• Korean Management Science Review
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• v.18 no.1
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• pp.119-133
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• 2001

It is important to find the equilibrium level of real interest rate for it affects real and financial sector of economy. However, it is difficult to find the equilibrium level because like the most macroeconomic model the real interest model has parameter instability problem caused by structural change and it is supported by various theories and definitions. Hence, in order to cover these problems structural change detection model of real interest rate is developed to combine the real interest rate equilibrium model and the procedure to detect structural change points. 3 equations are established to find various effects of other interest-related macroeconomic variables and from each equation, structural changes are found. Those structural change points are consistent with common expectation. Oil Crisis (December, 1987), the starting point of Economic Stabilization Policy (January, 1982), the starting point of capital liberalization (January, 1988), the starting and finishing points of Interest deregulation (January, 1992 and December, 1994), Foreign Exchange Crisis (December, 1977) are detected as important points. From the equation of fisher and real effects, real interest rate level is estimated as 4.09% (October, 1988) and dependent on the underlying model, it is estimated as 0%∼13.56% (October, 1988), so it varies so much. It is expected that this result is connected to the large scale simultaneous equations to detect the parameter instability in real time, so induces the flexible economic policies.

• Economic Analysis
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• v.26 no.1
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• pp.133-166
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• 2020

Since the mid-1990s, Korea has been aging rapidly. At the same time, real interest rates have declined sharply. This paper studies whether population aging has contributed to the real interest rate decrease in Korea. We first present empirical evidence that increases in life expectancy and the old-age-dependency ratio, and a fall in population growth, i.e., the population aging, decrease real interest rates. Then we calibrate a life-cycle model to capture the features of the old-age-dependency ratio and population growth in Korea, and show that population aging accounts for about one third of the fall in real interest rates between 1995 and 2018. Furthermore, according to simulation results, increased life expectancy is more important than decreased population growth in affecting the real interest rate decrease during the period.

• Journal of Distribution Science
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• v.14 no.4
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• pp.33-38
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• 2016

Purpose - This study purposes to analyze the impact of regional economic integration and macroeconomic on Indonesian FDI inflows. Research design, data, and methodology - Data were collected from bilateral relation between Indonesia and 21 home countries whose dominant share FDI to Indonesia from 2005 to 2013. Analysis method was conducted by panel gravity modeI to find the impact of regional economic integration and macroeconomic on Indonesian FDI inflows. Results - The empirical results show that GDP of the home country and Indonesia have a positive impact on Indonesia FDI. Distance and home country real interest rate have a negative impact on Indonesia FDI. Economic integration of European Union (EU) and Indonesia's cooperation with Japan in ASEAN-Japan Comprehensive Economic Partnership (AJCEP) have created impact of investment creation on Indonesia FDI, unfortunately, economic integration of ASEAN has created impact of investment diversion on Indonesian FDI. Conclusions - In order to increase FDI inflow to Indonesia, Indonesia government should improve the physical and social infrastructures to drive the productivity and economic efficiency. It will increase the GDP and also attract more investors. Low interest rate policy should be considered.

• The Journal of Asian Finance, Economics and Business
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• v.10 no.1
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• pp.181-187
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• 2023

The study aimed to study the effect of the inflation rate, the real domestic product, the interbank lending interest rate, and the total deposits on credit facilities in Jordan for 2012-2021 through quarterly data. The study adopted the ARDL model. The study used the time series analysis method, as the study tests the stationarity of the time series. The results showed that the impact of inflation on the total credit facilities was negative. In contrast, the impact of each of the total deposits, real GDP, and the interest rate of interbank loans on the total credit facilities was positive and significant. The study recommended the need for the banking sector in Jordan to develop risk management mechanisms in a way that allows it to adapt to economic cycles and crises by conducting stress tests and developing scenarios that ensure the formation of sufficient provisions to meet emergencies. The study also recommended that the macroeconomic policy should be based on creating a stable macroeconomic environment that allows the efficient employment of resources in all economic sectors in a way that achieves high economic growth rates, which contributes to the promotion of economic recovery and is reflected in income. Hence, individuals have a greater ability to repay loans.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.8
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• pp.205-212
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• 2020

This study seeks to examine the main factors, external and internal to the bank, that enhance bank lending. Bank lending is one of the connecting bridges in sustaining society. Internal factors consist of ROA, DPK, and CAR. External factors are economic growth and interest rate of Bank Indonesia. The population of this research consists of traditional commercial banks listed on the IDX over the 2014-2017 period. Samples were chosen by purposive sampling method. This study uses secondary data with 56 samples; data analysis uses multiple linear regression. The findings of the study show that internal factors have a greater impact on increasing bank lending than external factors. The main variable among internal factors that influences increase in bank lending is ROA. DPK is the internal factor with the smallest impact on increasing bank lending. The implication of the study is that determining the bank lending should take more account of CAR, DPK, ROA, BI interest rates, and economic growth in making decisions about the amount of lending. These variables can only have a slight effect on increasing lending, though. Besides, internal factors such as NPL, LDR or non-economic factors also need to be considered in channeling bank credit.

