• Title/Summary/Keyword: price regulation

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A study on the improvement of the network fee system under network neutrality (망 중립성 하에서 망 이용대가 개선에 대한 연구)

  • Byun, Sangkyu;Do, Joonho
    • The Journal of the Institute of Internet, Broadcasting and Communication
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    • v.22 no.3
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    • pp.151-161
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    • 2022
  • As Internet traffic surges due to global CPs, a request to share network investment costs has emerged in the industry. This has significantly changed the issue of the principle of network neutrality from accessibility to network fee. Some of the academic researchers had a negative view to network fees in the Internet space. However, in the industry, a number of disputes have occurred and some have escalated into court battles, and attention has been focused on the court's decision. The courts began to accept fee-for-service under network neutrality, and the government responded quickly by revising regulations. However, it still focuses on service stability, and there is no regulation that directly stipulates payment of network fee. In the study, changes in network neutrality were verified by analyzing cases of disputes between operators, court judgments, and improvement of regulations. And referring to the tragedy of the commons, the restoration of the correct price signal based on the principle of beneficiary pays was suggested as the most important solution. The payment of network fee by CP is one of the solutions.

Estimation of the optimal cultivation area for apples by region

  • Cheong-Ryong Lim;Uhn-Soon Gim;Jae-Hwan Cho
    • Korean Journal of Agricultural Science
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    • v.49 no.2
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    • pp.203-214
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    • 2022
  • A model is developed for estimating optimal cultivation areas for apples to maximize the total profit of apple farming by region, focusing on Gyeongsangbuk-do, Chungchungbuk-do, Gyeongsangnam-do, and Jeonllabuk-do in Korea. Comparing the current cultivation areas to the optimal areas according to the model estimation during the period 1999 - 2019, the former has exceeded the latter since 2015 in all regions except for Jeonllabuk-do. This result stems from a lack of the regulation of production quantity among apple producers' regional organizations. Accordingly, the decreasing rate of the market price was greater than the increasing rate of the production quantity, and the total profit of apple farming has fallen in conjunction with increasing agricultural wage rates. Therefore, in order to reverse the current decreasing trend in the profits of apple farming, it is necessary to regulate nationwide apple cultivation areas through regional producers' associations. Ex-ante forecasting for 2019 posits the following regional optimal cultivation areas for maximizing the total income from apple farming. The Gyeongbuk apple producers' association needs to reduce its current cultivation area by 1,089 ha and to maintain 18,373 ha. In the Chungbuk region, current cultivated area should be reduced by 1,027 ha to maintain 2,722 ha, and in the Gyeongnam region, the current cultivated area should be reduced by 582 ha to maintain 2,730 ha. In contrast, the Jeonbuk region needs to increase its current cultivation area by 174 ha and to maintain at a level of 2,872 ha.

Game Theoretical Analysis of Economic Gab-Jil (경제적 갑질에 대한 게임이론적 분석)

  • Yang, Chae-Yeol
    • Korean small business review
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    • v.41 no.3
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    • pp.95-106
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    • 2019
  • The Economic Gab-Jil, where the stronger are forcing the weaker to sacrifice, is not only a serious social problem, but also it exhausts the vitality of the national economy. Especially, the issue of 'cost reduction (CR) of delivery price' in automobile industry, and the issue of 'tolls' and 'retaliating' in the franchise business are becoming more controversial. This paper suggests some measures to rectify the problems by an analysis using a game-theoretic model. One of the ways to change the 'bad equilibrium', where economic Gab-Jil is prevalent, to the 'good equiblium' is to strengthen the bargaining power of the weak by legal and institutional measures. It is also a more market-friendly system that is self-enforcing, where the regulation is automatically enforced by the incentives of the participants, without relying solely on the enforcement power of regulatory or supervisory bodies

A Study on Co-movements and Information Spillover Effects Between the International Commodity Futures Markets and the South Korean Stock Markets: Comparison of the COVID-19 and 2008 Financial Crises

