This 2007 edition of OECD's periodic Economic Survey of Korea examines key economic challenges now being faced there. After an examination of recent macroeconomic trends, it looks at monetary policy, housing and regional policies, the fiscal situation and public spending in the context of rapid population ageing, and enhancing the globalisation of Korea.
Executive Summary
Assessment and Recommendations
Chapter 1. Facing the Key Challenges Ahead in Korea
-Macroeconomic Trends in Korea
-Key Challenges to Sustaining Growth in Korea
-Conclusion
Annex 1.A1. Taking Stock of Structural Reforms
Chapter 2. Macroeconomic Developments and Policies affecting Monetary Conditions
-Recent Economic Trends and Prospects
-Exchange Rate Policy and the Liberalisation of Capital Outflows
-Monetary Policy Considerations
-Conclusion
Chapter 3. Reforming Housing and Regional Policies in Korea
-Is There a Real Estate Bubble in Korea
-Policies to Stabilise Property Prices
-Policies to Achieve Balances Regional Development
-Conclusion
-Annex 3.A1. Key Elements of the Policy Packages for Property Price Stabilisation since 2005
Chapter 4. The Fiscal Situation in Korea
-Fiscal Policy Development in 2006 and 2007
-Economic Co-operation with North Korea
-Improving the Tax System
-Conclusion
Chapter 6. Public Social Spending in the Context of Rapid Population Ageing
-The Demographic Transition and the Fertility Rate
-Offsetting Population Ageing through increasing Labour Force Participation
-Ensuring Adequate Income for Elderly Persons
-Coping with Rising Pressure for Healthcare Spending
-Providing Long-Term Car for the Elderly
-Social Assistance in the Context of Rising Relative Poverty and Income Inequality
-Conclusion
Chapter 6. Enhancing the Globalisation of Korea
-Promoting a More Friendly Environment for Foreign Direct Investment
-Deepening International Integration through Trade
-Liberalising the Inflow of Human Resources
-Conclusion