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

• THE INTERNATIONAL COMMERCE & LAW REVIEW
• /
• v.41
• /
• pp.267-292
• /
• 2009

It is a right time to improve the Korea Foreign Trade Act(KFTA) as a fundamental law on Rules of Origin(RoO) in the global trade circumstances which are summarized FTA and WTO. The KFTA's RoO constitutes the labelling system of the Country of Origin, the criterion of it, the issuing of certificate of origin and the punishing offender mainly around the importing goods. This study has focused on the problems of KFTA's RoO at the macro and practical level, and proposed the programs to improve the KFTA's RoO about importing, exporting and domestic production goods. KFTA need to create a purpose clause to protect consumers and industries also, and has to be located a general and top position in the RoO of Korea. In the concrete, the labelling system of the Country of Origin has to set limited in the point of minimum necessity view. The criterion of the Country of Origin also has to improve the wholly obtained criterion, the changing in tariff classification criterion, value added criterion and processing operation criterion to harmonize WTO Rules of Origin and FTA Rules of Origin. The punishment ceiling against offender has to raise to guarantee the effectiveness of RoO.

• The Journal of Asian Finance, Economics and Business
• /
• v.4 no.1
• /
• pp.51-58
• /
• 2017

The aim of the study is to assess the asymmetry of influence of factors of economic growth of national economies, which are included in the integration. Unlike previous research, the scientific significance of the obtained results consists in the use of a new method of study - external demand as a factor of economic growth, disaggregated into two components. The first is net exports mutual trade in goods within integration associations. The second is net exports of foreign trade in goods outside the integration. By use of these methods we have evaluated the contribution of these factors on economic growth of the Customs Union and the Common Economic Space (CU/CES), as well as Kazakhstan, Russia and Belarus. In the conducted analysis of scientific research was based on the fact that the economies of the member (CU/CES) are very different in scale, economic potential and volume of foreign trade. Based on this research we conclude: integration is developing successfully and efficiently only with the rise of the national economies of the member countries; to enhance economic growth and competitiveness of the countries of the Eurasian integration it is necessary to increase the volume of mutual trade of member countries of this integration.

• Korea Trade Review
• /
• v.47 no.6
• /
• pp.173-187
• /
• 2022

Since the economic reform 1991, Indian has been implementing policies to promote trade and foreign direct investment (FDI). In particular, since the inauguration of the Modi government in 2014, India has created an economic environment in which more FDI can be launched and more jobs created in manufacturing sector. This study aims to analyze between FDI outflows and export from Korea to India. Using the quarter data from 2000 to 2021, this study examines panel regression. From the panel regression result, Korea's FDI outflows to India has a significantly positive impact on the Korea's export into India. Therefore, the relationship between FDI outflows and export from Korea to India is complementary. It is due that Korea's companies invest into India directly for the purpose of construction of production factors, and export capital goods and intermediate goods for producing in the factors. Therefore, for promoting FDI and export between Korea and India, Korean government should do continuous economic cooperation and discussion for the cooperation with Indian government.

• Asian Journal of Business Environment
• /
• v.2 no.1
• /
• pp.19-23
• /
• 2012

The economic exchanges have become increasingly frequent between China and Korea and the average annual growth rate of the total trade volume has increased by 30% since the establishment of diplomatic relations between the two countries. With the rapid economic growth and industrial upgrading of China, there are changes in the investment of Korea in China and domestic demand of China, and the trade structure of Sino- Korea has changed a lot in recent years. The changes have mainly manifested in the following aspects, including the increased proportion of high-tech products, raw materials and the intra-industry trade, the decreased proportion of consumer goods, the inter-industry trade and the trade deficit of China. With the development of the situation of international economy, the scale of Korea and China trade will continue to expand and the structure of Korea and China trade will also keep on changing in the long run.

• Journal of the Korea Society of Computer and Information
• /
• v.20 no.11
• /
• pp.135-142
• /
• 2015

This paper applied a VAR model to analyze the effects of RMB exchange rate brought to processing trade, non-processing trade and FDI. Then we can get the results that the appreciation of RMB could not solve the problem of US trade deficit. It is more likely that the appreciation just can transfer the trade imbalance to other country with US, which could not radically solve the economic problems of US. Also this paper find that the data of service trade is surplus while the main goods deficit was occur in advanced technology product, especially in the information & communications trade And US has real advantage in these industries, so the situation will be changed if US decreased the barrier in these industries. In that way, the imbalance situation should be greatly reduced.

