• KDI Journal of Economic Policy
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• v.40 no.2
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• pp.23-52
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• 2018

Given the limited availability of data in South Korea, this study proposes a method by which to estimate regional capital stock by modifying the benchmark year method (BYM) and applies it to estimate regional net capital stock by sector in transport infrastructure. First, it estimates time-varying sectoral depreciation rates using the sectoral net capital stock and the investment amount for each period. Second, it estimates the net capital stock of each period using the net capital stock in the base year and the investment in each period. Third, in order to ensure that the sum of net capital stocks by region is equal to the nationwide estimate, the national estimates are allocated to each region according to the proportion of the values derived from the previous stage. The proposed method can alleviate well-known problems associated with conventional BYMs, specifically the upward bias and arbitrary choice of the depreciation rate.

• Journal of the Korean Regional Science Association
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• v.15 no.1
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• pp.63-73
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• 1999

It is generally believed that there is a trade-off between economic growth and environmental quality since pollutants are generated in the process of production and consumption of commodities. Several researchers have shown this prevailing belief using the short-term input-output models. The literature, however, shows that there have been few attempts to investigate the relationship using long-term forecasting models. This motivates the current paper. This paper attempts to build a reginal growth model in a partial equilibrium framework taking into consideration the requirements of capital invested for pollutant abatement. Model is largely neoclassical. Labor is assumed to move a region with high utility specified in regional per capita average was income and pollution level while capital is partially mobile to a region with high returns. The regional growth is explored in a phase diagram. The paper shows that there are two stable growth equilibria which a region can converge over time and that the equilibria are distinguished by the initial threshold capital stock that a region holds. If the initial capital stock of a region is over(under) than the threshold size, the region converges to the higher (lower) growth equilibrium over time. Moreover, based on this result an environmental quality enhancing policy is analyzed in the phase diagram. It has revealed that the policy calls for the relocation of growth equilibrium points, specifically speaking, it stimulates an increase in labor stock and a decrease in capital stock. Hence the paper has suggested that the prevailing belief which the environmental policy negatively impacts on a regional economic growth is not always true.

• Journal of Korean Society of Transportation
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• v.20 no.6
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• pp.45-56
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• 2002

In this research we estimated regional gross fixed capital stock of transport sector, such as road railroad, airport and seaport during 1968-1997 in Korea. We also compared our estimation results with those of Korea and Japan. As basic analytic method, we used the regional allocation method. To estimate regional gross fixed capital stock of transport sector, we used the basic data on national wealth surveys in 1997, regional land price index and regional facilities index in transport sectors. We used the most reasonable data in the process of estimation after reviewing the collected data In order to get the reasonable capital stock by regions. we chose the allocation index which can minimize the difference between the estimated result and the real regional capital stock in the process to allocate the total gross capital into the regions. Compared our results with those of other researches in Korea, estimates in our research project could be said more accurate than those.

• Environmental and Resource Economics Review
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• v.30 no.4
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• pp.581-605
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• 2021

The purpose of this study is to provide basic data for improving energy efficiency by estimating the regional energy efficiency in Korea using the stochastic frontier approach beyond the energy intensity that has been traditionally used as an indicator of energy efficiency. In this paper, energy efficiency and energy intensity efficiency were estimated as a stochastic distance function from 1998 to 2018 for 16 cities and provinces in Korea. In addition, the robustness of energy efficiency according to the capital stock estimation methods which had been mixed in previous studies was reviewed. As a result of the analysis, there is a significant change in regional rankings according to the three energy efficiency indicators, so they should be used complementary to each other. Second, while the energy efficiency improved little by little over time, the energy intensity efficiency decreased slightly though. Lastly, energy efficiency by region according to the capital stock estimation method was not robust. Care must be taken in estimating capital stock, which is important in economic analysis.

