An analysis of industry concentration in South African manufacturing, 1972-2001

Johannes Fedderke and Dietmar Naumann

Applied Economics, 2011, vol. 43, issue 22, 2919-2939

Abstract: This article examines industry concentration for the South African manufacturing sector over the 1972-2001 period, for the three-digit industry classification. The article notes both the high level of industry concentration in South African manufacturing and a rising trend in concentration across a wide range of industries as measured by the Gini and Rosenbluth coefficients. The article examines the impact of concentration on investment rates using a dynamic heterogeneous panel estimation methodology. We find that increased concentration unambiguously lowers investment rates.

Date: 2011
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DOI: 10.1080/00036840802631835

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