• KDI Journal of Economic Policy
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• v.12 no.4
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• pp.47-69
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• 1990

Using an aggregator model, we look into the possibilities for substitution between Korea's exports, imports, domestic sales and domestic inputs (particularly labor), and substitution between disaggregated export and import components. Our approach heavily draws on an economy-wide GNP function that is similar to Samuelson's, modeling trade functions as derived from an integrated production system. Under the condition of homotheticity and weak separability, the GNP function would facilitate consistent aggregation that retains certain properties of the production structure. It would also be useful for a two-stage optimization process that enables us to obtain not only the net output price elasticities of the first-level aggregator functions, but also those of the second-level individual components of exports and imports. For the implementation of the model, we apply the Symmetric Generalized McFadden (SGM) function developed by Diewert and Wales to both stages of estimation. The first stage of the estimation procedure is to estimate the unit quantity equations of the second-level exports and imports that comprise four components each. The parameter estimates obtained in the first stage are utilized in the derivation of instrumental variables for the aggregate export and import prices being employed in the upper model. In the second stage, the net output supply equations derived from the GNP function are used in the estimation of the price elasticities of the first-level variables: exports, imports, domestic sales and labor. With these estimates in hand, we can come up with various elasticities of both the net output supply functions and the individual components of exports and imports. At the aggregate level (first-level), exports appear to be substitutable with domestic sales, while labor is complementary with imports. An increase in the price of exports would reduce the amount of the domestic sales supply, and a decrease in the wage rate would boost the demand for imports. On the other hand, labor and imports are complementary with exports and domestic sales in the input-output structure. At the disaggregate level (second-level), the price elasticities of the export and import components obtained indicate that both substitution and complement possibilities exist between them. Although these elasticities are interesting in their own right, they would be more usefully applied as inputs to the computational general equilibrium model.

• Journal of Information Technology Applications and Management
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• v.26 no.6
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• pp.65-78
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• 2019

This study describes the accounting approach of separating the value chain components that occur between the origin and destination of a country's total exports, and applied this analysis to the nation's information and communication industry. As a result of this study, the analysis results of ICT's global value chain for the United States and China, focusing on Korea, are as follows: First of all, the value added standard was relatively lower than the export amount standard for the information and communication industry. In particular, the gap was starkly visible in the information and communication manufacturing sector, where global vertical specialization was developed relatively. As a representative sector, the computer-related equipment sector exported to China became more specialized vertically than other information and communication industries. Next, the method of participating in vertical specialization of Korea's information and communication sector and its relative position in the global value chain came from domestic products (0.25/35.16) whose total exports, which were double calculated in the case of the U.S. market, returned home. On the other hand, about 32.68 percent returned to the Chinese market. Finally, in the global value chain level, the SW sector occupied a medium vertical culture location for the information and communication equipment sector and the information and communication service sector.

• KDI Journal of Economic Policy
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• v.43 no.3
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• pp.33-53
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• 2021

The import content of exports (ICE) is defined as the amount of foreign input embodied in one unit of export, and it has been used as a measure of the degree of integration into the global production network. In this paper, we suggest an alternative measure based on the decomposition of gross output and imports into the contributions of final demand terms. This measure considers the manner in which a country manages its domestic production base (gross output) and utilizes the foreign sector (imports) simultaneously and can thus be regarded as a more comprehensive measure than ICE. Korea's input-output tables in 1970-2018 are used in this paper. These tables were rearranged according to the same 26-industry classification so that these measures can be computed with time-series continuity and so that the results can be interpreted clearly. The results obtained in this paper are based on extended time-series data and are expected to be reliable and robust. The suggested indicators were applied to these tables, and, based on the results we conclude that the overall importance of the global economy in Korea's economic strategy has risen and that the degree of Korea's integration into the global production network increased over the entire period. This paper also shows that ICE incorrectly measures the movement of the degree of integration into the global production network in some periods.

