• KDI Journal of Economic Policy
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• v.13 no.2
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• pp.129-140
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• 1991

The primary purpose of price regulation on public utilities and other public services is not to prevent them from rising and control inflation but to allocate resources efficiently and reflect social values, when market does not function perfectly. That is, price regulation by government is a policy tool which is aimed at microeconomic effects. Therefore, when a microeconomic policy tool is used for macroeconomic policy objectives, such as price stabilization, we can have problems stemming from the mismatch. One of the examples is distortions in the relative price structure of resources. As government suppresses increases in regulated prices in an effort to reduce inflationary pressures, some of the public services become relatively cheaper, resulting in excess use of those services under regulation. Also, inflexibility of adjusting regulated prices to the overall price changes results in deterioration of qualities of public services. This paper proposes a set of reform proposals which are itnended to minimize such government failures. It is argued that the authority of price regulation should be decentralized, and ultimately done by independent regulatory commissions for each service. The pricing should be based on the principle of separate and independent accounting by each service unit and the principle of beneficiaries bearing the costs of services.

• International Area Studies Review
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• v.20 no.1
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• pp.167-181
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• 2016

In Korea, the transportation & telecommunication service industry is composed of public sector entities, such as public transportation and the postal service, and private sector entities. The public sector may be regulated in terms of pricing or is guaranteed a normal profit. Markup can be a subject for regulation. This paper is to set up the markup equation, estimate the industrial markup, and analyze the markup determinants by estimating the factor price elasticities of markup in the Transportation & Telecommunication industry. The factor price elasticities of markup were estimated to be -0.07 in wage rate, -0.45 in import price index, and -0.13 in interest rates. We suggest that import price and interest rate are major factors to be considered first of all in regulating the transportation & telecommunication industry.

• KSCE Journal of Civil and Environmental Engineering Research
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• v.40 no.3
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• pp.295-302
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• 2020

Disaster Preventing Zone (DPZ) is one of the zoning for land use regulation. Though the purpose of the designating of DPZs is to improve the area be safer, people has the negative recognition on DPZs. They think DPZs are regulation to restrict the actions and finally causes decrease on the land price. In this context, the aim of this study is to investigate the correlation between the designation of the DPZs and the land price of the DPZs in Seoul Metropolitan City. We applied the Difference in different (DID) which is one of the research methods to verify the cause and effect of specific policy. As a result, it was found statistically significant that land price of parcels designated as DPZs was 420,000 won higher than those not designated. The same results were obtained when the land characteristics were added, and the robustness of the model was indirectly confirmed. Based on the results, the designating of the DPZs was contrary to the expectation. Although it is necessary to analyze the result of the study more microscopically, It will be necessary to change the perception that it will decline.

• Korean Journal of Construction Engineering and Management
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• v.20 no.6
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• pp.132-141
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• 2019

1990s, Construction market continued to grow in South Korea exceeding 20% of GDP. In 2015, more than 30 years of old multi-family dwellings amounted to 4.93 million and it continues to increase until 2019. In Particular, the share of Public rental Housing accounts for 90.6% of South Korea's Total aging housing. Before checking the feasibility of Construction Project Management such as Renovation and Reconstruction, Checklists were presented through price impact factor analysis and analysis of housing construction system(Regulation). Based on 32 Price Influencing factors and 20 Indicators based on the housing construction system The Construction project management seems appropriate. As a result, the 22 complexes were found to be suitable for remodeling. This study is meaningful enough to be used for Domestic rental Housing construction and Construction project management and to suggest specificity. Future Research is needed to Quantify the checklist.

• Journal of Internet Computing and Services
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• v.13 no.1
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• pp.27-36
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• 2012

This study aims to find out the effectiveness of regulation of promotional gifts and exemption of charges by analyzing the judgement criterion of illegality and the corrective action taken by regulatory agencies and suggests effective way of regulation. The results show that recently the differences of price-cut is getting bigger. In addition, Fair Trade Commission has considered discounts as unfair predatory price only if price is below the cost. But in the telecommunication business law enacted by Korea Communications Commission, 'expected profits per subscriber' has been applied as a key criterion. KCC's criterion is based not on the expected profit of individual service provider but on the averaged profit of services providers. It doesn't consider differences of service quality and the cost structure between dominant firm and late comers. Prohibition act of user discrimination result in the increase of subscriber and operating profits of late comers but this is not direct purpose of regulation. It can be desirable in the aspect of fair competition but since it may reduce consumer welfare, the criterion needs to be reconsidered.

