We interrogate the distinction between searching and non-searching unemployment in South Africa using data from the first national panel survey that tracks the individual. In particular, we test whether the non-searching unemployed display a weaker commitment to the labour market than the searching unemployed, and we investigate what counts as search activity. We find that over the panel, the search status of the unemployed does not predict their subsequent employment status, a result that is robust also for subsamples that vary by age cohort, gender and location. Moreover, social networks are the most important job-finding strategy of the employed. These findings challenge the exclusion of the non-searching unemployed from the measure of "genuine" work seekers. JEL Classification: J64, J6
Household surveys often contain coarse data, which consist of a mixture of missing values, interval-censored values and point (fully-observed) values, making it difficult to construct a continuous money-metric measure of wellbeing. This paper assesses the sensitivity of poverty and inequality estimates to the multiple imputation of coarse earnings data and reported zero values using the 2001-2006 South African Labour Force Surveys. Estimates of poverty amongst the employed are shown not to be sensitive to multiple imputation of missing and interval-censored data, but are sensitive to the treatment of workers reporting zero earnings. Poverty trends are generally robust to the choice of method, and a significant decline in poverty is evident. Inequality estimates, on the other hand, appear more sensitive to the treatment of zero values and the choice of imputation methods, and, overall, no particular trends in inequality could be discerned.
This article examines whether the close association of income inequality and violence identified for high income countries applies also to sub-Saharan Africa and, in particular, to South Africa. Cross sectional analysis across sub-Saharan countries provided no evidence of such an association. However, using homicide rates and several measures of inequality across South Africa's 52 districts does provide evidence of a significant positive relationship between homicide rates and expenditure inequality. A one per cent increase in inequality is associated with an increase in the homicide rate of 2.3 to 2.5 per cent. This relationship remains significant after controlling for other characteristics of the district.
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