Answer to Question #96741 in Macroeconomics for Trudie Lombard

Question

what is the possible effect of the ACFTA on national consumption within south africa

Answer 1

      Effect of ACFTA on National Consumption within South Africa.

           ACFTA implementation is meant to test the achievement of economy growth in Africa that aims to make people`s financial dreams and quality of lives into reality. This impact is to remove tariffs on international trade and thus an increase in net income results. South Africa being a developed country benefits more thus increasing its net exports in the international trade. Therefore, the national consumption in south Africa increases because of cheap manufacturing tools from other countries, thus employment opportunities increase also. These activities result in rise in national revenue in south Africa.

                                   Reference.

Harald V. Proff ;<http://www.jstor.org/stable/23000375?seq=1#page_scan_tab_contents>