• Environmental and Resource Economics Review
• /
• v.19 no.2
• /
• pp.215-242
• /
• 2010

This study constructs a bayesian neoclassical DSGE model that applies oil usage. The model includes technology shocks, oil price shocks, and shocks to energy policies as exogenous driving forces. First, this study aims to analyze the roles of these exogenous shocks in the Korean business cycle. Second, this study examines the effects of long-term changes in the energy consumption structure, including the reduction in oil use as a share of energy consumption and improvement in oil efficiency. In the case of oil price shocks, results show that these shocks exert recessionary pressure on the economy in line with those obtained in the previous literature. On the other hand, shocks to energy policies, which reduce oil consumption per capital, result in opposite consequences to oil price shocks, decreasing oil consumption. Also, counterfactual exercises show that long-term changes in the energy consumption structure would mitigate the contractionary effects of oil price shocks.

• Environmental and Resource Economics Review
• /
• v.30 no.1
• /
• pp.27-48
• /
• 2021

We extend and modify the canonical epidemiology model of Eichenbaum, Rebelo and Trabandt (2020) to investigate the general equilibrium effects of COVID-19 spread in the Korean economy when vaccine, treatment and social distancing are available. Particularly, we develop a SIR-macro model which considers possibility of moral inattention of the overconfident agents through which people is more likely to be infected. Our model implies that people's decision to cut back on consumption and work reduces the severity of the epidemic and thus exacerbate the size of the economic recession caused by the epidemic. Another finding is that the average 13 weeks to develop the vaccine and treatment will lead to 2% drop of consumption.

• Journal of Korea Trade
• /
• v.25 no.3
• /
• pp.48-64
• /
• 2021

Purpose - This study examined the effect of tariff cuts on productivity in Korea's manufacturing industries and the effect of initial productivity level before tariff cuts on productivity improvement after tariff cuts. We also attempted to identify whether import-driven or export-driven factors are more important for productivity improvement, especially in low productivity industries. Design/methodology - Since tariff reduction is a policy decision that can affect cross-industry, its impact is spread across all industries beyond the scope of a single firm through the input and output network of industry structure. Accordingly, we proposed a new method to measure the change in productivity to reflect the impact of tariff cuts across industries. Through an Armington CGE analysis, changes in endogenous variables can be directly measured after the exogenous shock of tariff reduction, and the amount of movements in productivity triggered by tariff cuts can also be calculated. We can thus assess the effectiveness of exogenous policy, such as tariff cuts, through the difference between the benchmark and counterfactual values of endogenous variables. Findings - This study confirmed that tariff reduction positively affected productivity improvement in Korea's manufacturing industries. It also confirmed that productivity gains occur in Korea's leading export industries. Finally, greater productivity gains were recorded in the group with additional high-export-share or high-import-share conditions for low productivity industries. These results are, in a limited sense, consistent with the existing studies that emphasize the importance of exports and imports on productivity improvement, especially for low productivity industries. Originality/value - The results of our experiments are different from those of non-CGE studies, which measure the industry-level change in productivity with dummy coefficients, in terms of directly calculating the amount of change in productivity. In addition, we propose that the Armington CGE model is more appropriate than the Melitz CGE model to directly measure the productivity after tariff cuts. This is because the Melitz CGE model assumes the given specific productivity density, which does not change after an overall drop of tariffs. To the best of our knowledge, this approach to directly calculating productivity by reflecting the impact of tariff reduction across industries through CGE analysis, is unprecedented in this literature.

• Review of Culture and Economy
• /
• v.20 no.1
• /
• pp.3-20
• /
• 2017

This study proposes that the cultural corporation can be more profitable by adopting the 'Buy-One Give-One' Business Model (BOGO BM) under certain conditions. Specifically, the conditions are that 1) consumers' utility for donating is high enough and 2) the production cost is low enough due to economies of scale or process innovation from employee's intrinsic motivation. We adopt a mathematical model where the demand function is a simple linear function and two companies compete with each other by choosing their quantity of output (the Cournot model). Specifically, we investigate the profitability of the BOGO BM in four situations: 1) a monopolist enjoying reduced cost due to process innovation from employee's intrinsic motivation, 2) a monopolist enjoying reduced cost due to economies of scale, 3) the duopoly with BOGO BM and a general company, 4) the duopoly with two BOGO BM companies. In each situation, BOGO BM can be more profitable than other general companies can under certain conditions.

• Transactions of the Korean Society of Mechanical Engineers B
• /
• v.28 no.10
• /
• pp.1155-1162
• /
• 2004

This paper is the forth paper of several companion papers which compare the method of Air-Fuel ratio determination. In the previous work, various AFR calculations were performed for various fuels and the results were compared with each other. The comparison, however, were limited to numerical value and estimation of each equation or method was insufficient. In this paper, the overall estimation of the methods was attempted. Also, the method of trouble shooting of instrumentation was presented. Through the estimation of methods, it is concluded that the Eltinge method contains inherently the most perfect thermal dissociation model as far as the exhaust composition is concerned; therefore, this might be regarded as the most general equation of AFR determination among the existing ones. The others might be considered as approximate form. In addition, the mal-distribution factor in Eltinge method is qualitatively equivalent to thermal dissociation chemical equilibrium constant K. Lastly, it is illustrated that all instrumentation error, including the sampling line leakage, can be easily detected through the analyzing the exhaust component on the Eltinge chart.