  • Yin-Hua Li;Guo-Dong Yang;Rui Ma
    • Journal of Korea Trade
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    • v.27 no.5
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    • pp.167-198
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    • 2023
  • Purpose - This paper aims to compare and analyze the co-movements and information spillover effects between the international commodity futures markets and the South Korean stock markets during the COVID-19 and the 2008 financial crises. Design/methodology - The DCC-GARCH model is used in the co-movements analysis. In contrast, the BEKK-GARCH model is used to evaluate information spillover effects. The statistical data used is from January 1, 2005, to December 31, 2022. It comprises the Korea Composite Stock Price Index data and daily international commodity futures prices of natural gas, West Texas Intermediate crude oil, gold, silver, copper, nickel, soybean, and wheat. Findings - The results of the co-movement analysis were as follows: First, it was shown that the co-movements between the international commodity futures markets and the South Korean stock markets were temporarily strengthened when the COVID-19 and 2008 financial crises occurred. Second, the South Korean stock markets were shown to have high correlations with the copper, nickel, and crude oil futures markets. The results of the information spillover effects analysis are as follows: First, before the 2008 financial crisis, four commodity futures markets (natural gas, gold, copper, and wheat) were shown to be in two-way leading relationships with the South Korean stock markets. In contrast, seven commodity futures markets, except for the natural gas futures market, were shown to be in two-way leading relationships with the South Korean stock markets after the financial crisis. Second, before the COVID-19 crisis, most international commodity futures markets, excluding natural gas and crude oil future markets, were shown to have led the South Korean stock markets in one direction. Third, it was revealed that after the COVID-19 crisis, the connections between the South Korean stock markets and the international commodity futures markets, except for natural gas, crude oil, and gold, were completely severed. Originality/value - Useful information for portfolio strategy establishment can be provided to investors through the results of this study. In addition, it is judged that financial policy authorities can utilize the results as data for efficient regulation of the financial market and policy establishment.

A Study on the Power Supply and Demand Policy to Minimize Social Cost in Competitive Market (경쟁시장 하에서 사회적 비용을 고려한 전력수급정책 방향에 관한 연구)

  • Kwon, Byung-Hun;Song, Byung Gun;Kang, Seung-Jin
    • Environmental and Resource Economics Review
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    • v.14 no.4
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    • pp.817-838
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    • 2005
  • In this paper, the resource adequacy as well as the optimum fuel mix is obtained by the following procedures. First, the regulation body, the government agency, determine the reliability index as well as the optimum portfolio of the fuel mix during the planning horizon. Here, the resources with the characteristics of public goods such as demand-side management, renewable resources are assigned in advance. Also, the optimum portfolio is determined by reflecting the economics, environmental characteristics, public acceptance, regional supply and demand, etc. Second, the government announces the required amount of each fuel-type new resources during the planning horizon and the market participants bid to the government based on their own estimated fixed cost. Here, the government announces the winners of the each auction by plant type and the guaranteed fixed cost is determined by the marginal auction price by plant type. Third, the energy market is run and the surplus of each plant except their cost (guaranteed fixed cost and operating cost) is withdrew by the regulatory body. Here, to induce the generators to reduce their operating cost some incentives for each generator is given based on their performance. The performance is determined by the mechanism of the performance-based regulation (PBR). Here the free-riding performance should be subtracted to guarantee the transparent competition. Although the suggested mechanism looks like very regulated one, it provides two mechanism of the competition. That is, one is in the resource construction auction and the other is in the energy spot market. Also the advantages of the proposed method are it guarantee the proper resource adequacy as well as the desired fuel mix. However, this mechanism should be sustained during the transient period of the deregulation only. Therefore, generation resource planning procedure and market mechanisms are suggested to minimize possible stranded costs.

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The Current Status of the Warsaw Convention and Subsequent Protocols in Leading Asian Countries (아시아 주요국가(主要國家)들에 있어서의 바르샤바 체제(體制)의 적용실태(適用實態)와 전망(展望))

