IOP2605 Assignment 4 Semester 1 2023 QUESTION 1

IOP2605 Assignment 4 Semester 1 2023 QUESTION 1 Read the following excerpt and answer the questions that follow: “Basing her educational agenda, such as the Millennium Development Goals, on the tenets of human capital theory, South Africa has, like many developing countries, invested heavily in education over the last decade (between 5.3% and 5.5% of the GDP for the period ) (World Bank, 2010). If, as human capital theorists argue, there is a direct relationship between education and development, this investment should not only have yielded real economic growth, but unemployment rates should have dropped. This has not, however, happened: South Africa has one of the highest unemployment rates in the world, higher even than in most of the emerging economies” (Nieuwenhuis, 2012). Could you find a more recent reference? 1.1 In your own words, Explain the three groups in the labour market identified by Erasmus (2010). In addition, distinguish the three main areas in which the correct training policies can make a positive impact on the eradication of structural employment and on productivity enhancement. (7) Erasmus (2010) identified three groups in the labor market: the highly skilled, the semi-skilled, and the unskilled. The highly skilled group includes individuals with advanced education and specialized training, while the semi-skilled group has some level of training but may not have advanced education. The unskilled group has little to no training or education. The three main areas in which the correct training policies can make a positive impact on the eradication of structural employment and productivity enhancement are: Training for employability: this includes programs that help individuals gain the necessary skills and competencies to be employable in the labor market