• Communications for Statistical Applications and Methods
• /
• v.27 no.6
• /
• pp.649-673
• /
• 2020

This paper makes a theoretical contribution by providing clear and detailed derivation of economic agents' decision problems including elastic labor supply in Gertler's overlapping generation (OLG) model. We apply the model to the Korean economy by calibration based on Korean economic data. It also analyzes the impact of current social issues such as aging and extension of retirement age, on the Korean economy in a long-run equilibrium. Subsequently, we also discuss the implications of the analysis. Aging has prolonged the period of retirement; therefore, population structure changes by the increase in the proportion of retirees, the total consumption-to-GDP ratio decreases, and capital stock increases due to reduced propensity to consume out of wealth in preparation for an individual's retirement life. The implementation of retirement age extension increases the proportion of retirees relatively less and alleviates fluctuations in labor supply and the share of financial assets for both economic agents. However, the decrements in consumption-to-GDP ratio is larger than before, and this leads to a larger rise in the capital stock compared to when there is only an aging effect.

• Journal of the Korean Regional Science Association
• /
• v.14 no.1
• /
• pp.109-126
• /
• 1998

We analysed the determinants of part-timer labor demand and supply in Kwangju. The findings of the paper are as follows; First, firms employ part-timer workers in the unskilled or skilled jobs not demanding much training cost. There are two reasons for firms to employ part-time workers: labor cost cut and flexible employment adjustment. Estimated wage differential is 40% not including fringe benefits differential. Second, we find lots of married women to want part-time jobs. The more probably married women choose part-time work, the younger and the less educated they are, and the less kids and the less other income they have.

• Economic Analysis
• /
• v.26 no.4
• /
• pp.39-64
• /
• 2020

Typical business cycle models have difficulties in explaining key macroeconomic labor market variables, such as employment and unemployment, as they usually consider labor hour choices only. In this paper, we introduce labor market search and matching frictions into a New Keynesian nominal rigidity model and estimate it by Bayesian methods to examine the dynamics of the key labor market variables and business cycles in Korea. The results show that unemployment rates are largely explained by technology shocks, which affect the labor demand side, as well as labor supply shocks. In addition, wage bargaining shocks originating from the bargaining process between firms and workers have non-negligible negative effects on output and employment growth, and careful measures need to be taken to limit their adverse effects.

• Journal of Labour Economics
• /
• v.43 no.1
• /
• pp.59-91
• /
• 2020

The recent reform of child care policy is to give priority to double-income households in the use of childcare facilities. This study analyzed the effect of the use of childcare facilities on the employment of married women under the on-going reform. Using the data from the 19th and 21st wave of the Korean Labor and Income Study, the marginal treatment effect (MTE) analysis method was used to eliminate the selection bias in which the sub-population targeted for policy is determined according to the priority when childcare demand exceeds supply. The study finds that the employment effect of married women who use childcare facilities does not differ statistically from the employment effect of married women who do not use childcare facilities.

• KDI Journal of Economic Policy
• /
• v.42 no.3
• /
• pp.53-85
• /
• 2020

We examine how certain occupational physical requirements affect labor transitions of disabled workers by exploiting a unique feature of South Korean Disability Insurance (DI), where award rules are based solely on an applicant's medical condition, independent of his previous occupations. We estimate the labor market response to a health shock by constructing a physical intensity measure from O^⁎NET and applying it to longitudinal South Korean household panel data. Our results suggest that health shocks initially lead to a 14 to 20 percent drop in employment and that this effect is greater for workers who previously held physically demanding occupations. Those who remain part of the labor market exhibit higher occupational mobility toward less physically demanding jobs. These findings imply that the magnitudes of income risks associated with health shocks vary depending on occupational and skill characteristics.

• Journal of Industrial Convergence
• /
• v.5 no.2
• /
• pp.99-120
• /
• 2007

The purposes of this paper are to investigate mismatch in labor supply and demand on small and medium industries in Suwon region by conducting surveys to potential employees and employers, and to suggest alternative policy means to eliminate those mismatch conditions. Reasons of occupation change, difference in terms desired in occupation between potential employee and employer, understanding in mismatch, and measure of labor shortage by firms are analyzed in this paper. The report's recommendations to eliminate labor mismatch in small and medium industry are categorized into two groups: working conditions and occupation competence. Narrowing the working conditions gap, utilization of idle workers, establishment of flexible wage system are suggested to eliminate labor condition mismatch. In addition, potential employees need to meet working requirements by building up both wide use ability, occupation specific ability, and industry specific ability.

