• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.16 no.6
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• pp.1-16
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• 2021

The purpose of this study is to examine how the Korean government has intervened in the venture capital market so far and empirically investigate whether the government's policies on venture capital have stimulated venture capital's early-stage investment. To this end, this study classified the government's market intervention in the venture capital market by stage by studying the related literature and applying and analyzing the case in Korea. And, this study empirically analyzed the effectiveness of the Korean government's policy to revitalize the early-stage investment of venture capital, which is the most important purpose of government intervention. For empirical analysis, yearly data from 2004 to 2018 provided by the Korea Venture Capital Association and Korea Fund of Funds were analyzed using time series statistical analysis and macrodynamics. As a result of the case study, the Korean government has intervened in the venture capital market through direct investment for 25 years, and has been intervening through indirect investment for the next 18 years. As a result of time-series statistical analysis, the government's fiscal investment to increase the formation of venture capital funds and the increase in the ratio of special-purpose funds that mandate a certain percentage of early-stage investment increased the early-stage investment of venture capital. However, macrodynamics showed a trend in the opposite direction from this time series statistical analysis from 2016. In conclusion, this study interprets the trend in the opposite direction to the time series statistical analysis results as the government's erroneous regulation on the venture capital investment method and the recent lack of effectiveness of direct intervention through the government's indirect investment method. In addition, based on the results of case studies and empirical studies, this study made six policy proposals necessary for indirect government intervention.

• Journal of Distribution Science
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• v.19 no.12
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• pp.91-101
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• 2021

Purpose: This study aims to explore the effects of government's value intervention messages on the prevention and control of infectious disease in the risk communication process in terms of goveremnt policy response to COVID-19 from the mismatch message perspective, and draws the relevant implicaitons. Due to the infeciton spread, some people point out that depression caused by COVID-19 is because of wrong signals of the government and infectious disease prevention and control authorities, namely value intervention messsages. Research design, data and methodology: This study examined the epidcmic situation through message deails regarding the effects of government's mismatch messages on prevention and control of infectious disease and the resulting phenomena. Results: People's lives are under serious threat overall, so the declaration of the end of COVID-19 is almost impossible unlike MERS. Economic downturn due to foreced prevention and control regulaitons of COVID-19, mistruct of social distancing, fatigue on mismatch messages, and moral hazard on the awareness of prevention and control of infectious disease are negative phenomena to risk communiaiton on COVID-19. Conclusions: This study investigated the government authorities' policy sending wrong signals due to mismatching of the reality at this point in time for infectious disease prevention and control from the risk communicaiton perspectrive.

• Journal of Technology Innovation
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• v.30 no.1
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• pp.57-104
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• 2022

The government has supported the innovation of private firms by intervening the market for various purposes, such as preventing market failure, alleviating information asymmetry, and allocating resources efficiently. Although the government's R&D budget increased rapidly in the 2000s, it is not clear whether the government intervention has made desirable impact on the market. To address this, the current study attempts to explore this issue by doing a systematic literature review on foreign and domestic papers in an integrated way. In total, 168 studies are analyzed using contents analysis approach and various lens, such as policy additionality, policy tools, firm size, unit of analysis, data and method, are adopted for analysis. Overlapping policy target, time lag between government intervention and policy effects, non-linearity of financial supports, interference between different polices, and out-dated R&D tax incentive system are reported as factors hampering the effect of the government intervention. Many policy prescriptions, such as program evaluation indices reflecting behavioral additionality, an introduction of policy mix and evidence-based policy using machine learning, are suggested to improve these hurdles.

• International Commerce and Information Review
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• v.4 no.2
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• pp.57-76
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• 2002

This paper surveys consumer policies for the internet transaction in the developed countries. Recently the internet transaction has been witnessing a remarkable change represented by the rapid spread of "revolution of distribution". It cannot be, however, stated that internet transaction will dominates all the market places without enhancing consumer's reliability in the internet transaction. Many countries made an efforts to the consumer protection in order to develop infra-structure of information industry. We will soon discover a new paradigm that consumer protection is not a tool for development of cyber market but the goal itself. We survey the process of consumer policies discussed in the developed countries and study the point of prevailing arguments of the consumer protection in the internet transaction. The arguments discussed in OECD meetings are debatable, especially, to the degree of government intervention in the field of consumer protection between EU and US. In contrast of US insisted on the minimum intervention of the government, EU suggest the opinion of more aggressive role of government in consumer policy in the cyber market. This paper attempts to provide several guide lines of Korean consumer policy in the cyber market.

