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Justine Burns

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I joined the School of Economics in 1998. Currently, I am teaching microeconomics in both the undergraduate programme (ECOS203F) and the postgraduate programme (Masters Microeconomics). I am also teaching and convening a new third year undergraduate course this year in Quantitative Economics. 

The focus of my research is on economic issues pertaining to the redress of poverty and inequality in South Africa. I am currently working on three distinct areas in this regard:

 1. Intergenerational persistence in educational outcomes

 A large part of my current research focuses specifically on intergenerational persistence in educational outcomes across three generations of South Africans, as well as the factors that influence schooling gaps at a primary and secondary school level.  A key finding thus far is the existence of non-linearities in these intergenerational transmission relationships, suggesting the existence of an educational poverty trap. 

 2. The importance of neighbourhood effects in facilitating economic growth

 A related feature of my work investigates the importance of “neighbourhood effects” and social capital for household welfare, that is, the role that community development, beneficiary participation, trust and social networks can play in facilitating economic growth and in fostering egalitarian outcomes.  In my work on educational mobility, my quantitative results thus far suggest that while parental education and household income serve to reduce schooling gap ratios at a primary and secondary level, neighborhood effects (community location, and aggregate income and education levels) have a very large and significant impact on these outcomes as well. 

 3: Paying for a living wage

 The third strand of my work focuses on the economic issues surrounding the implementation and economic viability of a living wage for workers in the apparel industry.  This work links to a broader agenda concerned with social justice and work relations in the workplace. In this regard, I have been working with Prof. Robert Pollin at the University of Massachusetts. Thus far, using data for Mexico, the USA and South Africa, we have considered what the final impact on retail prices for apparel might be if a specified wage increase (that would result in workers being paid a living wage) on the factory floor is passed, ceteris paribus, through the commodity chain onto consumers in the form of higher prices.  Available evidence for apparel industries in the US, Mexico and South Africa supports the conclusion that a 50% wage increase for apparel employees would result in retail price increases of less than 5%. This result must be contextualised in light of recent consumer surveys conducted at the University of Maryland in which consumers reported that they would be willing to pay a premium of 10% or more on specified items if this guaranteed that they had been produced in good working conditions. 

Contact Information

Office Room 3.89 Leslie Commerce Building
Contact Phone +27 21 650 3506
E-mail Justine.Burns@uct.ac.za
keswell@econs.umass.edu

Justine Burns

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