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Working Paper
Subsidized labour and firmsEmploying the difference-in-differences technique, this study examines the impact of the Employment Tax Incentive programme on a large sample of South African firms from 2011 to 2016. It finds that programme firms expanded investments by 4.8 per cent...
Working Paper
The tipping pointWhile much research has been done on the economic impacts of load-shedding in South Africa, fewer studies have focused on the effects of the rapidly rising electricity tariffs. The issue of tariff increases has now become even more critical, with...
Working Paper
What drove the profitability of colonial firms?The magnitude of returns to colonial-era investments in Africa has been addressed in an extensive literature, as have the nature and legacies of extractive colonial institutions. However, the link between these institutions and the profitability of...
Working Paper
Evaluating rural roads programmesThe structure employed is a small open economy, with one city and a rural hinterland, two traded goods, a transport sector, two specific factors, and mobile labour. A socially profitable programme will promote not only internal, but also external...
Working Paper
Firms’ resilience to financial constraintsWe study the role of trade credit in enhancing the resilience of financially constrained firms from 2010 to 2017. Implicit borrowing in trade finance allows financially constrained firms to bridge the financing gap, expand employment by 8.26 per cent...
Working Paper
Spillovers from extractive industriesExtractive industries form an important part of the economy for many developing countries, but their impact on growth and welfare remains understudied. With global efforts to transition to net-zero carbon emissions in the coming decades...
Working Paper
The social profitability of rural roads in a small open economyIn the presence of agglomeration economies, the effects of a rural roads programme depend not only on the reduction in transportation costs, but also on the form of labour mobility. When financed by a poll tax on rural households, the wage will rise...
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