The Korean Economic Development

Go to Course: https://www.coursera.org/learn/korean-economy

Introduction

### Course Review: The Korean Economic Development In the realm of global economics, few stories are as compelling as that of South Korea. The course titled **"The Korean Economic Development,"** offered on Coursera, provides a comprehensive overview of the systematic evolution of the Korean economy from 1945 until the present. With a nuanced approach, this course unravels the intricacies of economic policies, social reforms, and external factors contributing to Korea’s remarkable transformation. #### Course Overview This course is structured into multiple modules that guide learners through the historical and economic landscape of Korea, decade by decade. From the aftermath of Japanese colonial rule through the tumultuous years of war, economic crises, and recovery, participants will gain a clearer understanding of the "Korean Miracle" and the significant policies that have shaped it. One of the key takeaways of the course is the development of analytical skills that allow learners to explain how Korea’s economic miracle was achieved and how it contrasts with the economic narratives of other developing nations. ### Detailed Syllabus Breakdown **Introduction to the Course:** The course begins with a robust introduction, setting the stage for the historical context of Korea at independence in 1945. Participants will learn about Korea's initial socio-economic conditions and the noteworthy milestones achieved post-war. **1940s and 50s:** - The initial modules cover significant reforms like land and educational reforms immediately post-independence, alongside the economic consequences of the Korean War. - By examining import substitution policies during the 1950s, learners understand how these strategies aimed at industrialization and how international economic aid played a crucial role during this period. **1960s:** - The course transitions into the 1960s, focusing on the pivotal shift from import substitution to export promotion strategies. - It also covers the Five-Year Development Plans, showcasing the Korean government’s attempts to mobilize internal and external capital to stimulate growth. **1970s:** - The ambitious Heavy and Chemical Industrialization policies of this decade are scrutinized, alongside the adverse side effects and the impacts of oil shocks that tested the resilience of the Korean economy. **1980s:** - The exploration of crisis management techniques and structural reforms reveals how Korea navigated challenges to stabilize and subsequently thrive during an economic boom fostered by favorable conditions. **1990s:** - Examining the end of this high-growth era reveals the challenges South Korea faced, particularly the onset of the Asian Financial Crisis in 1997. - Subsequent modules delve into the significant reforms initiated in response to the crisis, and their effectiveness in steering the economy toward recovery. **2008 and Beyond:** - The course culminates with an analysis of the repercussions of the 2008 Global Financial Crisis and the ongoing implications for the present-day South Korean economy. **Final Peer Review:** Learners will culminate their experience with a peer review exercise, reinforcing their understanding and application of the course materials. ### Course Strengths 1. **Thorough Curriculum:** The course meticulously covers an expansive timeline, allowing learners to comprehensively understand the dynamics of South Korea's economic policies and outcomes. 2. **Comparative Analysis:** By juxtaposing Korea’s experience with other developing nations, participants will refine their analytic abilities in understanding economic growth through varied contexts. 3. **Expert Instruction:** Expect insights from knowledgeable instructors who offer real-world frameworks and analyses, enhancing the learning experience. 4. **Flexibility of the Platform:** Coursera's online format allows learners to study at their own pace, making it accessible for individuals with varying schedules. 5. **Engaging Content:** The synergy of video lectures, readings, and peer interactions creates an engaging learning environment. ### Recommendations **Who Should Enroll:** - Economics students, policy makers, and business professionals who are interested in economic development and policies. - Individuals keen to understand real-world applications of economic theory. - Anyone fascinated by South Korea's rapid development as it relates to broader global economic trends. **Conclusion:** In conclusion, "The Korean Economic Development" is a well-structured course that provides both historical context and modern economic insight. It takes participants through the journey of an extraordinary economic transformation, equipping them with the knowledge to analyze similar case studies in other developing regions. As a recommendation, if you are eager to explore how strategic policies can lead to sustainable economic growth, this course is an essential addition to your learning portfolio. Whether for academic purposes or professional enrichment, the value of the insights gleaned from this course cannot be overstated.

