11

I. Some FactsI. Some Factson the Korean Economyon the Korean Economy

Area: 98,480 sq km slightly larger than Indiana, US.

Mostly hills and mountains

arable land: 17.44%

CIA – World Factbook

https://www.cia.gov/library/publications/the-world-factbook/

22

Population Population 20072007 est. CIAest. CIA

Rank Country Population share

World 6,602,224,175 100.0%

1 China 1,321,851,888 20.0%

2 India 1,129,866,154 17.1%

3 United States 301,139,947 4.6%

4 Indonesia 234,693,997 3.6%

5 Brazil 190,010,647 2.9%

6 Pakistan 164,741,924 2.5%

7 Bangladesh 150,448,339 2.3%

8 Russia 141,377,752 2.1%

9 Japan 127,433,494 1.9%

10 Mexico 108,700,891 1.6%

12 Vietnam 85,262,356 1.3%

13 Germany 82,400,996 1.2%

21 United Kingdom 60,776,238 0.9%

23 Korea, South 49,044,790 0.7%

47 Korea, North 23,301,725 0.4%

33

GDPGDP in international prices, 2006 est. CIAin international prices, 2006 est. CIA

Rank CountryGDP (purchasing power

parity)Share

World $65,950,000,000,000 100.0%

1 United States $13,130,000,000,000 19.9%

European Union $13,060,000,000,000 19.8%

2 China $10,170,000,000,000 15.4%

3 Japan $4,218,000,000,000 6.4%

4 India $4,156,000,000,000 6.3%

5 Germany $2,630,000,000,000 4.0%

6 United Kingdom $1,930,000,000,000 2.9%

7 France $1,891,000,000,000 2.9%

8 Italy $1,756,000,000,000 2.7%

9 Russia $1,746,000,000,000 2.6%

10 Brazil $1,655,000,000,000 2.5%

11 Korea, South $1,196,000,000,000 1.8%

44

ExportsExports current dollars, 2006 est. CIAcurrent dollars, 2006 est. CIA

Rank Country Exports

World $12,440,000,000,000

European Union $1,330,000,000,000

1 Germany $1,133,000,000,000

2 United States $1,024,000,000,000

3 China $974,000,000,000

4 Hong Kong $611,600,000,000

5 Japan $590,300,000,000

6 France $490,000,000,000

7 United Kingdom $468,800,000,000

8 Italy $450,100,000,000

9 Netherlands $413,800,000,000

10 Canada $405,000,000,000

11 Belgium $335,300,000,000

12 Korea, South $326,000,000,000

55

GDP per capitaGDP per capita in international prices, 2006 est. in international prices, 2006 est. CIA. CIA.

Rank CountryGDP - per capita

(PPP)

5 United Arab Emirates $49,700

6 Norway $46,300

8 Ireland $44,500

9 United States $44,000

14 Hong Kong $37,300

16 Canada $35,600

18 Austria $34,600

20 Switzerland $34,000

21 Finland $33,700

22 Australia $33,300

23 Japan $33,100

25 Sweden $32,200

27 Germany $31,900

28 United Kingdom $31,800

30 France $31,100

32 Italy $30,200

36 Taiwan $29,500

38 Spain $27,400

40 New Zealand $26,200

45 Korea, South $24,500

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Trade StructureTrade Structure

Exports - commodities:Exports - commodities: Semiconductors, wireless telecommunications Semiconductors, wireless telecommunications equipment, motor vehicles, steel, ships, equipment, motor vehicles, steel, ships, petrochemicals petrochemicals Exports - partners:Exports - partners: China 21.3%, US 13.3%, Japan 8.2%, Hong Kong China 21.3%, US 13.3%, Japan 8.2%, Hong Kong 5.8%, Taiwan 4.0% (2006) 5.8%, Taiwan 4.0% (2006) Imports - commodities:Imports - commodities: machinery, electronics and electronic equipment, machinery, electronics and electronic equipment, oil, steel, transport equipment, organic chemicals, oil, steel, transport equipment, organic chemicals, plastics plastics Imports - partners:Imports - partners: Japan 16.8%, China 15.7%, US 10.9%, Saudi Japan 16.8%, China 15.7%, US 10.9%, Saudi Arabia 6.6%, UAE 4.2% (2006) Arabia 6.6%, UAE 4.2% (2006)

77

Composition of ExpendituresComposition of Expenditures

GDP in 2005 = 801 trillion won in current pricesGDP in 2005 = 801 trillion won in current prices

52

38

11

29

-30

53

30

14

43

-40

-60

-40

-20

0

20

40

60

C I G X M

%

1995 2005

88

Industrial Composition of Value AddedIndustrial Composition of Value Added

Agri Fish Min4%

Manufacturing29%

Elec Gas Water2%

Constuction9%

Trade Restau Hotel9%

Transport Storage Com7%

Finace Insu Real Estate Business

22%

Edu Health Social9%

Public Military6%

Other Svcs3%

Services57%

99

Fifteen Growth Miracles, 1960-2000Fifteen Growth Miracles, 1960-2000

Durlauf, S., Johnson, P., and Temple, J. (2005Durlauf, S., Johnson, P., and Temple, J. (2005 ))

1010

Fifteen Growth Disasters, 1960-2000Fifteen Growth Disasters, 1960-2000

Durlauf, S., Johnson, P., and Temple, J. (2005Durlauf, S., Johnson, P., and Temple, J. (2005 ))

1111

Sachs and Warner (1995)Sachs and Warner (1995)

1212

* Law of 70* Law of 70

A variable increases at the annual rate of x% .A variable increases at the annual rate of x% .How many years before it will double?How many years before it will double?

Ans. 70/xAns. 70/x

Korea 7% per annumKorea 7% per annumYear 1960 1970Year 1960 1970 19801980 1990 1990 Income 1000 2000Income 1000 2000 40004000 8000 8000

India 2% per annumIndia 2% per annumYear 1960Year 1960 1970 1970 19801980 1990 19951990 1995Income 1000Income 1000 2000 2000