Korea Essay -- essays research papers

KoreaWhat distinguishing factors help explain the fast economic festering experienced by the due south Korean parsimony over the early(prenominal) four decades?As the south Korean economy has reached a more(prenominal) mature stage of its economic growth, what are the evolving challenges it has had to face?What are its prospects of move economic success in the increasingly globalised world economy?The rapid growth and development in the newly industrialising economies (NIEs) in recent decades has been nobody short of spectacular. Now among the worlds most dynamic modify economies, the NIEs of Singapore, Taiwan Hong Kong, and South Korea which go forth be the focus, stand as perhaps the best examples of successful economic development. The economic development of South Korea, which has been among the most rapid in the world is typical of the miracle that is the NIEs. Korea has herald far since the days it was a nation of hungry rice farmers, by pursue an industrialisatio n-led development commitment since 1961, which has since produced annual GDP growth of 8.4% per annum, second unaccompanied to China. The success of South Korea, has been identified by a number of factors including the transmit away from write substitution strategies towards export orientated industrialisation, and the effective managing of the economy and authoritarian rule adopted by the presidential term in parliamentary law to accelerate the pace of capital accumulation, technical progress and structural change to produce economic growth beyond what could possibly occur in a free market economy. NIEs, South Korea, are now recognised as export machines boasting some of the senior high schoolest trade/GDP ratios in the world. International economic relations began in 1964 with the recognition of these limitation of the interior(prenominal) market and the ineffectiveness of pursuing substitution industrialisation strategies. As secern of its new strategy for export expansi on the South Korean government introduced new measures which included the devaluation of the won, which improved the competitiveness of its exports and introduced incentives designed to channel resources into export-orientated industries. Exporters were likewise supported by direct cash payments, permission to retain unusual exchange earnings for the purchase of imports, and the exemption from virtually all import controls and tariffs. The government in consultation with firms, set up ex... ... favourable, but the high rate of success from the growth performance in the 1980s will be difficult to replicate. The next phase of the Asian miracle that will read China emerging as the worlds largest economy deep down 10 years and the re-emerging Japanese economy will provide genuine benefits for the Korean economy. Some important strengths of the economy include a easily educated and motivated workforce, a growing level of R&D, keep rates of high savings, greater regional trade lin ks and emf for domestic growth through increased infrastructure investment, housing and own(prenominal) consumption.In summation, South Korea is an economy which initially through selective government intervention and now through domestic and international reforms, sped to economic might. Although in that location are many challenges in the longer term making South Koreas future uncertain, (including the reunification with the ailing, unstable North) the fact South Korea has come so far argues well for the future. If South Korea can make the necessity changes to its economy to become a sustained industrialised nation then it will certainly take its place as an economic attractor in the near future.