• ETRI Journal
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• v.32 no.3
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• pp.447-456
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• 2010

Asymmetric regulation as applied to mobile termination rates refers to regulatory arrangements in which different mobile operators charge different termination rates, even though the services provided are essentially identical. The asymmetric regulation has been frequently used as a regulatory tool to support new entrants to a mobile market. This paper examines the economic effects of asymmetric regulation of mobile termination rates using a theoretical model and its simulation. The result shows that when there is no noticeable difference in brand loyalty between mobile operators with the high degree of substitutability between services provided by mobile operators, and the costs of new entrants are low, a reduction in the asymmetry of mobile access prices results in an enhancement of consumer welfare. These findings provide positive evidence for the argument that in certain situations asymmetric pricing of mobile access services may be counterproductive for consumer welfare.

• Korea Journal of Hospital Management
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• v.12 no.1
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• pp.31-50
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• 2007

This study was carried out to analyze the present condition of high-price medical technologies in South Korea and to compare it with OECD countries. This study included 10 high-price medical equipments and used medical equipment registry data of Health Insurance Review Agency. The major findings of this study are as follows; Firstly, The number and growth of high-price medical equipments in South Korea is much higher than those in other OECD countries. There are many of high-price medical equipments even in clinics. Secondly, the percentage of old poor-quality medical equipments is very high, especially in clinics. This is because of high-price of medical equipments. The results of this study implicated that there is high possibility of inappropriate use of high-price medical technologies. This may result in the increase of health expenditure; therefore, there should be a kind of regulation policy to control amount and quality of medical equipment.

• KSII Transactions on Internet and Information Systems (TIIS)
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• v.16 no.12
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• pp.3923-3942
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• 2022

Environment, price, regulation, and other factors influence the price of agricultural products, which is a social signal of product supply and demand. The price of many agricultural products fluctuates greatly due to the asymmetry between production and marketing details. Horticultural goods are particularly price sensitive because they cannot be stored for long periods of time. It is very important and helpful to forecast the price of horticultural products which is crucial in designing a cropping plan. The proposed method guides the farmers in agricultural product production and harvesting plans. Farmers can benefit from long-term forecasting since it helps them plan their planting and harvesting schedules. Customers can also profit from daily average price estimates for the short term. This paper study the time series models such as ARIMA, SARIMA, and neural network models such as BPN, LSTM and are used for wheat cost prediction in India. A large scale available data set is collected and tested. The results shows that since ARIMA and SARIMA models are well suited for small-scale, continuous, and periodic data, the BPN and LSTM provide more accurate and faster results for predicting well weekly and monthly trends of price fluctuation.

• KDI Journal of Economic Policy
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• v.39 no.1
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• pp.83-102
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• 2017

Price control can restore efficiency in some cases, but an uncarefully designed policy fails to restore efficiency, yields side effects, or even exacerbates efficiency losses. This paper shows that the copyright royalty rule, which takes the greater of ad valorem royalties and perunit royalties, tends to fix the prices of final goods at a specific level. Such a rule weakens competition as it prevents prices from decreasing even when market conditions change, having negative effects on social welfare as well as consumer surplus. Counterfactual analyses using estimation results in the Korean online music service industry show that firms could have profitably reduced prices if the ad valorem rule had been applied instead, although they did not have an incentive to do so under the original combination rule.

• Environmental and Resource Economics Review
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• v.18 no.4
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• pp.745-766
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• 2009

It is not valid to measure the degree of market power based on the markup of price over marginal market cost in an industry for which the market price of some inputs is not available because those inputs are then excluded in estimating the dual total cost function. If the roles of those inputs are ignored, the markup of price over marginal market cost is likely to be positive in the perfectly competitive industry. In order to have accurate market power markups for the environmentally regulated Korean iron and steel industry, in which the market price of raw material and the price of abatement capital are hard to obtain, in this paper, a dual cost function is derived given the optimal quantities of raw material and abatement capital, and then estimated jointly with the supply relation. The annual average degree of market power for the industry is estimated to be 0.49 over the period 1982~2001. Ignoring environmental regulation would overstate the degree of market power by about 8 percent.