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71. Rising Spatial Disparities and Development

Author:
Ravi Kanbur and Anthony J. Venables
Publication Date:
09-2005
Content Type:
Policy Brief
Institution:
United Nations University
Abstract:
Amidst a growing concern about increasing inequality, the spatial dimensions of inequality have begun to attract considerable policy interest. In China, Russia, India, Mexico, and South Africa, as well as most other developing and transition economies, there is a sense that spatial and regional disparities in economic activity, incomes and social indicators, are on the increase. Spatial inequality is a dimension of overall inequality, but it has added significance when spatial and regional divisions align with political and ethnic tensions to undermine social and political stability. Also important in the policy debate is a perceived sense that increasing internal spatial inequality is related to greater openness of economies, and to globalization in general.
Topic:
International Relations, Foreign Policy, Demographics, and Development
Political Geography:
Russia, China, India, South Africa, and Mexico

72. An Inquiry into Cities and Their Role in Subnational Economic Growth in South Africa

Author:
W.F. Krugell and W.A. Naudé
Publication Date:
01-2004
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
South Africa is characterized by significant inequality in spatial economic activity. Whether future growth and development on a subnational level in South Africa will be such as to reduce this inequality may depend on the economic growth and development of South Africa's largest cities. Our local economic growth empirics show some indications of conditional convergence in output between poorer towns as well as overall between all cities and towns. Between 1990 and 2000 some limited sigma convergence was found but this was driven by declines in the standard deviation of per capita income amongst the poorest quintile of towns. An estimate of conditional beta convergence of 1.2 percent over the period 1990-2000 confirms that overall convergence has been taking place. From an estimation of the determinants of economic growth on a local level, using a dataset on 353 local areas in South Africa between 1990-2000 we found the most significant determinants to be stocks of human capital and distance from harbours and markets. The effect of human capital on economic growth was strongly associated with the presence of large cities, as one would predict from endogenous growth theory.
Topic:
Demographics, Development, and Economics
Political Geography:
Africa and South Africa

73. Does South Africa Suffer from the Fear of Float' Syndrome?An Analysis of the Efficacy and Challenges of a Managed Floating Exchange Rate Regime with Financial Integration'

Author:
Olano Makhubela
Publication Date:
07-2004
Content Type:
Working Paper
Institution:
School of Oriental and African Studies - University of London
Abstract:
The paper examines whether South Africa suffers from a 'fear of float' syndrome. The analysis also covers the efficacy and challenges of a managed floating exchange rate regime. I use time series data, volatility equations and ARCH models to test the volatility of South Africa's exchange rate, interest rate and foreign exchange reserves. Evidence shows that South Africa has volatile interest and exchange rates, but not foreign exchange reserves. Yet, South Africa does not seem to suffer from an extreme and chronic form of 'fear of floating'. South Africa requires financial integration to finance its current account deficits and to complement its low savings rate. Yet, evidence indicates that both capital account openness and foreign exchange control liberalization have no robust impact on growth. The authorities' intervention in the 2001 currency crisis did not help. Hence, I recommend that South Africa should use interest rates early to target both inflation and foreign exchange rates. Challenges remain in the form of relatively high interest rates, volatile capital flows, perceptions, destabilizing speculation, and loopholes in foreign exchange controls.
Topic:
International Relations, Development, Economics, and International Political Economy
Political Geography:
South Africa

74. CERI: Municipalities in South Africa: A Shifting-Pole Autonomisation

Author:
Ivan Crouzel
Publication Date:
04-2003
Content Type:
Working Paper
Institution:
Centre d'Etudes et de Recherches Internationales
Abstract:
In South Africa, the transition negotiated in order to build a post-apartheid political order has brought about a deep-seated transformation of the state. A central issue of this radical reform had to do with the territorial arrangement of the new state. Constitutional negotiations resulted in a hybrid federal type of system that distinctly reinforced the power of local government, particularly to counterbalance that of the nine provinces. At the same time, a smoother form of intergovernmental relations was introduced with the concept of "cooperative government." In contrast to the centralized system that held sway under apartheid, local government has been strengthened by a new constitutional status, which in particular guarantees an "equitable share" of the national revenue. It also ensures that municipalities are represented nationally through intergovernmental structures involving the participation of local governments.
Topic:
Development, Government, and Treaties and Agreements
Political Geography:
Africa and South Africa

75. Producing an Improved Geographic Profile of Poverty: Methodology and Evidence from Three Developing Countries

Author:
Chris Elbers, Peter Lanjouw, Johan Mistiaen, Gabriel Demombynes, Jenny Lanjouw, and Berk Özler
Publication Date:
03-2002
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
This paper implements a methodology for estimating poverty in Ecuador, Madagascar and South Africa, at levels of disaggregation that to date have not generally been available. The methodology is based on a statistical procedure to combine household survey data with population census data, imputing into the latter a measure of per capita consumption from the former. The countries are very unlike each other—with different geographies, stages of development, quality and types of data, and so on. Yet the paper demonstrates that in all three countries the poverty estimates produced from census data are both plausible (in that they match well stratum-level estimates calculated directly from the household surveys) and satisfactorily precise (at a level of disaggregation far below that allowed by household surveys).
Topic:
Development, Economics, Government, and International Trade and Finance
Political Geography:
South Africa

76. The Coming Apathy: Africa Policy Under a Bush Administration

Author:
Salih Booker
Publication Date:
12-2000
Content Type:
Working Paper
Institution:
Africa Policy Information Center
Abstract:
"There's got to be priorities," George W. Bush responded when asked about Africa in the second presidential campaign debate. Africa did not make his short list: the Middle East, Europe, the Far East, and the Americas. A Bush presidency portends a return to the blatantly anti-African policies of the Reagan-Bush years, characterized by a general disregard for black people and a perception of Africa as a social welfare case. Vice President Dick Cheney is widely expected to steer the younger Bush on most policy matters especially foreign affairs. Cheney's perspective on Africa in the 1980s was epitomized by his 1986 vote in favor of keeping Nelson Mandela in prison and his consistent opposition to sanctions against apartheid South Africa.
Topic:
Foreign Policy, Development, and Human Welfare
Political Geography:
Africa, United States, and South Africa

77. Yet Another Transition? Urbanization, Class Formation, and the End of National Liberation Struggle in South Africa

Author:
David Everatt
Publication Date:
02-1999
Content Type:
Policy Brief
Institution:
The Wilson Center
Abstract:
Comparative Urban Studies Project Policy Brief Yet Another Transition? Urbanization, Class Formation, and the End of National Liberation Struggle in South Africa Presented February 8-9, 1999, at the Woodrow Wilson Center for the Comparative Urban Studies Project's Research Working Group on Urbanization, Population, the Environment, and Security funded by the U.S. Agency for International Development. These policy briefs do not represent an official position of the Woodrow Wilson International Center for Scholars or the U.S. Agency for International Development. Opinions expressed are solely those of the authors. South Africa's negotiated settlement is widely hailed as a small miracle. What is the state of the miracle five years on?
Topic:
Civil Society, Development, and Government
Political Geography:
Africa and South Africa