Category: South Korea

It’s not You, it’s Your Economic Structure


South Korea’s economic growth has slowed significantly since the 1997 Asian financial crisis. The five-year average GDP growth rate was 7.9 percent during 1991–95, but dropped substantially to 4.5 percent for 2001–05 and then 3.8 percent in 2006–10. This slowdown closely links to that in domestic demand. After the burst of the credit card lending boom from 1999–2002, growth in domestic demand has been close to zero and has even dropped into the negative.

South Korean President Stresses Need for Economic Reform


South Korean President Park Geun-Hye said the economy is in need of “major surgery,” according to Reuters. The president’s approval rating dropped below 40 percent, a far cry from a 61-percent rating when she was elected in 2013.

South Korea Economy Slows amid Drought and MERS


South Korea quarterly growth slowed to its lowest level in over two years, partly due to MERS, otherwise known as Middle East Respiratory Syndrome, and a severe drought that affected the nation’s agriculture sector, according to the Associated Press. The virus has so far killed 36 people since May. Service spending and private consumption also fell, which are both attributed to the MERS crisis. Aside from Saudi Arabia, South Korea has suffered from the second largest MERS outbreak.

Is MERS Killing the South Korean Economy?


South Korea has been contending with an outbreak of Middle East Respiratory Syndrome (MERS) for several months. Economists fear the disease could harm the South Korean economy just as it has shown strong signs of recovery from the Global Recession of 2008.

MERS Outbreak Affects South Korean Economy


South Korea is plagued with a rising death toll in its third week as the MERS virus spreads throughout the country. Analysts believe the outbreak will worsen the economy, as tourists stay away and locals remain at home. South Korea’s economy underwent turmoil before the outbreak, due to low exports and consumption.

South Korea Sees Signs of Economic Recovery


After nearing a recession as growth slows and exports slide, South Korea is seeing hints of an economic recovery.

According to South Korea’s Finance Minister, industrial output, consumption, and construction investment are seeing steady improvement in April, indicating that the slowdown might have reached a bottom and a recovery could be on its way.

South Korea’s Migration Policies Are In Need Of Reform


North and South Korea are widely regarded to be ethnically homogenous societies. But with minority populations having grown in numbers and importance in both Koreas, demographic homogeneity has become a myth.

Yet the importance of ethnic nationalism as an underlying identity of the two states prevents a genuine transition to a multicultural society in both cases. In both Koreas, policies that disproportionately focus on reaping benefits from minorities, and a lack of public consensus on what constitutes multiculturalism, have led to human rights violations and social conflict.

South Korean Economy Gains Headway in First Quarter


According to the Bank of South Korea, the economy grew 0.8 percent in the first quarter, an uptick from 0.3 percent in the last quarter. The economy gained traction due to an increase in consumer spending and the construction sector.

The Growing Inequality in South Korea


The South Korean economy advertises its international prowess through the popularity of global brand name products from Samsung Galaxy phones to the Hyundai Sonata. Hidden behind these triumphant global achievements is a phenomenon of widening economic polarisation. The national economy once praised for achieving rapid growth with relative equality has now turned into the second most unequal economy among the OECD countries.

Weak Economic Growth in South Korea


Many know South Korea as one of the strongest economies in East Asia. They think of the wide array of Korean products in the electronics and auto markets as proof of this concept. In truth, the South Korean economy is crawling forward, raising concerns for both government officials and investors.