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Periodical article |
| Title: | A metropolitan region in decline: socio-economic conditions in the Greater Algoa Bay Area |
| Author: | Davies, W.J. |
| Year: | 1990 |
| Periodical: | South African Journal of Economics |
| Volume: | 58 |
| Issue: | 2 |
| Pages: | 200-211 |
| Language: | English |
| Geographic term: | South Africa |
| Subjects: | economic conditions economic recession |
| External link: | https://doi.org/10.1111/j.1813-6982.1990.tb00932.x |
| Abstract: | The Greater Algoa Bay Area (GABA) in South Africa consists of the municipalities of Port Elizabeth, Uitenhage and Despatch, and several recently established local authorities. Despite its status as a metropolitan region, its position in the national context is not significant, and it has experienced an economic stagnation in the 1970s and decline in the 1980s. After a short description of the regional context of GABA and its population, the paper shows that GABA's economic stagnation has mainly been due to its relative dependence on the motor and motor components industries, which has had serious repercussions in terms of growth in both manufacturing production and employment. Decades of government neglect of the area in favour of the Ciskei/Transkei/Border area has also contributed to the area's economic distress. The rate of unemployment in GABA has been high throughout the 1980s. GABA's retail sales grew more slowly than did the nation's in this period. In terms of the imperative for employment creation, either a major new industry must be established in the area to absorb the unemployed, or the existing elements of the industrial base must expand to the extent that unemployment is substantially reduced. Neither of these options appear likely to materialize in the short to medium-term. Bibliogr., notes. |