KDI Journal of Economic Policy, August 2022 - KDI 한국개발연구원 - 연구 - KDI JEP
본문 바로가기

KDI 한국개발연구원

KDI 한국개발연구원

SITEMAP

KDI JEP
KDI Journal of Economic Policy, August 2022
목차
The Effects of Lowering the Statutory Maximum Interest Rate on Non-bank Credit Loans / Meeroo Kim
I. Introduction
II. Literature Review
III. Data and Descriptive Statistics
IV. Empirical Strategy
V. Empirical Results
VI. Conclusion
REFERENCES

The Impact of Tax Treaties on Foreign Direct Investment: The Evidence Reconsidered / Siwook Lee and Daeyong Kim
I. Introduction
II. Literature Review
III. Empirical Strategy and Data Description
IV. Empirical Results
V. Conclusion
REFERENCES

Effects of Fiscal Instability on Financial Instability / Sunjoo Hwang
I. Introduction
II. Background
III. Empirical Analysis
IV. Concluding Remarks
REFERENCES

Job Creation during Korea’s Transition to a Knowledge Economy / Kyungsoo Choi
I. Introduction
II. Shifts in Job Creation Patterns
III. Local Labor Market Job Creation Model
IV. Empirical Estimates
V. Summary and Conclusion
REFERENCES
영문요약
The Effects of Lowering the Statutory Maximum Interest Rate on Non-bank Credit Loans / Meeroo Kim
This paper analyzes the effects of the cut in the legal maximum interest rate (from 27.4% to 24%) that occurred in February of 2018 on loan interest rates, the default rates, and the loan approval rate of borrowers in the non-banking sector. We use the difference-in-difference identification strategy to estimate the effect of the cut in the legal maximum interest rate using micro-level data from a major creditrating company. The legal maximum rate cut significantly lowers the loan interest rate and default rate of low-credit borrowers (i.e., highcredit-risk borrowers) in the non-banking sector. However, this effect is limited to borrowers who have not been excluded from the market despite the legal maximum interest rate cut. The loan approval rate of low-credit borrowers decreased significantly after the legal maximum interest rate cut. Meanwhile, the loan approval rate of high-credit and medium-credit (i.e., low credit risk and medium credit risk) borrowers increased. This implies that financial institutions in the non-banking sector should reduce the loan supply to low-credit borrowers who are no longer profitable while increasing the loan supply to high- and medium-credit borrowers.

The Impact of Tax Treaties on Foreign Direct Investment: The Evidence Reconsidered / Siwook Lee and Daeyong Kim
This paper reconsiders the empirical evidence of the relationship between tax treaties and FDI using U.S. outbound FDI to 78 countries over the period of 20072018. Unlike previous studies, we explicitly consider differences in the tax environments of recipient economies, including their tax-haven status, transfer pricing rules, CFC rules and anti-avoidance regulations, in our estimations. Our results confirm the importance of controlling for country-specific tax environments, especially the tax-haven status and transfer pricing rules. We find that tax treaties positively contribute to FDI inflows in developing countries, while they have no statistically significant impacts on OECD countries. Recently signed tax treaties still foster FDI but less than older ones do. Finally, our results indicate, all other things being equal, that the weaker the transfer pricing regulations, the greater the amount of U.S. direct investment into a non-OECD economy.

Effects of Fiscal Instability on Financial Instability / Sunjoo Hwang
This paper empirically examines how fiscal instability affects financial instability. According to an IMF forecast (2021a), the fiscal space in Korea will be steadily reduced in the future. The theoretical literature predicts that if fiscal stability is undermined, financial stability will also be in danger given that government guarantees on banks are weakened and/or sovereign bonds held in banks become riskier. This paper empirically finds the existence of this negative impact of fiscal instability on financial instability. I also find that the intensity of this fiscal-financial relationship is greater in a country where (i) its currency is not a reserve currency such as the US dollar or euro, (ii) its banking sector is large relative to government sector, and/or (iii) its private credit to GDP is high. Korea has all of these three characteristics and hence needs to put more effort into maintaining fiscal stability.

Job Creation during Korea’s Transition to a Knowledge Economy / Kyungsoo Choi
This paper analyzes job creation when the Korean economy transitioned to a knowledge economy from the 1990s to the 2010s. During this period, the ratio of service to manufacturing jobs increased, knowledge intensive industries grew, and job creation became geographically concentrated around Seoul. The changes slowed down in the 2010s, and overall job growth weakened. To analyze the effect of job creation driver industries during this period, the main part of which are knowledge intensive tradable service industries, on local service job creation, I use a modified version of the local labor market of Moretti (2010). I analyze the job changes during 1995-2005 and during 2006-2016 in 237 Si-Gun-Gu areas in the Census on Establishments datasets. I find that one manufacturing job creates 0.5 local service jobs and that one tradable service job creates 1.1 jobs within Gu areas of metro cities and 2.3 jobs in Si-Gun areas. The job creation relationship between the tradable and local service sectors was not altered in this period. As more jobs were created in the tradable sector driven by the transition to a knowledge economy, job creation overall remained active, with the opposite also being true.
공공누리

한국개발연구원의 본 저작물은 “공공누리 제3유형 : 출처표시 + 변경금지” 조건에 따라 이용할 수 있습니다. 저작권정책 참조

담당자
윤정애 전문연구원yoon0511@kdi.re.kr 044-550-4450
이 페이지에서 제공하는 정보에 대하여 만족하시나요?
네이버로그인
카카오로그인
보안문자 확인

무단등록 및 수집 방지를 위해 아래 보안문자를 입력해 주세요.

KDI 직원 정보 확인

담당자 정보를 확인해 주세요.

등록완료

소중한 의견 감사드립니다.

등록실패

잠시 후 다시 시도해주세요.

Join our Newsletter

매일 새로운 소식으로 준비된 KDI 뉴스레터와 함께
다양한 정보를 확인하세요.