• Carbon letters
• /
• v.14 no.1
• /
• pp.27-33
• /
• 2013

An increase in population initiating rapid industrialization was found to consequently increase the effluents and domestic wastewater into the aquatic ecosystem. In this research the potentialities of Sambucus nigra L. (SNL) plant in the remediation of water, contaminated with methylene blue (MB), a basic dye were investigated. SNL was chemically impregnated with $KHCO_3$. Operating variables studied were pH, amount of adsorbent and contact time. In general, pH did not have any significant effect on colour removal and the highest adsorption capacity was obtained in 0.035 g MB/g-activated carbon. The Langmuir, Freundlich, Temkin and Dubinin-Radushkevich adsorption models were applied to describe the equilibrium isotherms. The adsorption isotherm data were fitted to the Temkin isotherm. The mass transfer property of the sorption process was studied using Lagergren pseudo-first-order and chemisorption pseudo-second-order kinetic models. The sorption process obeyed the pseudo-second-order kinetic model. The surface area, pores volume and diameter were assessed by the Brunauer-Emmett-Teller and Barrett-Joyner-Halenda methods. The results were compared to those from activated carbon (Merck) and an actual sample. The results indicate that SNL can be employed as a natural and eco-friendly adsorbent material for the removal of dye MB from aqueous solutions.

• Journal of Environmental Science International
• /
• v.14 no.12
• /
• pp.1195-1201
• /
• 2005

In order to develop a dye coloring technology on Conchiolin layer in cultured pearls, appropriate dyes were selected, their solubilities in various solvents were studied, and adsorption and desorption experiments were performed. Solubilities of several basic dyes known to suitable for the pearl coloring, i.e., Rhodamine 6G(R6), Rhodamine B(RB) and Methylene Blue(MB), in several solvents (distilled water, methanol, ethanol, and acetone) were investigated. Among these dyes, R6 was chosen as a dye for single component adsorption and desorption experiment due to the relatively good solubility in various solvents tested. Solubilities of dyes were judged to be enough to color the pearls since dye concentrations in pearl coloring are, in general, not so high. The internal surface area of the pearl layer is believed to be directly related to the dye adsorption, the single-point internal surface area of the pearl layer measured at the nitrogen relative pressure of 0.3 was found to be $0.913m^2/g$, and the BET internal surface area, $1.01m^2/g$ The most probable diameters of micropores and macropores were found to be $40{\AA}$and $5000{\AA}$ respectively, from the pore size distribution data. Adsorption isotherm was well fitted to the Langmuir isotherm model, resulting in q=$\frac{1.62C}{1+1.09C^{.}}$

• Journal of Labour Economics
• /
• v.33 no.3
• /
• pp.1-23
• /
• 2010

Extension of mandatory retirement age (MRA) differs from other labor supply increases in that it induces a change in the incentive to save for retirement. A simple general equilibrium model indicates that extension of MRA can lead to a decrease in life-time income and social welfare as it excessively discourages domestic savings and thus capital accumulation. However, in an open economy where capital inflow allows capital input in production to remain constant despite lower domestic capital stock, extension of MRA likely increases worker welfare. In such case, extension of MRA can contribute to expansion of hiring demands through lowering wages or mitigating upward pressures on wages.

• Proceedings of the Korean Society of Propulsion Engineers Conference
• /
• 2003.10a
• /
• pp.157-163
• /
• 2003

A systematic numerical experiment has been conducted to study droplet gasification in high pressure environments with pressure oscillations. The general frame of previous rigorous model[1] is retained but tailored for flash equilibrium calculation of vapor-liquid interfacial thermodynamics. Time-dependent conservation equations of mass, momentum, energy, and species concentrations are formulated in axisymmetric coordinate system for both the droplet interior and ambient gases. In addition, a unified property evaluation scheme based on the fundamental equation of state and empirical methods are used to find fluid thermophysical properties over the entire thermodynamic domain of interest. The governing equations with appropriate physical boundary conditions are numerically time integrated using an implicit finite-difference method with a dual time-stepping technique. A series of calculation have been carried out to investigate the gasification of an isolated n-pentane droplet in a nitrogen gas environment over a wide range of ambient pressures and frequencies. Results show that the mean pressures and frequencies of the ambient gas have strong influences on the characteristics of the droplet gasification. The amplitude of the response increases with increasing pressure, and the magnitude of the vaporization response increases with the frequency.

• KDI Journal of Economic Policy
• /
• v.34 no.4
• /
• pp.69-90
• /
• 2012

This paper explores the effect of the countercyclical capital buffer using a DSGE (Dynamic Stochastic General Equilibrium) model with a banking sector. The main results are following. First, if the CAR (capital asset ratio) rises by 1%p as the countercyclical capital buffer, output and credit would increase less than otherwise by 0.8%p and 1.2%p, respectively. Second, the countercyclical capital buffer would decrease both credit and debt of banks, or deposit, and, as a result, boost the CAR. However, if we are going to use monetary policy to control credit expansion by allowing the interest rate to respond to credit, bank capital would also diminish, which would cause the CAR to be lower.