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Begin New Search Content Type Policy Brief Publication Year within 3 Years

581. Analysis of the Healthcare Sector in Africa and Its Policy Implications for Korea

Author:
Young Ho Park, Munsu Kang, Yejin Kim, Kyu Tae Park, and Young-Chool Choi
Publication Date:
03-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
One of the main changes in Korea’s foreign affairs in recent years is the expansion of official development assistance (ODA), among which Africa is showing particularly rapid growth. Korea’s ODA to Africa accounted for 15% of its total ODA budget in 2010, and rose to 25% in 2019 as Korea emphasized its role in international development. Korea ranks 11th in terms of the cumulative size of ODA to the African healthcare sector between 2011–2019, totaling 674 million USD. As Korea’s expansion of ODA and solidarity in international development aid to respond to COVID-19 are related, the expansion of ODA in the African healthcare sector is anticipated to continue. This study analyzes features of the healthcare sector in Africa in an effort to suggest various plans for development cooperation, based on an evaluation of Korea’s ODA project design to enable the effective provision of ODA.
Topic:
Foreign Policy, Development, Health, Economic Growth, COVID-19, and Foreign Assistance
Political Geography:
Africa, Asia, and South Korea

582. China's New Trade Strategy amid US-China Confrontation and Implications

Author:
Sang Baek Hyun, Wonho Yeon, Suyeob Na, Young Sun Kim, and Yunmi Oh
Publication Date:
03-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
In 2021, China has reached the point of entering a new stage of socialist development by declaring the achievement of the goal of building ‘a comprehensive well-off society’. Since the reform and opening up of China, the paradigm of economic and social development is facing the greatest turning point from ‘getting rich first’ to ‘common prosperity’. As the US checks on China intensify during this period of economic transition in China, China is pursuing a new trade strategy to respond to it. In order to understand the changes in the global trade environment in the era of the US-China conflict, it is necessary to understand both the US checks with China and China's trade strategy to respond to them. Most of the recent US-China conflicts are analyzed from the perspective of the US checking in with China, but it is necessary to take a balanced look at what kind of countermeasures China is seeking in order to correctly forecast and prepare for changes in the global trade environment in the future.
Topic:
Foreign Policy, Global Markets, Trade, and Economic Development
Political Geography:
China, Asia, North America, and United States of America

583. Petroleum Industry Diversification in the Middle East and Its Policy Implications for Korea in the Era of Energy Transition

Author:
Kwon Hyung Lee, Sung Hyun Son, Yun Hee Jang, Kwang Ho Ryou, and Dawoon Lee
Publication Date:
04-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
The GCC oil exporters including Saudi Arabia and the UAE are under strong pressure to prepare for decreasing global oil demand in the era of energy transition and carbon neutrality. To overcome these challenges, they need to diversify their industrial structure and develop low carbon technologies such as green hydrogen and CCUS (Carbon Capture, Utilization and Storage). This research is aimed to examine various mid-to-long term plans, industrial policies, and business cooperation cases to promote diversification in the Middle Eastern petroleum industry, suggesting policy proposals for cooperation between Korea and the Middle East and business opportunities in the region.
Topic:
Oil, Business, Diversification, Industry, Carbon Emissions, and Energy
Political Geography:
Middle East, Asia, and South Korea

584. The Effects of Increased Trade with China and Vietnam on Workers’ Earnings and Job Security in Korea

Author:
Kyong Hyun Koo
Publication Date:
04-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
This study empirically demonstrates that changes in trade structure caused by the rise of China and Vietnam over the last 20 years have had a significant impact on the widening of the income and employment stability gap for Korean workers. An important policy goal for Korea, which is heavily reliant on trade, is to ensure that the benefits of trade and openness are distributed evenly to all classes of society while minimizing the harm. In order to achieve the policy goal, the analysis results of this paper show that it is necessary to institutionalize a systematic process for monitoring changes in Korea's trade structure and preparing response policies from a mid- to long-term as well as a short-term perspective. Furthermore, the results indicate that policy efforts are required to identify blind spots where existing trade adjustment assistance policies, employment insurance systems, and vocational training policies do not adequately protect or support workers, and supplement and improve them. More follow-up research is needed to gain a better understanding of the mechanism by which external trade shocks are transmitted to the domestic labor market in order to develop more effective domestic supplementary measures for trade shocks.
Topic:
Labor Issues, Employment, Inequality, Economy, Trade, and Wage Income
Political Geography:
China, Asia, South Korea, Vietnam, and Southeast Asia

585. Foreign Firms Investment in Inter-Korean Economic Cooperation

Author:
Jang Ho Choi, Jung Kyun Rhee, Yoojeong Choi, and Dae-Eun Lee
Publication Date:
04-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
This paper examines various channels and issues for foreign firms to invest in inter-Korean economic cooperation with the as-sumption that inter-Korean economic cooper-ation can be resumed after sanctions against North Korea have been lifted, and the same treatment is applied to foreign firms. Foreign firms' investment in inter-Korean economic cooperation will provide a new op-portunity for foreign firms to earn stable profits, while also playing a role in further solidifying the establishment of peace on the Korean Peninsula. Now, inter-Korean rela-tions have fallen into difficulties due to sanc-tions against North Korea and the coronavirus pandemic, making it difficult to resume inter-Korean economic cooperation or to expect foreign firms to invest in inter-Korean eco-nomic cooperation. However, if inter-Korean economic cooperation is resumed, foreign firms' investment in inter-Korean economic cooperation will be prioritized.
Topic:
Foreign Direct Investment, Sanctions, Economy, and Economic Cooperation
Political Geography:
Asia, South Korea, and North Korea

