Total factor productivity estimates for South Africa

In our recent Codera Policy Paper, we show that productivity growth in South Africa has slowed since the global financial crisis and fallen further since the pandemic. TFP growth averaged 1 percent between 2000 and 2007Q4, -0.75 percent between 2010Q1 and 2020Q1, and declined further for much of the post-pandemic period under a Cobb-Douglas specification, but is even lower under a constant elasticity of substitution (CES) specification for most of these subsamples.

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