Econometric Estimation of The Relationship Between The Unemployment Rate and Economic Growth in Limpopo Province, South Africa

• Autorzy: Tshephi Kingsley Thaba , Abenet Belete , Johannes Jan Hlongwane , Lesetja Jacob Ledwaba
• Języki publikacji: EN

Abstrakty

EN

The study aims to estimate empirically the relationship between economic growth and unemployment rate in Limpopo Province of South Africa. The analysis used quarterly data covering the period 2008-2018 which was obtained from Statistics South Africa. The study employed, difference model, dynamic model, and granger causality test for data analysis, in order to consider both, short term and long term possible relationship Based on the difference model estimation of the coefficient was done and the coefficient was found to be -0.22. From Granger causality test, causal relationship between these two variables doesn't exist meaning that change in the growth rate of real GDP doesn't cause change in the rate of unemployment and vice-versa. Inapplicable of the law indicates that a cyclical recovery will not be accompanied by reduction of unemployment. Furthermore, this might reflect the sizable structural and/or frictional component of unemployment in Limpopo Province. Lastly, the country's economic policies have not been suitable for fostering development that can reduce unemployment and this could be due to lack of appropriate composition of public sector and private sector.(original abstract)

Słowa kluczowe

EN

Unemployment rate; Economic growth; Economic development; Okun’s Law

PL

Stopa bezrobocia; Wzrost gospodarczy; Rozwój gospodarczy; Prawo Okuna

• Czasopismo: Journal of Agribusiness and Rural Development
• Rocznik: 2020
• Numer: z. 4 (58)
• Strony: 343--349

Twórcy

autor

Tshephi Kingsley Thaba

• University of Limpopo, South Africa

autor

Abenet Belete

• University of Limpopo, South Africa

autor

Johannes Jan Hlongwane

• University of Limpopo, South Africa

autor

Lesetja Jacob Ledwaba

• University of Limpopo, South Africa

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Identyfikatory

DOI

10.17306/J.JARD.2020.01291