The subject of this document is “Political Tasks for Balanced Development and Feasible Growth” which has been used as a textbook for the core training of economic educators, held on June 29, 1989. This was written by Koo Bon-ho, then the president of the Korea Development Institute (KDI). The document is divided into three sections: changes in international conditions and the status of Korean economy, the mid- and long-term political tasks and plans of the Korean economy, and current problems and plans.
At the time, the economy of Korea had marked unprecedented growth rates of 12 percent annually for three years, and a gross per capita income of USD 4,000. As the favorable balance in international trade continued, Korea was expected to become a creditor nation from a debtor nation.
However, problems caused by rapid growth started to become evident. As the income gap between people, regions, and urban and rural communities became larger, complaints from alienated citizen groups increased, and industrial structure required restructuring and improvement. Moreover, there was an overwhelming demand for balanced development in political, economic and social democratization.
This document suggests a number of plans for consideration as Korea grows into an economically advanced country.
First of all, it is necessary to make institutional extensions to ensure fairness and balance. Systems such as fair trade regulations and information distribution should be improved to prevent concentrated and unbalanced growth. Also, the transition from labor-intensive industry to high-technology industry, with a focus on science, is crucial. Large enterprises should expand investments in next-generation technologies such as microelectronics and bioengineering, and the government should make financial investments in cultivating technology experts and research development.
Towards this end, job transition training should be provided to laborers working in obsolescent industries, and full-time agricultural households should be developed for income improvement, and the infrastructure and distribution structure should be reinforced.
Moreover, the promotion of competitiveness through autonomic regulation and open markets, as well as the enhancement of international competitiveness is suggested.
In order to suppress realty speculation, policy measures should be implemented immediately. The government is crucial in auditing illegal and immoral elements in the wealth accumulation process, so as to ensure the desired redistribution of wealth.
균형발전과 지속성장을 위한 정책과제(Political tasks for balanced development and feasible growth)
|Subject Country||South Korea(Asia and Pacific)|
|Subject||Economy < Economic Administration|
|Holding||KDI; KDI School|