• Korea Trade Review
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• v.47 no.4
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• pp.233-254
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• 2022

Although there is growing literature evidence of linkages between global value chains (GVCs) and foreign direct investment (FDI), the results are mixed and ambiguous by geographic dimension, time period and sectoral scope. Moreover, bilateral approaches on these connections have been rarely analyzed. In this context, we investigate the effect of bilateral greenfield FDI and cross-border M&A on GVC linkages between host countries and source countries. We match three-year averages of bilateral FDI and UNCTAD-Eora GVC value-added data from 2005 to 2019 between 37 OECD sources and 176 host countries (37 OECD versus 139 non-OECD countries). In the structural gravity model, the empirical specification includes bilateral and country-period fixed effects and uses a Poisson Pseudo-Maximum Likelihood (PPML) estimator. We find that greenfield and M&A FDI promote forward and backward GVC linkage for all sectors between OECD countries, whereas greenfield FDI promotes backward GVC linkage between OECD and non-OECD countries. In addition, the results indicate that the degree of influence of GVCs by FDI flows is greater for forward GVC than backward GVC among OECD countries.

• Health Policy and Management
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• v.10 no.1
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• pp.126-147
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• 2000

This paper empirically explores the nature of the medical service industry and its various propagation effects on the economy in the input-output model, as revealed by a comparative analysis between Korea and Japan. The main findings of the paper are as follows; First, the growth of medical industry induces above-average effect on employment. Second, the industry is of the characteristics of weak both backward and forward linkage effects implying a 'final demand dependency industry'. When compared with public service sectors, however, the medical services industry shows stronger backward linkage effect than those sectors. Furthermore, it has strong repercussion effects on the goods industries. Third, in order to produce per unit of services, the medical services industry of Korea uses relatively more drugs and medical devices than that of Japan. In general, it has been shown that production structure of medical service industry in Korea is 'hardware-oriented' one; on the other hand, 'software-oriented' in Japan which means that, as intermediate inputs, outsourcing and informatization has been used than those of Korea. From the findings of the paper it could be emphasized that the medical organizations in Korea should put more efforts on shifting the current hardware-oriented production structure to strengthen core competence by enhancing productivity and by outsourcing to improve efficiency of production process. However, the medical organizations in Korea would not have enough incentives for high value-added production structure because they enjoy high operating surplus. Therefore, it would be necessary that government policy should be taken into account of these environments.

• The Journal of Fisheries Business Administration
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• v.52 no.4
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• pp.45-63
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• 2021

The purpose of this study is to analyze the structure, status and economic ripple effects of the fisheries processing industry in Korea using interindustry analysis. Five input-output tables published over the past twenty years have been reclassified with a focus on the fisheries processing sector. Through these multi-period tables, we analyzed changes in the inducing effects in production, value added and employment as well as the backward-forward linkage effects. As a result of the analysis, it was found that the industrial scale of the fisheries processing industry is very small compared to other food manufacturing industries. The backward linkage effect of the fisheries processing industry was greater than that of other industries, but the forward linkage effect was rather low. This means that the fisheries processing industry can be greatly affected by industrial depression of the downstream industries such as fishery and aquaculture. Production and employment-inducing effects of the fisheries processing industry have shown a decreasing trend in recent years. This reflects the reality that intermediate inputs are gradually being replaced by imports from domestic production due to the expansion of market opening and the depletion of fishery resource. In the future, it is necessary to prepare a strategy to increase the value-added productivity of the fisheries processing sector and foster it as an export industry.

• Journal of Korea Society of Industrial Information Systems
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• v.23 no.5
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• pp.103-118
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• 2018

This study compared the production inducement effects of primary industries between Korea, China, and Japan for the period from 2000 to 2014, by examining the forward and backward linkage effects using the World Input-Output Tables. Although research on the industrial effect of primary industries has been conducted actively, this study is contributive since it compares the differences in industrial linkage effects between Korea, China, and Japan. According to Fisher(1939)'s and Clark(1957)'s classifications of primary industries, this study classified agriculture, forestry, fishing, and mining industries as primary industries. The analysis methodology of this study is to use the World Input-Output Tables to create the industry linkage model between Korea, China, and Japan, and then conduct a comparative analysis. According to the results of this study, the forward and backward linkage effects of agriculture industry between Korea, China, and Japan are significantly different, while the forward and backward linkage effects of forestry and fishing industries between Korea, China, and Japan are partially different. By comparing the changes in industrial dependencies of primary industries due to the 4th Industrial revolution between the three countries, this study suggested the future development direction of primary industries.

