• Analyses & Alternatives
• /
• v.4 no.1
• /
• pp.5-37
• /
• 2020

In the 2000s, financial exclusion of low-income people emerged as a major social problem in South Korea. Microcredit business was first introduced by NGOs to help the poor overcome poverty while the Korean government soon chose to initiate microcredit policies to assist financially marginalized low-income people as a key policy measure to alleviate social inequality and revitalize economy. Unlike the initial expectation that state intervention in microcredit industry would be more effective, the outcome has been much less impressive. This paper aims to examine the poor performance of state-led microcredit in South Korea during the period of Lee Myung-bak administration by employing the concepts of state autonomy and capacity. It finds that the state autonomy, a key characteristic of a developmental state, was high in the sense that the funds had been raised in the face of strong resistance from private financial institutions. Lack of state capacity such as low technocratic expertise and politicization of microcredit policy, however, turned out to be a major stumbling block to the state-led microcredit in South Korea. This study shows that although the Korean government still has strong willingness to intervene in the financial market even in the face of interest groups' opposition, the eventual success of state action largely depends on its capacity to effectively implement financial policies.

• Journal of Intelligence and Information Systems
• /
• v.15 no.4
• /
• pp.65-78
• /
• 2009

The rapid changes of financial environment have increased the need and demand for personal financial advisory service from financial experts. In particular, as the individual customers want to get more customized financial services, the financial institutions created the private banking (PB) sector and have constantly expanded their PB services. However, it remains still problematic that the private banking system requires high costs so that the number of eligible customers who can have proper PB services is quite limited. To solve this problem, we propose an intelligent agent that can provides specialized and customized personal financial advisory services to the customers with low costs. The proposed agent systemizes and structures the information and knowledge of financial experts in private banking services so that individual customers can easily access to high-quality PB services when they need. On the first attempt we develop a framework of U-smart PB, an intelligent agent for personal financial management based on different scenarios related to personal financial decisions, and derive its core services. This system not only provides information simply, but also proposes to support personal investment decisions technically as an intelligent agent that embodies real-time customized financial management in a ubiquitous environment, regardless of time and place.

• Journal of Distribution Science
• /
• v.11 no.4
• /
• pp.81-88
• /
• 2013

Purpose - This paper analyzes the influence of the RMB internationalization on the KRW/dollar exchange rate using an autoregressive distributed lag model. Comparing the parameter estimators from the sample period before and after the global financial crisis, we found that the RMB/dollar exchange rate has increasingly become more influential on the KRW/dollar exchange rate. Moreover, for the past several years, the Chinese government has actively utilized the financial service FTA negotiation as a measure for the RMB internationalization. This paper simultaneously considers RMB internationalization and financial service negotiations in the Korean-Chinese FTA. The purpose of this paper is to explicitly suggest a direction for the financial service negotiations in the Korean-Chinese FTA considering the effects of RMB internationalization. Research design, data, and methodology - The research plan of this paper has two parts. First, for an empirical study, this paper uses the daily exchange rate of the U.S. dollar against the currencies of the ASEAN5, Taiwan,and Korea. By using an autoregressive distributed lag model, this paper studies the influence of the change in the RMB/dollar exchange rate on changes in the local currency/dollar exchange rate in seven economies neighboring China. Our sample periods are 06/2005 - 07/2008 and 06/2010 -02/2013. During these periods, China was under the multi-currency basket system. We exempted the period of 08/2008 - 05/2010 from the analysis because there was nearly no RMB/dollar exchange rate fluctuation during those months. Second, after analyzing the recent financial service liberalizations and deregulations in China, we recommend a direction for the financial service negotiations in the Korean-Chinese FTA. In the past several years,the main Chinese financial policy agenda has surrounded the RMB internationalization. Therefore, it is crucial to understand this in the search for strategies for the financial service negotiations in the Korean-Chinese FTA. This paper employs an existing literature survey and examines the FTA protocols in its research methodology. Results and Conclusions - After the global financial crisis, the Chinese government wanted to break away from the dollar influence and pursued independent RMB internationalization in order to continue the growth and stability of its economy. Hence, every neighboring economy of China has been strategically impacted by RMB internationalization. Nevertheless, there is little empirical study on the influence of RMB internationalization on the KRW/dollar exchange rate. This paper is one of the few studies to analyze this problem comprehensively. By using a relatively simple estimation model, we can confirm that the coefficient of the RMB/dollar exchange rate has become more significant, except in the case of Indonesia. Although Korea is not under the multi-currency basket system but under the weakly controlled floating exchange rate system, its coefficient appears as large as that of the ASEAN5. This is the basis of the currency cooperation that has grown from the expansion of trade between the two countries. These empirical results suggest that the Korean government should specifically consider the RMB internationalization in the Korean-Chinese FTA negotiations.