• KDI Journal of Economic Policy
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• v.13 no.1
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• pp.65-113
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• 1991

Korea's rapid economic growth of the past thirty years was led by extremely fast export growth under extensive government intervention. Until very recently, the political regimes were authoritarian and oppressed human rights and labor movements. Because of these characteristics, many inside and outside Korea are under the impression that the rapid economic growth was made possible by the government's relentless push for export growth through industrial targetjng. Whether or not the government intervention was pivotal in Korean economic growth is an important issue because of its normative implications on the role of government and the degree of economic policy intervention in a market economy. A good example of industrial targeting policy in Korea is the "Heavy and Chemical Industry (HCI)" policy, which began in the early 1970s and lasted for one decade. Under the HCI policy the government intervened in resource allocation through preferential tax, trade, and credit and interest rate policies for "key industries" which included iron and steel, non-ferrous metals, shipbuilding, general machinery, chemicals, and electronics. This paper investigates the effects of. the HCI policy on the efficiency of capital and the export competitiveness of manufacturing industries. For individual three-digit KSIC (Korea Standard Industrial Classification) industries and for two industry groups, one favored by HCI Policy and the other not, this paper: (1) computes capital intensities and discusses the impact of the HCI policy on the changes in the intensities over time, (2) estimates the capital efficiencies and examines them on the basis of optimal condition of resource allocation, and (3) compares the Korean and Taiwanese shares of total imports by the OECD countries as a way of weighing the effects of the policy on the industries' export competitiveness. Taiwan is a good reference, as it did not adopt the kind of industrial targeting policy that Korea did, while the Taiwanese and Korean economies share similar characteristics. In the 1973-78 period, the capital intensity rose rapidly for the "HC Group" the group of industries favored by the policy, while it first declined and later showed an anemic rise for the "Light Group," the remaining manufacturing industries. Capital efficiency was much lower in the HC Group than in the Light Group, at least until the late 1970s. This paper acribes these results to excess investments in the favored industries and concludes that growth could have been faster in the absence of the HCI policy. The Korean Light Group's share in total imports by the OECD was larger than that of its Taiwanese counterpart but has become much smaller since 1978. For the HC Group Korea's market share was smaller than Taiwan's and has declined even more since the mid-1970s. This weakening in the export competitiveness of Korea's industries relative to Taiwan's lasted until the mid-1980s. This paper concludes that the HCI policy had either no positive effect on the competitiveness of the Korean manufacturing industries or negative effects.

• KDI Journal of Economic Policy
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• v.39 no.1
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• pp.1-18
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• 2017

This paper empirically studies the effect of public procurement on small and medium-sized enterprises (SMEs) in the Republic of Korea using firm-level data. Public procurement, the purchase of goods and services from private firms by the public sector, is regarded as an important policy measure for providing support to firms, particularly SMEs. This study uses establishment-level panel data of the mining and manufacturing sectors from the Korean National Bureau of Statistics (Statistics Korea) and procurement history from the Korean Public Procurement Service to empirically estimate the effects of public procurement on firms' productivity (total factor productivity) and survivability. Using a propensity score matching estimation method, we find that participating firms showed higher productivity than non-participating ones in the control group only for the year of participation, that is, 2009. After two years, in 2011, they exhibited significantly lower productivity. In contrast, establishments that participated in public procurement for SMEs in 2009 were more likely to survive than those that did not do so in 2011. These results can be interpreted as the negative consequences of government intervention. The market's efficiency enhancement is hindered if underserving companies survive owing to government intervention but fail to improve efficiency.

