Wages in Zimbabwean Formal and Informal Manufacturing: Firm-Level Responses to Low Levels of Demand and Economic Uncertainty
Firm-Level Responses to Low Levels of Demand and Economic Uncertainty
Abstract
Since the introduction of structural adjustment policies in 1990, Zimbabwean manufacturing has been operating in an extreme volatile economic and policy environment experiencing a reversion of controls, hyperinflation, dollarization, a Fast Track Land Reform Programme as well as indigenization policies . In this project we study how the structure of Zimbabwean manufacturing sector has changed in the past 20 years, a period in which other countries typically only experience at most one major shock. A key consideration is how these changes in the structure of manufacturing have influenced aggregate productivity growth through changes in the distribution of firm characteristics, changes in firm-level productivity, and changes in allocative efficiency. The project analysis is based on a new establishment survey among around 200 manufacturing formal sector firms that was conducted in 2015 as well as the historical 1993-95 Regional Programme on Enterprise Development enterprise surveys organized by the World Bank.
This research is part of the Growth and Labour Markets in Low-Income Countries programme
Citation
Rankin et al. (2018). Wages in Zimbabwean Formal and Informal Manufacturing: Firm-Level Responses to Low Levels of Demand and Economic Uncertainty. GLMLIC Policy Brief No. 27. Available at: https://g2lm-lic.iza.org/publications/pb/pb27/
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