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South Korea: the corruption that built its economy (2017)

iias.asia

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Re: South Korea: the corruption that built its economy (2017)

#11

Post by zyang »

snapcaster wrote: post #6

Why did this "build" or strategy for lack of a better word work so well for Korea? They mention other countries that have adopted this model but haven't seen the phenomenal success Korea has seen over the past decades. What was the secret sauce?

There are different types of corruption. Access and speed money actually boosts development like a steroid. Just like a steroid you reap the benefit early but eventually it becomes corrosive. You can hide a lot of problem as long as the growth rate is high.

Re: South Korea: the corruption that built its economy (2017)

#12

Post by mach5 »

damnthisis wrote: post #4

the park’s regimes(both father and daughter) are overthrown by chinese influence. The socalled leftist governments are consists mostly a mix of north korean spies and ccp agents. If you look closely at what happen after Park’s depature, the country is in shambles

that's a good thing

Re: South Korea: the corruption that built its economy (2017)

#13

Post by nonameiguess »

snapcaster wrote: post #6

Why did this "build" or strategy for lack of a better word work so well for Korea? They mention other countries that have adopted this model but haven't seen the phenomenal success Korea has seen over the past decades. What was the secret sauce?

It mentions Indonesia, Thailand, and Malaysia. Indonesia and Thailand have both had recent civil wars and failed peaceful transfers of power. It presumably helps South Korea quite a bit to have a more or less constant US military presence for 70 years. Malaysia seems to be doing pretty well. If you eliminate Singapore, Hong Kong, and Macau, and only consider countries that aren't just a single city, it's only behind Taiwan, Japan, and South Korea for East Asian GDP per capita. Average 6.5% annual growth for 50 years.

Re: South Korea: the corruption that built its economy (2017)

#14

Post by Symmetry »

snapcaster wrote: post #6

Why did this "build" or strategy for lack of a better word work so well for Korea? They mention other countries that have adopted this model but haven't seen the phenomenal success Korea has seen over the past decades. What was the secret sauce?

Well, land reform helped create a broad consumer class but at the same time subsidized industries were required to compete in international markets early to keep their privileges so they didn't get complacent. In places like Indonesia industrial policy was more a matter of sending money to the allies of those in power. Industrial policy can work to encourage growth but only if the government really wants it to and is competent in how it carries it out.

I think the book on development I'd most recommend on development in general is Gambling on Development but for what exactly South Korea did How Asia Works has the details.

Re: South Korea: the corruption that built its economy (2017)

#15

Post by pcurve »

snapcaster wrote: post #6

Why did this "build" or strategy for lack of a better word work so well for Korea? They mention other countries that have adopted this model but haven't seen the phenomenal success Korea has seen over the past decades. What was the secret sauce?

There are probably several factors at play:

1. Countries in colder climate are generally more economically prosperous. South Korea is colder (though hot in summer) than S/E Asian countries.

2. South Koreans have always been overzealous about education.

3. South Korea is ethnically more homogenous than S/E Asian countries. People have been comfortable with idea of putting interests of the large group (i.e. nation) before that of the individuals.

Re: South Korea: the corruption that built its economy (2017)

#16

Post by josephh »

damnthisis wrote: post #4

the park’s regimes(both father and daughter) are overthrown by chinese influence. The socalled leftist governments are consists mostly a mix of north korean spies and ccp agents. If you look closely at what happen after Park’s depature, the country is in shambles

South Koreans have realized that their alternative choice is just as corrupt, if not more.

Some of the things that have happened since:

- President Moon's right hand was convicted for opinion rigging leading up to the election by overseeing a bot farm.

- The country's chief prosecutor resigned after the administration's desperate attempt to cover up their own corruption, joined the opposition party, won the primary to become their presidential candidate, then actually winning (!) the election (as absurd as it sounds, this is roughly equivalent to Merrick Garland joining the GOP, getting nominated as their candidate, and winning the election).

Re: South Korea: the corruption that built its economy (2017)

#18

Post by snapcaster »

Symmetry wrote: post #14
snapcaster wrote: post #6

Why did this "build" or strategy for lack of a better word work so well for Korea? They mention other countries that have adopted this model but haven't seen the phenomenal success Korea has seen over the past decades. What was the secret sauce?

Well, land reform helped create a broad consumer class but at the same time subsidized industries were required to compete in international markets early to keep their privileges so they didn't get complacent. In places like Indonesia industrial policy was more a matter of sending money to the allies of those in power. Industrial policy can work to encourage growth but only if the government really wants it to and is…

Thanks for the reading material recommendation! Very interesting topic

Re: South Korea: the corruption that built its economy (2017)

#19

Post by odysseus »

pcurve wrote: post #15
snapcaster wrote: post #6

Why did this "build" or strategy for lack of a better word work so well for Korea? They mention other countries that have adopted this model but haven't seen the phenomenal success Korea has seen over the past decades. What was the secret sauce?

There are probably several factors at play: 1. Countries in colder climate are generally more economically prosperous. South Korea is colder (though hot in summer) than S/E Asian countries. 2. South Koreans have always been overzealous about education. 3. South Korea is ethnically more homogenous than S/E Asian countries. People have been comfortable with idea of putting interests of the large group (i.e. nation) bef…

I'd be interested in any research that backs up your point 1. Russia is not all that economically prosperous. Neither is Mongolia.

Singapore and Taiwan are very much so. And Singapore is right on the equator.

Re: South Korea: the corruption that built its economy (2017)

#20

Post by boringg »

Symmetry wrote: post #14
snapcaster wrote: post #6

Why did this "build" or strategy for lack of a better word work so well for Korea? They mention other countries that have adopted this model but haven't seen the phenomenal success Korea has seen over the past decades. What was the secret sauce?

Well, land reform helped create a broad consumer class but at the same time subsidized industries were required to compete in international markets early to keep their privileges so they didn't get complacent. In places like Indonesia industrial policy was more a matter of sending money to the allies of those in power. Industrial policy can work to encourage growth but only if the government really wants it to and is…

Are both the books approachable and enjoyable to read? I find that sometimes this stuff can be factual and content rich but not very digestible.

Thanks for reccos

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