Q1: What is structural transformation?
A long-term process involving sectoral changes in the economy and broader societal shifts in organizations, institutions, and political economy
Q2: Why is industrial development central to structural transformation?
Because industry-led transformation drives inclusive, sustainable growth and productive transformation.
Why is context important in structural transformation?
Because it is shaped by historical processes, domestic and international dynamics, and value chain relationships.
What are two main goals of structural transformation?
(1) Employment creation in formal industry, (2) Diffusion of organizational power to reshape socio-political dynamics.
What does “the Industrial Revolution broke out” mean?
It refers to the 1780s when economies first achieved sustained, rapid, self-sustained growth.
Why was this moment historically unique?
It unleashed limitless multiplication of goods, services, and people for the first time.
Q1: What three roles did agriculture play in industrialisation?
Feeding the non-agricultural population, supplying labor for industry, and generating capital surplus.
Why was agricultural productivity crucial before industrialisation?
Because it freed labor and capital needed for urban industrial growth.
1: How were slavery and cotton linked to British industrialisation?
Slaves were exchanged partly with Indian cotton goods, and plantations supplied raw cotton to British mills.
How did Britain maintain cotton dominance after the 1790s?
By relying on US slave plantations, imperial control, and wars to secure markets.
-Which industry dominated Britain’s economy during the First Industrial Revolution?
-What were three social consequences of the Industrial Revolution?
A1: The cotton industry, which drove demand for machines, chemicals, shipping, and buildings.
A2 ;Misery and discontent, rise of mass radical movements, and flaws like trade cycles, declining profit rates, and limited investment opportunities.
How was India systematically deindustrialized under British rule?
What commodity opened Chinese markets to Western traders after 1815?
India shifted from being an exporter of cotton goods to becoming a major importer of Lancashire cottons.
Opium, exported from India to China with Western military backing.
-What was the general price trend after 1815, and what did it lead to?
- Why were railways crucial for Britain’s industrial growth?
A1: Deflation, which redirected capital investment into railways.
They created massive demand for coal, iron, steel, machinery, labor, and capital.
Q1: How did labor mobilization change during the Industrial Revolution?
Q2: What was the “carrot and stick” dynamic in labor recruitment?
A1 : There was a sharp decline in agricultural labor and a sharp rise in urban, industrial labor.
A2: Economic hardship forced workers into cities (the whip), while higher wages and urban freedom attracted them (the carrot).
Q1: Why did apartheid become dysfunctional to capital accumulation?
Q2: What economic challenges did the new democratic government inherit?
Millions of South Africans were structurally excluded from the economy, limiting growth and productivity.
A debt-ridden state that restricted spending on services and required new macroeconomic and industrial policies.
What characterizes the new economic hegemony after apartheid?
What are two negative outcomes of this post-apartheid economic model?
A mixed economy, reduced state role, private sector development, equal opportunity with limited historical redress, and emphasis on global competitiveness.
A2: Rising inequality and continued exclusion of the poor and unemployed.
What do right-wing groups advocate in post-apartheid economic debates?
Q2: What do left-wing groups advocate in contrast?
A1: Downsizing the state, deregulation, privatization, and protection of white privilege.
A2: Strengthening the state to ensure equitable development, regulating markets, restructuring state assets, and focusing on social justice.
Q1: What was the main focus of the RDP policy?
Q2: What shift did GEAR introduce compared to RDP?
A1: “Growth through redistribution” — large-scale housing and infrastructure to transform the economy.
A2: “Redistribution through growth” — limiting state spending, reducing debt, and promoting the private sector.
Q1: What does Gross Fixed Capital Formation measure?
Q2: Why is it important for structural transformation?
A1: Investment in fixed assets like machinery, buildings, and infrastructure, reflecting productive capacity growth.
A2: Because higher fixed capital investment drives industrialization and long-term economic growth.
Q1: What are the four main focus areas of the Government of National Unity (GNU)?
A1: Inclusive growth and employment, poverty reduction, lowering the cost of living, and building a capable and ethical state.
Q1: What are the three main opportunity areas for post-COVID recovery?
A1: (1) Improve global competitiveness, (2) Stimulate local demand & continuity, (3) Leverage export demand in Africa.
Q1: What lessons can SA learn from Korea’s industrialization strategy?
A1: Invest in infrastructure, foster technology partnerships, and develop practical skills through private sector involvement.
Q1: What are the main goals of the AfCFTA?
A1: To create a single continental market, eliminate tariffs on 90% of goods, facilitate free movement of people, goods and services, and attract long-term investment.
2: What are the key enablers for the success of AfCFTA?
2: Harmonized trade laws and regulations, strong governance, infrastructure development, reducing corruption, and building regional value chains.
