IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Coordination Failure and Employment in South Africa

  • David Fryer

    (Department of Economics and Economics IIistory, Rhodes University)

  • Desire Vencatachellum

    ()

    (HEC Montreal, Universite de Montreal)

Registered author(s):

    South Africa simultaneously lost more than 890, 000 jobs, and saw an increase in the number of skilled workers, from 1989 to 1999. We argue this is the consequence of 'well-documented acute apartheid-era distortions which led to a current coordination failure where (i) firms are locked into a mostly skill-intensive technology where they have very little demand for semi-skilled and unskilled labor, and (ii) there are too few semiskilled and skilled blacks. It follows that the average leUel of blacks' human capital is too low for jinns to adopt a technology which makes intensiUe use of less skilled workers in the production process. A Jirm cannot unilaterally change technology because current skilled (mostly white) workers would lose and moUe to other Jinns. All this points to a missing market for semi-skilled workers. Wealth redistribution, public imestments in both the quantity and quality of education are shown to be Pareto-improving.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.jadafea.com/vol6/
    Download Restriction: no

    Article provided by African Finance and Economic Association in its journal Journal of African Development.

    Volume (Year): 6 (2004)
    Issue (Month): 1 ()
    Pages: 22-51

    as
    in new window

    Handle: RePEc:afe:journl:v:6:y:2004:i:1:p:22-51
    Contact details of provider: Web page: http://www.jadafea.com/

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:afe:journl:v:6:y:2004:i:1:p:22-51. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mwangi wa Githinji)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.