Unemployment in South Africa is so widespread that it demands an explanation. This paper examines two questions about South African unemployment. Firstly, why do the unemployed not enter the informal sector, as is common in other developing countries? Secondly, why do the unemployed not enter...

South Africans unemployment rate is one of the highest in the world, and it has important distributional implications. The paper examines the incidence of unemployment using two national household surveys for the mid-1990s. Both entry to unemployment and the duration of unemployment are...

Using a South African data set, the paper poses six questions about the determinants of subjective well-being. Much of the paper is concerned with the role of relative concepts. We find that comparator income – measured as average income of others in the local residential cluster - enters the...