  • Lee, Tae-Hee
    • The Korean Journal of Air & Space Law and Policy
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    • v.1
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    • pp.147-162
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    • 1989
  • The current status of the application and interpretation of the Warsaw Convention and its subsequent Protocols in Asian countries is in its fredgling stages compared to the developed countries of Europe and North America, and there is thus little published information about the various Asian governments' treatment and courts' views of the Warsaw System. Due to that limitation, the accent of this paper will be on Korea and Japan. As one will be aware, the so-called 'Warsaw System' is made up of the Warsaw Convention of 1929, the Hague Protocol of 1955, the Guadalajara Convention of 1961, the Guatemala City Protocol of 1971 and the Montreal Additional Protocols Nos. 1,2,3 and 4 of 1975. Among these instruments, most of the countries in Asia are parties to both the Warsaw Convention and the Hague Protocol. However, the Republic of Korea and Mongolia are parties only to the Hague Protocol, while Burma, Indonesia and Sri Lanka are parties only to the Warsaw Convention. Thailand and Taiwan are not parties only to the convention or protocol. Among Asian states, Indonesia, the Phillipines and Pakistan are also parties to the Guadalajara Convention, but no country in Asia has signed the Guatemala City Protocol of 1971 or the Montreal Additional Protocols, which Protocols have not yet been put into force. The People's Republic of China has declared that the Warsaw Convention shall apply to the entire Chinese territory, including Taiwan. 'The application of the Warsaw Convention to one-way air carriage between a state which is a party only to the Warsaw Convention and a state which is a party only to the Hague Protocol' is of particular importance in Korea as it is a signatory only to the Hague Protocol, but it is involved in a great deal of air transportation to and from the united states, which in turn is a party only to the Warsaw Convention. The opinion of the Supreme Court of Korea appears to be, that parties to the Warsaw Convention were intended to be parties to the Hague Protocol, whether they actually signed it or not. The effect of this decision is that in Korea the United States and Korea will be considered by the courts to be in a treaty relationship, though neither State is a signatory to the same instrument as the other State. The first wrongful death claim in Korea related to international carriage by air under the Convention was made in Hyun-Mo Bang, et al v. Korean Air Lines Co., Ltd. case. In this case, the plaintiffs claimed for damages based upon breach of contract as well as upon tort under the Korean Civil Code. The issue in the case was whether the time limitation provisions of the Convention should be applicable to a claim based in tort as well as to a claim based in contract. The Appellate Court ruled on 29 August 1983 that 'however founded' in Article 24(1) of the Convention should be construed to mean that the Convention should be applicable to the claim regardless of whether the cause of action was based in tort or breach of contract, and that the plaintiffs' rights to damages had therefore extinguished because of the time limitation as set forth in Article 29(1) of the Convention. The difficult and often debated question of what exactly is meant by the words 'such default equivalent to wilful misconduct' in Article 25(1) of the Warsaw Convention, has also been litigated. The Supreme Court of Japan dealt with this issue in the Suzuki Shinjuten Co. v. Northwest Airlines Inc. case. The Supreme Court upheld the Appellate Court's ruling, and decided that 'such default equivalent to wilful misconduct' under Article 25(1) of the Convention was within the meaning of 'gross negligence' under the Japanese Commercial Code. The issue of the convention of the 'franc' into national currencies as provided in Article 22 of the Warsaw Convention as amended by the Hague Protocol has been raised in a court case in Korea, which is now before the District Court of Seoul. In this case, the plaintiff argues that the gold franc equivalent must be converted in Korean Won in accordance with the free market price of gold in Korea, as Korea has not enacted any law, order or regulation prescribing the proper method of calculating the equivalent in its national currency. while it is unclear if the court will accept this position, the last official price of gold of the United States as in the famous Franklin Mint case, Special Drawing Right(SDR) or the current French franc, Korean Air Lines has argued in favor of the last official price of gold of the United States by which the air lines converted such francs into us Dollars in their General Conditions of Carriage. It is my understanding that in India, an appellate court adopted the free market price valuation. There is a report as well saying that if a lawsuit concerning this issue were brought in Pakistan, the free market cost of gold would be applied there too. Speaking specifically about the future of the Warsaw System in Asia though I have been informed that Thailand is actively considering acceding to the Warsaw Convention, the attitudes of most Asian countries' governments towards the Warsaw System are still wnot ell known. There is little evidence that Asian countries are moving to deal concretely with the conversion of the franc into their own local currencies. So too it cannot be said that they are on the move to adhere to the Montreal Additional Protocols Nos. 3 & 4 which attempt to basically solve many of the current problems with the Warsaw System, by adopting the SDR as the unit of currency, by establishing the carrier's absolute liability and an unbreakable limit and by increasing the carrier's passenger limit of liability to SDR 100,000, as well as permiting the domestic introduction of supplemental compensation. To summarize my own sentiments regarding the future, I would say that given the fact that Asian air lines are now world leaders both in overall size and rate of growth, and the fact that both Asian individuals and governments are becoming more and more reliant on the global civil aviation networks as their economies become ever stronger, I am hopeful that Asian nations will henceforth play a bigger role in ensuring the orderly and hasty development of a workable unified system of rules governing international commercial air carriage.

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A Comparative Study on Parallel Import between Korea and China- Focused on Intellectual Property Rights (한국과 중국의 병행수입제도에 관한 비교연구- 지적재산권을 중심으로)

  • Huang, Yi-Qing;Cho, Hyun-Sook
    • International Commerce and Information Review
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    • v.16 no.4
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    • pp.79-102
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    • 2014
  • A parallel importation is a non-counterfeit product imported from another country without the permission of the intellectual property owner. It is caused by price differences between countries. Therefore parallel importation are implication in issues of international trade and intellectual property rights(hereafter referred as IPR). This paper provides parallel importation issues of Korea and China under the IPR laws such as patent, trademarks, copyright and analyzes difference between two countries. In China, patent law regulates exhaustion rights which is based theory of a parallel import for the first time unlike trademark law and copyright law. On the other hands, Korea rules parallel importing under Korean customs regulations. In conclusion, two countries have no provisions that advocate a parallel import under IPR laws. This paper suggests some improvements to overcome the limitation of current regulation system and avoid trade friction between two countries. First of all, two countries should clearly make a rule about parallel import in IPR law such as definition of parallel importation, genuine goods, permission conditions, importing proses, penalty and remedy etc. Secondly, two countries should prohibit an abuse of a exclusive import agent's rights and manage a parallel importer not to cause consumer's complain about goods to expansion parallel imports. Finally, two countries should cooperate not to cause disputes about this issue with a communication channel.

