How To Increase The Growth Rate In South Africa?
Given the concern about the low growth rates in African countries, this paper deals with the issue of how to increase the said growth rates by using South Africa as a case study. This paper attempts to answer this question by examining the determinants of Total Factor Productivity (TFP) and productivity growth. The authors utilize the theoretical insights from the Solow (1956) growth model and its extension by Mankiw, Romer and Weil (1992). This empirical methodology is based on the London School of Economics Hendry's General to Specific Instrumental Variable method and Gregory and Hansen's (1996a; 1996b) structural break technique.