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Import-export complementation causal loop diagram
Source publication
Using selective industrial policy, South Africa succeeded in re-integrating its previously protected automotive manufacturing industry into the global value chain. In the period 1995 to 2006, the industry experienced significant growth in both vehicle production and exports. Despite these successes, the future of automotive manufacturing in South A...
Contexts in source publication
Context 1
... acknowledgment of the process towards long-term competitiveness, the delayed but positive effect of domestic R&D is introduced in the import-export complementation CLD. Figure 3 below presents the functioning of import- export complementation in a high-level casual loop diagram. Given the persistent deterioration of industry trade balance over the MIDP period, it was deemed important to introduce the trade balance variable the IEC CLD analysis. ...
Context 2
... improve industry trade balance; but exports also increase propensity to import via export-based IRCCs. The resultant effect is another counter-balancing, but incomplete trade balance loop X shown in Figure 3. ...
Context 3
... explained previously, imports in general, have a negative affect on the effective domestic market. This relationship between the domestic market, duty free allowance, duty free imports and industry imports is captured in the counterbalancing loop Y in Figure 3. ...
Context 4
... qualitative system dynamics model of the MIDP recognizes the unique role of investment in R&D, in contrast to other forms of investment, in supporting long term industry competitiveness. The model captures this role of R&D as delayed but positive effect on industry exports (Figure 3). Exports are used a proxy for long term competitiveness. ...