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Resource Rents, Coercion, and Local Development : Evidence from Post-Apartheid South Africa

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World Bank (WB)

Abstract: This paper examines how the dismantling of coercive institutions associated with the end of apartheid in South Africa in 1994 affected the distribution of rents from natural resource exports. It identifies the interplay between coercive institutions and natural resource rents as an important driver of local development. Using data from the 1996 census, the paper documents large income gaps between communities located just-inside and just-outside the former self-governing territories set aside for black inhabitants. Examining relative changes between 1996 and 2011, the paper finds that spatial income convergence was considerably stronger among marginalized communities with higher initial exposure to resource rents. These results accord with standard bargaining theory in which the dismantling of coercive institutions improves the negotiating position of unionized workers in the mining industry.
Type: Working Paper
Publications & Research
Publications & Research :: Policy Research Working Paper
Link: http://documents.worldbank.org/curated/en/2016/02/25959143/resource-rents-coercion-local-development-evidence-post-apartheid-south-africa
http://hdl.handle.net/10986/23892
Subject: LIVING STANDARDS
GROWTH RATES
EMPLOYMENT
COMMUNITIES
INDUSTRIAL RELATIONS
LABOR NEGOTIATIONS
RIGHTS
EXPORT MARKETS
ECONOMIC GROWTH
ACCOUNTING
PRODUCTION
ADVERSE IMPACTS
INCOME
INTEREST
LABOR LEGISLATION
PROPERTY RIGHTS
EXCHANGE
INFORMATION
LABOR FORCE
SERVICES
EXPORTS
MARGINAL PRODUCT
POLITICAL ECONOMY
EFFECTS
HEALTH
VARIABLES
PRICE
OWNERSHIP
CITIES
MARKET ACCESS
RENTS
DEVELOPING COUNTRY
OLIGOPOLY
DRIVERS
APARTHEID
DEVELOPMENT PATH
DEVELOPMENT
LABOR MARKET
PER CAPITA INCOME
DEVELOPMENT ECONOMICS
MIGRANT LABOR
INTERVENTION
FERTILITY RATES
BARGAINING POWER
RENT
EXCHANGE RATES
DEMOCRACY
LABOR UNIONS
MOBILITY
ECONOMIC EMPOWERMENT
IMPERFECT COMPETITION
INCREASING RETURNS
INHABITANTS
MARKETS
ORGANIZATIONS
CONNECTIVITY
SETTLEMENT
RIGHT TO STRIKE
STANDARDS
LABOR
UTILITY
NATURAL RESOURCES
UNEMPLOYMENT
EQUITY
DATA AVAILABILITY
GENERAL EQUILIBRIUM
TECHNOLOGICAL CHANGE
ECONOMIC PERFORMANCE
WAGES
GOVERNMENT INTERVENTIONS
INTERNATIONAL TRADE
BARRIERS
FUTURE
VALUE
PENSIONS
WAGE RATES
GENDER
HOMES
ECONOMIC SECTORS
OCCUPATIONS
UTILITY FUNCTION
OCCUPATION
MARGINAL COSTS
HOUSEHOLD
LABOR RELATIONS
SHARES
AFFILIATED ORGANIZATIONS
FOREIGN COMPETITORS
MARKET
TRADE UNIONS
COLLECTIVE BARGAINING
ECONOMICS
OUTPUT
EXPOSURE
INSURANCE
LABOR ORGANIZATION
SOCIAL CAPITAL
ECONOMIC DEVELOPMENT
TRADE
GDP
GOODS
THEORY
LEGAL SYSTEM
FEMALES
GROWTH RATE
INVESTMENT
NATURAL RESOURCE
RESIDENTIAL AREAS
SHARE
HOUSEHOLDS
BARGAINING
SUPPLY
AFFILIATED
COMMUNITY SERVICES
TRADES
WAGE DIFFERENTIALS
LAW
HOUSES
COMMUNICATION
INTERVENTIONS
COMMUNITY
POLITICAL PROCESS
COMMODITIES
DEMOGRAPHIC
LABOUR
HOSPITALS
LABOR MARKETS
OUTCOMES
COMMODITY PRICES
SAFETY
COMMODITY
SERVICE
PRICES
DEVELOPMENT POLICY
COMPETITION




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