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ABSTRACT: Globally the tourism sector is one of the main economic sectors in attracting and generating foreign revenue. The sector accounts for seven percent of global foreign revenue as an export industry. In South Africa the low growth environment over the last decade has resulted in the need to find alternative economic sectors in support to traditional sectors such as mining and manufacturing, to drive higher levels of economic growth in the country. The aim of this study was to analyse the relationship between tourism as the dependent variable, and economic growth, exchange rate changes and political stability, as independent variables. The study region selected is South Africa, which is classified as a developing country and is in many cases seen as the proxy for emerging economies. This study followed a quantitative research approach with time series data from 1996 to 2017. The relationships between the variables were analysed by means of the Johansen cointegration, Vector Error Correction and Granger causality econometric models. The results indicated that there are both long and short-run relationships between the variables. A number of policy recommendations that could potentially contribute to the extension of the role of tourism in development include improved political and currency stability in the country as well as the relaxation of visa requirements. KEYWORDS: Economic growth, political instability, South Africa, tourism

nvestors assess the environment and the level of risk before they invest in a specific region or country. Several country risk indexes have been developed since the beginning of the 1990s, using risk factors such as politics, the economy and sovereign risk factors. This study aims to determine the relationships between the country risk index, economic performance and good governance. The study implemented a quantitative research methodology with panel data, focusing on the four Visegrad countries, using time-series data from 1996 to 2019. The results indicate both long- and short-run relationships. Both GDP and good governance significantly impact the country risk index with coefficients of between 0.17 to 0.31 and 0.02 to 0.15 according to different estimation models. The Granger causality results indicated that both GDP and good governance cause changes in the country risk indexes of the countries, and good governance causes increased economic performance. In conclusion, the study showed clear evidence that a lower country risk index is important to attract investment and sustained economic growth and good governance is critical in this process.

Government interventions and economic activities could have significant impacts on the economies of countries. Effective governance and quality institutions are required for sustainable economic growth in both developed and developing countries. The primary objective of this study was to analyse the impact of government activities on economic growth in Poland. The study followed a quantitative research approach, employing time series data from 1995 to 2017 including GDP as the dependent variable with variables such as government spending and debt, size and effectiveness of government, and the level of corruption as independent variables. The relationships between the variables were analysed by making use of an Auto Regressive Distributed Lag (ARDL) econometric model. The results indicated that there are both long- and short-run relationships between the variables. Other results indicated that government variables included in the study, caused changes in economic growth as assessed via a Granger causality analysis. A number of recommendations were listed which include inter alia, that effective government spending and management have a positive impact on the economy, while efforts to limit the levels of corruption also contributes to economic improvements in a country.

Rural regions in South Africa need revitalisation. This paradigm shift is due to overpopulation and congestion in urban areas, technological advances leading to "space shrinking", a growing need for food security, and a need for a sense of community and belonging. Since 2011, the national State of the Nation addresses (SONAs) in South Africa have focused on rural development as one of the main priorities of government, a neglected practice for more than two decades. This article analyses the state of rural development policies in South Africa and provides solutions for improved implementation. Government policies have been analysed and a need for improved rural development coordination is required. Possible solutions provided include categorising of rural regions, the "Feza iSimangaliso" rural development model, and rural development best practice principles and procedures. DOI:10.5901/mjss.2014.v5n4p613

Local economic development (LED) should be everybody's business, including local residents, local business people and government. LED is globally, but especially in developing countries, seen as the solution to improved quality of life, unemployment, poverty and inequality. LED is a relatively new field of research and policy formulation, planning processes and implementation plans are still evolving with various alternative theories and approaches.This article analyse LED theory and approaches with a focus on South Africa, with a case study on the northern Free State region. Five municipalities in this region were analysed in terms of their LED approaches, planning and implementation. The research methodology is based on a qualitative approach which includes a literary review and various interviews with role players in the area. Results include solutions, lessons learnt and generic strategies for LED. LED processes could achieve its promise of ensuring improved quality of life if LED strategies are formulated for effective implementation. DOI:10.5901/mjss.2014.v5n16p624

Jobs are the foundation of any economy. High levels of unemployment relate to a structural weakness in a country's economy and could lead to poverty, inequality, social problems and even in extreme cases, a regime change. South Africa has relatively high levels of unemployment with a rate of more than 25 percent. This article aims to analyse the status quo regarding job creation and unemployment in South Africa, analysing aspects such as theory and the current reality regarding employment and government policies. The article concludes with eight integrated solutions to job creation. Possible solutions include a shared vision, effective leadership, reform regarding the relaxation of labour regulations, improved education and skills training, the improvement of the business and development environment, improved government policy implementation and service delivery, entrepreneurship development, sectoral specific economic development, and research and development. The war on unemployment requires an integrated approach and all eight solutions need to be implemented concurrently. If high levels of coordination could be achieved, jobs could be created, leading to rapid economic development. DOI:10.5901/mjss.2014.v5n16p65

This article investigates the role of institutional quality in the oil wealth&ndash ; economic growth nexus for 35 oil-exporting developing countries between 1984 and 2016. To achieve this objective, an empirical model was employed with linear interaction between oil wealth and institutional quality, and estimated by means of panel autoregressive distributed lag (ARDL) with a dynamic fixed effect estimator. From the results, a contingent effect of oil wealth on economic growth, both in the long run and in the short run, was established. Specifically, institutional quality was found to mitigate the negative effect of oil wealth on economic growth in the long run, while in the short run, institutional quality was found to enhance the positive effect of oil wealth on economic growth. Furthermore, the results provide the threshold levels of institutional quality, beyond which oil wealth enhances economic growth, both in the long run and in the short run, for the sampled countries. These results suggest that in order for oil-exporting developing countries to benefit from an increase in oil wealth, they must adopt appropriate policy measures to improve their levels of institutional quality and embed their entire oil wealth-generating mechanism in a sound institutional framework. Also of importance is that governments must ensure sustainable development through the benefits of wealth from oil.