• International Area Studies Review
• /
• v.14 no.3
• /
• pp.454-476
• /
• 2010

In this paper is two-step trade model introduced. It is assumed that countries have 3 basic factors- capital(K), land (Z)and population(N)-as national factor endowments. As the first step, education 'produces' 'educated labor(EL)' which embodies new knowledge or new technology by using the population and capital as inputs. As the second step, manufacturing goods is produced with EL and uneducated labor(UL), and agriculture goods with land and UL. According to this model, the higher the increase rate of capital in a country is, the lower the usage rate of land is, the lower the increase rate of discount is, the country tends to export the manufacturing goods and import the agriculture goods. Trade widens the discrepancy of increase rate of EL in both countries but reduces the gap of increase rate of relative wage of EL as far as the gap of usage rate is not so big. Trade also affect real income rather than nominal income. This model can be extended to explain the migration from rural areas to urban areas when the manufacturing sector and education organization exist in urban area while the agricultural sector exist in rural area.

• Journal of Korean Library and Information Science Society
• /
• v.20
• /
• pp.455-470
• /
• 1993

In recent years, the intellectual property rights (IPR) are increasingly becoming trade goods and the subject of international trade negotiations. During the past decades, intellectual properties earned critical importance for economic development in both developed and developing countries. Developed countries, headed by the United States, that recognize the economic value of the IPR in the world market are aggressively seeking for universal protection of IPR throughout the world. Intellectual properties have unique qualities that distinguish them from other tangible goods. Most importantly, they are public goods created on the basis of knowledge and information accumulated throughout human history and shared by different cultures. However, there is a growing tendency that the quality of public goods are being etched away as the property concept in IPR expands. In this paper, I discuss how copyright and patent laws incorporated the concept of property right as natural right to one's intellectual creations in early formation of the laws in Europe. I argue that copyright law and patent law are the historical products resulting from political, economic, and ideological factors interacting in a certain society. A history of copyright and patent points to that the intellectual property rights as natural lights of authors and inventors as argued by developed countries in international disputes, are not universal, but unique historical products. Copyright and patent laws have been shaped and developed as regulatory measures by governments to promote and control industries by providing authors and inventors with monopoly incentives. Since property right was used as a regulatory device it was restricted. This is to enhance the distribution of knowledge and information rather than to ensure the property right as an absolute right.

• Journal of Distribution Science
• /
• v.19 no.4
• /
• pp.37-51
• /
• 2021

Purpose: The purpose of this study is to provide a basis for establishing a policy to promote the export of Korean goods through the economic ripple effect of the Korean Wave. From 2001 to 2017, cultural goods exports and consumer goods exports data to 102 countries were used to estimate the effect of cultural goods exports on domestic consumer goods exports. Research design, data and methodology: Based on the Gravity Model, we analyzed the effects of domestic film, publishing, music, broadcasting, clothing, cosmetics, processed food, IT products, and automobiles on the export of consumer goods. Results: The empirical analysis estimated the trade creation effect of exports of cultural products driving exports of consumer goods and found that a 1% increase in exports of cultural products increased 0.136% in exports of consumer goods. Conclusions: The average rate of change in consumer goods exports due to changes in cultural product exports was 22.44, which could be interpreted as an increase of $2,244 in exports of consumer goods such as IT products, cosmetics, clothing, and processed foods. According to the analysis of export-driven effects of each consumer item by dividing cultural products by sector, the effects of export of processed foods, clothing, cosmetics, IT products, and film, music, publishing exports were statistically significant.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
• /
• v.23
• /
• pp.223-247
• /
• 2004

United Nations Commission on International Trade Law(hereinafter"UNCITRAL"), the core legal body of the United Nations system in the field of international trade law, is currently in the process of preparing a draft instrument on the international carriage of goods. In order to facilitate and prompt for new draft instrument, Working Group Ⅲ was established under the auspicious of UNCITRAL in 2002. Working Group, which was composed of all member countries of UNCITRAL, considered the text of preliminary draft instrument on the carriage of goods by sea. According to the Working Group's report, this new convention deals with issues relating to the international ocean carriage of goods such as the scope of application, the period of responsibility of the carrier, liability of the carrier, obligations of the shipper and transport documents including electronic records. In the course of the second reading, however, there are lots of outstanding issues to deliberate and consider for formulating new version of the ocean cargo liability convention. One of the substantial issues is the snail's pace of progress in last sessions. Therefore legal adviser and industry representatives assume the next UNCITRAL meeting, in Vienna, Nov. 29-Dec. 10, would be more critical to complete the convention.