• Environmental and Resource Economics Review
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• v.12 no.1
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• pp.75-90
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• 2003

In this paper we have shown that a Pigouvian tax is an adequate resolution of congestion externality to attain Pareto optimality using utility maximization. For this objective, taking an open access freeway as an example, we not only derived both marginal private benefit and marginal social benefit, but also assessed the divergence between marginal private benefit and marginal social benefit. As a result, we identified that the amount of a Pigouvian tax should be the same amount as the external time cost, which is the value of the marginal time cost to Individual a incurred by Individual b through freeway congestion. This Pigouvian tax coincides with the profit or wealth maximizing toll suggested by literature on the basis of profit maximization. In addition, because an open access freeway is accounted as common property resource, we proved that average social congestion cost is essentially equal to marginal private congestion cost in our model. Finally, we showed that the optimal value of trip derived in our model is the same as that generated on profit maximization approach.

• KSCE Journal of Civil and Environmental Engineering Research
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• v.32 no.4B
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• pp.233-242
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• 2012

In the past, the domestic water supply benefit of dam has been estimated by replacement dam cost approach. But it is logically inappropriate that we use the second priority dam as a replaced facility. Therefore, this study aims to suggest the estimation method of the domestic water supply benefit by using demand function, which is deduced from Willingness-To-Pay (WTP) of consumers. For this purpose, a survey concerning the marginal WTP is carried out according to the change of water use amount used, targeted 1,000 households in metropolitan area. And by using the marginal WPT, we estimated the demand function of a family. Finally, the monthly benefit equation is derived. The approach is demonstrated and discussed for an example, the Song-Li-Won dam project which is now renamed Young-Ju dam. From the example study, the total benefit for the durable years (50 years), was about 90 billion won. The method proposed herein is expected to be practical and useful in the economic analysis of the domestic water supply project including dam construction, as well as in further studies.

• Proceedings of the KIEE Conference
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• summer
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• pp.707-709
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• 2004

Transmission pricing is one of important issues related to competitive electricity markets since rational pricing scheme ensures a fair competition between the market participants. Any application of marginal pricing method to transmission pricing may accompany revenue reconciliation to recover Transco's revenue requirements. This paper presents an alternative methodology on revenue reconciliation with customer benefit function and power flow.

• International Journal of Highway Engineering
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• v.15 no.2
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• pp.169-181
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• 2013

PURPOSES : This study is to suggest the Influence of road capital to industry and productivity growth in South Korea. METHODS : Based on the literature review, The relevant policy questions addressed in this report are : cost reduction and Scale elasticities of road, effect of road capital stock on demand for labor, capital and materials, marginal effect of road, industry TFP growth decomposition. RESULTS : The marginal benefits of the road capital at the industry level were calculated using the estimated cost elasticities. Demand for the road capital services varies across industries as do the marginal effects. The marginal benefits are positive for the principal industries. This suggests that for these industries the existing stock of road capital may be under supplied. The contribution of road capital to TFP growth is positive in principal industries. The main contribution of road capital is in the manufacturing industries ; the magnitudes of contribution varies among industries. These results indicate that growth in exogenous demand is most important contributor to TFP growth. CONCLUSIONS : The road capital have a significant effect on employment, private capital and demand for materials inputs in all industries. At a given level of output, an increase in road capital lead to variety to demand for all inputs in all industries.

• Korean Journal of Agricultural Science
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• v.28 no.2
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• pp.132-146
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• 2001

Rice cultivation is not only the main resource of farm income and staple food but also the root of cultural life of Korean people. Korean government has carried out irrigation water development with heavy investment to cope with water shortage in rice fanning as a link of the five years economic development plans. In spite of the continuous accomplishment of irrigation water development, the marginal benefits-costs of irrigation water has not been studied. Owing to the government full support for the operation and maintenance of irrigation facilities, price of irrigation water as a membership fee could not be formed as the municipal and industrial water prices. Accordingly this study is aimed at identifying firstly the marginal benefits-cost of irrigation water, secondly deriving the macro-econometrics models as supply and demand functions of irrigation water and thirdly examining the marginal benefits-cost ratio. The trends of supply and demand prices of irrigation water were estimated annually. Considering the marginal benefits-cost ratio as 1.3, it was identified that additional irrigation water development projects still have an economic feasibility under the present economic situation in Korea.

