• KDI Journal of Economic Policy
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• v.29 no.2
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• pp.159-175
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• 2007

It is widely accepted that public rental housing programs affect both the allocation of resources and the distribution of welfare. This paper explains institutional arrangements of public housing program in Korea and assesses the benefits of the program. In contrast to the previous studies which employed homothetic preferences, the benefits of the public housing were estimated based on non-homothetic preferences to allow for different income effects across households. Empirical results suggest that average benefit-cost ratio of public housing program is 0.91, and hence, the deadweight loss seems to be well-contained in Korean public housing program compared to other countries. However, the distribution of the benefits reveals that the transmission of the benefits should be improved to achieve the desired goals of residential welfare for low income families.

• Korean Journal of Computational Design and Engineering
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• v.7 no.3
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• pp.157-169
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• 2002

In the initial stages of ship design, designers represent geometry, arrangement, and dimension of hull structures with 2D geometric primitives such as points, lines, arcs, and drawing symbols. However, these design information(‘2D geometric primitives’) defined in the drawing sheet require more intelligent translation processes by the designers in the next design stages. Thus, the loss of design semantics could be occurred and following design processes could be delayed. In the initial design stages, it is not easy to adopt commercial 3D CAD systems, which have been developed f3r being used in detail and production design stages, because the 3D CAD systems require detailed input for geometry definition. In this study, a semantic product model data structure was proposed, and an initial structural CAD system was developed based on the proposed data structure. Contents(‘product model data and design knowledges’) of the proposed data structure are filled with minimal input of the designers, and then 3D solid model and production material information can be automatically generated as occasion demands. Finally, the applicability of the proposed semantic product model data structure and the developed initial structural CAD system was verified through application to deadweight 300,000ton VLCC(Very Large Crude oil Carrier) product modeling procedure.

• Environmental and Resource Economics Review
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• v.21 no.1
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• pp.93-127
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• 2012

We estimate how much KEPCO can save their loss and how much social welfare can be increased by applying the real-time pricing instead of current regulated retail price in the electricity market in order to analyze the problem of the regulated retail price which is fixed below the marginal cost. We estimate the demand functions of peak time and off-peak time in summer (June to August) and winter (December to February). We construct the supply function based on hourly step-wise linear marginal cost functions, too. We find that the increase of social welfare will be 67 billion won in summer if the fixed retail price is changed into the real-time pricing scheme. The total 705 billion won will be transferred from consumer surplus to producer surplus and the rest (67 billion won) will be saved from the reduction of deadweight loss among KEPCO's loss. In winter, the increase of social surplus will be 225 billion won and 1,174 billion won of KEPCO's loss will be transferred from consumer surplus. As a result, we conclude that the regulation of the retail price in the electricity market induces the social welfare loss and KEPCO suffers a huge loss.

• Korean Journal of Social Welfare
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• v.63 no.3
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• pp.187-211
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• 2011

This study examines the effects of active labor market policy on unemployment by pooled cross-section time series analysis utilizing panel data of 18 OECD countries, and seeks implications for improvements of the Korean active labor market policy. The results of the analysis are summarized as follows. First, active labor market policy negatively affects unemployment rates. Second, vacational training program among three major active labor market programs has a negative effect on unemployment rates. Third, employment service program and employment subsidy program have partially negative effects on unemployment rates. The implications for the Korean active labor market policy are as follows. First, it is necessary to expand and systematize active labor market policies. Second, vocational training programs should be systematized and professionalized according to labor demand. Third, employment subsidy programs need to be planned and carried out under the condition of minimizing a substitution effect, a displacement effect and a deadweight loss effect. Fourth, employment service programs need to be developed and carried out under the consideration of not only the reduction of unemployment rates but also the prevention of re-unemployment, mitigation of income inequality and improvement of productivity.

• Journal of Korean Society of Transportation
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• v.28 no.1
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• pp.63-74
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• 2010

Recently, there has been increasing demand from academic society in Korea for the improvement of current traffic congestion cost estimation methods. The purpose of this study is to suggest a better way to estimate congestion cost followed by in-depth review regarding traffic congestion. The key improvements proposed in this study include: 1) adding social externality to congestion cost, 2) integrating the green house and environmental pollution impacts with congestion costs, 3) taking non-recurrent traffic congestion costs into account for the assessment, 4) revising the criteria to determining the level of traffic congestion speed, and 5) deciding how to limit congestion measurement period. It is found meaningful that the improvements, notwithstanding difficulties in their real case application, provide invaluable insights in our efforts to change the meaning of congestion cost in an era of sustainable growth.

• KDI Journal of Economic Policy
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• v.12 no.4
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• pp.97-111
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• 1990

This paper examines the effect of redistributive inheritance tax on income distribution and social welfare. The model used here is the Overlapping-Generations Model consisting of individuals with different bequest motives where the lifetime income distribution in each cohort is determined endogeneously by the dynamic bequest process. It is shown that the introduction of redistributive inheritance tax can improve the vertical equity in the sense that the increase in tax rate reduces the coefficient of variations of intra-cohort income distribution in steady-state. However, it is also shown that, the effect on social welfare, when measured by Benthamite SWF, is uncertain in general. The numerical simulations show that, in spite of its equity-enhancing effect, the tax increase can actually lower the steady-state social welfare within the plausible range of parametric values, through the long-run output effect as well as the deadweight welfare loss incurred by tax distortion. Hence, the problem of equity-efficiency trade-off can arise in this case. However, if both the market interest rate and the elasticity of marginal utility in individual's preference function are sufficiently high, it is shown to be possible that the steady-state social welfare is enhanced by the introduction of inheritance tax.