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International Trends in Development, Commercialization and Market of Bio-Plastics (국내외 바이오 플라스틱의 연구개발, 제품화 및 시장 동향)

  • You, Young-Sun;Oh, Yu-Sung;Hong, Seung-Hoi;Choi, Sung-Wook
    • Clean Technology
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    • v.21 no.3
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    • pp.141-152
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    • 2015
  • As environmental issues are emerging, bio-plastic suppliers in leading countries have been foreseeing the strong needs for environment-friendly materials such as eco-packing materials due to increased attention and regulation on recycle. To catch up with the demand, various types of bio-plastics based on natural feedstocks were developed and released on a market. These bio-plastic products drew the great attention even in domestic industries. At present, international oil price fluctuation and heavy charge on waste raise the unit cost of production and disposal expense of conventional plastic materials. These conditions make bio-plastic an alternative, because it is not restrained by oil prices and problem in the disposal. It is also expected that bio-plastic will be applied to various types of products including containers, industrial supplies, disposables, and medical supplies. However, the bio-plastic is still in its infancy, thus more research and understanding should be followed to put it to application. Bio-plastic is considered as environment-friendly material with high potential which has the advantages of production and disposal.

A Study on the Parking Supply and Management Strategics for Multi-Family Housing Sites (공동주택 주차공급 및 관리방안 연구)

  • 안정근
    • Journal of Korean Society of Transportation
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    • v.17 no.2
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    • pp.41-53
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    • 1999
  • The rate of automobile ownerships has been increased significantly in multi-family housing sites so that government has made new parking regulations increasing the rate of parking supply by the high demand of parking lots in multi-family housing sites. However, the new regulation of parking supply has several problems that it applies to only new multi-family housing sites and disregards to the locational distinctions around the sites. It also has reduced to the open spaces in the sites and increased the price of housing units especially to the small size units of multi-family housing sites by increasing the number of underground parking lots. Furthermore, the residents have not been equal opportunity to access their parking lots even though they have been charged to equal amount of financial burden for the construction of underground parking lots. This research aims to relieve above problems by analysing parking supply and demand management strategies both domestic and foreign countries, and suggest to new parking management system for multi-family housing sites in 21st Centuries. This research reveals that most of multi-family housing sites want to be applied 1) diverse parking supply regulations considering the locational distinctions of sites, 2) parking lot ownership programs, 3) charging parking fees to second vehicles, 4) increasing parking lots both in the sites and around the sites, 5) enforcing police power to the parking violation vehicles to their sites. Especially, the multi-family housing sites consisting of small & medium size of units and locating in small & medium size of cites strongly want to be accepted new Parking regulations considered their locational and social distinctions and applied police power to the parking violation vehicles in their sites compared to the other multi-family housing sites.

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Economic Impacts of Initial Allocation and Banking in CO2 Emissions Trading (초기할당방식과 예대(預貸) 가능 여부에 따른 CO2 배출권거래제의 경제적 효과)

  • Cho, Gyeong Lyeob;Kim, Young Duk;Kim, Hyosun
    • Environmental and Resource Economics Review
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    • v.15 no.4
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    • pp.591-642
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    • 2006
  • This paper intends to analyze economic impacts of commitment period and initial allocation in emissions trading using computable general equilibrium (CGE) modeling. The fully dynamic CGE model with perfect foresight assumption is employed to illustrate (i) how a model displays economic impact of $CO_2$ regulation upon different commitment periods: one-year budget clearing vs. 5-year commitment period, (ii) how major 8 energy-intensive industries respond to different ways to allocate initial allowances. According to the results of the analysis, it IS found that market players are motivated to bank the permits and tend to sell permits in earlier stage and to buy permits in later stage of commitment period. This implies that banking allows permit trading within a commitment period, which supports the conclusions of Kling and Rubin (1997). Other findings are related to efficiency. That is, emissions trading surpasses command and control, in terms of economic efficiency and longer terms of commitment period converge on lower permit price, In long term, initial allocation based on value-added performs the lowest GDP loss among different initial allocations.

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