• KOREAN JOURNAL OF CROP SCIENCE
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• v.11
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• pp.133-142
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• 1972

1. The purpose of this study is to present effective way of increasing agricultural trade through investigating agricultural trade aspects of the south-east asian countries. 2. As the main industry of all the countries except Japan is agriculture, agricultural products occupies large part of products exported in these countries. However, due to the low level of technology and shorts of products to be exported, the traded amount of agricultural products is not so much. 3. In view of industralization, these countries are similiar to Korea. Therefore, Korea can hardly expect to increase trade amount only with the traditional agricultural products, for these countries emphasis on the import of capital goods. 4. The climate and the level of production technology of these countries differ greatly respectively. In order to increase exports, Korea has to develop strategic goods considering the facts mentioned above.

• The Research Journal of the Costume Culture
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• v.7 no.1
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• pp.141-153
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• 1999

To be successful, Korean exporters must understand how importers identify and select suppliers. This empirically based study investigate Korean exporter\`s perceptions of the supply selection criteria and information sources in US importers use. The specific purposes of this study were to identify the importance of the supply selection criteria and information sources and to examine the effects of the amount of export on the supply selection criteria and information sources in US importer use. For this study, data were obtained from Korean exporters by means of self-administered questionnaires. The questionnaires consisted of a series of statements covering a broad of specific selection criteria and information sources and exports\` characteristics including average annual amount of export. Using a base of 312 exporters, data were analysed by using mean, one-way ANOVA, and Ducan test. Major findings if this study summarized as follows; 1) Korean exporters perceived that US importers would place importances on product price, deliverly reliability, product wordsmanship-quality, and length of deliverly lead-time, in orders. Also, the more amount of export was, the higher product wordsmanship-quality, availability of piece goods and trims, and communication channel were importantly rate. 2) Korean exporters considered the third party sources, such as recommendation from trade association and buying office and import agency, as the most important information source in US importer use. Also, There was tendency that the more amount of export was, the more information sources on suppliers was importantly evaluated. From this study, several recommendation were suggested forward to encourage export in international apparel market.

• The Journal of Industrial Distribution & Business
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• v.9 no.1
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• pp.39-49
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• 2018

Purpose - This present aims to analyze the effect of export modes on initial export amount and time to export by selecting export modes among various success strategies and factors. Research design, data, and methodology - It surveyed 980 small and mid-sized venture enterprises across Korea. The export modes and its impact on exports through frequency analysis and cross analysis, and validated through a PPML(regression analysis applied the enterprise growth model) analysis. Results - Five export modes were investigated : direct export, indirect export, transfer from direct export to indirect export, transfer from direct export to indirect export, and parallel export to indirect export. It was found that SMVEs that exported directly from establishment to initial export had the shortest period, and also had the highest export price Conclusions - From a marketing point of view, it took an average of 1.6 years to switch from export directly to indirect export or directly export, and the reason for the export modes conversion was to supplement export specialists and improve export competitiveness. And the export amount and time period that SMVEs establishes and export is a significant factor in export success strategy and there has been few prior study in export modes.

• Journal of Arbitration Studies
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• v.16 no.1
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• pp.253-275
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• 2006

Ever since the open and reform policy in 1987, China has adopted the socialistic market economy system and has been moving forward in economic reform. This gradually expanded their market economy. The open and reform policy achieved the highest average annual GDP growth rate of 9% and helped the country maintain high growth. China's economic growth in recent years has a lot to do with the international trading and direct investment by foreign corporations. China's entry into the WTO dramatically increased their amount of capital and investments due to their aggressive investments with foreign corporations. It is quite amazing that investments in China has been constantly increasing while the direct investments worldwide is decreasing. Moreover, increase in such investments is contributing to China's job creation, as well as, the expansion of international trading. When international economic exchange started between Japan and China in the 1970s, it was in the form of aid for developing countries, hence the collection of the investment was out of the question. It was in the 1990s that Japan started the full-scale investments with China and it was mostly centered in transfer of the production base. Japanese corporations aim was to mass produce goods less expensively using abundant and cheap labor and to sell them to Japan and other countries. The amount of Japan's exports and imports compared with China is increasing every year but the trade deficit has gone into the red. The dollar amount has been decreased from $ 27 billion in 2001 to $ 18 billion in 2003. The problems and damages in the system of justice and administrative confrontation that Japanese corporations are facing are continuously at a stand-still even after China's entry into the WTO. It has been 20 years since Japan's advance in China and during that period, the Japanese corporations brought many changes ranging from exports/imports to direct investment. Although Japan's new corporations tend to be located in the mid-western part of China, rather than the coastal areas, the region itself is not the cause for the confrontation. The problem stems from the Japanese treating the Chinese as if they were Japanese because they look similar due to their Asian ancestry. In reality the Chinese have completely different ways of doing business. Here we will take a look at the international trading and direct investment of Japanese corporations in China and study the conflicts that occurred in business transactions with China through real examples.

