towards improving accessibility for the unbanked South African people. We also found evidence similar to that reached by Kablan (2010) that an increase in the rural population is associated with a reduction in access to bank services. From this result, we speculated that banks are somewhat biased against providing their services to the general rural populace. Since the rural-population variable exerted the greatest marginal impact on access we suggested that perhaps investment in rural infrastructure would help broaden access and so improve financial inclusion on a larger scale. Finally we also investigated the link between banking sector efficiency and unemployment in South Africa. Of paramount importance in the second stage analysis was that we found a negative and significant association between banking sector efficiency and unemployment indicating that employment is influenced, inter alia, by the efficiency with which banks operate.
- Full Text:
- Date Issued: 2014
- Authors: Maredza, Andrew
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , Doctor of Administration (in Public Administration)
- Identifier: http://hdl.handle.net/10353/910 , vital:26508
- Description: The primary objective of this study is to investigate the nature of the relationship between bank efficiency gains and access to banking services in South Africa. The importance of making such an enquiry arises from the fact that various studies have identified access to financial services as an important vehicle for lifting the poor out of poverty. In particular, there is concern that banks` appetite for better scores on efficiency has the potential of reducing access to services for consumers particularly the low-income clients. The study attempted to answer two central research questions: Firstly, does the quest for banks to improve efficiency preclude access to banking services for some group of consumers? Secondly, do bank efficiency gains necessarily translate to improved accessibility to banking services? The researcher applied a two-stage methodology approach. In the first stage, the Hicks-Moorsteen aggregator functions were used to generate and decompose total factor productivity (TFP) into several efficiency measures for a panel of eight South African banks. First stage results revealed that the average banking sector total factor productivity efficiency (TFPE) was 59 percent implying that the observed TFP was 41 percent short of the maximum TFP possible using the available technology. A further comparison of performance revealed that large banks were better performing than small banks in terms of TFPE. Apart from estimating and decomposing TFP indices we needed to determine if there was a statistically significant change in the TFPE of South African banking system as a result of the global financial crisis. A general analysis of the generated scores showed that TFPE clearly decreased during 2008-2009, the period that coincided with the global financial crisis. We then used the Fixed Effects Model (FEM) in the second-stage analysis to examine the link between banking sector TFPE and access. The FEM was utilised to take account of bankspecific heterogeneity. The obtained results indicated existence of a positive and significant relationship between banking efficiency and access to banking services. This study suggests that banking sector efficiency plays a crucial role in promoting access to bank services in South Africa. We therefore underscore the need for all banks to attain and maintain high efficiency in order to augment government efforts towards improving accessibility for the unbanked South African people. We also found evidence similar to that reached by Kablan (2010) that an increase in the rural population is associated with a reduction in access to bank services. From this result, we speculated that banks are somewhat biased against providing their services to the general rural populace. Since the rural-population variable exerted the greatest marginal impact on access we suggested that perhaps investment in rural infrastructure would help broaden access and so improve financial inclusion on a larger scale. Finally we also investigated the link between banking sector efficiency and unemployment in South Africa. Of paramount importance in the second stage analysis was that we found a negative and significant association between banking sector efficiency and unemployment indicating that employment is influenced, inter alia, by the efficiency with which banks operate.
- Full Text:
- Date Issued: 2014
Assessment of the monitoring and evaluation tools for transversal training management agency for targeted community based organizations
- Authors: Harbor, Aderonke Omolola
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: http://hdl.handle.net/10353/1172 , vital:26533
- Description: The purpose of this study was to determine if monitoring and evaluation tools at a local level could help bring about sustainability of rural projects of the community based organizations thereby making the livelihoods of community members better in the Eastern Cape Province. To accomplish this objective, a case study of the training provided by Transversal Training Management Agency (TTMA) was assessed within the concept of the practice of evaluation and seeking to answer four research questions: To what extent should capacity development create sustainable managerial competencies for rural projects? Are monitoring and evaluation tools the key to sustainable projects? How will knowledge and application of M&E tools improve capacity development of CBOs? What are the policy lessons that can be derived from the application of M&E tools for the grass roots groups? The research design was in two parts namely the literature review which focuses on the roles of social change theory and program theory approaches of evaluation which is best applicable for the grassroots, then the case study of TTMA. This was a qualitative research whereby secondary data source was mainly used. The researcher was an employee of TTMA within the period of study, therefore, was able to validate information. Multiple community projects were studied using the secondary data analysis. This was necessary because of the geographic spread of the CBOs that were trained all around the Eastern Cape province and the language barrier would have pose a challenge to the researcher if all project members were to be interviewed. The main findings of the study shows that training was well conducted and project members gave positive feedback about training but what was absent in the training is a study of a monitoring and evaluation framework for the projects‘ members as one of the necessary managerial competencies in order for them to track progress and warning signals in the project cycle before it is too late. In conclusion some recommendations have been made amongst which is a practical handbook of M&E for the grassroots. This provides variety of tools that can best suit the literacy levels of project members that this study targeted. TTMA can therefore, adopt this as part of the training courses for project sustainability.
