• Journal of Labour Economics
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• v.27 no.2
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• pp.29-66
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• 2004

In this paper, I investigate job creation and destruction in Korean mining and manufacturing between 1982 and 2000 using the raw data of Annual Mining and Manufacturing Survey. The rate of job creation and destruction of continuing plants averaged 9.75 and 10.33, respectively, which are higher than those of OECD countries, Chile, and Colombia. The created jobs showed weak persistence and the concentration of job reallocation is high, compared with other countries. Job reallocation accounts for major fraction of worker reallocation and the fraction has increased before 1997. Analysis of time series data of job flow revealed a general pattern of pro-cyclic job creation and counter-cyclic job destruction. However job reallocation in Korea is strongly acyclic whereas the rate is known to be counter-cyclical in the U.S.