A Growth Model of "miracle" in Korea

Research output: Contribution to journalArticle

2 Citations (Scopus)

Abstract

High economic performance in East Asia has motivated arguments on the sources of economic growth, including the role of the government to encourage more investment than would have been allocated by market forces. The purpose of this paper is to quantitatively investigate whether or not macroeconomic investment behavior of a growing economy can be explained by market forces. Focusing on Korea during the period 1960-90, a stochastic growth model with production is estimated with a numerical solution to approximate the optimal investment behavior during the course of economic development. The estimation result suggests that market forces do not explain the rise in investment rates in the 1960s and 1970s, while investment behavior in the 1980s coincides with optimizing investment behavior.

Original languageEnglish
Pages (from-to)43-59
Number of pages17
JournalJournal of Policy Modeling
Volume22
Issue number1
Publication statusPublished - 2000 Jan
Externally publishedYes

Fingerprint

Growth model
Korea
Investment behavior
Market forces
Optimal investment
Economic growth
Macroeconomics
East Asia
Numerical solution
Government
Stochastic growth model
Economic performance
Economic development

ASJC Scopus subject areas

  • Economics and Econometrics

Cite this

A Growth Model of "miracle" in Korea. / Ueda, Atsuko.

In: Journal of Policy Modeling, Vol. 22, No. 1, 01.2000, p. 43-59.

Research output: Contribution to journalArticle

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