• KDI Journal of Economic Policy
• /
• v.26 no.1
• /
• pp.105-140
• /
• 2004

Korea is entering the class of aging population nations. This paper investigates the extent demographic factors and the aging population affect the saving rate, using an extended life-cycle/permanent-income hypothesis on saving. The results of the tests with Korean household survey data from 1977 to 2002 reveal that real saving rates increase when the duration of lifetime and per household real disposable income rise, and decrease when the growth rate of income and net worth-to-GDP ratio rises. The growth rate of per household real disposable income has negative effects, suggesting that households calculate their life cycle income in a forward looking manner. The elasticities with respect to a change in the lifetime horizon and the growth rate of per household income are 0.58 and -0.03, respectively. A one percent rise in the net worth to GDP ratio reduces the saving rate by 0.3 percent. A one percent rise in per household income increases it by 0.33 percent. The younger-age and the elder-age dependency ratios have insignificant effects on the household saving rate behavior. When Korean life expectancy rises, the private saving rate declines modestly and the government saving rate declines substantially. The economy's real net saving rate declines from 33 percent in 2002 to 30 percent by the year 2030.

• Journal of Families and Better Life
• /
• v.4 no.2
• /
• pp.53-66
• /
• 1986

The prensent study was aimed to explore the reality of the low-income consumers problem by the comparison among five income classes. Specifically, this study was intended to (1) compare the levels of consumer skill, market risk, and consumer problem among the five income classes, (2) examine the relationship between consumer problem and consumer skill, and the relationship between consumer problem and market risk, and (3) search the types of consumer problems that each income class consumers might experience the most often. For this purpose, a survey was conducted using questionaire on 525 home managers in Seoul. The deta were analyzed by ANOVA and DMR test. The major findings were as follows; First, the consumer skill was the poorest in the low-income consumers. There was curvilinear relationship between consumer skill and income level. Second, the market risk was the highest in the low-income consumers. Market risk had a negative linear relationship with income level. Third, consumer problem was the most serious in the low-income consumers and was the least serious in the middle-income consumers. Fourth, the lower consumer skill and the higher market risk the consumers had, the more consumer problems they tended to experience. Finally, the low-income consumers had relatively more difficulties in door-to-door sale and inferior goods problem than the middle and the high-income consumers. On the other hand, the latter experienced relatively more difficulties in false and misleading advertising, overcharge, unfair bargain, and warrenty-repair-exchange problem than the former. Taken together, the research hypotheses were well supported in this study. It was suggested that the quality and the quantity of the low-income consumers problem were different from those of the middle-and the high-income consumers problem.

• Journal of Digital Convergence
• /
• v.16 no.1
• /
• pp.439-452
• /
• 2018

This study aims to empirically structure the patterns of consumption and their effects on depression among the employed baby-boomers who were born in 1955 to in 1963. We used the 5th wave of Korea Retirement and Income Study(KReIS) in 2013 (n=2,585). The Latent Profile Analysis(LPA) estimated the empirical patterns of consumption and then a multiple regression analyzed the effect of consumption patterns on depression. The LPA results showed that the consumption patterns consist of four groups: Basic life-oriented class, Social life-oriented class, Home-based lifestyle class, and Advanced consumption-oriented class. The working baby boomers' depression was associated with their consumption patterns. Specifically, the social life-oriented class showed significantly lower depression than the basic life-oriented class and advanced consumption-oriented class. Other associates with higher levels of depression were found as lower education, having no spouse, lower self-rated health, higher levels of physical limitation, having a diagnosed disability, lower satisfaction with leisure activities, lower income, and lower subjective economic status in this study. Based on the results of this study, we propose the need for specialized financial intervention better for baby-boomers' retirement preparation in Korea.

