Economic Security of South Korea Essay

The delivery of sec Korea is rank at fifteenth place in the world. In terms of its sexual intercourse with the United States, cooperatewesterly Korea is the seventh largest business assistant. federation Korea is well know for its high level of growth in frugal field. Before 1960, southerly Korea was just some other poor third world country and but known regionally as well as inter areaally. Its frugal golden has elevated sec Korea in the eyes of international cooperation especially the plaque for Cooperation and Development (OECD).Factors Affecting The Economic SecurityLife span primary health care has improved tremendously for past decades. Consequently, good tonus of life has contributed to extensiveer life span among the universe of discourse of in the south Korea citizens. and then the median of age of working population has shifted to contendds older generation.The aging population seems to be of major concern among the scotchal community because the y might incite the economic growth of the nation. In order to give birth rapid economic growth South Korea would require constant support from the young and dynamic generations.EducationThe economy needs continuous supply of skill labours to sustain growth. level(p) though the government preach for the need of educated society, the pecuniary allocation is low compare to the needs of parents in educating their children. Hence, the parents end up paying high price for additional classes in school as well as high tuition cost in tertiery genteelness for securing good career. The cost of education is so high that each family cut back the number of children in order to provide excellent education for the child. plane then, the competition is stiff and beseechs for the need of furthering studies to a higher degree. brotherhood and South RelationThe analogyship between North and South Korea remains an mystery in the sense that their economic status is wide apart where the south enjoys the booming of industry while the north deteriorating. Without the humanitarian aid, the commonwealth of North Korea would continue to suffer from food shortage. Having remove the hunger situation of people of North Korea, there is always a military threat towards South Korea. However, South Korea remains hopeful that its volatile populate would open its roadblock to economic aids thus playing the role of good neighbour.Even though North and South Korea still chthonian conflict, the economic relationship between the two countries remain strong. Being a communist country, mainland China is the largest trading partner for North Korea. However, South Korea has risen to be the second largest partner in terms of economic trade with North Korea. These economic ties is constantly under pressure due to the high possibility of incidences under volatile North Korea foreign policy as well as influences from the communist bloc. For instance, in March 2010, North Korea had torpedoed S outh Korean combat ship resulted in 46 soldiers were killed. Despite all the evidence pointing towards her, North Korea reject the responsibility. However, South Korea suspended its trade relationship with North Korea. In another incidence, North Korea fired artillery shell onto Yeonpyeong Island killing two civilians and piercing another 13. These incidences even though had not escalated to full blown war project serious economic shelter for the South Korea.Globalisation other factor which affects the economic aegis of a nation is globalisation. By right of globalisation, it increases the interconnectedness of nation and people of the world as the communication and pane becomes cheaper, faster and readily avail commensurate. Globalisation reduces the artificial barrier of national border, because allowing the flow of goods, capitals, services, people and knowledge crossways the world faster than before. speedy globalisation allows nation to trade with other nation thereb y creating shared economic interdependence.Economic interdependence is recognised as a confirming factor which promote security. South Korea adopted the strategies in using the economic interdependence in order to advance its security goals. Their strategy layabout be clearly seen in the diplomatic relations towards neighbouring military threat i.e. China. The similar strategy is also adopted towards large powerful nations such as Soviet Union. South Koreas strategy towards his immediate neighbour North Korea was based partly on the economic interdependence. In the long run, the economic integration might serve as a disclose and balance on the head of government policies towards each other. Hence the economic integration serve as to avoid any(prenominal) disruption for those cerebrate by the use of military threat. (Kahler and Kastner, 2004).Financial Crisis By the same token, globalisation also foster a threat to the security of a nation via economic conflict. The economic crisis of 1990 which struck the markets in Asia surprise the nations and many fiscal institutions. The globalisation leads to economic openness which in turn causes susceptible economic security since it allows for foreign investors to gain ownership on domestic enterprises. The crisis had caused major implication on South Korea economy as well as a few other countries in South East Asia including Malaysia, Thailand and Indonesia. At the beginning of the crisis the assets had deflated down to the new record low, forcing economic little terror in South Korea. In order to sustain economic stability, South Korea succumbed to the adjustment programs after bank lending was suddenly stopped. Fortunately, the economy of South Korea return to rapid recovery.In the world of globalisation, information technology becomes the tailor of the decade. Hence, South Korea is able to enjoy economic growth because of the high demand in consumer spend for electronic gadgets. The growth will continue to lucubrate as long as South Korea able to stimulate consumer spending through innovation of technology. The big question is how long can South Korea sustain new innovation to keep the demand pour in and continue to expound economic expansion.On the other hand, globalisation reduces picture through diversity of suppliers and markets. Therefore, economic pressure as well as unilateral sanction becomes less effective because the multi trade relations would able to absorb the pressure. For example, even though China is a major trading partner for South Korea, it cannot act unilaterally on South Korea because of its relation with other super power such as the United States. By the same token, North Korea may pressure South Korea to some point but would apply cautious because of its relation with China and the United States.transnational Organised Crimes Another factor that may affect the economic security of South Korea is the infamous transnational organised crime i.e the terroris t attack. The September 11, 2001 shocked the whole world when the World Trade Center building in the United States of America was brought down. The terror caused the world to rethink of the new proportionality brought about by the terrorist activities. Even though the tragedy was halfway across the globe, South Korea was also affected because the US was its major trading partner economically.Since the economy of South Korea is widely known for its growth, many have lose the threat it creates among the people of South Korea. According to the report, South Korea has one of the highest self-destruction rates in the world where it has doubled over the last decade. The prosperous economy has increase the standard of living hence putting a lot of strain on household income. Moreover, the success story of economic turnover had masked the financial constraint among small and medium businesses as well as the people who were indebted. The reforms had causes high unemployment as well as uns table employment. In other words, the economy has created insecurity among certain free radical of population which ended up with suicide notes.Epidemic attackThe economy of a country is susceptible to any sporadic of epidemic or pandemic attack of viruses. The Severe Acute Respiratory Syndrome (SARS) is a subject of Atypical Pneumonia which can kill. It was identified in 2003. Due to its ability to shell out quitely within the travelling group, and later created killer pneumonia, the whole world population were discourage to travel. South Korea was not spared of the economic consequences of SARS. Tourism industry was the or so affected. Domestically, some public places such as school were closed and obtain mall suffer declined number of customers because of fear of SARS. Community restricted the elbow grease for necessary requirement causing reduction in consumer expenditures and consumer services. However, the effect on economy was minimal compare to other South East Asia co untries such as Hong Kong and China.The economic security fluctuates according to the demands of the international arena. When the prices of chips increase and the crude price reduces, South Korea gain positive trade advantages and pocketed tremendous loot because it was the second major supplier of chips to the United States. On the other hand, any sign of price weakening of electronic markets or a advance in oil prices could severely punished the South Korea economy because its exporting is based on electronics.Summary Undenialbly, economic security is not a new dimension in international relations. It has always been part of the security plan of the governing body of the nation. It is being exploited so as to avoid any security breach of of one government on another government as well as its policy. Each governement would consider economic interdependence with cautious and wariness because it can create some(prenominal) security as well as vulnerability.