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The Evolution of the Racial Wage Hierarchy in Post-Apartheid South Africa

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  • Paul Allanson
  • Jonathan Atkins

Abstract

This article develops a multilateral decomposition procedure for the analysis of wage differentials and applies this to the evolution of the racial wage hierarchy in South Africa over the period 1993-2001. We find evidence that the wage position of the majority African workforce improved relative to all other racial groups immediately following the transition to democratic rule in 1994, but that these gains have been largely eroded in the ensuing years of the post-apartheid era. We review the range of policy initiatives that have been taken by the government since 1994 in the light of our empirical findings.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Journal of Development Studies.

Volume (Year): 41 (2005)
Issue (Month): 6 ()
Pages: 1023-1050

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Handle: RePEc:taf:jdevst:v:41:y:2005:i:6:p:1023-1050

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  1. Leung, S.F. & Yu, S., 1992. "On the Choice Between Sample Selection and Two-Part Models," RCER Working Papers 337, University of Rochester - Center for Economic Research (RCER).
  2. Servaas van der Berg, 1999. "Social Policy to Address Poverty," Working Papers, University of Cape Town, Development Policy Research Unit 99030, University of Cape Town, Development Policy Research Unit.
  3. Deolalikar, Anil B & Evenson, Robert E, 1989. "Technology Production and Technology Purchase in Indian Industry: An Econometric Analysis," The Review of Economics and Statistics, MIT Press, vol. 71(4), pages 689-92, November.
  4. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
  5. Oaxaca, Ronald L. & Ransom, Michael R., 1994. "On discrimination and the decomposition of wage differentials," Journal of Econometrics, Elsevier, Elsevier, vol. 61(1), pages 5-21, March.
  6. Paul Allanson & Jonathan Atkins & Timothy Hinks, 1999. "A Multilateral Decomposition of Racial Wage Differentials in the 1994 South African Labour Market," Dundee Discussion Papers in Economics, Economic Studies, University of Dundee 099, Economic Studies, University of Dundee.
  7. William A. Darity & Patrick L. Mason, 1998. "Evidence on Discrimination in Employment: Codes of Color, Codes of Gender," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 12(2), pages 63-90, Spring.
  8. Mwabu, Germano & Schultz, T Paul, 2000. "Wage Premiums for Education and Location of South African Workers, by Gender and Race," Economic Development and Cultural Change, University of Chicago Press, vol. 48(2), pages 307-34, January.
  9. Allanson, Paul & Atkins, Jonathan P & Hinks, Timothy, 2002. "No End to the Racial Wage Hierarchy in South Africa?," Review of Development Economics, Wiley Blackwell, Wiley Blackwell, vol. 6(3), pages 442-59, October.
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Cited by:
  1. Tomei, Manuela, 2005. "Affirmative action for racial equality : features, impact and challenges," ILO Working Papers, International Labour Organization 377476, International Labour Organization.
  2. Timothy Hinks & Carola Gruen, 2007. "What is the Structure of South African Happiness Equations? Evidence from Quality of Life Surveys," Social Indicators Research, Springer, Springer, vol. 82(2), pages 311-336, June.
  3. Timothy Hinks, 2008. "Poverty, networks and location: the determinants of job-search in South Africa," Journal of International Development, John Wiley & Sons, Ltd., vol. 20(2), pages 117-131.

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