• Korean System Dynamics Review
• /
• v.8 no.2
• /
• pp.141-173
• /
• 2007

In Korean context, the innovative cities imply new towns or urban clusters in the Non Capital Regions, all of which would accommodate the relocated Capital based public organizations. The central government-initiated innovative cities have provoked pros and cons towards their effectiveness and efficacy for the balanced territorial development. From a broader prospective, this paper firstly examines the current status quo of the innovative cities. Based on their master plans, it analyzes physical and non physical factors which would exert significant impact on the innovative cities. Secondly, it pays attention to how key factors strengthen or weaken their behavioral patterns in terms of dynamic location and implementation policies of the innovative cities. Using System dynamics approaches, it sets up couples of scenarios, categorizing between supporting and opposing arguments towards the innovative cities. Lastly, after divulging systematic structure of the innovative cities, it proposes a series of practical alternatives which would contribute to minimizing unexpected side effects or unwanted social cost in the long run. In order to guarantee reinforcing structure of the innovative cities, the paper suggests that QOL (quality of life) variables, which would require continuous investment in the social infrastructure, are pivotal in achieving original goals of the innovative cities. Otherwise, the innovative cities would not be innovative per se. In the worst case, they might be degraded into the unpopular ghost towns.

• KDI Journal of Economic Policy
• /
• v.12 no.4
• /
• pp.3-20
• /
• 1990

The multisector model is designed to analyze and forecast structural change in industrial output, employment, capital and relative price as well as macroeconomic change in aggregate income, interest rate, etc. This model has 25 industrial sectors, containing about 1,300 equations. Therefore, this model is characterized by detailed structural disaggregation at the sectoral level. Individual industries are based on many of the economic relationships in the model. This is what distinguishes a multisector model from a macroeconomic model. Each industry is a behavioral agent in the model for industrial investment, employment, prices, wages, and intermediate demand. The strength of the model lies in the simulating the interactions between different industries. The result of its simulation will be introduced in the next paper. In this paper, we only introduce the structure of the multisector model and the coefficients of the equations. The multisector model is a dynamic model-that is, it solves year by year into the future using its own solutions for earlier years. The development of a dynamic, year-by-year solution allows us to combine the change in structure with a consideration of the dynamic adjustment required. These dynamics have obvious advantages in the use of the multisector model for industrial planning. The multisector model is a medium-term and long-term model. Whereas a short-term model can taken the labor supply and capital stock as given, a long-term model must acknowledge that these are determined endogenously. Changes in the medium-term can be analyzed in the context of long-term structural changes. The structure of this model can be summarized as follow. The difference in domestic and world prices affects industrial structure and the pattern of international trade; domestic output and factor price affect factor demand; factor demand and factor price affect industrial income; industrial income and relative price affect industrial consumption. Technical progress, as measured in terms of total factor productivity and relative price affect input-output coefficients; input-output coefficients and relative price determine the industrial input cost; input cost and import price determine domestic price. The differences in productivity and wage growth among different industries affect the relative price.

• IE interfaces
• /
• v.13 no.2
• /
• pp.217-224
• /
• 2000

This paper analyzes the effects of setup cost reduction in a dynamic lot-sizing model for a single-facility multi-product problem. In the model, demands for each product are known, no backlogging is allowed, and a single resource is employed. Also, setup cost is defined as a function of capital expenditure to invest in setup cost reduction. Furthermore, in each production period the facility (or plant) produces many products, each representing a fixed part of the involved production activity (or input resource quantity). In this paper, the structure of the optimal solution is characterized and an efficient algorithm is proposed for simultaneously determining the optimal lot size with reduced setup cost and the optimal investment in setup cost reduction. Also, the proposed algorithm is illustrated by a numerical example with a linear and an exponential setup reduction functions.

• Journal of Mechanical Science and Technology
• /
• v.14 no.4
• /
• pp.369-379
• /
• 2000

In industrial production-distribution systems, production and purchasing rates, associated inventories, and sales are very critical for the profits of each component in the system. The objective of this study is to investigate an effective information control scheme for a production -distribution system by automatic feedback control techniques. In this work, a dynamic control scheme that has an integrated -error with state-feedback and filtering (ISFF) is proposed as a new algorithm for a dynamic controller. Generalized formulations of the dynamic control are proposed in the continuous-time and discrete-time cases. A methodology for an evaluation of ISFF controller gains using the eigen structure property is presented. When an upper-limit is imposed on the production capability by available factory space and capital equipment, supervisory control is provided to avoid integrator-windup and deterioration of system performance.

