• Title/Summary/Keyword: Economic Estimation

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Value of Information Technology Outsourcing: An Empirical Analysis of Korean Industries (IT 아웃소싱의 가치에 관한 연구: 한국 산업에 대한 실증분석)

  • Han, Kun-Soo;Lee, Kang-Bae
    • Asia pacific journal of information systems
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    • v.20 no.3
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    • pp.115-137
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    • 2010
  • Information technology (IT) outsourcing, the use of a third-party vendor to provide IT services, started in the late 1980s and early 1990s in Korea, and has increased rapidly since 2000. Recently, firms have increased their efforts to capture greater value from IT outsourcing. To date, there have been a large number of studies on IT outsourcing. Most prior studies on IT outsourcing have focused on outsourcing practices and decisions, and little attention has been paid to objectively measuring the value of IT outsourcing. In addition, studies that examined the performance of IT outsourcing have mainly relied on anecdotal evidence or practitioners' perceptions. Our study examines the contribution of IT outsourcing to economic growth in Korean industries over the 1990 to 2007 period, using a production function framework and a panel data set for 54 industries constructed from input-output tables, fixed-capital formation tables, and employment tables. Based on the framework and estimation procedures that Han, Kauffman and Nault (2010) used to examine the economic impact of IT outsourcing in U.S. industries, we evaluate the impact of IT outsourcing on output and productivity in Korean industries. Because IT outsourcing started to grow at a significantly more rapid pace in 2000, we compare the impact of IT outsourcing in pre- and post-2000 periods. Our industry-level panel data cover a large proportion of Korean economy-54 out of 58 Korean industries. This allows us greater opportunity to assess the impacts of IT outsourcing on objective performance measures, such as output and productivity. Using IT outsourcing and IT capital as our primary independent variables, we employ an extended Cobb-Douglas production function in which both variables are treated as factor inputs. We also derive and estimate a labor productivity equation to assess the impact of our IT variables on labor productivity. We use data from seven years (1990, 1993, 2000, 2003, 2005, 2006, and 2007) for which both input-output tables and fixed-capital formation tables are available. Combining the input-output tables and fixed-capital formation tables resulted in 54 industries. IT outsourcing is measured as the value of computer-related services purchased by each industry in a given year. All the variables have been converted to 2000 Korean Won using GDP deflators. To calculate labor hours, we use the average work hours for each sector provided by the OECD. To effectively control for heteroskedasticity and autocorrelation present in our dataset, we use the feasible generalized least squares (FGLS) procedures. Because the AR1 process may be industry-specific (i.e., panel-specific), we consider both common AR1 and panel-specific AR1 (PSAR1) processes in our estimations. We also include year dummies to control for year-specific effects common across industries, and sector dummies (as defined in the GDP deflator) to control for time-invariant sector-specific effects. Based on the full sample of 378 observations, we find that a 1% increase in IT outsourcing is associated with a 0.012~0.014% increase in gross output and a 1% increase in IT capital is associated with a 0.024~0.027% increase in gross output. To compare the contribution of IT outsourcing relative to that of IT capital, we examined gross marginal product (GMP). The average GMP of IT outsourcing was 6.423, which is substantially greater than that of IT capital at 2.093. This indicates that on average if an industry invests KRW 1 millon, it can increase its output by KRW 6.4 million. In terms of the contribution to labor productivity, we find that a 1% increase in IT outsourcing is associated with a 0.009~0.01% increase in labor productivity while a 1% increase in IT capital is associated with a 0.024~0.025% increase in labor productivity. Overall, our results indicate that IT outsourcing has made positive and economically meaningful contributions to output and productivity in Korean industries over the 1990 to 2007 period. The average GMP of IT outsourcing we report about Korean industries is 1.44 times greater than that in U.S. industries reported in Han et al. (2010). Further, we find that the contribution of IT outsourcing has been significantly greater in the 2000~2007 period during which the growth of IT outsourcing accelerated. Our study provides implication for policymakers and managers. First, our results suggest that Korean industries can capture further benefits by increasing investments in IT outsourcing. Second, our analyses and results provide a basis for managers to assess the impact of investments in IT outsourcing and IT capital in an objective and quantitative manner. Building on our study, future research should examine the impact of IT outsourcing at a more detailed industry level and the firm level.

