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South Africa (A): Stuck in the Middle Case Solution & Answer

Fifteen years after the end of apartheid, the official unemployment rate in South Africa was still at 24%. While the country has increased by 4-5% per year during the 2000s, the financial crisis delayed 1,000,000 more unemployed. Also, it seemed that the country was caught between low wages and fully developed competitors. Jacob Zuma’s government has adopted a “new growth path” with the hope of creating several million new jobs over the next years. Both the finance minister and the head of the Central Bank are supporting the initiative, but worried about how they can support fiscal discipline and inflation control in the light of these stimulus policies. organized for his work, has little sympathy for any sacrifice.
by
Richard H. K. Vietor,
Diego Comin
Source: Harvard Business School
28 pages.
Date Posted: April 14, 2011. Prod #: 711084-PDF-ENG
South Africa (A): Stuck in the Middle? Case Solution

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