This study examines and proposes a moderate theory, which holds market principles as the prerequisites for liberalization of trade.
Almost no country on earth maintains an entirely self-sufficient domestic economy. Rather, individual states act as active economic actors in the international economy, complementing one another while pursuing their own interests and contributing to the international economic order. In these circumstances, high protectionism and excessive control are forced to give way to freedom of trade and liberalization.
South Korea, upholding a capitalist economic regime and a free society as its chief ideals, has seen its economy thrive on an export-oriented economic development policy. Considering that international trade cannot function without the principle of reciprocity being met, the liberalization of Korea’s market will be a necessary and inevitable outcome of Korea’s economic growth.
In response to the growing discourse in today’s Fifth Republic on the liberalization of external trade, this study reviews summarizes a series of liberalization measures that Korea has adopted on trade, foreign aid, and capital. This study also provides a comparative analysis of advanced economies worldwide that have successfully managed their liberalization processes, delineating the factors of success and proposing a four-phase approach to liberalization. This study then analyzes the current state of economic growth and conditions in Korea, and incorporates that analysis into its liberalization model, providing specific examples of liberalization measures in each phase.
The liberalization model suggests a possible scenario that assumes a balance between the domestic and external conditions for liberalization. It lists a series of measures that need to be adopted to promote liberalization and supplement its shortcomings.
- 대외거래자유화와 한국경제(Liberalization of external trade and Korean economy)
대외거래자유화와 한국경제(Liberalization of external trade and Korean economy)
|Series Title; No||연구보고서 / 제81-11권|
|Subject||Economy < General|