• Korean System Dynamics Review
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• v.10 no.1
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• pp.77-95
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• 2009

The ever-increasing government budget constraints have led to a continued decline in the increase rate for defense spending, and the government's 5-year National Fiscal Management Plan has served to reinforce the verification and validation procedures for the Force Improvement Programs (FIP) budget requirements and performance. Additionally, as large programs are controlled in accordance with the Total Program Cost Management Guidelines, timely and credible feasibility study and performance measurement need to be conducted. Due to these internal and external circumstances, needs have surged for feasibility and economic effectiveness study for big ticket projects in the FIP sector, with an increasing number of studies conducted by external research institutes. However, questions have been raised regarding the credibility and thoroughness of the program analyses performed by these research institutes due to various restrictions. This paper analyzes and identifies the structural limitations and problems using a systems thinking approach, and examines the systemic characteristics of the program analysis system. It also presents policy intervention recommendations based on the theory of systems thinking, a method to regularize and reinforce the program analysis system. Policy interventions recommended to ensure alignment of the external studies to the clear analysis objectives and resolve the bottlenecks in the external analysis include training those in charge of external study commissioning for a short term intervention, and increasing the number of research institutes and consulting agencies utilizing analysis and evaluation experts who transition to the private sector from the military for a long term intervention. additionally presented are strategies and policy alternatives to best utilize these policy interventions. They will contribute to the stable funding of Force Improvement Programs and efficient utilization of defense budget.

• Asia-Pacific Journal of Business
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• v.15 no.1
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• pp.225-237
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• 2024

Purpose - This study aims to explore the relationship between housing and land prices, with a specific emphasis on the impact of government policies on these factors such as land supply quantity and the ratio of residential land to total land supplied. The goal is to identify the most effective government intervention strategies for controlling both housing and land prices. Design/methodology/approach - Data from 70 primary and medium-sized cities in China spanning from 2003 to 2017 are utilized in this research. The analysis employs a panel vector autoregressive (PVAR) model, with a primary focus on examining the relationships among housing prices, land prices, and government intervention policies. Findings - Housing and land prices are influenced by various factors. Through impulse response analysis and variance decomposition, it is observed that both housing and land prices are predominantly influenced by their internal dynamics, with comparatively weaker effects attributed to policy interventions. Research implications or Originality - By investigating the impact of government policies on housing and land prices, This study establishes a foundation for effective price control measures. Our study advocates for a comprehensive examination of China's land supply mechanism to enhance understanding of the pathways through which government policies influence the markets.

• Land and Housing Review
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• v.8 no.2
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• pp.33-53
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• 2017

The UK Government's approach to how to deliver regeneration in its towns and cities has changed considerably in recent years. Traditionally, urban regeneration policy focused on reversing physical, economic and social decline in an area where market forces would not do this without intervention. Since 2010 urban regeneration has become a vital part of the Government's approach to increasing local growth and competitiveness and building a strong and balanced economy. The current emphasis is on a place-based approach to regeneration that builds on the particular strengths of different places to drive growth and addresses the factors that hold them back. This paper outlines the key features of current UK urban regeneration policy and how interventions to support regeneration and growth are being pursued at different spatial scales to ensure all parts of the country benefit. They include pan regional initiatives like the Northern Powerhouse and Midlands Way, to groups of local authorities operating at a sub regional level (combined authorities/city regions), Local Enterprise Partnerships, and a variety of smaller scale programmes delivering regeneration in areas of economic and social decline. The paper explains some of the policy instruments and funding programmes available to support regeneration, and provides case studies of some major urban regeneration projects that illustrate the new approach including housing and infrastructure improvements like the planned High Speed Rail 2 line. These are supporting regeneration through the creation of strategic partnerships involving government, places and investors. The paper concludes with some lessons from past and future regeneration schemes to improve their effectiveness and impact on places and enhance local growth potential.

• Journal of the Korean Geographical Society
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• v.45 no.1
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• pp.26-48
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• 2010

The current government tries to pursue a series of energy plans and strategies which have been recently established under the banner of 'green growth'. Although there have been several critical comments on the energy policy, the structural background under which the energy policy has been established and implemented has not yet been scrutinized. This paper understands the current government's strategy for 'green growth' and energy policy as a process of neoliberalization. In particular, the energy policy is characterized as industrialization, marketization, technologization, and financialization of energy, which bring about a lot of detailed issues. This kind of 'green growth' strategy is far from the model of sustainable development, and rather seems to be well interpreted in terms of what Harvey calls 'accumulation by dispossession'. As the government's strategy for 'green growth' and energy policy denies the roll of citizens and civil society which would mediate and arbitrate the contradiction between environment preservation and economic growth, and conflicts between market mechanism and state intervention, so alternatives to the 'green growth' strategy should be orientated to a citizen-participating and civil society-led energy policy.