Imports and exports play a vital role in every country’s economy. Both of these variables depend to a great extent either on the appreciation or depreciation of the country’s currency. Imports, exports and exchange rate are some of main determinants of economic growth and are also affected by economic growth. This paper aims to determine the effect of exchange rate and economic growth on both exports and imports in the South African economy. To achieve this objective, a test for cointegration was carried out using the autoregressive distributed lag (ARDL) model. This model was applied on a time series quarterly data from 2008 to 2018. The error correction model and Granger Causality tests were performed to define the short-run and causal relationship amongst variables. The regression analyses reveals the existence of a long-run relationship within the estimated variables. In support of the economic literature, the study findings indicated that economic growth positively effects on both exports and imports. Nonetheless, the analysis depicted that in the long-run, Rand appreciation leads to more imports and fewer exports. Furthermore, the Granger Causality text suggested a bidirectional causality between the exchange rate and imports; between economic growth and imports, and between the exchange rate and economic growth. Succinctly, the used variables have a causal relationship with one another. Based on the findings, the study highlighted the pertinence of economic growth and emphasised the role played by the exchange rate in maintaining the balance between imports and exports. The study recommended that both currency value and economic growth should be given urgent attention in order to revive the deteriorating economy of South Africa.
Historically, research focusing on the money demand function developing economies (especially Eastern European transition economies) was a difficult undertaking because of under-developed financial systems and the unavailability of data. This study aims to assist in filling this gap in the literature by employing three different estimation techniques to estimate the M1 and M2 money demand functions for Hungary. The study uses quarterly data for an 18-year period, obtained from the IMF’s International Financial Statistics database. The results based on the bounds testing procedure as well as the other two approaches confirm that a stable, long-run relationship exists between the demand for money and its determinants. The results’ robustness is enhanced by the similarities between the results of the various approaches used in the study. The money demand function can therefore theoretically serve as a tool to measure the effect of monetary policy decisions and in determining what parameters of the money demand function to adjust in order to yield the required effects. It is suggested that, in the case of Hungary the M1 money demand function might be the most appropriate model on which monetary policy decisions should be based.
Entrepreneurship has been considered an imperative component of economic development. This is specifically true for developing countries, such as South Africa, where economies face high levels of unemployment and poverty. Several countries have emphasised the importance of female entrepreneurship development, and evidence from the literature suggests that entrepreneurs who accumulate entrepreneurial training prove higher commitment to stay in and grow the business. As such, the aim of this study was to explore the differences in various entrepreneurial factors between South African female entrepreneurs having some form of entrepreneurial training and those who have not had such training. The methodology followed a quantitative descriptive approach using a convenience sampling method. Female entrepreneurs from all nine South African provinces were included and data were collected using a self-administered questionnaire. In total, 510 useable questionnaires were returned. Data were analysed using descriptive, reliability and validity analysis, MANOVA and ANOVA. From the results, four variables returned a statistically significant value: external motivation, intention to grow the business, entrepreneurship training and education and business growth factors. From these variables, all with the exception of the external motivation variable, reported higher means for the group who had previous exposure to entrepreneurial training. No differences were observed for the variables concerning internal motivation, intention to remain in business and attitude towards business. The literature supports the findings in that females who had previous entrepreneurial training reported higher means for intention to grow their business. Surprisingly, females with previous entrepreneurial training reported a lower mean for external motivation, possibly suggesting that training may affect their outlook regarding desire for wealth, applying skills and knowledge, proving oneself and improving one’s status, for example. Recommendations include that government should introduce and promote special training programmes for female entrepreneurs and facilitate funding opportunities for these businesses to ensure sustained growth.
The purpose of this study was to explore various public participatory stakeholders in the management of the City of Harare’s informal sector as well as to assess the role of stakeholders in the governance of this sector within the context of political polarisation. In doing so, the study employed a mixed method approach which included a questionnaire survey (N=195), in-depth interviews (N=12) and documentary analysis. Main observations suggested that public participation was far from being achieved due to a multiplicity of factors. Furthermore, despite the introduction of a progressive constitution and the existence of various participatory mechanisms, various challenges continue to inhibit public participation in Harare. These include lack of funding, continued central government intervention, re-centralisation of governance due to loss of political power by the ruling party, political polarisation, resistance by administrators to co-opt the public into decision-making processes and failure to adapt to change. In addition, despite commendable efforts by various stakeholders to engender stakeholder participation, there was a distinct absence of the development and implementation of effective stakeholder involvement strategies in flea market governance. The analysis also showed that the role of the Council especially that of councillors, has been diminishing over the years and conversely, City administrative officials have become more powerful beyond their line of duty. To make matters worse, currently, there are no specific legislative provisions that provide for community participation. The findings will be of interest to local government officials and scholars alike as they have a number of practical implications. There is a need to put in place a robust legislative framework that promotes citizenry involvement and that de-links party politics from development and governance of local authorities. A key policy priority should, therefore, be to inculcate a culture of inclusivity, tolerance and de-centralisation of power and governance.
Concerns surrounding the outcomes of young people in the labour market have become a global phenomenon. None more so has this been evident than in South Africa. While finding employment seems highly unlikely for most, circumstances surrounding the outcomes of those who are employed have likewise raised alarms. Understanding what contributes to decent employment in this regard holds important relevance not only in promoting the wellbeing of the cohort, but also advancing the knowledge on the requirements to utilise their local development potential. The purpose of the study was therefore to identify the antecedents of young South African employees’ earning potential. A quantitative approach and cross-sectional research design were employed, where secondary data collected through the most recent national labour market dynamics survey was used. The sample consisted of 27 493 young employees between the ages of 15 and 34 years. Descriptive statistics, cross-tabulations and a linear regression were utilised for the analysis. Results of the study showed the earnings potential of young South Africans to be intertwined with an array of aspects. In this regard, the remuneration prospects of young people depend on race, sector of employment and trade union membership. Outcomes were also highly gendered biased, while the impact of labour market inequalities including the lack of social capital and geographical characteristics likewise seems to affect their earnings ability. Recommendations in advancing the cohort’s labour market outcomes must, therefore, include enhanced public-private partnership formation through mandatory apprenticeship programmes. This must be supported by the relaxation of labour market regulations and a strategic focus that seeks to advance both soft and technical skills.