- Full Text:
- Date Issued: 2014
- Authors: Harbor, Aderonke Omolola
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: http://hdl.handle.net/10353/1172 , vital:26533
- Description: The purpose of this study was to determine if monitoring and evaluation tools at a local level could help bring about sustainability of rural projects of the community based organizations thereby making the livelihoods of community members better in the Eastern Cape Province. To accomplish this objective, a case study of the training provided by Transversal Training Management Agency (TTMA) was assessed within the concept of the practice of evaluation and seeking to answer four research questions: To what extent should capacity development create sustainable managerial competencies for rural projects? Are monitoring and evaluation tools the key to sustainable projects? How will knowledge and application of M&E tools improve capacity development of CBOs? What are the policy lessons that can be derived from the application of M&E tools for the grass roots groups? The research design was in two parts namely the literature review which focuses on the roles of social change theory and program theory approaches of evaluation which is best applicable for the grassroots, then the case study of TTMA. This was a qualitative research whereby secondary data source was mainly used. The researcher was an employee of TTMA within the period of study, therefore, was able to validate information. Multiple community projects were studied using the secondary data analysis. This was necessary because of the geographic spread of the CBOs that were trained all around the Eastern Cape province and the language barrier would have pose a challenge to the researcher if all project members were to be interviewed. The main findings of the study shows that training was well conducted and project members gave positive feedback about training but what was absent in the training is a study of a monitoring and evaluation framework for the projects‘ members as one of the necessary managerial competencies in order for them to track progress and warning signals in the project cycle before it is too late. In conclusion some recommendations have been made amongst which is a practical handbook of M&E for the grassroots. This provides variety of tools that can best suit the literacy levels of project members that this study targeted. TTMA can therefore, adopt this as part of the training courses for project sustainability.
- Full Text:
- Date Issued: 2014
Balanced scorecard components as predictors of service performance management in first bank Nigeria plc 2009 – 2014
- Authors: Agomuonso, Clara Udochi
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , PhD (in Public Administration)
- Identifier: vital:11721 , http://hdl.handle.net/10353/d1017866
- Description: Many institutions and organizations are set up to with a right motive but fail to actualize their vision. This cuts across both public and private institutions across the globe. A financial institution is selected for this research because of its sensitivity; hence getting it right with a delicate institution like a financial organization will assist usage of this monitoring system by other institutions. Modern banking in Nigeria started in 1892 with the free banking era which ended when the Banking Ordinance of 1952 was promulgated. First Bank was the pioneer bank that was established in Nigeria in 1894 as the Bank of British West Africa. The establishment of the First Bank of Nigeria predates the birth of the Nigerian nation as a sovereign entity. The bank which was registered as the bank of British West Africa in 1894 has therefore evolved along the path of political, social and economic changes and developments of Nigeria from the colonial period to independence and the experience of post-independence. It thus shared, in the process of its growth, the tidal experiences of the nation which, in retrospect, were sources of strength (Ndekwu, 1994).