In 1996, the government of South Africa introduced the Integrated Development Plan (IDP) policy process to transform municipal administration, integrated planning and service delivery. One of the IDP policy's key aspects is community participation in the planning process. South Africa is still struggling to achieve their duty of delivering basic services due to ineffective community participation. The article primarily appraises the mechanisms for improved community participation in the IDP process. It is underpinned by the New Public Management (NPM) theory, which promotes management reforms, participatory planning, and decentralising power among municipalities and communities. This study adopted a mixed-methods research approach. It is conducted in the Tzaneen municipal area in Limpopo Province. It is also found that some of the mechanisms to facilitate community participation are no longer relevant and effective in the COVID-19 pandemic era. Public meetings are no longer seen as an effective and safe means of public discussion due to the emergence of the COVID-19 pandemic and the Disaster Management Act: Amendment of Regulation (Act 57 of 2002) that restricts the physical contact of large groups of people, which has implications for public meeting attendance. The study concludes by recommending that the Tzaneen municipal area should design mechanisms that make it easier for marginalised and previously disadvantaged people to participate in municipal planning and decision-making processes freely and without prejudice. Lastly, the study recommends that the municipality adopt the Fourth Industrial Revolution (4IR) and E-participation to facilitate effective community participation in the IDP process.

A dynamic and growing manufacturing sector is critical for growth as this sector is globally known as the 'engine of growth'. The objective of this study was to assess the impact of macro-economic variables, including economic growth, producer price index (PPI), and exports on the manufacturing sector of the Visegrád countries, from 1995 to 2018. A quantitative research methodology was utilized via a panel data analysis to assess the long- and short-run relationships between the variables using econometric methods such as the Fisher-Johansen co-integration test, FMOLS and DOLS, and Granger causality tests. The main results indicated a long-run relationship between all the variables, with economic growth having the highest impact on manufacturing, while an increase in exports was also found to enhance the sector. Therefore, governments in the Visegrád group should endeavour to stimulate economic activities in support of the manufacturing sector by means of stable macro-economic policy implementation.

A country's political stability and trends in economic growth are important factors to attract foreign investment. Most developing countries struggle to achieve political stability and high levels of growth. Due to these issues, developing countries attract limited foreign investment. Applying the Bounds test for cointegration, an ARDL model was utilized using time series data from 1995 to 2016, this study examined the potential impact of political risk and gross domestic product (GDP) on foreign direct investment (FDI) flows to the South Africa. Findings of the study revealed that in both short and long run, political risk and economic growth affect the level of foreign direct investment. The political risk rating was found to have a higher impact on FDI flow if compared to GDP. The lower the political risk level (resulting in a highly rated index), the higher the level of FDI inflows. Using the Granger causality approach, empirical results indicated a bi-directional causal relationship between FDI and economic growth, while it was found that political risk causes changes in FDI. In other words, individually, political risk and gross domestic product cause changes in FDI. Based on the study findings, it is imperative for the South African government to reduce the level of political risk in order to increase foreign investment into the country which, in return, could assist in economic growth and welfare.

Local government is one of the main role players in local economic development (LED) and need to assist in the creation of an enabling developmental environment for local businesses to prosper. Partnerships are required between local government, businesses and communities for regions to develop, yet in many cases government at this level fails to create this developmental enabling environment. This research has as its focus on the formulation and validation of an Enabling Developmental Environment Scale (EDES). This scale will allow local government to be evaluated, assessed and compared regarding the creation of such a developmental environment. The pilot study involved152 participants from the Vaal Triangle region, South Africa. Reliability and construct validity of the instrument weretested by using the Cronbach's Alpha Coefficient and Varimax Factor Analysis. It is evident from the results that thescale is a valid and reliable tool for researchers to evaluate and assess the level of an enabling environment as created by local government in a specific region.

Local government is one of the main role players in local economic development (LED) and need to assist in the creation of an enabling developmental environment for local businesses to prosper. Partnerships are required between local government, businesses and communities for regions to develop, yet in many cases government at this level fails to create this developmental enabling environment. This research has as its focus on the formulation and validation of an Enabling Developmental Environment Scale (EDES). This scale will allow local government to be evaluated, assessed and compared regarding the creation of such a developmental environment. The pilot study involved152 participants from the Vaal Triangle region, South Africa. Reliability and construct validity of the instrument weretested by using the Cronbach's Alpha Coefficient and Varimax Factor Analysis. It is evident from the results that thescale is a valid and reliable tool for researchers to evaluate and assess the level of an enabling environment as created by local government in a specific region.