• The Journal of Korea Institute of Information, Electronics, and Communication Technology
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• v.13 no.2
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• pp.95-101
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• 2020

In this paper, we consider a group testing (GT) framework which is to find a set of defective samples out of a large number of samples. To handle this framework, we propose a maximum product detection algorithm (MPDA) which is based on maximum a posteriori probability (MAP). The key idea of this algorithm exploits iterative detection to propagate belief to neighbor samples by exchanging marginal probabilities between samples and output results. The belief propagation algorithm as a conventional approach has been used to detect defective samples, but it has computational complexity to obtain the marginal probability in the output nodes which combine other marginal probabilities from the sample nodes. We show that the our proposed MPDA provides a benefit to reduce computational complexity up to 12% in runtime, while its performance is only slightly degraded compared to the belief propagation algorithm. And we verify the simulations to compare the difference of performance.

• KDI Journal of Economic Policy
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• v.40 no.3
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• pp.1-44
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• 2018

This paper studies the macroeconomic effects of an enhancement in unemployment benefits in Korea. In particular, I quantify the welfare effect of two specific policy chances which have been mainly discussed among policymakers in recent years: increasing wage replacement rates by 10%p and extending maximum benefit durations by one month. To this end, I build and calibrate an overlapping generation model which reflects the heterogeneity of the unemployed and the specificity of the unemployment insurance (UI) system in Korea. The quantitative analysis conducted here shows that extending maximum benefit durations by one month improves social welfare, whereas increasing wage replacement rates by 10%p deteriorates social welfare. Extending maximum benefit durations is applied to potentially all the UI recipients, including unemployed workers whose wage before job loss is relatively low and whose marginal utility is relatively high. However, increasing wage replacement rates is applied to only a small number of UI recipients whose wage before job loss is relatively high, while the increase in the UI premium is passed onto all of the employed. This study suggests that given the current UI system and economic environment in Korea, it is more desirable to extend maximum benefit durations rather than to increase wage replacement rates in terms of social welfare.

• The Transactions of The Korean Institute of Electrical Engineers
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• v.65 no.6
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• pp.969-978
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• 2016

Around the world are increasing the demand for ESS. Currently, the domestic is expected to benefit by operating ESS. In the domestic, it is expected to benefit from operations of the installed ESS because of the introduction of ESS less capacity. However ESS capacity to the maximum profit occurs is unknown. ESS is different from the charge-discharge characteristics and the reserve to replace, depending on the application. Therefore, it should be established in accordance with the ESS optimal capacity according to the purpose used because it can maximize the quality and efficiency of the electric energy. To the ESS optimal capacity estimation by the purpose used, It should compare the investment cost caused by ESS facility installation and operation cost caused by operating ESS. In this paper, the operation mathematical model for estimating marginal operation costs established. In operation mathematical model, operating cost is considered fuel cost and no-load cost start-up cost. Because no-load cost and start-up cost are not related to cost and power plant output, there are expressed an integer variable costs as a step function.

• 한국벤처창업학회:학술대회논문집
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• 2010.08a
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• pp.93-112
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• 2010

Consumers show higher interest in fishery products processed food that are effective for the personal health and good for convenience, nourishment and taste. But current domestic research for fishery products processed food is marginal. In this respect, this research systematically analyzes consumers' consumption patterns and relationship to comsumer's pursuable benefit, reference for selection, satisfaction level and purpose of purchase. This research shows results as following. Consumers consider product information the most important in reference for selection, and convinience the highest in pursuable benefit. And this research analyze influence of reference for selection and pursuable benefit on satisfaction level and purpose of purchase using demographic properties as control variables. The variables which affect satisfaction level are residential district(region), recipe, nutrient, convenience, economy and the variables affect purpose of purchase are nutrient, convenienct, satisfaction level. If this result is used to develop new products and industrialize fishery products processed food, consumer market of fishery products processed food can be expanded. And this result can be utilized as fundamental reference for sales promotion.

• Journal of Energy Engineering
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• v.23 no.1
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• pp.7-20
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• 2014

The optimal woodchip production system was developed and the production cost of a forest woodchip fuel was calculated for utilizing the pitch pine, which covers around 480,000ha nationwide. the marginal price of the woodchip fuel considering the factor of supply price, electricity and heat selling price as well as capacity factor were suggested and the economic sensitivity analysis was conducted for various scenario. The most important variable which determine economic feasibility was a fuel cost for the power generation facility. If the electricity price is higher than the current SMP(System Marginal Price) or the capacity factor is higher than 80%, there fully is a benefit to consume the woodchip fuels produced in the suggested production system in this study. In addition, the additional benefit becomes more obvious when considering REC(Renewable Energy Certificate) and CDM(Clean Development Mechanism). Therefore, it is strongly suggested for domestic power generation sector to utilize the forest biomass fuel to achieve the obligatory target of RPS.