The purpose of this study is to find and develop policy measures toward ensuring a better balance between domestic supplies and international exports, which are the two key concerns of the Korean economy.
The inflation we are experiencing today represents only a fraction of the economic crisis affecting our country. South Korea may have achieved its miraculous economic growth thanks to its export-oriented industrialization policy, but it can no longer rely solely on exports to keep its economy expanding. The Korean economy needs to develop and cater to the domestic market in order to ensure its future viability.
Policymakers, in particular, need to focus on how to adjust the balance between increasing output and product quality. One way to achieve this is to ensure that adequate quantities of goods are circulated on the domestic market so that domestic consumers can provide feedback on the quality of those goods in the long run. Effective alternative policy will be found only when we take into account the conditions of the national economy. We should also choose policy that will help diversify the markets for Korean businesses.
Businesses themselves need to start actively searching for ways to achieve a better balance between domestic supply and exports. Just as localization is important for Korean goods to succeed on the markets outside Korea, businesses should also investigate how they can better market and tailor their goods to the tastes and demand of Korean consumers. The key, however, is to strike and maintain a good balance between domestic supplies and exports, and not pushing for one at the expense of the other.
내수공급과 수출의 적정조정(Appropriate management of domestic supplies and exports)
|Journal Title; Vol./Issue||한국개발연구:vol. 1(no. 2)|
|Subject Country||South Korea(Asia and Pacific)|
|Subject||Economy < Trade|
|Holding||KDI; KDI School|