- Full Text:
- Date Issued: 2014
- Authors: Agomuonso, Clara Udochi
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , PhD (in Public Administration)
- Identifier: vital:11721 , http://hdl.handle.net/10353/d1017866
- Description: Many institutions and organizations are set up to with a right motive but fail to actualize their vision. This cuts across both public and private institutions across the globe. A financial institution is selected for this research because of its sensitivity; hence getting it right with a delicate institution like a financial organization will assist usage of this monitoring system by other institutions. Modern banking in Nigeria started in 1892 with the free banking era which ended when the Banking Ordinance of 1952 was promulgated. First Bank was the pioneer bank that was established in Nigeria in 1894 as the Bank of British West Africa. The establishment of the First Bank of Nigeria predates the birth of the Nigerian nation as a sovereign entity. The bank which was registered as the bank of British West Africa in 1894 has therefore evolved along the path of political, social and economic changes and developments of Nigeria from the colonial period to independence and the experience of post-independence. It thus shared, in the process of its growth, the tidal experiences of the nation which, in retrospect, were sources of strength (Ndekwu, 1994).
- Full Text:
- Date Issued: 2014
Housing challenges in Ekurhuleni Metropolitan Municipality: an exploration
- Authors: Marutlulle, Noah Kaliofas
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , PhD (in Public Administration)
- Identifier: http://hdl.handle.net/10353/1234 , vital:26539
- Description: The housing delivery topic is frequently dredged to the surface of media focus by tragic phenomena such as the destruction of lives and properties by storms and fires and also at the hands of the police during demonstrations. This study which is exploratory in nature and adopted an interpretive research philosophy aimed at investigating the housing delivery challenges encountered by Ekurhuleni Metropolitan Municipality (EMM) with the objectives of illuminating the challenges, establishing the role EMM play in housing delivery and providing recommendations that would assist in ameliorating the challenges. It utilised a qualitative methodology involving indirect observation which included the use of questionnaires and interviews and a purposive sampling method where fifty eight participants comprising employees of EMM, Councillors, Community leaders and Community members were selected. The data were analysed in Microsoft word using thematic analysis and a pilot study was used to pre-test the objectivity, reliability and validity of the data and also to improve the success and effectiveness of the investigation. Overall, the results suggested the main causes of the housing delivery challenges to be predominantly a combination of population growth, the unavailability of land, corruption and government policies. The key findings that emerged for the amelioration of the challenges were the formulation of a coherent housing strategy, the need for the government to pursue housing policies that are comprehensive and effectively integrated with broader socioeconomic objectives and also the need for the government to be fully attuned to the necessity of reconfiguring housing policy as part of its mechanism for managing the economy. The general focus of the recommendations was on overcoming the housing delivery hurdles. In recommending future research, the existence of a vast amount of new knowledge that still need to be discovered on the housing delivery arena was established and avenues were indicated through which the knowledge can directly illuminate issues central to the theme of this study [housing delivery challenges]. The study will become a landmark and a standard reference in future studies wherein it will also serve as a barometer to test new and contentious ideas and theories encapsulated in issues surrounding the study.
- Full Text:
- Date Issued: 2014
- Authors: Marutlulle, Noah Kaliofas
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , PhD (in Public Administration)
- Identifier: http://hdl.handle.net/10353/1234 , vital:26539
- Description: The housing delivery topic is frequently dredged to the surface of media focus by tragic phenomena such as the destruction of lives and properties by storms and fires and also at the hands of the police during demonstrations. This study which is exploratory in nature and adopted an interpretive research philosophy aimed at investigating the housing delivery challenges encountered by Ekurhuleni Metropolitan Municipality (EMM) with the objectives of illuminating the challenges, establishing the role EMM play in housing delivery and providing recommendations that would assist in ameliorating the challenges. It utilised a qualitative methodology involving indirect observation which included the use of questionnaires and interviews and a purposive sampling method where fifty eight participants comprising employees of EMM, Councillors, Community leaders and Community members were selected. The data were analysed in Microsoft word using thematic analysis and a pilot study was used to pre-test the objectivity, reliability and validity of the data and also to improve the success and effectiveness of the investigation. Overall, the results suggested the main causes of the housing delivery challenges to be predominantly a combination of population growth, the unavailability of land, corruption and government policies. The key findings that emerged for the amelioration of the challenges were the formulation of a coherent housing strategy, the need for the government to pursue housing policies that are comprehensive and effectively integrated with broader socioeconomic objectives and also the need for the government to be fully attuned to the necessity of reconfiguring housing policy as part of its mechanism for managing the economy. The general focus of the recommendations was on overcoming the housing delivery hurdles. In recommending future research, the existence of a vast amount of new knowledge that still need to be discovered on the housing delivery arena was established and avenues were indicated through which the knowledge can directly illuminate issues central to the theme of this study [housing delivery challenges]. The study will become a landmark and a standard reference in future studies wherein it will also serve as a barometer to test new and contentious ideas and theories encapsulated in issues surrounding the study.
