NEW INTERNATIONAL TRADE PATTERNS Human capital, labour markets and technology The race between technology and skills Prof PDF Strydom Extra-ordinary professor: School of Economics and TRADE research entity

1. INTERNATIONAL TRADE New Technologies Slashing Costs ICT Electronic networks Cloud technology 3-D printing ioT M2M Slicing up production VC Offshoring GVCs and value added trade Services Trade in tasks

2. NEW MODES OF PRODUCTION CAPITAL-INTENSIVE Jobs that cannot be codified Jobs that can be codified Complementary effects Creating employment New products New methods / machines Substitution effects Destroy jobs Machine driven production

3. LABOUR MARKET POLARIZATION High-skill Middle-skill Low-skill Non-codifiable Codifiable jobs Coding is difficult Excess demand for Excess supply of Personal features Create employment Destroy jobs Stable employment

4. SOUTH AFRICAN APPLICATION 1: EDUCATION OUTCOMES

5. SOUTH AFRICAN APPLICATION 2: NEW TECHNOLOGIES

6. INCOME DISTRIBUTION PATTERNS Unequal Distribution Battle between labour and capital Race between technology and skills Technology racing faster than skills

7. THE OPEN ECONOMY Importance of multinationals as managers of GVCs Secure the presence of the conditions favorable to new trading patterns Importance of a policy package Negotiation with MNCs (guidelines by international institutions) Enter a GVC Upgrade to higher value added segments of the GVC

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