• Korea Journal of Hospital Management
• /
• v.6 no.1
• /
• pp.1-17
• /
• 2001

According to the increase of the proportion of aged people, the medical demand for a senile chronic disease has been increased; therefore, aged people call for a geriatric hospital for special geriatric medical service. The main purpose of this study was to analyze the general characteristics and financial status of geriatric hospitals. For the study, a questionnaire was designed and sent to the geriatric hospitals to fill out the patient statistics, number of headcount by department, etc. to find out the stability, profitability, activity and so on financial statements of the hospitals were analyzed. The major findings of this study were as belows. 1. The ratio of the medical expenses to the revenue of the geriatric hospitals is much lower than acute care hospitals. But the probability of bankruptcy is higher due to the high ratio of the liabilities therefore it is required to stabilize the financial position by donating more money. 2. Government budget for the elderly people is not enough. To support the geriatric hospitals by going subsides, government should increase the budget. 3. Portion's of the patient of the geriatric hospitals are government support patient. Since the government doesn't pay the medical charges quickly, geriatric hospitals have a serious cash flow problem. Therefore, it is required that government is to prepay the bill. 4. Since geriatric hospitals treat elderly patient and most patients are government support patients, geriatric hospitals can be said to operate under the strict. 5. When we introduce the daily medical charge, the self-liability will be reduced on approximately 50% of current. This affection will bring a huge progressing financial structure to the medical profit of the geriatric hospital, and also patient family will feel less economical burden.

• Journal of Information Processing Systems
• /
• v.15 no.6
• /
• pp.1306-1325
• /
• 2019

As the world is moving towards digitization, data is generated from various sources at a faster rate. It is getting humungous and is termed as big data. The financial sector is one domain which needs to leverage the big data being generated to identify financial risks, fraudulent activities, and so on. The design of predictive models for such financial big data is imperative for maintaining the health of the country's economics. Financial data has many features such as transaction history, repayment data, purchase data, investment data, and so on. The main problem in predictive algorithm is finding the right subset of representative features from which the predictive model can be constructed for a particular task. This paper proposes a correlation-based method using submodular optimization for selecting the optimum number of features and thereby, reducing the dimensions of the data for faster and better prediction. The important proposition is that the optimal feature subset should contain features having high correlation with the class label, but should not correlate with each other in the subset. Experiments are conducted to understand the effect of the various subsets on different classification algorithms for loan data. The IBM Bluemix BigData platform is used for experimentation along with the Spark notebook. The results indicate that the proposed approach achieves considerable accuracy with optimal subsets in significantly less execution time. The algorithm is also compared with the existing feature selection and extraction algorithms.

• East Asian mathematical journal
• /
• v.34 no.1
• /
• pp.1-16
• /
• 2018

We study an optimization problem for hyperbolic absolute risk aversion (HARA) utility function under two-factor Heston's stochastic volatility model. It is not possible to obtain an explicit solution because our financial market model is complicated. However, by using asymptotic analysis technique, we find the explicit forms of the approximations of the optimal value function and the optimal strategy for HARA utility function.

• Management Science and Financial Engineering
• /
• v.1 no.1
• /
• pp.67-90
• /
• 1995

In planning an assembly system, choosing the proper assembly sequence is one of the most important decisions because it significantly affects the costs associated with the assembly process. This paper deals with the selection of assembly sequences in flexible assembly systems. The selection criterion is the minimization of makespan to complete all assembly products. This problem is formulated as a "modified FAS scheduling problem" (MFASSP) and its scheduling procedure is described. The experimental results show that the procedure is very efficient for both quality of solution and computation time.

• Management Science and Financial Engineering
• /
• v.2 no.1
• /
• pp.19-51
• /
• 1996

We suggest a distributed framework for task assignment in the computer-controlled shop floor where each of the resource agents and part agents acts like an independent profit maker. The job allocation problem is formulated as a linear programming problem. The LP formulation is analyzed to provide a rationale for the distributed task assignment procedure. We suggest an auction based negotiation procedure including a price-based bid construction and a price revising mechanism. The performance of the suggested procedure is compared with those of an LP formulation and conventional dispatching procedures by simulation experiments.

• Management Science and Financial Engineering
• /
• v.3 no.1
• /
• pp.75-88
• /
• 1997

Tabu search (TS) has been successfully applied for solving many complex combinatorial optimization problems in the areas of operations research and production control. However, TS is for single-objective problems in its present form. In this article, a TS-based heuristic is developed to determine Pareto-efficient solutions to a multi-objective combinatorial optimization problem. The developed algorithm is then applied to the discrete optimal design problem in statistics to demonstrate its usefulness.

• Management Science and Financial Engineering
• /
• v.12 no.2
• /
• pp.63-69
• /
• 2006

To generate a multicast routing tree guaranteeing the quality of service (QoS), we consider the hop constrained Steiner tree problem and propose a new mathematical formulation for it, which contains fewer constraints than a known formulation. An efficient procedure is also proposed to solve the problem. Preliminary tests show that the procedure reduces the computing time significantly.