• Journal of the Korean Home Economics Association
• /
• v.37 no.9
• /
• pp.25-38
• /
• 1999

This study investigates impacts of social class, materialism, and conspicuous consumption orientation on the burden of the marriage expense and it’s affection to marriage life. The data were gathered in seoul and suburban area, from married women in the middle class. Through the analysis of data, we identified that according to the class vaiables(income and subjectively-perceived class) and the value orientation (materialism and conspicuous consumption orientation), the burden of marriage expense and it’s affection to marriage life were different. These results assured the korean marriage culure were strongly influnced by materialism, conspicuous need, and social class.

• The Journal of the Korea Contents Association
• /
• v.17 no.12
• /
• pp.493-504
• /
• 2017

The purpose of this study is to investigate the differences between low-income and middle-income groups with respect to how family factors intervene with friendship factors to influence adolescent depression. In order to do this, we selected 1,552 adolescents (246 from low-income group and 1276 from middle-income group) from 1 panel of the 6th Korean Children & Youth Panel Survey and conducted multiple-group analysis for structural equation modeling. The results are as follows. Firstly, there were no direct effects of parenting style on adolescent depression for the low-income group, whereas effects were found to be significant for the middle-income group. Secondly, parenting style had a greater influence on friendship factors for the low-income group than the middle-income group. Thirdly, the influence of friendship factors on depression was much more negative for the middle-income group than the low-income group. Fourthly, it was found that parenting style had greater intervention effects on friendship factors influencing adolescent depression for the middle-income group as compared to the low-income group. However, intervention effects were not found for peer alienation.

• The Journal of the Korea Contents Association
• /
• v.16 no.1
• /
• pp.1-12
• /
• 2016

The purpose of this study was to identify latent classes of socioeconomic status and to explore whether those of socioeconomic status influenced self-esteem among elderly living alone. From the data of 2009 National Elder Abuse Investigation, 1,333 older adults who were over 65 years and living alone were analyzed. Latent class analysis, one-way ANOVA, and hierarchical regression analysis were performed to test the purpose of this study. Results of this study found 5 latent classes of socioeconomic status, named as high education-low income group, low education-low income group, middle education-low income group, high education-high income group, and low education-high income group. Next, there were significant differences in self-esteem depending on 5 latent classes of socioeconomic status. Finally, compared to low education-low income group, high education-low income group, middle education-low income group, high education-high income group, and low education-high income group showed higher levels of self-esteem, even after adjusting for confounding factors. Findings from this study suggested fundamental characteristics and public policy for elderly living alone.

• 한국사회정책
• /
• v.23 no.3
• /
• pp.17-47
• /
• 2016

This paper aims to analysis working-time of Korea focusing on "the difference and the distribution" by a stratum. Classifying working-time into four categories including marginal part-time, part-time work, standard-time work and long-time working, it compares the relative distribution by income quintile. The outcome is as following : 20% of low-ranking income quintile are (marginal) part-time working, 60% from income quintile 2 to 4 are in long-time working and 20% of top-ranking income quintile are in the standard-time working in overall. Working-time classes can be divided up into three: short time-low income of type 1, long time-medium income of type 2 and standard time-high income of type 3. Analysing working time type, the low wage-short time, medium wage-long time and high wage-standard time by the wage per month and low wage-very long time, medium wage-long time and high wage-standard time by the wage per hours are confirmed. Also, stratification of working-time has been intensified in terms of age, jobs and work status. Policy implication from this study is that the increase of minimum wage to the lowest income class and creation of employment by the reduction of working-time to the medium income class could be effective policies.

• Journal of Preventive Medicine and Public Health
• /
• v.36 no.1
• /
• pp.54-62
• /
• 2003

Objectives : To assess the distribution of social support, and explore its effects on self-rated health status in a low income neighborhood of Seoul, Korea. Methods : In September 2001 we conducted a survey in a low income neighborhood of Seoul, Korea, in which 862 residents, aged 18 years or over, participated. We measured the general sociodemographic characteristics, self-rated health status and social support with the instrument developed from Korean translation of the Medical Outcomes Study Social Support survey (MOS-SSS) scale of the US. Logistic regression was used to identify the determinants of social support, and explore its effects on self-rated health status. Results : Lower social class, women or divorced people had much less social support compared to higher social class, men or those never married, respectively. Those families on much lower income also received less social support. Social support has a positive impact on the self-rated health status, which remains statistically significant even when other relevant variables are adjusted. Conclusions : This study suggests that social support has an important role in health, and the socially disadvantaged have lower social support. Therefore, to improve the health status of the poor, it is necessary to encourage community participation, and develop strategies that could strengthen their provision of social support.

