• Journal of the Korean Operations Research and Management Science Society
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• v.32 no.3
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• pp.81-96
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• 2007

This paper analyses the Korean information and communication technology supply side across the economy using 1995, 2000 and 2003 input-output tables. Input-output analysis considers inter-industry relations in an economy, depicting how the output of one industry goes to another industry where it serves as an input, and thereby makes one industry dependent on another both as customer of output and as supplier of Inputs. It can be evaluated that the recent growth of Korean ICT sector has come from the development of communication service and equipment industry and software industry. Although the high performance and positive revealed comparative advantages in ICT manufacturing sector, the value added and employment in that sector are not satisfactory. It may reflect in part high portion of imported intermediate goods in ICT manufacturing. However, it is fortunate that ICT services, which accounted for relatively high value added, induce the development of ICT manufacturing and follow strong export performance. Moreover, it is expected that the software sector with high value added and employment will be a major driver of ICT growth.

• Journal of the Korean Society for Railway
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• v.11 no.4
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• pp.410-416
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• 2008

The inter-industrial inducement effects of the korean railway services on the output, value-added, imports of the 403 industrial sectors of the korean economy have been computed by the input-output analysis technique utilizing the 2003 Input-Output Tables, which was published most recently in April 2007 by the Bank of Korea. The korean railway service industry produced \2,766 billion worth of passenger and freight railroad services in the 2003 year, and it has induced \1,701 billion worth of output, \781 billion worth of value-added, and \580 billion worth of imports of the korean industry as a whole. The energy sector industries such as diesel fuel, thermal power generation, nuclear power generation, crude oil, liquid natural gas, bituminous coal, liquid propane gas have been most affected by the korean railway services. Other industries mainly affected by the korean railway services include railroad car manufacturing, cleaning and decontamination, medical and health service, machinery equipment and rental, construction and maintenance, transportation related services, business R&D, property insurance, and telecommunication.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.13 no.6
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• pp.2514-2519
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• 2012

The policy objective of leading industries for an economic region is to increase industrial competitiveness by regional cooperation and linkage and so the economic impact analysis of R&D by region is required. This research utilizes regional input-output tables of the Bank of Korea to analyze the economic impact of 'next-generation wireless communication devices' project in 'New IT' sector of Chungcheong economic region.

• The Journal of Fisheries Business Administration
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• v.43 no.3
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• pp.75-87
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• 2012

Today, the Korean fisheries is undergoing significant hardships, both domestically and internationally. While declining amount of catch, ascending international oil prices and others pose a compelling challenge to the fishing sector, the ever strengthening influence of international institutions related to fisheries and international trade organizations also compel to bring about myriad of changes in the realm of fishery products. Against the backdrop, this study attempted to examine the fisheries catch, aquaculture, service, processing fields in terms of its rippling effect and of how the industry has been changed by analyzing the past and present through an input-output analysis. As for research methods, 168 items of the input-output tables in 2000, 2005, 2009, and 2010 were integrated to form and classify 32 sectors (28 basic sectors + catch, aquaculture, fishery service, processed fishery products) so as to generate production inducement coefficient, sensitivity coefficient, and impact coefficient. The analysis results revealed that : though the linkage effect of fishery industry was not very sizable, the impact coefficient of the processed fishery products was high; the consumption and investment coefficient sector among production inducement coefficient was on an upturn trend ; the export coefficient was tended to decline. In the future research, it is necessary to carry out a study based on the integration of detailed classification (404 sector) and a study and analysis of fishery industry by different regions through the inter-regional input-output tables. The fishery industry is one of the crucial industries in Korea. The fishery industry is not only important in its own right but also significant as it exerts influence over other industries. Therefore, it is required that there should be more investment and supports for the development of the fishery industry, and pay efforts to ensure that the investment and development could lead to mutual growth for both the fishery and other various industries.

• Journal of Society of Preventive Korean Medicine
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• v.8 no.1
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• pp.163-186
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• 2004

The purpose of this parer is to identify the input-output structure of oriental medicine and its alternative medicine industries in an inter-industry context and to estimate its forward and backward effects on macroeconomic variables such as production, employment and price level. Input-output tables released by The Bank of Korea were used as data in this research and inter-industry analysis was adopted as research methodology. The industry takes less share of production, price and trade in a Korean economy, compared with other industry. However, the industry's capability of creating value added is estimated to be well above that of other industry and that of making new employments is as more than 4 times as other industries. This result gives us policy implications that the government should enhance its subsidy policy and economic (tax) incentives for oriental medicine and its related alternative medicine industries.

• 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.

• Journal of the Economic Geographical Society of Korea
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• v.15 no.3
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• pp.424-436
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• 2012

While local autonomy is settled, each local government plans and fulfills policy to foster local industry for local development so it is important to establish industry location and economic foundation which is fitting to local conditions. Local development requires the development of local industry and it is necessary that this industry fits to the local conditions in order to be focused and developed. The regional input-output tables contain very useful data to understand the structure of local industry and interregional industry and also the analysis of linkage by industrial ripple effect among regions is needed. The study divided the country into 7 units and conducted factor analysis by using sum data of inducement coefficients in 78 parts of 2005's regional input-output tables, and as conclusion extracted 8 factors.