• Journal of the Korean Regional Science Association
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• v.14 no.2
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• pp.65-75
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• 1998

Education is widely recognized one of main sources for growth. This paper attempts to incorporate the general recognition into formal regional growth model. The model structure is largely neoclassical. It produces a single good with the two factors, educated labor and non-educated labor, via a constant return production migrating to the region with the higher real wage. The educated labor in a region is accumulated by two sources, migration and physical education capital, while the non-educated labor is by only migration. The paper shows that regional growth equilibrium is characterized as a saddle point. This indicates the presence of the minimum threshold size that must be overcome before a region may grow. It contrasts sharply with results obtained in regional growth models. The paper suggests that regional growth is determined less by the technical characteristics of regional production function characteristics of regional production function but by the stock combination of educated function but by the stock combination of education labor and non-educated labor. Based on this result, the impact of agglomeration economies on regional growth is explored. It is by phase diagram demonstrated that the presence of agglomeration economies do not always lead a region to growth since there still exists the minimum threshold even in the presence of agglomeration economies.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.11
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• pp.117-126
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• 2020

This paper is aimed to explore the co-movement capital market in Southeast Asia and analysis the correlation of conventional and Islamic Index in the regional and global equity. This research become necessary to represent the risk on the capital market and measure market performance, as investor considers the volatility before investing. The time series daily data use from April 2012 to April 2020 both conventional and Islamic stock index in Malaysia and Indonesia. This paper examines the dynamics of conditional volatilities and correlations between those markets by using Multivariate Generalized Autoregressive Conditional Heteroscedasticity (MGARCH). Our result shows that conventional or composite index in Malaysia less volatile than Islamic, but on the other hand, both drive correlation movement. The other output captures that Islamic Index in Indonesian capital market more gradual volatilities than the Composite Index that tends to be low in risk so that investors intend to keep the shares. Generally, the result shows a correlation in each country for conventional and the Islamic index. However, Internationally Indonesia and Malaysia composite and Islamic is low correlated. Regionally Indonesia's indices movement looks to be more correlated and it's similar to Malaysian Capital Market counterparts. In the global market distress condition, the diversification portfolio between Indonesia and Malaysia does not give many benefits.

• Journal of Digital Convergence
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• v.18 no.5
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• pp.25-31
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• 2020

This study analyzes the effects of aging workforce on human capital and the per capita gross regional domestic product, using regional panel statistics from 1995 to 2017. According to the results of the two-stage least-squares panel regression analysis reflecting the fixed effects by region, the aging of the labor force had no effect on the human capital employment ratio and per capita gross domestic product in the metropolitan cities, but reduced human capital and per capita gross domestic product in the provinces. The share of service businesses had a positive effect on human capital in metropolitan cities, but the effect was not significant in the provinces. Human capital significantly contributed to the increase in per capita gross regional domestic product in the metropolitan cities, but the physical capital stock significantly contributed to the increase in per capita gross regional domestic product in the provinces. The results of this study suggest that the human capital job policy and the per capita regional GDP growth policy due to the aging workforce may be different between metropolitan cities and provinces.

• Journal of the Korean Regional Science Association
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• v.11 no.2
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• pp.41-51
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• 1995

It has been estimated the total factor productivity(TFP)of the city of Seoul. Average TFP growth rate during 1974-1992 has been estimated as 0.0602. TFP growth rate has been decreased from 0.0804 of 1970's to 0.0561 of 1980 and 1990's Factsro affecting the TFP are found to be core infrastructure, capital stock and land price growth rate. High land price growth rate depresses the TFP growth rate. During 1989, due to the high land price growth rate and extremely low building costruction permit TFP rate has been estimated as negative.

• Journal of Digital Convergence
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• v.11 no.2
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• pp.71-78
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• 2013

The purpose of the paper is to empirically investigate the role of human capital and labour market conditions in the growth process. To do so, cross-sectional data for 3062 counties across 50 states of the US. Firstly, findings from the empirical estimation suggest income convergence among US counties. Secondly, the stock of human capital appears to have the growth enhancing effect while education expenditures turn out to retard economic growth. Thirdly, it is found that the unemployment rate would have a negative association with regional growth whereas the net migration rate is likely to have a positive relationship with growth. Once the sample counties are divided into both the poor group and the rich group, finally, such main empirical results overall remain unchanged and statistically significant.

• The Korean Journal of Financial Management
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• v.15 no.2
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• pp.401-419
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• 1998

This paper examines the international arbitrage pricing model (IAPM) in regional equity markets setting. Factor analyses are used to estimate the international common risk factors. And the cross-sectional regression analyses are used to test the validity of regional IAPMs and Chow tests are used to evaluate the integration of regional equity markets. The results of factor analyses show that the number of common factors in each regional group is seven. The cross-sectional regression results lead us not to reject that the IAPMs are regionally valid but Chow test results lead us to reject that regional equity markets are integrated.