Scielo RSS <![CDATA[South African Journal of Economic and Management Sciences ]]> vol. 12 num. 1 lang. en <![CDATA[SciELO Logo]]> <![CDATA[<b>Active versus passive policies of unemployment: Growth and public finance perspectives</b>]]> This paper develops a general equilibrium endogenous growth model in an overlapping generations framework, and compares, in terms of economic growth, a passive unemployment policy (unemployment insurance) with an active unemployment policy (government expenditures targeted towards improving the job-finding probability of an unemployed). Besides, the standard result of unemployment being growth reducing, under realistic parameterisation, we show that the government, under an active policy, can generate higher growth without any compromise on its own consumption, when compared to the unemployment benefit regime. The result, however, depends crucially on the efficiency with which the resources are spent in creating employment. <![CDATA[<b>Financial development and economic growth: Literature survey and empirical evidence from sub-Saharan African countries</b>]]> In this paper we review the literature on the finance-growth nexus and investigate the causality between financial development and economic growth in sub-Saharan Africa for the period 1975-2005. Using panel co-integration and panel GMM estimation for causality, the results of the panel co-integration analysis provide evidence of no long-run relationship between financial development and economic growth. The empirical findings in the paper show a bi-directional causal relationship between the growth of real GDP per capita and the domestic credit provided by the banking sector for the panels of 24 sub-Saharan African countries. The findings imply that African countries can accelerate their economic growth by improving their financial systems and vice versa. <![CDATA[<b>A dynamic macroeconomic model of the Nigerian economy with emphasis on the monetary sector</b>]]> The dynamic nexus between money supply, fiscal deficit, inflation, output and exchange rate management has recently generated much debate in economic literature in Nigeria. To contribute to this debate, this paper uses the co-integration and error correction framework of analysis and also conducts policy simulation experiments to investigate how monetary variables interact with aggregate supply, demand and prices in order to aid stabilisation policies. The results show that monetary variables and government finance are linked through government's net indebtedness to the banking system. The simulation results show that a 20 per cent monetary squeeze would reduce the inflation rate faster than if the reduction in money supply were 10 per cent. This reduction in money supply would also lead to a reduction in output, employment and government expenditure, which may hurt the domestic economy. The paper thus concludes that there is a trade-off between higher GDP growth and inflation in Nigeria. <![CDATA[<b>Explaining long-term growth in Namibia</b>]]> Supply-side economics stresses the importance of analysing and modelling the long-term properties of an economy's production structures in order to investigate each factor of production's impact on final output. This helps to determine how much should be produced, how much is available for consumption and, eventually, how an economy can improve its long-term economic growth path. This study applied the neoclassical growth model to Namibia's growth over the period from 1971 to 2005 in order to identify and develop the main supply-side components of long-term economic growth in the country. Along with a production function, behavioural equations were estimated for the factors of production labour demand and capital investment, as well as for the links between prices and wages. <![CDATA[<b>Boundary management of employees' non-work lives: Effects on South African workers' commitment</b>]]> Employees' lives are holistic, and are comprised of many roles, resulting in complex interactions between their work and non-work lives. Broadly speaking, organisational responses to this could include ignoring employees' non-work lives (separation), active involvement (integration), or creating flexibility and tolerance, thereby enabling employees to manage conflict (respect). This study investigates whether such response types impact differently on employee commitment. The findings suggest that a separation response decreases affective commitment, moderated by greater non-work involvement or role conflict. A respect response increases affective commitment, moderated by high non-work involvement, role conflict, "hindrance" coping or lower career commitment. Continuance and normative commitment were not affected. These findings suggest that managers might take a role in employees' non-work lives by creating flexibility and tolerance at work. However, managers should probably avoid implementing paternalistic approaches that attempt active involvement. <![CDATA[<b>Work-home interaction of employees in the mining industry</b>]]> This study aimed to test the construct validity, factorial invariance and reliability of the Survey Work-Home Interaction-NijmeGen (SWING) and to explore whether and how the work-home interaction of various socio-demographic groups differ. Random samples (n = 320) were taken of employees in the mining industry. The confirmatory factor analysis results supported the proposed four-factor structure measuring negative/positive work-home interference and negative/positive home-work interference. The multi-group invariance analyses' results for two language and ethnic groups also supported the factorial invariance of the SWING. All the scales were found to be reliable. Statistically significant differences in work-home interaction were found, based on age, ethnicity, gender, education, marital status, parental status, language, flexibility at work and individuals who had a partner with a paid job. <![CDATA[<b>Celebrity endorsements versus created spokespersons in advertising: A survey among students</b>]]> In this study the use of endorsements in advertising was investigated. Endorsements can either be in the form of a celebrity acting as a spokesperson for an organisation or the organisation can create a spokesperson to act as an endorser. The problem that faces marketers is that little scientific proof exists if students perceive celebrity endorsements and creative spokespersons differently with regard to their expertise and trustworthiness. The aim of this study was to determine the attitudes of respondents with regard to expertise, trustworthiness and attractiveness of created spokesperson and celebrity endorsements in advertisements. This knowledge will provide marketing professionals with the strategic advantage of how and when to make use of an endorser. Ohanian's (1990) measurement scale of perceived expertise, trustworthiness and attractiveness was adopted in a self-administrative questionnaire for this article. Respondents (n = 185) were exposed to six visual images of endorsers namely: three celebrities and three created spokespersons. It was found that attractiveness should not be used as a factor when comparing created endorsers with celebrity endorsers. The respondents perceived both endorsement applications as highly credible and professionals need to consider each application's advantages and disadvantages when deciding which application will be more effective for their advertising strategy. In the long term the organisation might find it more cost effective to create its own spokesperson due to the risk of possible characteristics changes or negative associations of celebrity endorsers. Revoking advertisements after celebrity endorsers have received negative publicity or changed character can lead to great financial losses. Created endorsers, on the other hand, provide the organisation with greater control and the ability to change to adapt to the organisation's market and advertising needs. <![CDATA[<b>Using information technology governance, risk management and compliance (GRC) as a creator of business values - A case study</b>]]> The relationship between information technology (IT) governance, risk management and compliance (GRC) and organisation business values continues to interest academics and practitioners (IT Governance Institute, 2003). Like governance, risk management and compliance generally, IT GRC is about the decision rights and accountabilities that encourage desirable behaviour in the use of IT (IT Governance Institute, 2003). A case study approach was used in an organisation with many business units. The organisation selected is a mining company, RioZim, situated in Zimbabwe. Data was collected from business units on IT issues and business values. The interviews centred on the IT GRC practices based on responsibility and authority for IT decision-making. The results suggest that IT GRC does not adequately support business values. The study revealed that business values should drive IT GRC and IT GRC should be the responsibility of executives and all business units. <![CDATA[<b>Theory building trends in international management research: An archival review of preferred methods</b>]]> A number of distinguished scholars believe that for theory development to occur within a field, qualitative research must precede quantitative research in order for the field to progress toward maturity. The purpose of this study was to investigate the international management literature from 1991-2007 to ascertain current levels of use of qualitative, quantitative, conceptual and joint (quantitative and qualitative) research methods in the field. Results indicate that scholars employ quantitative methods more than qualitative methods. The implications of these findings for future theory development and the generation of context relevant international management knowledge are discussed.