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Title: Why Has Unemployment Risen in the new South Africa?
Authors: Banerjee, Abhijit
Galliani, Sebastian
Levinsohn, James
McLaren, Zoe
Woolard, Ingrid
Keywords: unemployment, South Africa, structural changes
Issue Date: 11-Sep-2007
Series/Report no.: IPC Working Paper Series No. 35
Abstract: We document the rise in unemployment in South Africa since the transition in 1994. We describe the likely causes of this increase and analyze whether the increase in unemployment is due to structural changes in the economy (resulting in a new equilibrium unemployment rate) or to negative shocks (that temporarily have increased unemployment.) We conclude the former are more important. Our analysis includes a multinomial logit approach to understanding transitions in individual-level changes in labor market status using the first nationally representative panel in South Africa. Our analysis highlights several key constraints to addressing unemployment in South Africa.
URI: http://hdl.handle.net/2027.42/55749
Appears in Collections:International Policy Center - Working Paper Series
Institute for Social Research (ISR)
Economics, Department of

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