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Shipbuilding Industry's Employment Linkage Effects across Regions and Industries using the Hypothetical Extraction Method  

Byeon, Jang-Seop (전남대학교 지역개발연구소)
Publication Information
Journal of Korea Port Economic Association / v.32, no.3, 2016 , pp. 123-137 More about this Journal
Abstract
In order to address the crisis of the regional employment structure caused by the recent restructuring of the shipbuilding industry, this study estimates the shipbuilding industry's Employment Linkage Effect(ELE) across regions and industries. Consequently, the study uses the hypothetical extraction method on the shipbuilding industry from the 2013 Regional Input-output Table. The analysis results are as follows. First, the shipbuilding industry's ELE across industries is estimated at its highest in wholesale and retail, followed by shipment, other manufacturing, project supporting service, machine and equipment manufacturing, and metal product manufacturing. These industries either have a high employment to GDP ratio or are directly related to the shipbuilding industry in terms of production activities. Second, the Southeastern Korea's ELE on South Jeolla Province is very low, and, accordingly, South Jeolla Province is isolated in the employment structure of the shipbuilding industry. Therefore, when the government establishes measures to tackle the crisis of employment caused by the shipbuilding industry's restructuring, it should prioritize identifying such regional employment structures, as demonstrated above, and incorporate them into the regional industry policy.
Keywords
Employment Linkage Effects; Shipbuilding Industry; Hypothetical Extraction Method; Regional Input-output Table;
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Times Cited By KSCI : 1  (Citation Analysis)
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