• Health Policy and Management
• /
• v.33 no.2
• /
• pp.166-172
• /
• 2023

Background: To improve the support low-income individuals' medical expenses, it is necessary to think about ways to enhance the Catastrophic Health Expenditure Support Program. This study proposes expanding support criteria and changing the income standard. Methods: This study conducted simulations using national data from the National Health Insurance Service. Simulations performed for people who have used health services (n=172,764) in 2022 to confirm the Catastrophic Health Expenditure Support Program's size based on changes to the subject selection criteria. Results: As a result of the simulation with expanded criteria, the expected budget was estimated to increase between Korean won (KRW) 13.2 (11.5%) and 138.6 billion (37.4%), and the number of recipients increased between 41,979 (48.9%) and 150,317 (76.1%). The results of the simulation for the change in income criteria (applied to health insurance levels below the 50th percentile) estimated the expected budget to increase between KRW -8.9 (-7.8%) and 55.6 billion (15.0%) and the number of recipients to increase between -8,704 (-10.1%) and 41,693 (21.1%) compared to the current standard. Conclusion: The 2023 Catastrophic Health Expenditure Support Program's criteria were expanded as per the 20th Presidential Office's national agenda to alleviate the burden of medical expenses on the low-income class. In addition, The Catastrophic Health Expenditure Support Program needs to be integrated with other medical expense support policies in the mid- to long-term, and a foundation must be prepared to ensure the consistency of each system.

• Journal of the Economic Geographical Society of Korea
• /
• v.17 no.3
• /
• pp.502-516
• /
• 2014

This study has decomposed the Gini coefficient using Korean Labor & Income Panel Study data and empirically analyzed the impact of demographic characteristics and source-specific income of householder on the household income gap using panel analysis. The scope of areas were divided into 'nationwide,' 'metropolitan areas,' and 'non-metropolitan areas,' and the period before and after the global financial crisis was examined. The analysis findings are as follows. First, when the entire period was examined by income source using Gini decomposition with division of areas into 'nationwide,' 'metropolitan areas,' and 'non-metropolitan areas', the following results were revealed. The absolute and relative contribution level of property income to the gross income was the largest in the category of 'nationwide' and 'metropolitan areas,' while the contribution level of earned income was the largest in the category of 'non-metropolitan areas'. In addition, property income worsened the household income gap the most in the category of 'nationwide' and 'metropolitan areas.' Second, property income worsened the household income gap less after the financial crisis than before the crisis. It is probably because the price of real estate skyrocketed before the global financial crisis, worsening the household income gap, whereas the price drop after the crisis temporarily alleviated the gap. Third, a correlation analysis revealed that households with older householders whose education is high school graduation or below had relatively low gross income, and households with higher source-specific income, especially earned income, had relatively high gross income. Fourth, when the household income determinants were compared through panel analysis with division of areas into 'nationwide,' 'metropolitan areas,' and 'non-metropolitan areas,' the following results were obtained. While the impact of earned income, financial income, and other incomes was greater in non-metropolitan areas than in metropolitan areas, the impact of property income was greater in metropolitan areas than in non-metropolitan areas. To reduce the income gap, the government should impose higher taxes on the high-income class and provide tax benefits to the low-income class, with efforts to create a wide variety of jobs. In addition, since income inequality gets worse as the proportion of incomes generated through asset holdings becomes higher, the government should focus on stabilizing property prices while paying attention to the regional differentiation when carrying out related policies.