South Africa's economy transformed by identifying key supply and demand shocks.
The paper identifies different types of economic shocks in South Africa, like changes in demand and supply. By looking at data from 1960 to 2006, the researchers found that potential output in the country dropped before 1994 but quickly bounced back after that. They used various methods to confirm their findings, like comparing their results to historical events and economic theories. This study helps us understand how the South African economy has been affected by different factors over time.