Korea Trade Review (무역학회지)

Korea Trade Research Association (한국무역학회)
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The Economic Impact of Changing the Status of Korea to a Developed Country in WTO Negotiation

한국의 WTO 선진국 지위 전환에 따른 경제적 효과

  • Song, Backhoon (Department of International Trade, Dongguk University)
  • 송백훈 (동국대학교 국제통상학과)
  • Received : 2019.09.12
  • Accepted : 2019.10.21
  • Published : 2019.10.31
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Abstract

This study aims to estimate the economic effect of Korea's transition to a developed country in WTO negotiations. If Korea develops into an advanced country, it must give up many advantages in the agricultural sector. In particular, limiting the scope of sensitive items, giving up the selection of special items, and drastic tariff reductions are expected to have greater negative effects on the agricultural sector. According to research results, Korea's GDP rose slightly from 0.2 to 0.8 percent following the DDA settlement. Especially when China is classified as an advanced country along with Korea, Korea's GDP appears to be growing even more. On the other hand, damage is expected in most areas of agriculture. The trade deficit in the agriculture sector is expected to widen as output in the agricultural sector decreases, and import growth exceeds export growth. In the non-agricultural sector, there are no significant differences in the change in WTO status. However, if China is grouped together as an advanced country, the export growth rate of the Korean manufacturing industry appears greater.

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References

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