Disequilibrium In The Labor Market In South Africa

Abstract: Unemployment In South Africa Is Decomposed Into A Cyclical And Structural Component. The Estimates Suggest That Unemployment Is Largerly Structural. Alternative Explanations For The Persistence Of Deviations Of Market Wages From Full-Employment Levels Are Examinated Three Models That Are Empirically Capable Of Generating The Observed Wage And Employment Gaps Are Presented