Syllabus

Introduction: Preview and Overall Evaluation

Module 1. Introduction I: This module introduces initial conditions of the Korean economy at the time of independence from Japan in 1945. Upon describing unfavorable initial conditions, it summarizes three major achievements of the Korean economic development after the Korean War (1950-1953). Module 2. Introduction II: In order to explain the determinant factors of the Korean economic success, this module provides two approaches. First, it introduces neoclassical growth model, and explains how each production factor has contributed to economic growth. Second, it introduces institutional approach, which emphasizes the role of the government. Also, it shows the strength and weakness of the Korean economy.

Module 3. From independence to the War: After independence from Japan, the newly established Korean government has implemented two meaningful reforms; land reform and educational reform. Main contents and implications of these reforms are explained. This module also introduces economic impact of the Korean War.Module 4. Import Substitution Policy of the 50s: After the Korean War, the Korean government needed to stabilize the hyper-inflation from the mid-1950. Also, IS (import substitution) polices were employed to achieve industrialization and growth. This module introduces major policy tools of IS, and its results.Module 5. The Role of Economic Aid: This module introduces the size and role of economic aids on the Korean economy during the 1950s. It also compares Korea to the other developing countries in terms of aids policies. It also briefly introduces the history of ODA (official development assistance) in Korea.

Module 6. Export Promotion of the 60s: From the early 1960s, Korea has changed its development strategy from IS (import substitution) to EP (export promotion). This module introduces backgrounds, major policies, and results of EP policies. Also it compares the Korean experiences of EP to those of Japan. Module 7. Five Year Development Plan and Mobilization of Capital: This module explains how the Five Year Development Plans were launched from the early 1960s. Also, it introduces efforts of the Korean government to mobile capital inside and outside Korea during the 1960s.

Module 8. Heavy and Chemical Industrialization (HCI) of the 70s: From the early 1970s, Korea has aggressively pursued HCI (heavy and chemical industrialization) policies. This module explains backgrounds, major policies, and main results of HCI policies.Module 9. Side-effects of HCI and Oil Shocks: This module introduces some side-effects of aggressive HCI (heavy and chemical industrialization) policies. It explains how these side-effects are inter-related with each other. Also, it introduces impacts of oil shocks on the Korean economy during the 1970s, and explains how the Korean economy recovered from oil shocks.

Module 10. Crisis Management & Structural Reform and Trade Liberalization of the 80s: The Korean economy was close to foreign exchange crisis in the early 1980s. This module explains how Korea could avoid the crisis and stabilize the economy by the mid-1980s. It also introduces structural reforms and trade liberalization reforms. Module 11. Three Lows & Economic Boom of the 1980s: This module introduces favorable international environments called ‘three-lows’, which emerged from the mid-1980s. It introduces backgrounds of three-lows, and explains how these three-lows helped the Korean economy to enjoy the unprecedented economic boom. Also, it introduces how the democratization of the Korea society has influenced the economy.

Module 12. The Early 1990s: In the early 1990s, the Korean economy has faced the end of high growth era. However, the Korean economy has failed to adapt itself to slower growth, and the problem of ‘high costs and low efficient’ economic structure emerged.

Module 13. 1997 Asian Financial Crisis I: In the end of 1997, the Korean economy fell into foreign exchange crisis and had to be bailed out by IMF (international monetary fund). This module explains the internal and external causes of the 1997 Asian Financial Crisis. Module 14. 1997 Asian Financial Crisis II: In order to recover from the 1997 Asian Financial Crisis, the Korean government and IMF implemented four major reforms in the area of financial sector, corporate sector, labor market, and government. This module introduces main contents of these reforms, and explains how they helped the Korean economy to recover from the crisis. Module 15. 1997 Asian Financial Crisis III: This module introduces some side-effects and controversial issues with respect to the 1997 Asian Financial Crisis. Also, it explains about implications of the 1997 crisis on the Korean economy.

Module 16. 2008 Global Financial Crisis & Beyond: In September, 2008, the global economy fell into financial crisis after the collapse of Lehman Brothers. This module explains how the 2008 global financial crisis affected Korea, and also explains how Korea has recovered from it. Module 17. 2008 Global Financial Crisis & Beyond: This module introduces implications of the 2008 global financial crisis on the Korean economy. Also, it shows the most recent picture of the Korean economy by introducing strength and weakness of the Korean economy.