- Full Text:
- Date Issued: 2014
Model for IT governance to improve information technology alignment of multi-campuses in South African institutions of higher learning
- Authors: Ngqondi, Tembisa Grace
- Date: 2014
- Subjects: IT Governance , Institution of higher learning , Strategic alignment
- Language: English
- Type: Thesis , Doctoral , PhD (Information Systems)
- Identifier: vital:11143 , http://hdl.handle.net/10353/d1015277 , IT Governance , Institution of higher learning , Strategic alignment
- Description: Information Technology (IT) has emerged as an important issue for the public and private sectors. It has been initially identified as a vehicle in supporting business processes by speeding up the process of decision making and easy access of information as required for the competitive advantage of businesses. Organisations regarded IT as an enabler of their business processes. As IT has grown, its shape and definition have drastically changed from being an enabler of the business processes to become a central and strategic concern within the organisation that drives the business processes. The new IT landscape has made organisations completely dependant on IT for their decision making and effective functioning. The dependence on IT has created a need for unified and effective structures, standards and best practices that ensure the effective execution of business processes using IT. The establishment of IT Governance for institutions of higher learning has created the dual challenges of how IT Governance can work within the culture of inclusiveness and shared decision making while better aligning existing IT structures. These dual challenges vary from one university to another based on the culture of the specific university. This study therefore suggests possible ways that IT Governance can shape an institution of higher learning by strategically aligning the institution’s IT strategy with the overall university strategy through the development of an IT Governance Model. To come up with the said proposed model, qualitative research techniques such as document analysis, observations, interviews, a questionnaire and briefing sessions were used during the research process. The comparative analysis of the case studied was used to identify different IT Governance models adopted by other universities. Literature was reviewed to establish the emerging IT Governance practices established and implemented by different authors. The result from this study is that an IT Governance model specific to WSU has been developed. This model can be used as guiding tool in establishing new IT Governance structures and also modify and improve the existing IT Governance structure of different institutions of higher learning. This model can further be used to guide the development of the institution IT Governance implementation architecture framework.
- Full Text:
- Date Issued: 2014
- Authors: Ngqondi, Tembisa Grace
- Date: 2014
- Subjects: IT Governance , Institution of higher learning , Strategic alignment
- Language: English
- Type: Thesis , Doctoral , PhD (Information Systems)
- Identifier: vital:11143 , http://hdl.handle.net/10353/d1015277 , IT Governance , Institution of higher learning , Strategic alignment
- Description: Information Technology (IT) has emerged as an important issue for the public and private sectors. It has been initially identified as a vehicle in supporting business processes by speeding up the process of decision making and easy access of information as required for the competitive advantage of businesses. Organisations regarded IT as an enabler of their business processes. As IT has grown, its shape and definition have drastically changed from being an enabler of the business processes to become a central and strategic concern within the organisation that drives the business processes. The new IT landscape has made organisations completely dependant on IT for their decision making and effective functioning. The dependence on IT has created a need for unified and effective structures, standards and best practices that ensure the effective execution of business processes using IT. The establishment of IT Governance for institutions of higher learning has created the dual challenges of how IT Governance can work within the culture of inclusiveness and shared decision making while better aligning existing IT structures. These dual challenges vary from one university to another based on the culture of the specific university. This study therefore suggests possible ways that IT Governance can shape an institution of higher learning by strategically aligning the institution’s IT strategy with the overall university strategy through the development of an IT Governance Model. To come up with the said proposed model, qualitative research techniques such as document analysis, observations, interviews, a questionnaire and briefing sessions were used during the research process. The comparative analysis of the case studied was used to identify different IT Governance models adopted by other universities. Literature was reviewed to establish the emerging IT Governance practices established and implemented by different authors. The result from this study is that an IT Governance model specific to WSU has been developed. This model can be used as guiding tool in establishing new IT Governance structures and also modify and improve the existing IT Governance structure of different institutions of higher learning. This model can further be used to guide the development of the institution IT Governance implementation architecture framework.
