• International Area Studies Review
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• v.15 no.1
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• pp.469-493
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• 2011

This paper attempts to examine the economic impact of technological barrier to trade(TBT) between Korea and China by using international input-output approach. With the tariff/quota reduced or eliminated since WTO's launch, the interest in TBT as a non-tariff barrier has been increased, and then there have so far been a large number of empirical studies on quantifying its effect in foreign. But still this area of study in Korea is limited in the literature survey. In encouraged in this situation, focusing on bilateral trade between Korea and China, which has been significantly increased in recent years, we have tried to estimates the impact of TBT on their output and employment. We use Asian International Input-Output Table(AIIO) for the year 2000 published by IDE-JETRO, and also use the estimated sectoral TBT provided by Ha et al.(2010). According to the result, there will be generated $3.63 billions values in outputs, and 18.1 millions persons in employments at most. And also we found that there is weak interdependence in sectoral and spatial linkage between two countries.

• Journal of the Korean Regional Science Association
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• v.15 no.3
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• pp.1-13
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• 1999

Since the 1990's, the most important environmental issue on the earth is characterized by "global worming problem". The United Nations Framework Convention on Climate Change (UNFCCC) plays an significant role to solve this problem on a worldwide scale. The main purpose of this paper is to analyse the impact of $CO_2$ reduction on the Daegu regional economy through 1995 regional input-output coefficients derived from the 1995 national input coefficients table by using non-survey method. The sectoral impacts on output, income, and employment were computed under the decline-unequalized assumption in final demand influenced by $CO_2$ reduction. This article has six main sections. Section 1 is an introduction to this paper. Section 2 explains briefly the derivation method of the regional technical coefficients. Section 3 describes the model building through input-output multipliers. In section 4 regional data on output, income, employment and final demand are computed to estimate the regional impacts. Section 5 deals with impact analysis on the Daegu economy. Section 6 contains a brief summary and concludintg remarks. The research findings of this study can be summarized as follows. In 1995, under the assumption of 10% decrease on an average in final demand sectors, the economy of the region studied decreased \3600 billion of output, ￦1114 billion of income, and 49919 man-years of employment. The percent ratios of each value to the total showed 9.4%, 9.7%, and 9.2%, respectively. The dominant sectors associated with impact analysis within the region are chemicals and chemical products, paper, printing and publishing, and textiles and leather, etc; nevertheless, the least dominant sector is non-metallic mineral products. products.

• Environmental and Resource Economics Review
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• v.10 no.4
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• pp.495-513
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• 2001

We investigate a practical method of calculating the impact of multiple domestic energy price change on the final demand, production, the export and import change, the change in the balance of payment of Korean economy. By combining an existing computable general equilibrium (CGE) model with the traditional input-output analysis with two additional assumptions on the price behavior, we provide a cost-effective method of analyzing the impact of multiple energy price changes on the domestic economy. The energy price shock we used in this paper is 0.127% increase weighted by the sectoral productions. The total impacts on price level and GDP are 1.258% and -0.940%, respectively. The impact on the total output (GDP and intermediate goods) is about -1.580%.

• Journal of Agricultural Extension & Community Development
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• v.21 no.3
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• pp.155-179
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• 2014

Input-output(I-O) analysis is now widely used to examine the economic impact of tourism. The study aims to demonstrate the impact of agri-tourism development project on local development in terms of income and employment. Based on the I-O transactions tables developed by Bank of Korea (2011), rural tourism related sectoral multipliers were derived with respect to output, income, employment, and value-added tax. The results of the I-O model indicate that in 2011, rural tourism development generated 1,387 billion Won of output impact, 287 billion Won of income impact, 275 billion Won of value-added impact, and 41,127 full-time jobs, respectively throughout direct, indirect, and induced effects. In particular, the restaurant sector had relative higher output and employment multipliers as compared to other industries, whereas they had lower multipliers of income and value-added than any other industries. The findings imply that the restaurant sector was relatively labor-intensive industry, generating high impact of employment effects.

