Answer to Question #233247 in Microeconomics for NTWANIE

Question

Wage inequality and globalisation: Has the move towards a more integrated South

African economy brought with it greater demand and supply mismatches.

▪ Finally, in light of the unique socio-economic challenges facing the country, provide a few recommendations on how the South African government can best manage the push towards the fourth industrial revolution, so as to improve the employment of labour in the economy whilst subsequently providing a more inclusive and equitable economic structure.

Answer 1

Fourth industrial evolution is characterized by a fusion of technologies. South African government should reduce tax on technology and offer subsidies to encourage more innovation because this will lead to increased productivity, efficiency and quality in processes of work.