• Information Systems Review
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• v.19 no.4
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• pp.111-134
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• 2017

This study compares the linkage effects and competitive advantage between ICT and automobile industry in Korea from 1996 to 2011 using input-output tables. The ICT industry is classified according to the International Standard Industry Classification. Results show that (1) the ICT industry exhibits linkage effects similar to those of automobile industry. (2) Both ICT and automobile manufacturing sectors exert significant effects on the demand and supply. Additionally, (3) ICT service and automobile sectors show linkage effects on demand and supply, respectively. The present results present the classification criteria of the ICT industry discussed to date and suggest economic effects and policy implications.

• Journal of Technology Innovation
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• v.28 no.4
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• pp.97-126
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• 2020

This study evaluated its potentials by quantitatively analyzing the national economic impact of the smart home-related industry, which is attracting attention as a core industry of the 4th industrial revolution. For the analysis, the smart home-related industries were classified into manufacturing and service industries through a literature review of the previous studies. Using the 2018 input-output table, this paper analyzed linkage effects between industries as well as spillover effects in the production, value-added, employment and job. As a result, the smart home manufacturing and service sectors showed a higher spillover effect in value-added than other industries in each industrial field. In the smart home industry, the spillover effects of manufacturing sector to service sector are larger than those of service sector to manufacturing sector. Moreover, it was confirmed that smart home industry was highly related to not only the technology-intensive industry, but also the service sector for smart cities, smart cars, Fin-tech, and etc. On the other hand, the smart home manufacturing sector is a final demanding industry with relatively higher backward linkage effect than forward linkage effect. In the smart home service sector, the forward linkage effect was relatively high compared with the backward linkage effect, indicating that it was an industry with a high supply function to other industries.

• Journal of Information Management
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• v.42 no.3
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• pp.55-69
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• 2011

In the modern scientific R&D, the efficient acquisition, curation, analysis and visualization are core elements of the science development. The value of scientific data is very important in data intensive research. An output of scientific data is drastically increasing. However we have only each individual system of scientific data in now. Therefore We feel a lack of efficiency of scientific data. In this paper, We analyze an economic ripple effects in terms of production inducement effect, added value inducement effect, labor inducement effect and forward backward linkage effect of national scientific data center construction using an input-out analysis of the bank of Korea(2009). We also examine an economic propriety of national scientific data center construction.

• The Journal of the Korea Contents Association
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• v.13 no.2
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• pp.390-399
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• 2013

The purpose of this study is to examine the impact of enterprise R&D investment on inter-industry technology spillover in Korea under the new Normal Era. In order to do this, we tested the effect of production inducement, backward and forward linkage effects, and the effect of technology spillover such as technology intensity effects and technology diffusion effects based on an input-output framework. The results show that the high index industries of the production inducement effect were professional, scientific and technical activities, manufacture of metal products, and general machinery. Some manufacturers of other non-metallic mineral products and transport equipment sectors appeared to have the strong effect of forward and backward linkages that were almost equivalent to high-tech manufacturing industries. In particular, the industries of professional, scientific and technical activities appeared to have the strong effect of both forward and backward linkages. Therefore, we need to drive a strong policy support to higher enterprise R&D investment in the those particular industries not only to increase global competitiveness, but also to widen up the technology spillover effect on other industries.

• The Korean Journal of Health Service Management
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• v.11 no.2
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• pp.55-64
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• 2017

Objectives : Recently, concerns about the smart healthcare industry has increased worldwide. This study estimates the economic effects of the smart healthcare industry by employing input-output analysis. Methods : In this study, $29{\times}29$ sector statistics were also used as the major research method for the industry. The main analysis tools of this study, thus, included a comparison of backward and forward-linkage effects and the inducement effects of the own-industry and other industries, as well as inducement coefficients, including production, value-added, employee's pay, operating surplus, production tax, and employment. Results : The results of the analysis show that the industry has an immense economic impact, affecting major macroeconomic factors including value-added and forward - linkage effects. Additionally, the inducement effects of the smart healthcare industry are significant compared to other industries in terms of production, employee's pay, operating surplus, production tax, and employment. Conclusions : The smart healthcare industry is a growth engines for national development, because it is the industry of high value-added services. This paper offers alternatives for efficient industrial policies.

• Environmental and Resource Economics Review
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• v.18 no.4
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• pp.637-652
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• 2009

We measure and compare inducements of energy consumption in different industry sectors using inter-industry input and output tables of 1995, 2000 and 2005. We also compute the multiplier effects that relate to the directions of future economic effects. Key Findings are as follows. First, we observe continues decreasing linkage effects in all industries over period of 1995 to 2007. Second, backward multiplier of energy consumption were highest in the material related industry and chemical industry. As for inter-industry inducements, the indirect backward multipliers were high in the other industry. Third, the forward multiplier effect of energy consumption were as same as the backward multiplier effect's sectors. The indirect forward multipliers, however, were highest in the material related industry and chemical industry. The above findings show that since implementing pro-environmental policy in 2000s, the industries structure for reducing energy consumption has been transformed.