China, South Africa, and the Lewis Model

John Knight

No RP2007-82, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)

Abstract: The paper uses the Lewis model as a framework for examining the labour market progress of two labour-abundant countries, China and South Africa, towards labour shortage and generally rising labour real incomes. In the acuteness of their rural-urban divides, forms of migrant labour, rapid rural-urban migration, and high and rising real wages in the formal sector, the two economies are surprisingly similar. They differ, however, in the dynamism of their formal sector growth of output and employment, and in the growth of their labour forces.

Keywords: Labour supply; Internal migration; Unemployment; Wages (search for similar items in EconPapers)
Date: 2007
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Citations: View citations in EconPapers (6)

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Working Paper: China, South Africa and the Lewis Model (2007)
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