Estimation of Coefficient of Earth Pressure At Rest During SCP Installation by Drained Triaxial Compression Test (배수삼축압축시험을 통한 SCP 시공과정 중 정지토압계수 평가)

  • Kwon, Youngcheul
    • Journal of the Korean GEO-environmental Society
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    • v.13 no.11
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    • pp.93-101
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    • 2012
  • SCP is a construction method that maximizes the effects of ground improvement by creating sand piles, which are formed by the compaction within soft ground. SCP is mainly used for consolidation and drain effects in clayey soils, and as a liquefaction countermeasure through effects such as compaction in loose sandy soils. In the design of SCP, if the sand piles with high stiffness are not taken into account, it can become a design that overly considered safety, and increased construction costs are highly likely to cause economic disadvantages. The changes in stress conditions and compaction mechanisms in the subsurface have been identified to a certain extent by study findings to date. However, the studies that considered SCP and in-situ ground as composite ground are fairly limited, and therefore, those studies have not achieved enough results to fully explain the relevant topics. In this study, the ground improved by SCP was regarded as the composite ground that consists of SCP and in-situ ground. Moreover, employing a CID test, this study examined the changes in the stress conditions of in-situ ground according to the installation of SCP through the relations between $K_0$ and SCP replacement ratio. At the same, whether the SCP installation procedure can be recreated in a laboratory was examined using a cyclic triaxial test. According to the test results, the changes in the stress conditions of the original ground occurred most largely in an initial stage of SCP installation, and after a certain time point, the vibration for SCP installation did not have a great influence on the changes in the stress conditions of the ground. Moreover, in order to recreate the behaviors of in-suit ground according to SCP in a laboratory, cyclic loading, which corresponds to casing vibration, was concluded to be essentially required.

Korean National Emissions Inventory System and 2007 Air Pollutant Emissions

  • Lee, Dae-Gyun;Lee, Yong-Mi;Jang, Kee-Won;Yoo, Chul;Kang, Kyoung-Hee;Lee, Ju-Hyoung;Jung, Sung-Woon;Park, Jung-Min;Lee, Sang-Bo;Han, Jong-Soo;Hong, Ji-Hyung;Lee, Suk-Jo
    • Asian Journal of Atmospheric Environment
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    • v.5 no.4
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    • pp.278-291
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    • 2011
  • Korea has experienced dramatic development and has become highly industrialized and urbanized during the past 40 years, which has resulted in rapid economic growth. Due to the industrialization and urbanization, however, air pollutant emission sources have increased substantially. Rapid increases in emission sources have caused Korea to suffer from serious air pollution. An air pollutant emissions inventory is one set of essential data to help policymakers understand the current status of air pollution levels, to establish air pollution control policies and to analyze the impacts of implementation of policies, as well as for air quality studies. To accurately and realistically estimate administrative district level air pollutant emissions of Korea, we developed a Korean Emissions Inventory System named the Clean Air Policy Support System (CAPSS). In CAPSS, emissions sources are classified into four levels. Emission factors for each classification category are collected from various domestic and international research reports, and the CAPSS utilizes various national, regional and local level statistical data, compiled by approximately 150 Korean organizations. In this paper, we introduced for the first time, a Korean national emissions inventory system and release Korea's official 2007 air pollutant emissions for five regulated air pollutants.

Assessment of Extreme Wind Risk for Window Systems in Apartment Buildings Based on Probabilistic Model (확률 모형 기반의 아파트 창호 시스템 강풍 위험도 평가)

  • Ham, Hee Jung;Yun, Woo-Seok;Choi, Seung Hun;Lee, Sungsu;Kim, Ho-Jeong
    • Journal of the Computational Structural Engineering Institute of Korea
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    • v.28 no.6
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    • pp.625-633
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    • 2015
  • In this study, a coupled probabilistic framework is developed to assess wind risk on apartment buildings by using the convolution of wind hazard and fragility functions. In this framework, typhoon induced extreme wind is estimated by applying the developed Monte Carlo simulation model to the climatological data of typhoons affecting Korean peninsular from 1951 to 2013. The Monte Carlo simulation technique is also used to assess wind fragility function for 4 different damage states by comparing the probability distributions of the window system's resistance performance and wind load. Wind hazard and fragility functions are modeled by the Weibull and lognormal probability distributions based on simulated wind speeds and failure probabilities. The modeled functions are convoluted to obtain the wind risk for the different damage levels. The developed probabilistic framework clearly shows that wind risk are influenced by various important characteristics of terrain and apartment building such as location of building, exposure category, topographic condition, roof angle, height of building, etc. The risk model presented in this paper can be used as tools to predict economic loss estimation and to establish wind risk mitigation plan for the existing building inventory.

