The impact of exchange rate movements on employment: the economy-wide effect of a rand appreciation
OUTPUT TYPE: Journal Article
PUBLICATION YEAR: 2009
TITLE AUTHOR(S): S.N.C.Ngandu
KEYWORDS: EMPLOYMENT, EXCHANGE RATES
Print: HSRC Library: shelf number 5681
HANDLE: 20.500.11910/5015
URI: http://hdl.handle.net/20.500.11910/5015
If you would like to obtain a copy of this Research Output, please contact Hanlie Baudin at researchoutputs@hsrc.ac.za.
Abstract
There has been some debate on the impact of exchange rate volatility and levels in South Africa. This is a particular concern as South Africa needs to dramatically expand sustainable employment and at the same time raise value-added in its production of goods and services. These are not necessarily complementary objectives for a mineral-exporting economy. Using a computable general equilibrium model, with the appreciation induced by a commodity price boom, this paper analyses the possible impact of an appreciation of the rand on employment. The intention is to identify the impact on both aggregate employment and sectoral output. Although the economy does well as a result of the commodity boom, the results indicate the potential for 'Dutch Disease'-type effects. Almost all traded sectors are negatively affected, while the non-traded sectors experience a boost as a result of the appreciation.-
Related Research Outputs:
- Exchange rates and employment: the experience of fast-growing economies
- The effect of exchange rate volatility on trade and employment: a brief review of the literature
- Exchange rate and employment project: overview
- Exchange rates and unemployment
- Exchange rates and employment critical issues
- Overview of the incidence of poverty in South Africa for the 10-Year Review
- KZN economic review: final report
- The relationship between labour market dynamics and HIV/AIDS prevalence: a literature review
- Income mobility and household dynamics in South Africa: the case of KwaZulu-Natal
- First employment experiences of graduates
- Employment services sector
- Education in retrospect: policy and implementation since 1990
- The size and scope of the non-profit sector in South Africa
- The HSRC's graduate employment survey 2000: phase 6
- Remuneration of graduates: as on 1 October 2000
- Analysis of workplace skills plans and training reports: mining and minerals sector
- The graduate
- Informal finance in the informal economy: promoting decent work among the working poor
- State of the nation: South Africa 2003-2004
- Sector strategies for employment creation: construction, social services and food