This book examines the macroeconomic and regulatory impact of domestic and international shocks on the South African economy resulting from the 2009 financial crisis. It also assesses the impact of the US economy's eventual recovery from the crisis and the prospect of higher US interest rates in future. Told in three parts, the book explores associations between economic growth, policy uncertainty and the key domestic and international transmission channels, and transmission effects, of global financial regulatory and domestic macro-economic uncertainties on subdued and volatile economic recovery, financial channels, lending rate margins, and credit growth. The book concludes by extending its focus to the role of US monetary policy, capital flows and rand/US dollar volatility on the South African economy.

This book examines the macroeconomic and regulatory impact of domestic and international shocks on the South African economy resulting from the 2009 financial crisis.  It also assesses the impact of the US economy’s eventual recovery from the crisis and the prospect of higher US interest rates in future.

Told in three parts, the book explores associations between economic growth, policy uncertainty and the key domestic and international transmission channels, and transmission effects, of global financial regulatory and domestic macro-economic uncertainties on subdued and volatile economic recovery, financial channels, lending rate margins, and credit growth. The book concludes by extending its focus to the role of US monetary policy, capital flows and rand/US dollar volatility on the South African economy.

Chapter 1 Introduction.- Chapter 2. Heightened foreign policy uncertainty shocks on the South African economy: Selected channels of transmission.- Chapter 3. UK policy uncertainty shock and South African economy: Inferences from the exchange rate, exports and inflation channels.- Chapter 4. Foreign GDP growth uncertainties shock and South African economy.- Chapter 5. The transmission of foreign economic policy uncertainties: Evidence form exports, equity prices and policy rate channels.- Chapter 6. The real exchange rate fluctuations and macroeconomic dynamics.- Chapter 7. The real exchange rate, foreign demand and domestic policy uncertainty shock effects on economic sectors.- Chapter 8. The transmission channels of the real exchange rate and foreign demand shocks on inflation dynamics.- Chapter 9. Is macroeconomic uncertainty a source of subdued and volatile economic recovery.- Chapter 10. The transmission of domestic macroeconomic uncertainty: Evidence from the confidence and financial channels.- Chapter 11. Financial regulation policy uncertainty, lending rate margins and credit growth.- Chapter 12. The macroeconomic effects of the expected US monetary policy normalisation shock on the South African economy.- Chapter 13. Monetary policy and exchange rate volatility: SA-US interest rate differentials.- Chapter 14. Capital flow episodes and real economic costs of flow.- Chapter 15. Transitory and permanent components of the exchange rate volatility.- Chapter 16. Does the rand per US dollar exchange rate volatility impact on net asset purchases by non-residents?.- Chapter 17. The transmission of exchange rate volatility and policy uncertainty: What role does business, consumer confidence and economic growth play?.- Chapter 18. Asymmetrical real exchange rate risk and exports.- Chapter 19. Do South African exporters engage in pricing-to-market?.