Positive Analysis of Policy-Making and Implementation
Rather than a rigid racial ideology, it is argued that South African apartheid was a pragmatic response of a white oligarchy to changing economic and political constraints. Consequently, the degree to which apartheid principles were applied and enforced by the South African state varied over time. A public choice model is developed to explain apartheid as endogenous policy, the parameters of which are determined by political support-maximizing politicians.
The South African Competition Commission's merger decisions for FY2002 through FY2009 are analyzed to empirically identify the factors historically influencing prohibition, conditional approval and unconditional approval. The key explanatory variables are linked to provisions of the 1998 Competition Act, such that the analysis provides insight into the consistency of merger decisions with respect to the legal requirements specified in the Act.