• Environmental and Resource Economics Review
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• v.30 no.3
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• pp.435-469
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• 2021

The main purpose of this study is to identify the determinants of electricity import and export in 26 European Union countries using the Spatial durbin model(SDM). In particular, we would like to mainly explain it based on the amount of power generated by each energy source. Not just the usual way of constructing a weighting matrix based on contiguity, we adopt a weighting method based on the proportion of trade among countries with connected electricity systems. Moreover, the electricity systems of European countries are directly and indirectly connected, which is reflected in the weighting matrix. According to the results, nuclear power has a positive effect on exports and a negative effect on imports, and an increase in wind and solar power has a positive effect on both exports and imports by increasing power system instability. While Korea is unable to trade electricity due to geopolitical conditions, the results of this study are expected to provide implications for energy policies.

• Journal of Korea Trade
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• v.24 no.8
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• pp.39-62
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• 2020

Purpose - Korean exports account for a vast proportion of Korean GDP, and large volumes of Korean products are sold in the United States. Identifying and characterizing actual and potential product hazards related to Korean products is critical to safeguard Korean export trade, as severe quality issues can impair Korea's reputation and reduce global consumer confidence in Korean products. In this study, we develop country-of-origin-based product risk analysis methods for social media with a specific focus on Korean-labeled products, for the purpose of safeguarding Korean export trade. Design/methodology - We employed two social media datasets containing consumer-generated product reviews. Sentiment analysis is a popular text mining technique used to quantify the type and amount of emotion that is expressed in the text. It is a useful tool for gathering customer opinions regarding products. Findings - We document and discuss the specific potential risks found in Korean-labeled products and explain their implications for safeguarding Korean export trade. Finally, we analyze the false positive matches that arise from the established dictionaries that were used for risk discovery and utilize these classification errors to suggest opportunities for the future refinement of the associated automated text analytic methods. Originality/value - Various studies have used online feedback from social media to analyze product defects. However, none of them links their findings to trade promotion and the protection of a specific country's exports. Therefore, it is important to fill this research gap, which could help to safeguard export trade in Korea.

• The Journal of Fisheries Business Administration
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• v.35 no.2
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• pp.71-90
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• 2004

According to this study, overall economic impacts of the FTA between Korea and Singapore upon fish and fishery products of our country were likely to be very small and insignificant. When the tariff on fish and fishery products between the two borders were completely eliminated, if no roundabout exports from other ASEAN countries were practicing, then this study calculated that the increase of imports from Singapore in the 12 chief items was estimated to be only about 250,000kg, which comes to the amount of 1.1 billion won. The 12 items used here account for over 90% imports of fish and fishery products from Singapore. This study also revealed that imports of fish and fishery products from Singapore would be substituted for domestic products more than 100,000kg in the 7 items produced domestically. The substitution effect represents fishermen's demage by replacing domestic products by imports in terms of income which comes to the amount of 438 million won. As the results of the study shows, establishing an FTA between the two countries will not exert so much adverse effects on our fisheries because relative importance of fish and fishery products in both countries are very small. But the contents of the agreement on fish and fishery products between the two countries are very important, as concluding the negotiation and signing the agreement between Korea and Singapore would be a precedent in future negotiations with other asian countries, especially with China and ASEAN countries.