• 중국학논총
• /
• no.72
• /
• pp.223-238
• /
• 2021

Most of the Chinese immigrants in the 19th century migrated to the eastern part of the Malay Peninsula via Penang. At that time, the British colonial government recruited Chinese immigrants to supply Chinese labor. The influence of the Chinese in Penang has been greatly increased due to the continuous influx of Chinese immigrants. Specifically, looking at Chinese immigration, from 1805 to 1815, a large number of Chinese labor migrants, from about 500 to 1,000, arrived from Macao to Penang, Malaysia, and they were all contract migrants. In the late 19th century, most of the Chinese in the Malay Peninsula were resettlement from Penang and Singapore. At that time, the Malay Peninsula desperately needed to clear the jungle for farm development, and thus a large-scale labor force was needed. Therefore, the Chinese labor force that was overflowing in Penang and Singapore was able to meet the demand for labor in the Malay Peninsula.

• Asian Journal of Innovation and Policy
• /
• v.12 no.3
• /
• pp.363-382
• /
• 2023

This study aims to discern the determinants influencing the perception of workability among the elderly population and delineate an appropriate retirement age within the labor market context. Employing binary logistic regression, this research utilizes data from the Korea Welfare Panel Study (2008, 2012, 2016, and 2020) provided by the Korea Institute for Health and Social Welfare. The findings indicate that key factors shaping the elderly's perception of workability encompass familial responsibilities (household and marital status) and their levels of physical and mental well-being. Econometric analysis suggests an anticipated retirement age for the elderly population ranging between 67 and 69 years. In addressing labor market demands and informing policymakers, the study proposes deliberations on extending the retirement age for individuals aged 60 to 65. This range serves as a compromise between the identified retirement age of 67 to 69 and the current average retirement age for elderly labor market participants. Bridging the disparity between the perceived workability age and the prevailing labor market baseline is crucial for achieving social consensus. Therefore, any extension of the retirement age should carefully consider both the demand and supply perspectives within the labor market. The study's contribution lies in two main aspects: firstly, presenting a retirement age framework for the labor market that integrates the workability of the elderly population, and secondly, providing evidence-based research outcomes to guide informed labor policies.

• Korean Management Science Review
• /
• v.30 no.1
• /
• pp.25-41
• /
• 2013

This paper presents a supply chain framework with the ODM (Original Design Manufacturing)-OEM (Original Equipment Manufacturing) hybrid production of textile industry in FTA (Free Trade Agreements) environments between Korea and other countries. The proposed supply chain framework with ODM-OEM hybrid production is a unique supply chain that has both domestic production with non-tariff advantages in FTA environment and oversea production with low labor costs. To investigate the validity of the proposed supply chain, we first construct its strategic profit model and supply chain planning and then show that each member of supply chain network-yarn manufacturer, fabric manufacturer, and apparel manufacturer-can maximize their own profits without conflicts among the members. The efficiency of the ODM-OEM hybrid production system is analytically verified in comparison with the general OEM and ODM production model using profit models. Comprehensive numerical examples are provided to illustrate the advantages of the proposed system.

• Journal of Advanced Technology Convergence
• /
• v.2 no.3
• /
• pp.59-66
• /
• 2023

The most important thing in digital transformation is SW technology. However, many companies are having difficulty securing SW technology and manpower. In particular, it is reported that the shortage of SW manpower will increase further. The government is carrying out manpower training policies and many support projects to resolve SW manpower supply and demand policies, but accurate predictions of demand and supply of the software industry are essential for these policies to be effectively established. Therefore, this study developed a simulation using a system dynamics methodology that can perform dynamic structural analysis to resolve the supply and demand imbalance in the software industry. System dynamics is appropriate to find the cause and policy alternatives from a dynamic perspective on the imbalance in manpower supply and demand in the software industry. In detail, the U.S. Bureau of Labor Statistics (BLS) methodology was used to develop a prediction model for manpower demand and supply in the software industry, and scenario analysis was performed to derive policy implications.