• Korean Journal of Community Nutrition
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• v.8 no.5
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• pp.763-769
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• 2003

The food-service industry in Korea has experienced remarkable growth during the past few decades. The objectives of this study were to analyze the influence of the food-service industry upon the national economy by using an input-output analysis and to find the industrial position of the food service industry. This paper analysed the economic effect of the food-service industry using 168 items arranged in a transaction table based on producer's prices in the 1995 input-output tables. The results of this study showed that the food-service industry had a major influence on the national economy of Korea. Based on the calculation of the following five coefficients; Korea's production inducement coefficient ranked as 50, its import inducement coefficient ranked as 28, its value added inducement coefficient ranked as 32, its worker inducement coefficient ranked as 2 and its employee inducement coefficient per final demand ranked as 5 in a total of 168 industries.

• The Journal of Korean Institute of Communications and Information Sciences
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• v.35 no.8B
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• pp.1241-1250
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• 2010

With the expanding concept of Smart Grid, it is widely used by mixing with various industries, and therefore the potential and value of Smart Grid should be verified and evaluated. To this end, this study is conducted to look at industrial fields that can be expanded by mixing with Smart Grid, and based on it, draw an economic ripple effect of the Smart Grid industry. To grasp the spread direction of the Smart Grid industry, Our study focused on Smart Grid participants and new businesses that can be derived. Through this, energy, construction, home appliances, and automobile industries are selected as convergence businesses. Our study estimated an economic effect by drawing generation rates from input-output tables that applies the selected industry fields and Korean projections. According to the result, effect on total production inducement will be about 77 trillion won, effect on total value added inducement will be about 24 trillion won, and effect on total employment inducement will be about 31 trillion won. Through this, various functions of Smart Grid and the ripple effects on national economy could be expected.

• Asia pacific journal of information systems
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• v.20 no.3
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• pp.115-137
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• 2010

Information technology (IT) outsourcing, the use of a third-party vendor to provide IT services, started in the late 1980s and early 1990s in Korea, and has increased rapidly since 2000. Recently, firms have increased their efforts to capture greater value from IT outsourcing. To date, there have been a large number of studies on IT outsourcing. Most prior studies on IT outsourcing have focused on outsourcing practices and decisions, and little attention has been paid to objectively measuring the value of IT outsourcing. In addition, studies that examined the performance of IT outsourcing have mainly relied on anecdotal evidence or practitioners' perceptions. Our study examines the contribution of IT outsourcing to economic growth in Korean industries over the 1990 to 2007 period, using a production function framework and a panel data set for 54 industries constructed from input-output tables, fixed-capital formation tables, and employment tables. Based on the framework and estimation procedures that Han, Kauffman and Nault (2010) used to examine the economic impact of IT outsourcing in U.S. industries, we evaluate the impact of IT outsourcing on output and productivity in Korean industries. Because IT outsourcing started to grow at a significantly more rapid pace in 2000, we compare the impact of IT outsourcing in pre- and post-2000 periods. Our industry-level panel data cover a large proportion of Korean economy-54 out of 58 Korean industries. This allows us greater opportunity to assess the impacts of IT outsourcing on objective performance measures, such as output and productivity. Using IT outsourcing and IT capital as our primary independent variables, we employ an extended Cobb-Douglas production function in which both variables are treated as factor inputs. We also derive and estimate a labor productivity equation to assess the impact of our IT variables on labor productivity. We use data from seven years (1990, 1993, 2000, 2003, 2005, 2006, and 2007) for which both input-output tables and fixed-capital formation tables are available. Combining the input-output tables and fixed-capital formation tables resulted in 54 industries. IT outsourcing is measured as the value of computer-related services purchased by each industry in a given year. All the variables have been converted to 2000 Korean Won using GDP deflators. To calculate labor hours, we use the average work hours for each sector provided by the OECD. To effectively control for heteroskedasticity and autocorrelation present in our dataset, we use the feasible generalized least squares (FGLS) procedures. Because the AR1 process may be industry-specific (i.e., panel-specific), we consider both common AR1 and panel-specific AR1 (PSAR1) processes in our estimations. We also include year dummies to control for year-specific effects common across industries, and sector dummies (as defined in the GDP deflator) to control for time-invariant sector-specific effects. Based on the full sample of 378 observations, we find that a 1% increase in IT outsourcing is associated with a 0.012~0.014% increase in gross output and a 1% increase in IT capital is associated with a 0.024~0.027% increase in gross output. To compare the contribution of IT outsourcing relative to that of IT capital, we examined gross marginal product (GMP). The average GMP of IT outsourcing was 6.423, which is substantially greater than that of IT capital at 2.093. This indicates that on average if an industry invests KRW 1 millon, it can increase its output by KRW 6.4 million. In terms of the contribution to labor productivity, we find that a 1% increase in IT outsourcing is associated with a 0.009~0.01% increase in labor productivity while a 1% increase in IT capital is associated with a 0.024~0.025% increase in labor productivity. Overall, our results indicate that IT outsourcing has made positive and economically meaningful contributions to output and productivity in Korean industries over the 1990 to 2007 period. The average GMP of IT outsourcing we report about Korean industries is 1.44 times greater than that in U.S. industries reported in Han et al. (2010). Further, we find that the contribution of IT outsourcing has been significantly greater in the 2000~2007 period during which the growth of IT outsourcing accelerated. Our study provides implication for policymakers and managers. First, our results suggest that Korean industries can capture further benefits by increasing investments in IT outsourcing. Second, our analyses and results provide a basis for managers to assess the impact of investments in IT outsourcing and IT capital in an objective and quantitative manner. Building on our study, future research should examine the impact of IT outsourcing at a more detailed industry level and the firm level.