Assessing the Nexus between ICT Intensity, Productivity, Employment and Output in South Africa’s Agro-processing Industries

Authors

  • M. H. Lefophane Department of Agricultural Economics and Animal Production, University of Limpopo, Polokwane, South Africa.
  • Mmatlou Kalaba Bureau for Food and Agricultural Policy (BFAP), University of Stellenbosch, South Africa.

DOI:

https://doi.org/10.9734/bpi/nabme/v4/2868

Keywords:

ICT intensity, labour productivity, output, employment

Abstract

This chapter explores the nexus between ICT intensity and growth of South Africa’s agro-processing industries using data from 1994 to 2017. To do so, the ICT intensity index was used to calculate the ICT intensity of 10 agro-processing industries. Afterwards, the growth rates of labour productivity, output, and employment were computed. Ultimately, the Toda and Yamamoto (TY) Granger non-causality test was applied to examine the causal relationship between ICT intensity and growth of labour productivity, output, and employment. The TY test proved that causality occurs in line with ICT intensity, such that evidence of causality was detected for an industry that has invested more highly in ICT. This implies that the growth performance of the agro-processing industries could be transformed (enhanced) through an increase in ICT investment.

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Published

2025-03-05

How to Cite

M. H. Lefophane, & Mmatlou Kalaba. (2025). Assessing the Nexus between ICT Intensity, Productivity, Employment and Output in South Africa’s Agro-processing Industries. New Advances in Business, Management and Economics Vol. 4, 1–24. https://doi.org/10.9734/bpi/nabme/v4/2868

Issue

New Advances in Business, Management and Economics Vol. 4

Section

Chapters