Exchange Rate Pass-Through, Asymmetric Responses and Market Shares (환율 변동의 비대칭적 전이와 시장점유율)

  • Tcha, MoonJoong
    • KDI Journal of Economic Policy
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    • v.27 no.1
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    • pp.185-209
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    • 2005
  • This study examines ERPT with asymmetric response and both import and export market shares, using wool trade data. The study found that, asymmetric response may be as common as symmetric response. In addition, the responses (both in price and quantity demanded) to the changes in exchange rate are considerably different across goods, and even for the homogenous goods, across countries. In case of depreciation, the export price changes more than appreciation case in general, and as a result the destination price changes less. It is also found that the cases of excessive or perverse pass-through are found more frequently than reported by previous studies. This finding points out that strategic behavior of firms or unexpected response to exchange rate fluctuation takes place more frequently than we commonly expect or take, in particular at disaggregated levels. When the model considers asymmetric responses of the export price to appreciation and depreciation (of exporter's currency), the estimation provided that for 39 trade cases out of 83, export price responded to appreciation and depreciation in different fashions, although the normal response was the dominating phenomenon with 99 cases or about 60% out of 166 cases. Market shares affected the extent and direction of responses in select cases. These findings will have important implications for policy makers and traders.

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A Study of the Urban Tree Canopy Mean Radiant Temperature Mitigation Estimation (도시림의 여름철 평균복사온도 저감 추정 연구)

  • An, Seung Man;Son, Hak-gi;Lee, Kyoo-Seock;Yi, Chaeyeon
    • Journal of the Korean Institute of Landscape Architecture
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    • v.44 no.1
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    • pp.93-106
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    • 2016
  • This study aimed to estimate and evaluate the thermal mitigation of the urban tree canopy on the summer outdoor environment by quantitative use of mean radiant temperature. This study applied the SOLWEIG model based $T_{mrt}$ comparison method by using both (1) urban tree canopy presence examples and (2) urban tree canopy absence examples as constructed from airborne LiDAR system based three-dimensional point cloud data. As a result, it was found that an urban tree canopy can provide a decrease in the entire domain averaged daily mean $T_{mrt}$ about $5^{\circ}C$ and that the difference can increase up to $33^{\circ}C$ depending both on sun position and site conditions. These results will enhance urban microclimate studies such as indices (e.g., wind speed, humidity, air temperature) and biometeorology (e.g., perceived temperature) and will be used to support forest based public green policy development.

A Study on the Rationality of Wives' Decision Making in Purchasing - comparisons, Between Working and nonworking Wives- (도시주부의 購買의사결정 합리성에 관한 연구 -취업주부와 비취업주부의 비교분석-)

  • Shim, Sook;Kim, Kee-Ok
    • Journal of Families and Better Life
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    • v.5 no.2
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    • pp.109-125
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    • 1987
  • Previous studies show that working wives in the market contribute to the family economy that affects the family member's behaviors as consumers. Accordingly, the consumer behavior among working wives would be differ form that among nonworking wives. As the number of working wives in the market is increasing, this study focuses on the estimation of the degree of rationality in purchasing decision making among wives in relation to their working status. Therefore, this study attempts to construct an rationality index of a purchasing decision making both at a high and a low involvement situation by working and nonworking wives, and analyzes the differences in the results of the two groups. This study also examines how the rationality indices vary with the selected socioeconomic variables. The data are obtained from self-administered questionnaires from a sample of 217 working and 191 nonworking wives at Seoul and Seongnam in 1986. The statistical methods used in this study are Factor Analysis, Multiple Regression, and Analysis of Variances. The major findings of this study are as follows; 1) The mean value of the rationality index among nonworking wives is higher than that among working wives. Under a high involvement situation, the mean value of the rationality index among working wives is negative. Therefore, it is likely that nonworking wives make purchasing decisions more rationally than working wives. 2) The higher the degree of wive's education, the more rational the purchasing decision making. Under a low involvement situation, the higher the monthly family income, the more rational the purchasing decision making . under the same situation, the shorter the duration of marriage , the more rational the purchasing decision making. 3) Under a low involvement situation, the rationality indices of working wives vary with their occupations. The rationality indices among those in selling and service jobs are lower than those among those in professional jobs. 4) The impact of the selected socio-economic variables on the degree of the rationality in purchasing decision making differs depending on whether the wife is working or not. Under a low involvement situation, the positive impact of the monthly family income on the rationality in purchasing decision making is stronger among nonworking wives than among working wives. Under the same situation, the negative impact of the duration of marriage on the rationality is stronger among nonworking wives than among working wives.

