Real wages in Ghana have fallen substantially over the last twenty years. The question posed by this paper is whether this evidence for wage flexibility implies a competitive market clearing labour market. It is argued that it does not. There is sufficient flexibility in the production structure...

The paper is concerned with the investment response to temporary trade shocks when capital in the commodity and import-competing sectors is irreversible once installed. Previous literature has argued in general terms that investment is likely to rise in response to sharp relative price movements...

After South Africa's democratic elections in 1994, large capital inflows were induced by the cessation of trade and financial sanctions, improved creditworthiness and a liberalised capital account for foreigners. The flows were managed in a classic trade-off between currency stability, and...

This paper examines income dynamics for a panel of households resettled on former white-owned farms in the aftermath of Zimbabwe's independence. There are four core findings: (i) there has been an impressive accumulation of assets by these households; (ii) while this accumulation has played a...

It was found in this paper that (i) because of the high degree of openness of the Namibian economy and its small size, the use of nominal exchange rate as an instrument of adjustment will have limited effects; (ii) that the costs associated with the loss of monetary autonomy are small; and (iii)...