• Economic Analysis
• /
• v.27 no.4
• /
• pp.70-119
• /
• 2021

This paper analyzes the changes in financial reform during the Kim Jong-un era based on North Korean literature. We find that North Korea has systematically and functionally separated the central bank from commercial banks since the Kim Jong-un era began. In addition, enterprises have been allowed to withdraw cash from bank accounts and make inter-enterprise cash payments. In other words, nowadays non-cash currencies with passive money can partially serve as active money with purchasing power. With the systematic and functional separation of the central bank and the commercial bank, the issuance of the central bank changed to a money supply method through the commercial bank, and changes in the currency distribution structure have allowed commercial bank's credit creation function to be implemented. This means that the banking system and the monetary·payment system of the socialist planned economy are changing in the way of the market economy. Reforms in the financial sector are believed to have been necessary to support changes in the economic system and to restore the function of the public financial sector. These changes have progressed in terms of the level of reform, but they are still considered similar to the period of the former Soviet Union's Perestroika or to the early period of China's reform and opening. Although North Korea's financial reform is superior in terms of enacting the banking law, it is insufficient in terms of realizing the functions of commercial banks. In addition, it is assessed that institutional constraints such as maintaining a planned economy, and the lack of confidence in public finances limit the effectiveness and development of the financial system. It should be noted that these results are based on literature published in North Korea. In other words, there is a limit in the fact that such recent changes have been carried out on a trial basis in some areas, or have been carried out in a full-scale manner with a blueprint, since Kim Jong-un's inauguration.

• Journal of Service Research and Studies
• /
• v.12 no.4
• /
• pp.1-18
• /
• 2022

This study was conducted to prove that the service philosophy is the development principle of human society in the service age. From ancient times to the present, the service philosophy was tried to show the wisdom of the development of human society in all earth spaces including the East and the West. In addition, it tried to prove that the service philosophy was at the center of the development wisdom of many countries and individuals who flickered on all space on earth and all human time. The study showed that the differences between countries were in software rather than hardware. Furthermore, it was analyzed that countries with a service philosophy embedded in the center of software such as spirit and culture made a great contribution to human society. The cases of Greece and Rome, the Republic of Venice, the Republic of the Netherlands, followed by the United States and modern Korea prove this, and the Soviet Union can be seen to disprove it. The former was a society in which state-run software was strong, and the latter was a society in which hardware was strong. There is a big difference between the case of the state, which citizens have autonomously organized and operated, and the case of the upper-level state-led operation. Since the leadership of the upper classes is not based on the service philosophy, the accumulated software power is weak, so it can be said that the accumulation of wisdom in human society is weak. Therefore, while the essence of human society so far has been a society of self-centered animal ecosystems led by selfishness, the human society in the service age from now on can be said to be a society of plant ecosystems where mutual respect and self-centeredness coexist. Just as the society centered on the service philosophy in the past human society prospered and left a greater legacy to mankind, it is suggested that the human society in the future service era should be a human society of a plant ecosystem centered on the service philosophy. Further in-depth studies related to this are needed in the future.