The purpose of this paper is to evaluate the policies for reducing private tutoring expenditure in Roh Mu Hyun and Lee Myeong Bak Government using Causal Loop analysis based on the Systems Thinking perspective. The results are as follows. First, high educational achievers receive more private tutoring than lowers and children who have rich parents have better chance to take private tutoring than the others. It reflects the social characteristics which emphasize the academic ability and educational background. Second, two governments implemented educational policies to control the private tutoring expenditure as balancing loops ; strengthening public education, providing after school programs and EBS KSAT teaching and improving the entrance exam of university. Third, they overlooked the unintended feedback loops coming from 1) incongruity between causes and countermeasures of shadow education 2) wrong perception of substitutional relationship between public education and shadow education 3) side effect of the policy increasing the weight of student record 4) problems of diversifying high schools 5) dilemma of easing the burden of testing through admission officer system. The conclusion is that policies of reducing the private education expenses have failed because two governments don't consider unintended Feedback Loops in the process of making education policies. So we have to make policies based on Systems Thinking and reducing private education expenses should not be the purpose of strengthening the public education.

PFI(Private Finance Initiative) for suppling SOC and public facilities instead of Government Infrastructure Project introduced from 1994. BTO(Build-Transfer-Operate) project had been major type of PFI system from 1994 to 2005. But after changed the Law of PFI on SOC, the BTL project newly introduced. In BTO system, the Government retrieves the investment through the operating income, but in BTL system, the government lease the facilities. As the BTO and BTL projects are widely adopted and implemented to ease the fiscal burden of government, but it has caused the tremendous fiscal burden each year over the period operation. Therefore this study attempted to analyze the question, that is, why government fiscal burden tipping? Hence, this paper, compares the difference of business structure between BTO and BTL project and explore the vicious and virtuous business structure, with the method of circular causal loop analysis. As a result, it has shown that there are some positive feedback and negative feedback loops cause the tipping and easing of government fiscal burden.

The purpose of this paper is to investigate a possibility of applying multimethodological approach for solving a dilemma. The motivation of this attempt is that the two different approaches, the system dynamics and the theory of constraints, resemble each other in having mental models for describing the target system and using graphic tools for representing those mental models. After a brief discussion on the comparison of the two approaches, a combined method applying to the problem of dilemma is suggested. For an experimental example, the proposed approach is applied to the sales and finance conflict on an inventory issue. The study shows that the suggested approach is able to complement each other's drawbacks. Especially constructing a stock-and-flow model and implementing a computer simulation would be very useful for quantifying the system's behavior which is hardly tracked down when applying the theory of constraints alone.

The introduction of competition in the generation of electricity has raised the fundamental question of whether markets provide the right incentives for the provision of the capacity needed to maintain system reliability. Capacity mechanisms are adopted around the world to guarantee appropriate level of investment in electricity generation capacity. In this study, we discuss these approaches and analyze the capacity pricing mechanisms from the adequacy perspective. We conclude that the design of capacity mechanism is very important to decrease electricity spot price and increase total electric capacity. Specifically, the constant of capacity pricing mechanism made a difference to the performance of electricity market. However, the slope of capacity price mechanism is better than the constant of that in improving performance of electricity market.

The information service management models developed thus far have put their focuses mostly on technical dimensions of information systems (IS), finding their rationale from the goods-dominant logic (GDL) that IS as goods has value in itself. Information systems, however, is nothing more than a mechanism by which value is delivered to the users. According to the service-dominant logic (SDL), value is created and determined not at the time serve is made by the providers but at the time it is consumed by the users. The users therefore should be regarded as active value creators not as passive consumers of the value delivered by the providers. Based on the service-dominant logic, DISQM (Dynamic Information Service Quality Model) is developed. DISQM's backbone is designed in causal loop diagrams referring to and reinterpreting in systems thinking the 'Parasuraman, Zeithaml & Berry's GAP Model' and 'SERVQUAL' as an operational tool for the GAP Model, and the main IS success constructs are mapped onto the model exploiting the 'DeLone & MacLean's IS Success Model'. With VENSIM simulation software, this paper also shows how DISQM works in computer-simulation settings. After confirming DISQM's validity with the base simulation run, two scenarios are developed for the exemplary purpose and tested in terms of IS quality, service quality, and net benefits from the service for the public information service. Implications from the simulation runs are also discussed.

The purpose of this paper is to find out the effects of the gambler's fallacy bias on the supply chain. For this study, the simulation was based on a casual structure of the Beer Distribution Game from Sterman(2000)'s Business Dynamics and designed into 2 different models : the first model carries the exact same structure as the reference mentioned above and for the second model, the comparison model is used reflecting gambler's fallacy bias. Each model has 2 different demand patterns. The 4 cases of models was tested with 1,000 different random number seeds. The results for the simulation are following : In the aspect of the inventory and out of stock, the basic model resulted better than the comparison. However, in the bullwhip effect, the comparison model has less than the basic in terms of the level demand pattern. But there was no significant difference in the cycle demand.