586. Impacts of New International Tax System on Multinational Firms’ FDI

Author:
Sangjun Yea
Publication Date:
04-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
In this study, I present a theoretical model to quantitatively assess the economics impact of Pillar 1 and Pillar 2, especially focusing on the changes in the FDI patterns of multinational enterprises (MNEs). Pillar 1 offsets the incentives of MNEs' profits-shifting for tax-planning purposes, thereby reducing the inbound FDI into the countries with low corporate income tax rates. Pillar 2 burdens MNEs with 'top-up' taxes attributed from the subsidiaries in low tax countries. As the profits after tax (PAT) of MNEs shrink at the global level, innovation and R&D investment for new products will decrease, and as a result, global FDI flows will hamper.
Topic:
Economics, Foreign Direct Investment, Multinational Corporations, and Tax Systems
Political Geography:
Global Focus

587. Analysis of U.S. International Economic Policies and its Implications

Author:
Gu Sang Kang
Publication Date:
05-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
This study analyzes and evaluates the impact of foreign economic policies implemented during the Trump administration's four-year tenure, and aims to predict the direction of international economic policies under the Biden administration launched following the 2020 presidential election. The former President Trump put 'America First' as the slogan of economic policies and imposed import restrictions and tariffs on trading partners based on Sections 201, 232, and 301 of the U.S. trade acts. In addition, the Trump administration strongly promoted renegotiation, claiming that some existing trade agreements had been concluded unfavorably to the U.S. Furthermore, the Trump administration promoted the standardization of digital trade rules and the expansion of digital taxation in order to support the expansion of digital trade. Through the empirical analysis, we find that the Trump administration's tariff measures had a somewhat positive effect on the U.S. industrial employment, but it is difficult to say that the policy effect that President Trump initially expected was achieved as the measures also had a negative effect on industrial production. Moreover, we find that the tax reform had only a short-term effect in reducing the U.S. direct investment to foreign countries. Like the Trump administration, the Biden administration's international economic policy directions are showing strong protectionist perspectives such as maintaining tariffs on Chinese imports and reorganization of the global supply chains centered on the U.S. Based on our analysis, there are three policy implications. First, it is necessary to strengthen digital trade cooperation with middle power countries participating in the WTO e-commerce negotiations along with a detailed analysis and review of the economic impacts. Second, Korea needs to take advantage of the benefits provided by the U.S. federal government and strengthen cooperation in the supply chain based on norms with the U.S. Finally, Korea needs to reach an amicable agreement with the U.S. on trade remedies that have already been applied by raising the need to strengthen its supply chain with the U.S.
Topic:
Foreign Policy, Digital Economy, Economic Policy, Trade Policy, Donald Trump, Industry, Protectionism, and Joe Biden
Political Geography:
Asia, South Korea, North America, and United States of America

588. Immigrants and COVID-19 Travel Restrictions

Author:
Young-ook Jang
Publication Date:
05-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
This study attempts to examine the impact of the presence of foreign workers on COVID-19 related border closures. In the countries that are highly dependent on foreign workers, there have been difficulties in supplying labor due to entry restrictions and border closure during the COVID-19 pandemic. The empirical analysis shows that the entry restrictions were passively imposed where the share of immigrant is high. This trend was observed more conspicuously in high-income countries where various policy combinations could be used in addition to entry restrictions. The cost of entry restrictions could be alleviated by placing other measures which are deemed more efficient, including 3T (test, trace/isolate, treatment) strategy and Special Entry Procedure. It is necessary to develop policies to minimize negative effects on immigration and immigrants, while controlling epidemic waves at the same time.
Topic:
Immigration, COVID-19, Travel, and Immigration Policy
Political Geography:
Global Focus

589. Green New Deal for Carbon-neutrality and Open Trade Policy in Korea

Author:
Jukwan Lee, Jongduk Kim, Jinyoung Moon, Jyun-Hyun Eom, Ji Hyeon Kim, and Jungmin Suh
Publication Date:
05-2022
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
This study focuses on Korea’s Green New Deal policy and global response measures to climate change that affect international trade. A trade policy perspective and approach have been applied while reviewing the carbon-neutral policy pursued by the Green New Deal. We attempted through an empirical analysis to determine whether the expansion of openness helps reduce carbon emissions and simulate the impact of a carbon-neutral policy, such as the EU's carbon border adjustment, on the global economy under global production networks. In addition, the amount of financial support from Korea's Green New Deal needed to offset the negative economic effects of other countries’ independent carbon-neutral policies was derived. This study finally suggests that the effect of the Green New Deal can be expanded through the restoration of openness and global cooperation.
Topic:
Climate Change, International Trade and Finance, Economy, Trade, Carbon Emissions, and Green New Deal
Political Geography:
Asia and South Korea

590. NATO and the South after Ukraine

Author:
Pierre Morcos
Publication Date:
05-2022
Content Type:
Policy Brief
Institution:
Center for Strategic and International Studies
Abstract:
The war in Ukraine will have a pervasive impact on the North Atlantic Treaty Organization (NATO), which is set to adopt a new strategic concept at the upcoming Madrid summit in June 2022. There is little doubt that adapting the alliance’s deterrence and defense posture in Eastern Europe will be a strategic priority on the road to Madrid. However, the alliance should not neglect other challenges and priorities, including preserving stability in its southern neighborhood. Spanning from North Africa and the Sahel to the Balkans and the Middle East, NATO’s “South” remains fraught with growing vulnerabilities—and is not impervious to the broader strategic competition with Russia and China. Rather than transforming NATO into a unidirectional entity, the future strategic concept offers the alliance an opportunity to reimagine its approach toward the South.
Topic:
Defense Policy, NATO, Regional Cooperation, Military Strategy, and Alliance
Political Geography:
Europe, Ukraine, North America, and Global South