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Competition and Productivity Growth in South Africa

Author

Listed:
  • Philippe Aghion
  • Matias Braun
  • Johannes Fedderke

Abstract

Using three different panel data sets, the authors show: (i) that mark-ups are significantly higher in South African manufacturing industries than they are in corresponding industries worldwide; (ii) that competition policy (i.e. a reduction of mark-ups) should have largely positive effects on productivity growth and employment in South Africa.

Suggested Citation

  • Philippe Aghion & Matias Braun & Johannes Fedderke, 2006. "Competition and Productivity Growth in South Africa," CID Working Papers 132, Center for International Development at Harvard University.
  • Handle: RePEc:cid:wpfacu:132
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    References listed on IDEAS

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    6. Johannes Fedderke & Chandana Kularatne & Martine Mariotti, 2007. "Mark-up Pricing in South African Industry," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 16(1), pages 28-69, January.
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    12. Richard Blundell & Rachel Griffith & John van Reenen, 1999. "Market Share, Market Value and Innovation in a Panel of British Manufacturing Firms," Review of Economic Studies, Oxford University Press, vol. 66(3), pages 529-554.
    13. Joaquim Oliveira Martins & Stefano Scarpetta, 1999. "The Levels and Cyclical Behaviour of Mark-ups Across Countries and Market Structures," OECD Economics Department Working Papers 213, OECD Publishing.
    14. Johannes Fedderke, 2004. "Investment in Fixed Capital Stock: Testing for the Impact of Sectoral and Systemic Uncertainty," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 66(2), pages 165-187, May.
    15. Aghion, Philippe & Harris, Christopher & Vickers, John, 1997. "Competition and growth with step-by-step innovation: An example," European Economic Review, Elsevier, vol. 41(3-5), pages 771-782, April.
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    More about this item

    Keywords

    South Africa; Competition; Mark-ups;
    All these keywords.

    JEL classification:

    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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