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A Case Study on Quantifying Uncertainties of Geotechnical Random Variables (지반 확률변수의 불확실성 정량화에 관한 사례연구)

  • Han, Sang-Hyun;Yea, Geu-Guwen;Kim, Hong-Yeon
    • The Journal of Engineering Geology
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    • v.22 no.1
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    • pp.15-25
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    • 2012
  • Probabilistic design methods have been used as a design standard in Korea and abroad for achieving reasonable design by considering the statistical uncertainties of soil properties. In this study, the following techniques for reflecting geotechnical uncertainty are analyzed: quantification of the uncertainties of geotechnical random variables, and consideration of economic feasibility in design by minimizing the uncertainties related to the number of samples. To quantify the uncertainties, the techniques were applied to soil properties obtained from samples collected and tested in the field. The results showed an underestimation of the standard deviation by the 3-sigma approach in comparison with calculations using data from the samples. This finding indicates that economical design is possible in terms of probability. However, when compared with the Bayesian approach, which does not consider the number of samples, variability in the 3-sigma approach is underestimated for some variables. This finding also indicates a safety issue, whereas the number of samples based on the Bayesian approach showed the lowest variance. The variance of the probability density function showed a marked decrease with increasing number of samples, to converge at a certain level when the number exceeds 25. Of note, the estimation of values is more reliable for random variables having low variability, such as soil unit weight, and can be obtained with a small number of samples.

The study on estimated breeding value and accuracy for economic traits in Gyoungnam Hanwoo cow (Korean cattle)

  • Kim, Eun Ho;Kim, Hyeon Kwon;Sun, Du Won;Kang, Ho Chan;Lee, Doo Ho;Lee, Seung Hwan;Lee, Jae Bong;Lim, Hyun Tae
    • Journal of Animal Science and Technology
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    • v.62 no.4
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    • pp.429-437
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    • 2020
  • This study was conducted to construct basic data for the selection of elite cows by analyzing the estimated breeding value (EBV) and accuracy using the pedigree of Hanwoo cows in Gyeongnam. The phenotype trait used in the analysis are the carcass weight (CWT), eye muscle area (EMA), backfat thickness (BFT) and marbling score (MS). The pedigree of the test group and reference group was collected to build a pedigree structure and a numeric relationship matrix (NRM). The EBV, genetic parameters and accuracy were estimated by applying NRM to the best linear unbiased prediction (BLUP) multiple-trait animal model of the BLUPF90 program. Looking at the pedigree structure of the test group, there were a total of 2,371 cows born between 2003 to 2009, of these 603 cows had basic registration (25%), 562 cows had pedigree registration (24%) and 1,206 cows had advanced registration (51%). The proportion of pedigree registered cows was relatively low but it gradually increased and reached a point of 20,847 cows (68%) between 2010 to 2017. Looking at the change in the EBV, the CWT improved from 4.992 kg to 9.885 kg, the EMA from 0.970 ㎠ to 2.466 ㎠, the BFT from -0.186 mm to -0.357 mm, and the MS from 0.328 to 0.559 points. As a result of genetic parameter estimation, the heritability of CWT, EMA, BFT, and MS were 0.587, 0.416, 0.476, and 0.571, respectively, and the accuracy of those were estimated to be 0.559, 0.551, 0.554, and 0.558, respectively. Selection of superior genetic breed and efficient improvement could be possible if cow ability verification is implemented by using the accurate pedigree of each individual in the farms.

Relationship between Pedestrian Network and Pedestrian Volume Using Connectivity (연결도를 이용한 보행네트워크와 보행통행량의 상호관련성 연구)

  • Han, Sang-Jin;Kim, Young-Ook;Oh, Soon-Mi
    • Journal of Korean Society of Transportation
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    • v.26 no.1
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    • pp.137-144
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    • 2008
  • It is important to know pedestrian volume to carry out pedestrian safety analysis and pedestrian friendly design. However, it is too difficult to come across research work related to pedestrian volume analysis in the field of transport, due to lack of interests on pedestrian movement. Most transport research has been focused on vehicles and highways rather than pedestrian. On the other hand, in the field of urban studies, there comes an effective tool to estimate pedestrian volumes using Space Syntax theory. This theory twins out to be effective and economic because it only requires network information, which is easy to acquire from maps and field survey. However, this method is different in the way representing networks from the way that is common in the field of transport. To make up for this point, this paper develops a novel measure for estimating pedestrian volume using Dial's algorithm, and applies the model in the two test networks; Insadong and Soongryemoon networks. The application results reveals that developed measure is an effective tool to explain pedestrian volume; a correlation coefficient between the measure and pedestrian volume is 0.713 in Insadong and 0.492 in Soongryemoon, and the goodness of fit($R^2$) of regression models are 0.893 in Insadong and 0.671 in Soongryemoon. This estimation method is significantly less complicated to estimate the effect of a pedestrian network change than Space Syntax theory, which requires special softwares not readily available.