Economic Policy in South Africa Past, Present, and Future

2015

This study interrogated the politics of South Africa's macroeconomic policy. It done this by briefly analyzing the RDP and GEAR at length. The purpose was to identify the flaws in its conception and philosophy in order to modify it to make it more people friendly enthused with social democratic ideals. This is because it was hypothesized that if GEAR and the philosophy underpinning it were humane, poverty would have been significantly reduced. Moreover, the objective of this study was to highlight major macroeconomic policy trends so as to suggest a macroeconomic policy that will respond to the needs of all the people, particularly the poor. The macroeconomic policies of the DA, COPE and COSATU were analysed to this end. Moreover, the NGP which replaced GEAR in November 2010 was also analysed, and it was found that they don't differ ideologically. Both qualitative and quantitative research methodologies were used to collect data. It was found that while GEAR succeeded in stabilizing the economy, it to achieve its employment, social equality and economic growth target. This study then recommended for a macroeconomic policy which will intertwine private enterprise government intervention and planning to realize fair competition, maintaining a balance between high growth rate, low inflation and unemployment, together with the nationalization of the means of production. These proposals will yield equality, economic growth and higher job creation.

Boston Capitalists and Western Railroads

This is a response to the question of what set of policies are required for successful industrialisation in South Africa. The approach is focused on how the institutional, economic and policy challenges related to industrial development. Therefore, the paper argues that policies intended to successful establish industrialisation South Africa need to address the sectorial bias, the fact that mining sector success was based on the sector’s exploitation of cheap labour through the system of migrant labour, and establish self-sufficiency that can allow for economic linkages within the economy without exclusion of certain sectors and population groups. This includes coherent support by the state in labour-intensive sectors to establish competitiveness of our labour- intensive industries. But more importantly this includes sensitivity to previously and currently marginalised groups such as women and children. In addition the state needs an extensive industrial policy that is coherently supported by trade policy in order to promote labour-intensive production and industrial growth. This requires an understanding of how liberalisation or protection is needed, and within which sectors and for how long. In addition, this requires co-ordinated effort by the state and not just government or business. Moreover, policy regime coherence and reciprocal control mechanisms are vitally important in order to minimise state failure and promote developmental market functioning. Lastly, I argued that the state needs to restrain financial capital, which would reduce profitability in the financial sector, making other sectors more profitable in order to stimulate investment in those sectors. However this is a highly contentious area of policy because of the power of embedded interests within the state. But this is not something that cannot be negotiated piecemeal and despite the many examples of success and failure there are things the state will only learn through experience.

Looking back over South Africa's 27-year history of democracy, it seems that while non-whites have made some political gains, socioeconomic gains of the vast majority have remained the same, or even diminished Esma Karadag and Aydin Erdogan | 03.08.2021 Esma Karadag is a doctoral student at the African Studies Unit of the University of Cape Town. Esma Karadag is a doctoral student at the African Studies Unit of the University of Cape Town. Aydin Erdogan is a doctoral student at the African Studies Unit of the University of Cape Town and the Political Aydin Erdogan is a doctoral student at the African Studies Unit of the

2001