• Journal of the Korean Data and Information Science Society
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• v.28 no.6
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• pp.1521-1538
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• 2017

There have been many researches on the optimal military size of unified Korea. However, most studies have used qualitative evaluation methods using subjective data. In addition, two studies incorporating statistical methodologies fail to derive appropriate results due to errors in selection of variables and the use of subjective data. Therefore, in this study, we use the ratio data instead of the country specific defense related data for 30 major countries in the world. We applied the logic of demand and supply of economics. The supply equations were produced by regression linear equation of the active ratio and defense ratio. The demand equations were produced as an inverse curves using the same coordinate system as the supply equation. With such a method, we estimated the appropriate military size and defense ratio for each of conscript and recruit system in unified Korea about 20 - 30 years later.