• Environmental and Resource Economics Review
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• v.5 no.1
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• pp.1-39
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• 1995

본 연구는 에너지정책을 종합적 차원에서 일반경제정책과 병행하여 정량적으로 분석할 수 있는 수리모형 (numerical multi-sector general equilibrium model)을 개발하기 위하여 시도되었다. 모형은 크게 (i) 가격/기술변화 반응적인 투입-산출계수를 내생화한 "산업간 거래모형 (inter-industry production model)", (ii) 민간에 의한 최종부문 수요를 나다내는 "소비자 선택모형 (consumer choices model)", 그리고 (iii) 생산물시장과 본원적 투입요소시장, 수출입시장 등에서 민간기업 정부 및 해외라는 개별 경제주체간의 행태를 반영하는 "거시경제 (성장) 모형 (macro-econometric growth model)"으로 구성되어 있다. 이러한 방법은 분석경제를 충분히 세분하고 제(諸)경제변수들의 동시결정적 과정을 중시한 일반균형적 /부문적 접근방법 (general equilibrium/sectoral approaches)을 취함으로써 지금까지 단순한 거시경제모형(aggregate macroeconomic models)이나 전통적 산업연관모형 (static input-output models)에만 의존해 오던 경제예측이나 경제 및 에너지관련 정책의 효과분석이 한층 더 강화될 수 있을 것으로 기대된다.

• East Asian Economic Review
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• v.28 no.1
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• pp.37-67
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• 2024

This paper analyses carbon emissions and value-added embodied in trade between two large developed countries, South Korea and the United States, during 2000-2014. Using multi-regional input-output (MRIO) tables, our analysis reveals that carbon emissions and value-added embodied in exports grew by 19% and 101% for South Korea but shrank by 43% and 7% for the United States. As a result, South Korea experienced a 40% increase in net carbon exports and 243% increase in net value-added exports. At the industry level, the primary drivers of changes in carbon exports were electricity and basic materials. The majority of industries in witnessed improvements in carbon intensities suggesting improved environmental efficiency. While both countries achieved a decoupling of carbon emissions from value-added exports, substantial year-to-year and sectoral variations were observed. Finally, structural decomposition analysis indicates that domestic supply-side factors played a role in decreasing emissions whereas foreign demand-side factors contributed to emissions increases. In line with the main findings, various implications for policy and future research are discussed.

• Journal of Energy Engineering
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• v.17 no.3
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• pp.145-152
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• 2008

Approaching to the era of high energy price and energy sources scarcity, the demand for governmental intervention to mitigate the short-term shocks is highly increasing. When any energy policy is implemented, double-side effects would be derived. To begin with positive aspect, by decreasing energy import, unnecessary currency outflow can be prevented and the resultant saved money will be appropriately allocated. Furthermore, industrial competitiveness will be assured by reducing use of expensive energy. On the contrary, inappropriate energy saving policy may lead to unexpected negative effects that would hinder improvement in productivity due to indiscreet replacing energy by equipments. In order to enhance effectiveness of energy policy, efforts should be made in advance to understand the energy use pattern of each industry sector which composes the economy. Therefore, in this study, an energy input-output method, one of the macroscopic approaches, is applied to analyze energy use patterns of each industry sector in Korea. Using this method, a quantitative assessment is performed to obtain the energy use intensity and the amount of energy uses with respect to energy types.

• Journal of Korea Trade
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• v.27 no.5
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• pp.113-136
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• 2023