• Journal of Digital Convergence
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• v.13 no.11
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• pp.509-515
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• 2015

This study verified the effectiveness of various economic experience in adolescence on forming economic view. Survey was carried out for Asan-si residents and online homepage visitors in Sep. 2015, 116 cases were finally used for analysis. This study confirmed the moderating effect of interest in economy on the relationship between various economic experience in adolescence and formation of economic view, and analyzed differences depend on economic knowledge learning path. Various economic experience in adolescence positively affected economic comprehension, rational consumption attitude, start-up intention and the moderating effect of interest in the economy was verified. Demographic Characteristics and economic knowledge learning path also affected differences of economic view by the group. These study results suggest that experiential youth economic education program will be effective on forming economic view.

• The Korean Journal of Rehabilitation Nursing
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• v.2 no.1
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• pp.85-94
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• 1999

The purposes of this study were to identify sexual interest and adjustment in patients with spinal cord injury and to determine the factors that relate to sexual adjustment. A total of 134 persons in this study was the members of spinal cord injury organization and the impatients in rehabilitation unit between February and June 1999. Five questionnaires were answered concerning importance of life events, sexual concern, sexual adjustment, relationship with a sex partner, and depression. The collected data were analyzed by Frequency, t-test, ANOVA and pearson correlation. The results were as follows : 1) Considering the importance among 11 areas of life, economic status occupied the top, sex life held the sixth rank, and the mean rating for social life being 3.78 was the lowest of all. 2) As regard to 7 topics related to sexuality, the most attention was drawn to methods and techniques achieving sexual satisfaction, and the next interest was for helping partners cope emotionally with sexual dysfunction. 3) The mean for sexual adjustment and depression was average, and the mean for sex partner relationship was high. 4) Sexual adjustment in spinal cord injury patients correlated with economic status and sex partner relationship. While It was inversely correlated with age and depression. It was found that lower age and less depression play a positive role on sexual adjustment by SCI people. Also, higher economic status and favorable sex partner relationship increase sexual adjustment. In conclusion, a sex partner relationship, depression, economic status, and age seemed to influence on their sexual adjustment after SCI. Also, psychosocial factors would be more important for satisfying sexual life and relation ship rather than physical factors.

• International Area Studies Review
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• v.14 no.1
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• pp.77-97
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• 2010

Recently, countries on the Caspian Sea were had heavily interested due to instability of international resource market. These countries having been developed basing on energy exports, especially Kazakhstan have drastically grown during a decades. However economy, heavily relied on the exports of energy, is influenced on fluctuation in the international energy price as well as sometimes exposed at Dutch disease. These days, Kazakhstan, increased trade and investment with Korea, has been on the rise as new supplier for energy. Therefore, economic change in Kazakhstan can be an important issue. In this paper, we analyze relations among oil price, interest rate, and real exchange rate during sample period from January 1999 to December 2008 expanding Balasa-Samuelson model. Empirical results present that oil price, interest rate, and real exchange rate mutually keep their balance. Eventually, we find out Kazakhstan has exposed at Dutch disease since oil price and interest rate have negative impacts on real exchange rate respectively.

• Korea Real Estate Review
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• v.28 no.4
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• pp.75-88
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• 2018

The purpose of this study is to analyze the effect of the spread on housing mortgage loans. In particular, this study analyzes how the spread has a decisive effect on housing mortgage loans when a structural change occurs in the spread. For the sake of empirical analysis, this study utilizes the housing mortgage loan, housing mortgage loan interest rate, COFIX interest rate, and spread. The period of analysis is from December 2010 to December 2017. Results of the analysis show that there is a statistically significant structural change in the spread and housing mortgage loans (May and June 2015, respectively). It is estimated that the structural change in the spread has an influence on the structural change in housing mortgage loans. In addition, the effect of the spread on housing mortgage loans is larger than the effect of the COFIX interest rate and the housing mortgage loan interest rate. This indicates that the adjustment of the spread is a significant burden on housing mortgage loans. As economic uncertainties both internally and externally are increasing, pressure on interest rate hikes is also increasing. Considering these circumstances, interest rate hikes will be inevitable in the future. If the base interest rate and the spread increase simultaneously at Korea's current economic level, it will obviously lead to an economic recession as the burden on the repayment of principal and interest of housing mortgage loans will increase. Therefore, it is imperative that financial authorities prepare institutional arrangements in order to protect financial consumers by preventing arbitrary calculation of the spread, which would not be objective and would not be transparent from the banks.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.12
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• pp.43-52
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• 2020

This paper examines how macroeconomic variables, such as interest rate differences, inflation, exchange rates, economic growth and external debt growth, affect capital flight in the ASEAN-8 countries. We apply a panel data model with fixed effect estimation for the data for eight countries from the period 1994 to 2018. We use the residual approach used by the World Bank to measure the value of capital flight. The results show that the interest rate differences, exchange rates, economic growth and foreign debt growth had a positive and significant effect on outward capital flight. A further implication of this finding is that the interest rate differences, exchange rate, economic growth and foreign debt growth are factors that trigger an increase in capital outflow in the ASEAN-8 countries. Nonetheless, inflation rate is not considered to be the main factor influencing capital flight, as average inflation in the ASEAN-8 countries remains relatively stable. This paper will be beneficial for policymakers in the ASEAN-8 countries and encourage them to constantly pay attention to these four variables, as they significantly influence capital flight, whereas they can disregard the impact of the inflation variable that is not significant in influencing capital flight.