• Advances in nano research
• /
• v.14 no.5
• /
• pp.451-461
• /
• 2023

Two-dimensional (2D) materials have been attracting attention since graphene monolayer was firstly separated. However, after an explosive boom, there is always quandary and stagnancy following and soon will come the refractory period of capital market. To avoid that undesired future, a paradigm of quasi 2D monolayer has been contemplated and devised in this article, with examples studied theoretically. The results show the general dynamic nonlinearity, and the expected tunability of bandgap without extra doping or substitution. These together suggest its intriguing both electronical and mechanical properties, which will enrich the arsenal of potential 2D materials.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.16 no.4
• /
• pp.101-113
• /
• 2021

This paper inquires the macro-economic factors that may affect the corporate venture capital (CVC) from an industrial organization theory perspective. Unlike existing studies focusing CVC investments related to parent corporates' strategic intention, we identified CVC firm as an independent financial investor affected by macro environment and industrial structure. Specifically, we empirically investigate whether and how industry's boom, exogenous crisis, economic growth, and competition intensity affect the CVC investment for a data set of investment in the U.S. based corporate venture capital industry, 1996-2017. The empirical data analyzed in the study contained a total of 84 U.S. based CVC firms and their 2,306 investments from 1996 until 2017. After conducting a time-series negative binomial analysis, our empirical analyses suggest that the CVC investments are affected negatively by exogenous crisis and competition intensity, and positively by industrial boom and economic growth. we found the significance and direction of our independent variables strongly supported all of our four hypotheses in a highly robust manner. The results of this study are expected to contribute the literatures of corporate venture capital and venture investment by illustrating which macro-economic and industrial structure factors affect CVC investment decision to adapt to dynamic environmental change beside strategic intention of CVC firm's parent corporates.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.11
• /
• pp.31-39
• /
• 2021

This study empirically examines the proposition that the domestic fundamentals of a nation can emerge as absorptive capacity factors to reap the benefits of inward FDI. The study is contextualized in Asia, set from1982 to 2017, and data is grouped into low-income and lower-middle-income economies, in comparison to high-income and upper-middle-income economies, catering to different geographical regions within Asia. The investigation is based on a series of absorptive capacity factors such as infrastructure, human capital, domestic credit, and health indicator. The methodological analysis is premised on dynamic panel structure and employs the Generalized Method of Moments (GMM) estimation technique. The empirical findings suggest that that the infrastructure variable appears to be the major absorptive capacity factor for both groups of countries. The health indicator, on the other hand, can help reap the benefits of inward FDI, but only if the threshold level is met. The selected economies must achieve this threshold level to reap the benefits of FDI. To absorb the benefits of inward FDI, countries must be proactive in providing sound infrastructure and implementing proper healthcare measures.

• Korean System Dynamics Review
• /
• v.10 no.2
• /
• pp.103-120
• /
• 2009

Using various data derived from the regional innovation projects in the IT and BT-sectors within Chungbuk Province, this study tries to observe formation processes of network connecting structure and their spill-over effects. Considering the dynamic nature of key issues, it applies both social network analysis and causal loop methods. After a series of simulation exercises, we find that so-called extroverted regional innovation projects, that is, ones financially supported by the central government, reveal a higher tendency in the centrality, heavily depending on a handful of well reputed organizations. It is quite similar to the reinforcing mechanism, resulting in the rich-get-richer and the poor-get-poorer. Compared with the existing documents, nonetheless, it shows relatively weak in the mechanism strength, implying the fact that regional innovation projects have significantly contributed to ameliorating the unequal distribution of innovation organizations within Chungbuk Province. On the other hand, this study concludes that all the brokerage organizations related to the regional innovation projects have settled in Chungbuk Province. Whereas the Capital Region-based organizations present a higher tendency in the knowledge-network, it seems that the regional innovation projects have significantly contributed to upgrading direct and indirect competitiveness of the local organizations.

• International Area Studies Review
• /
• v.21 no.4
• /
• pp.19-39
• /
• 2017

The purpose of this paper is to investigate the impact of terms of trade and its volatility on real GDP and inflation. I estimate the linear and dynamic panel model including variables such as real GDP, inflation, terms of trade, capital stock, employment and education. The sample countries consist of OECD 26 countries and panel data ranges from 1990 to 2015. The empirical results show that terms of trade and its volatility do not affect the real GDP significantly. Even if the terms of trade has a negative relationship with real GDP, the magnitude of the estimated coefficients was very small. This result seems to be related with the industry structure and domestic demand structure of the member countries. On the other hand, terms of trade and its volatility have the significant impact on inflation. When the terms of trade and its volatility increase, the inflation increases.

• Journal of the Economic Geographical Society of Korea
• /
• v.6 no.1
• /
• pp.45-60
• /
• 2003

As the process of economic globalization deepens market uncertainty and severe competition, modern companies are tend to rely on non-market, socio-economic mechanisms such as trust, collaboration, and interdependence, They are being more influenced by cultural economic mechanisms like networks, embeddedness, and placeness rather than explicit cost-reductions. This paper analyzes the characteristics of industrial clusters, the formation of social capital, and the process of institutionalization by comparing two distinctive types of clusters, say Teheran and East-Gate Valleys in Seoul, Korea. The one is mainly consisted of IT industries with increasing vertical integration supported by venture capitals and favorable business infrastructures. The other cluster has long been a traditional CBD frame of Seoul and has transformed to the most dynamic and productive area, characterized by one-stop 'R&D-production-distribution-consumption-after sales services'. The study of the developmental trajectory and key characteristics for these kinds of clusters can give us insight for the cluster theory. This paper firstly reviews the similarities and differences between the social capital in general and that of industrial clusters. It then profiles the growth of the two clusters over the past decade, and compares the current spatial and business structure of the two clusters, focusing on transactions costs, the creation and flow of information, and the local institutions. The paper concludes with some comments about the prospects and perils of the two types industrial clusters of Seoul.