Purpose - Global production chains and their impacts on economic growth have drawn extensive attention from researchers. Close relationships among global production chains, export and economic growth have been illuminated, as evidenced by the fast and stable economic growth of East Asian economies. These economies perform various roles within global production chains using offshoring, in which the impact of import on domestic gross output is as strong as that of export. The impact of import on economic growth would depend on whether imported inputs substitute or complement domestic inputs production, which is likely to vary according to individual countries' functions within global production chains. The economic growth of concerned countries would also be diverse. However, little attention has been paid to the impact brought by imports compared to its significance. Design/methodology - The principal methodology used in this paper is structural decomposition analysis (SDA), widely chosen to elucidate the impact of various factors on domestic gross output using input-output tables. This paper extracts trade data of six Asian economies from the World Input-Output Database (WIOD) 2016 release that covers 43 countries for the period 2000-2014. The extracted data is then categorised into 37 sectors. First, this paper calculates the Feenstra-Hanson Offshoring Index (OSI) of each country. It then applies SDA to measure the changes in each economy's gross output, export, import input coefficients, and domestic input coefficients. Finally, after taking the first difference from pooled time-series data, it estimates the correlations between imported input coefficients and OSI using the ordinary least square (OLS) method. Findings - The main findings of this paper can be summarised as follows. Firstly, all six countries have increasingly engaged in global production chains, as evidenced by the growing size of OSI. Secondly, there are negative correlations in five countries except Japan, with sectoral differences. Thirdly, changes in import input coefficients are not negative in all six countries, indicating that offshoring does not necessarily substitute for domestic inputs production but does complement it and, therefore, fosters their economic growth. This is observed in China, Indonesia, Korea and Taiwan. Offshoring has led to an increase in the use of imported inputs, which has, in turn, stimulated domestic inputs production in these countries. Originality/value - While existing studies focus on the role of export in evaluating the impact of participating global production chains, this paper explicitly examines the unexplored impact of import on domestic gross output by considering both the substitution and the complementary effect, using the WIOD. The findings of this paper suggest that Asian economies have achieved fast and stable economic growth not only through successful export management but also through effective import management within global production chains. This paper recommends that the Korean government and enterprises carefully choose offshoring strategies to minimise disruption to domestic production chains or foster them.

• Journal of Technology Innovation
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• v.8 no.1
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• pp.73-94
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• 2000

The main objective of this research is to examine the spillover effects of technological knowledge from IT industry to other industrial sectors and, based on empirical findings, to draw policy implications and suggest policy directions. To this end, we divide IT industry into IT equipment and IT service, assuming that these two sub-sectors are considerably different each other in terms of technology knowledge flow. Other industries are classified into 17 different sectors based on the KSIC of 1990. As the proxy measure of technological knowledge, the notion of R&D stock is employed. The Input/output(I/O) Table is used to define the inter-industrial flow pattern and to draw the knowledge flow matrix. As the research methodology, cost function model is employed to gauge the spillover effects of technological knowledge of IT industry. Based on the results of analysis, it is found that the economic impact of technology diffusion also exhibits a different pattern between IT equipment and IT service. The diffusion of IT equipment tends to show labor-substitution effect whereas IT service displays labor-creation effect. This fact should be considered in devising industry, education, and labor policy. The expectations from this research are as follows. First, the sectoral pattern, difference between IT equipment and service in particular, identified from this research may shed light on the sector-specific policy direction. It is emphasized that a sector-specific approach, rather than an aggregate approach, is relevant for formulating IT policy. Second, it is expected that the importance of technology diffusion programs and policy measures are recognized among policy makers in IT industry.

• East Asian Economic Review
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• v.23 no.1
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• pp.27-53
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• 2019

I employ search-and-matching to a multi-country and multi-sector Ricardian model with input-output linkages, trade in intermediate goods, and sectoral heterogeneity, in order to quantify the welfare effects from tariff changes. The paper shows that labor market frictions can be a source of comparative advantage in the sense that better labor market conditions contribute to lower cost in production. Labor market frictions play a critical role in determining the probability of exporting goods to trading partners, and interact with bilateral trade share, price, expenditures, etc. Unemployment and changes in unemployment rates due to tariff reductions contribute welfare changes across countries, implying that welfare effects based on quantitative trade models with full-employment are likely to be biased. I confirm the biased welfare effects by revisiting Caliendo and Parro (2015), who conduct an analysis of the welfare effects from the NAFTA from 1993 to 2005. I show that the welfare gap between theirs and mine has a positive correlation with changes in observed unemployment rates across countries. With the constructed model, I further conduct counterfactual exercises by asking what would happen if China's tariffs remain unchanged from 2006 to 2015. It turns out that there are mild welfare effects to trading partners in the world trading system.