Resource utilisation Efficiency: A South African Provincial Evaluation

The objective of this paper is to analyse the utilisation of production capacity and total under‐utilisation in order to identify weak‐performing industries across the nine South African provinces. Detecting inefficiencies within the different provinces will help to identify where sound managerial or government intervention is required, which can contribute to the future success of the New Growth Path Framework and the Strategic Integrated Projects. Using a multistage data envelopment analysis model at the subnational level, several categories of production factors are explored: intermediate demand, labour, capital, as well as taxes and subsidies. The results emphasise South Africa's weak infrastructure and the failure to effectively promote stability in managing factor inputs. The results further illustrate that industry scale efficiency for water and electricity are poorest across all provinces, highlighting the current water and energy supply concerns in South Africa and problem areas associated with the National Development Program.     

The Cape Town International Jazz Festival: More than just jazz

Economic impact studies have been used to value goods with the characteristics of both public and private goods, such as arts festivals, and have been useful in providing a quantifiable monetary estimate of their worth and, more accurately, of the impact of such events on a specific region. This paper provides just such a valuation, using economic impact analysis conducted on surveys of visitor and organiser spending at the 2009 Cape Town International Jazz Festival. On the basis of the survey data and event budget, a social accounting matrix (SAM) for the Western Cape Province was used to estimate the economic value of the festival to the province's economy (using the classic SAM's multiplier approach). The results of the analysis show that the festival generates approximately R158 million via visitor and organiser spending, and that 1059 jobs depend on it.     

An appraisal of the Vulamehlo Handcraft Project

The sale of Zulu handcrafts from the Spioenkop Nature Reserve curio shop was a project initiated by the KwaZulu-Natal Nature Conservation Service to improve the social and economic status of the women of a neighbouring community and thereby address the Neighbour Relations Policy of the organisation. This initiative was deemed viable by the women who all needed an additional income. Through collaboration, the project was implemented successfully in a way that gave the women access to resources within the reserve in order to make craft items which were then sold on their behalf. Responses to structured interviews with the women suggest that the project has addressed the social needs of the community by providing several non-tangible benefits. Although the economic benefits from craft item sales were minimal in terms of the average income per person, they were significant to the most committed project members and were deemed significant by all the women who now had disposable cash. The economic viability of the project could be improved by sourcing additional outlets for sales of craft items, and the women would be able to meet an increase in the demand for these items. The predicted increase in the flow of tourism in the uThukela region, together with improved marketing strategies, will provide opportunities for future local markets.     

PRIVACY AND THE THREAT OF REGULATION

Abstract: This article reviews the laws and related issues surrounding the gathering and use of personal information by the insurance profession. We examine the applicability of these laws to the insurance industry and conclude the article by exploring the issue of s elf-regulation as a means to deal with these issues.     

The impact of tourism on poverty in South Africa

This paper evaluates the potential impact of tourism on poverty in South Africa on the basis of recent survey data on international tourism spending patterns. It looks at three scenarios, using an applied general equilibrium model. The main finding is that the poor benefit very little in the short term from additional tourism income. A further finding is that domestic and international tourist expenditure affect the economy differently; both markets are therefore important. In essence, the research confirms that tourism receipts can be used as a tool to alleviate poverty, but in South Africa this must be supported by policies that focus on the labour market and human resource development.     

Enhancing Industrial Cluster Formation Through the Realistic Export Opportunities of the TRADE‐DSM

This paper explores the natural synergies between industrial cluster formation and the identification of realistic export opportunities (REOs), using the TRADE‐DSM 1 for a resource‐dependent region, the North West Province of South Africa. The structural path analysis and power of pull methods were applied to a provincial social accounting matrix to identify the top industrial clusters. Ten industrial clusters were identified and matched to the results of the TRADE‐DSM. Six of the industrial clusters analysed had REOs. These results provide a basis for focused export market development and for the formalisation of the cluster initiative as a strategy for sustained economic and export growth.     

Game ranching inter-sectoral linkages: A structural path analysis for South Africa

Unfamiliarity with the economic structure of the game ranching sector is regarded as one of the reasons why questions are raised with regard to the potential economic impact of continued growth in the sector. This study employs structural path analysis to provide a better understanding and subsequently improves the ability to conceptualise the potential economic impact of the sector. Amongst others, results revealed strong economic links between the community, social and personal, chemicals and chemical products, manufacturing and equipment, transport equipment, business services sector, and so forth, either directly or indirectly, and the game ranching sector. The same accounts for income distribution, with households receiving income from production activities in other sectors that are directly or indirectly generated by stimulus within the game ranching sector. Finally, results underline the fact that game ranching has the potential for making a meaningful contribution towards economic and socioeconomic challenges in South Africa.