Restructuring the South African Economy: Some Pertinent Issues

Abstract

After almost two decades of economic stagnation and decline, individuals and groups across the political spectrum are calling for a fundamental restructuring of the South African economy. Restructuring, however, means different things to different people. The first part of this paper indicates some of the differences between a number of proposals for economic restructuring that have been put forward in recent years. The second part warns against unrealistic expectations about what restructuring can be expected to achieve. Some of the major causes of the stagnation and decline of the South African economy are rooted in fundamental changes in the domestic and international economic environment which cannot be reversed or removed simply by applying a particular set of economic policies.