- Full Text:
- Date Issued: 2014
The establishment of a mobile phone information security culture: linking student awareness and behavioural intent
- Authors: Bukelwa, Ngoqo
- Date: 2014
- Subjects: Information security awareness -- Mobile phone security , Information safety
- Language: English
- Type: Thesis , Doctoral , PhD (Information Systems)
- Identifier: http://hdl.handle.net/10353/657 , vital:26485 , Information security awareness -- Mobile phone security , Information safety
- Description: The information security behaviour of technology users has become an increasingly popular research area as security experts have come to recognise that while securing technology by means of firewalls, passwords and offsite backups is important, such security may be rendered ineffective if the technology users themselves are not information security conscious. The mobile phone has become a necessity for many students but, at the same time, it exposes them to security threats that may result in a loss of information. Students in developing countries are at a disadvantage because they have limited access to information relating to information security threats, unlike their counterparts in more developed societies who can readily access this information from sources like the Internet. The developmental environment is plagued with challenges like access to the Internet or limited access to computers. The poor security behaviour exhibited by student mobile phone users, which was confirmed by the findings of this study, is of particular interest in the university context as most undergraduate students are offered a computer-related course which covers certain information security-related principles. During the restructuring of the South African higher education system, smaller universities and technikons (polytechnics) were merged to form comprehensive universities. Thus, the resultant South African university landscape is made up of traditional and comprehensive universities as well as universities of technology. Ordinarily, one would expect university students to have similar profiles. However in the case of this study, the environment was a unique factor which had a direct impact on students’ learning experiences and learning outcomes. Mbeki (2004) refers to two economies within South Africa the first one is financially sound and globally integrated, and the other found in urban and rural areas consists of unemployed and unemployable people who do not benefit from progress in the first economy. Action research was the methodological approach which was chosen for the purposes of this study to collect the requisite data among a population of university students from the ‘second economy’. The study focuses on the relationship between awareness and behavioural intention in understanding mobile phone user information security behaviour. The study concludes by proposing a behaviour profile forecasting framework based on predefined security behavioural profiles. A key finding of this study is that the security behaviour exhibited by mobile phone users is influenced by a combination of information security awareness and information security behavioural intention, and not just information security awareness.
- Full Text:
- Date Issued: 2014
- Authors: Bukelwa, Ngoqo
- Date: 2014
- Subjects: Information security awareness -- Mobile phone security , Information safety
- Language: English
- Type: Thesis , Doctoral , PhD (Information Systems)
- Identifier: http://hdl.handle.net/10353/657 , vital:26485 , Information security awareness -- Mobile phone security , Information safety
- Description: The information security behaviour of technology users has become an increasingly popular research area as security experts have come to recognise that while securing technology by means of firewalls, passwords and offsite backups is important, such security may be rendered ineffective if the technology users themselves are not information security conscious. The mobile phone has become a necessity for many students but, at the same time, it exposes them to security threats that may result in a loss of information. Students in developing countries are at a disadvantage because they have limited access to information relating to information security threats, unlike their counterparts in more developed societies who can readily access this information from sources like the Internet. The developmental environment is plagued with challenges like access to the Internet or limited access to computers. The poor security behaviour exhibited by student mobile phone users, which was confirmed by the findings of this study, is of particular interest in the university context as most undergraduate students are offered a computer-related course which covers certain information security-related principles. During the restructuring of the South African higher education system, smaller universities and technikons (polytechnics) were merged to form comprehensive universities. Thus, the resultant South African university landscape is made up of traditional and comprehensive universities as well as universities of technology. Ordinarily, one would expect university students to have similar profiles. However in the case of this study, the environment was a unique factor which had a direct impact on students’ learning experiences and learning outcomes. Mbeki (2004) refers to two economies within South Africa the first one is financially sound and globally integrated, and the other found in urban and rural areas consists of unemployed and unemployable people who do not benefit from progress in the first economy. Action research was the methodological approach which was chosen for the purposes of this study to collect the requisite data among a population of university students from the ‘second economy’. The study focuses on the relationship between awareness and behavioural intention in understanding mobile phone user information security behaviour. The study concludes by proposing a behaviour profile forecasting framework based on predefined security behavioural profiles. A key finding of this study is that the security behaviour exhibited by mobile phone users is influenced by a combination of information security awareness and information security behavioural intention, and not just information security awareness.
