- Title
- The impact of exchange rate volatility on manufacturing production : a case study of South Africa
- Creator
- Dube, Ziphozethu
- Subject
- Foreign exchange rates -- South Africa Manufacturing industries -- South Africa Industrial productivity
- Date Issued
- 20
- Date
- 20
- Type
- Thesis
- Type
- Masters
- Type
- MCom
- Identifier
- http://hdl.handle.net/10353/8294
- Identifier
- vital:32193
- Description
- The study examined the impact of exchange rate volatility on manufacturing production for the period of 1994 - 2015 in South Africa. The study evaluated the literature on exchange rate volatility and manufacturing production which was conducted and resulted into specification of an empirical model. The Autoregressive Distributive Lag (ARDL) was employed towards deducing the relationship of exchange rate volatility and manufacturing production. This study made use of monthly data to examine the relationship of exchange rate volatility and manufacturing production. However, the data frequency selected, ensured an adequate number of observations and results revealed that exchange rate volatility has a negative relationship with manufacturing production in the long run, nonetheless considering South Africa as an export economy the results were consistent with Ayinde (2014) who found that this relationship is seen to exist. A positive relationship was noted within the short run period. The unstable business environment in South Africa has been worsened by the political climate and unstable policies that has a ripple effect. Due to this aspect the study recommended the need for stabilizer policies for monetary, fiscal, trade and exchange rate management. The government should properly manage the exchange rate and design suitable policies that will reduce the deviation of the exchange rate thereby encourage production. Exchange rate stability is viewed to be key for export-oriented manufacturing sectors in a macroeconomic environment. The South African economy has felt such heaviness of political unrest and polices that do not result in stability. It would be key for policymakers to be vigilant and implement such measures to get the economy ticking in the right direction.
- Format
- 100 leaves
- Format
- Publisher
- University of Fort Hare
- Publisher
- Faculty of Management and Commerce
- Language
- English
- Rights
- University of Fort Hare
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UFH Department of Economics
| Thumbnail | File | Description | Size | Format | |||
|---|---|---|---|---|---|---|---|
| View Details Download | SOURCE1 | FINAL FINAL DISSERTATION WORK - ZIPHOZETHU DUBE COPY 2017.pdf | 1 MB | Adobe Acrobat PDF | View Details Download |