- Full Text:
- Date Issued: 2014
The impact of export diversification on economic performance in South Africa: 1980-2012
- Authors: Choga, Ireen
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , Doctor of Commerce (in Economics)
- Identifier: vital:11489 , http://hdl.handle.net/10353/d1018223
- Description: A widely held view is that export diversification constitutes an important component of export led growth, and poses a major challenge for many developing countries. Given this, the role of export diversification on economic growth warrants a fresh analysis in South Africa. The primary objective of this study is to determine the impact of export diversification on economic growth in South Africa. In this context, the study seeks to establish the relationship between export diversification, export stability and export growth. Initially, the study examines the extent and structure of export diversification in South Africa; it then empirically establishes the link between export diversification, export stability and export growth. Finally, it develops a model and investigates the effects of export diversification on economic growth in South Africa. As an attempt to fulfill the proposed objectives, this study uses quarterly data for the period 1980 to 2012 as well as data for 28 selected groups of commodities to investigate the effects of export diversification on economic growth in South Africa. Measures of export diversification and structural changes in exports in the context of South Africa were discussed. The findings of this study are that the Commodity Specific Cumulative Experience function showed that plots for manufactured commodities are shifted to the right indicating that the commodities are non-traditional in nature whereas, plots for primary commodities are shifted to the left. Results also indicated that South Africa relies more on traditional exports than manufactured exports. Various measures of export instability were used to calculate the export instability index in South Africa. The results of the study reveal that the South African export basket is slightly diversified, and the less diversified or primary commodities are associated with high instability VECM approach was used to allow us to establish the extent of influence of export diversification and other explanatory variables on economic growth. Consistent with other researchers, the study found that export diversification plays significant roles to economic growth in South Africa. A number of diagnostic checks were employed to validate the parameter evaluation of the outcomes achieved by the model. The model passed all the diagnostic checks. On the whole, the results to a larger extent painted a pictured that export diversification is important or drives economic growth in South Africa. Corroborating our findings with work of other scholars, we conclude that our results are complementary.
- Full Text:
- Date Issued: 2014
- Authors: Choga, Ireen
- Date: 2014
- Language: English
- Type: Thesis , Doctoral , Doctor of Commerce (in Economics)
- Identifier: vital:11489 , http://hdl.handle.net/10353/d1018223
- Description: A widely held view is that export diversification constitutes an important component of export led growth, and poses a major challenge for many developing countries. Given this, the role of export diversification on economic growth warrants a fresh analysis in South Africa. The primary objective of this study is to determine the impact of export diversification on economic growth in South Africa. In this context, the study seeks to establish the relationship between export diversification, export stability and export growth. Initially, the study examines the extent and structure of export diversification in South Africa; it then empirically establishes the link between export diversification, export stability and export growth. Finally, it develops a model and investigates the effects of export diversification on economic growth in South Africa. As an attempt to fulfill the proposed objectives, this study uses quarterly data for the period 1980 to 2012 as well as data for 28 selected groups of commodities to investigate the effects of export diversification on economic growth in South Africa. Measures of export diversification and structural changes in exports in the context of South Africa were discussed. The findings of this study are that the Commodity Specific Cumulative Experience function showed that plots for manufactured commodities are shifted to the right indicating that the commodities are non-traditional in nature whereas, plots for primary commodities are shifted to the left. Results also indicated that South Africa relies more on traditional exports than manufactured exports. Various measures of export instability were used to calculate the export instability index in South Africa. The results of the study reveal that the South African export basket is slightly diversified, and the less diversified or primary commodities are associated with high instability VECM approach was used to allow us to establish the extent of influence of export diversification and other explanatory variables on economic growth. Consistent with other researchers, the study found that export diversification plays significant roles to economic growth in South Africa. A number of diagnostic checks were employed to validate the parameter evaluation of the outcomes achieved by the model. The model passed all the diagnostic checks. On the whole, the results to a larger extent painted a pictured that export diversification is important or drives economic growth in South Africa. Corroborating our findings with work of other scholars, we conclude that our results are complementary.
- Full Text:
- Date Issued: 2014
- «
- ‹
- 1
- ›
- »