• KDI Journal of Economic Policy
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• v.13 no.4
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• pp.31-57
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• 1991

Korean firms of all sizes, from virtually every industry, have used and are using the term "excessive competition" to describe the state of their industry and to call for government interventions. Moreover, the Korean government has frequently responded to such calls in various ways favorable to the firms, such as controlling entry, curbing capacity investments, or allowing collusion. Despite such interventions' impact on the overall efficiency on the Korean economy as well as on the wealth distribution among diverse groups of economic agents, the term "excessive competition", the basis for the interventions, has so far escaped rigorous scrutiny. The objective of this paper is to clarify the notion of "excessive competition" and "over-investment" which usually accompanies "excessive competition", and to examine the circumstances under which they might occur. We first survey the cases where the terms are most widely used and proceed to examine those cases to determine if competition is indeed excessive, and if so, what causes "excessive competition". Our main concern deals with the case in which the firms must make investment decisions that involve large sunk costs while facing uncertain demand. In order to analyze this case, we developed a two period model of capacity precommitment and the ensuing competition. In the first period, oligopolistic firms make capacity investments that are irreversible. Demand is uncertain in period 1 and only the distribution is known. Thus, firms must make investment decisions under uncertainty. In the second period, demand is realized, and the firms compete with quantity under realized demand and capacity constraints. In the above setting, we find that there is "no over-investment," en ante, and there is "no excessive competition," ex post. As measured by the information available in period 1, expected return from investment of a firm is non-negative, overall industry capacity does not exceed the socially optimal level, and competition in the second period yields an outcome that gives each operating firm a non-negative second period profit. Thus, neither "excessive competition" nor "over-investment" is possible. This result will generally hold true if there is no externality and if the industry is not a natural monopoly. We also extend this result by examining a model in which the government is an active participant in the game with a well defined preference. Analysis of this model shows that over-investment arises if the government cannot credibly precommit itself to non-intervention when ex post idle capacity occurs, due to socio-political reasons. Firms invest in capacities that exceed socially optimal levels in this case because they correctly expect that the government will find it optimal for itself to intervene once over-investment and ensuing financial problems for the firms occur. Such planned over-investment and ensuing government intervention are the generic problems under the current system. These problems are expected to be repeated in many industries in years to come, causing a significant loss of welfare in the long run. As a remedy to this problem, we recommend a non-intervention policy by the government which creates and utilizes uncertainty. Based upon an argument which is essentially the same as that of Kreps and Wilson in the context of a chain-store game, we show that maintaining a consistent non-intervention policy will deter a planned over-investment by firms in the long run. We believe that the results obtained in this paper has a direct bearing on the public policies relating to many industries including the petrochemical industry that is currently in the center of heated debates.

• Journal of Digital Contents Society
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• v.13 no.4
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• pp.601-608
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• 2012

Platform carriers that were welcomed due to their open policy are now having Vertical-Systematization. As the Vertical-Systematization to strengthen platform's quality intensifies, the qualities of OS, network and manufacturing abilities may be weakened. As the environment changes, consumers move from attractive platform to attractive contents and the killer contents will become the key success factor. Hence, the platform carriers will aim to acquire killer contents to attract more users causing excessive competition for Killer Contents Sourcing. The following paper examines the problems that will stem from fierce competition among platforms, problems regarding the Contents Sourcing and solution for the content-providers.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 1995.04a
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• pp.363-374
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• 1995

A duopoly model of R&D competition is presented to investigate whether an equilibrium R&D level with flexible spillovers is insufficient (or excessive) from the viewpoint of social welfare. The model focus on flexible spillovers which include much portion of externality occurring in R&D activity. Flexible spillovers refer to the spillovers that vary with industry equilibrium level of R&D. Innovating firms have incentives to cooperate in R&D in the presence of large spillovers. For any symmetric R&D profile, socially desirable equilibrium output is larger than equilibrium output produced in duopoly. Cooperative equilibrium R&D investment is observed to be socially insufficient in terms of welfare criterion irrespective of the magnitude of spillovers. While noncooperative R&D yields socially excessive expenditure on research project for a certain range of spillovers.

• Journal of Fisheries and Marine Sciences Education
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• v.21 no.4
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• pp.508-522
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• 2009

A teacher evaluation system is a hot issue of educational policy these days. Many teachers have opposed teacher evaluation system, but government and many parents have agreed teacher evaluation system. And some people agree teacher evaluation system, but some people disagree teacher evaluation system. The approvers of teacher evaluation system insist that teacher evaluation system can provide the quality of instruction, satisfaction of schooling, and nation's competition capacity. But opponents of teacher evaluation system insist that teacher evaluation system can provide dissatisfaction of teachers' job, excessive competition among teachers, and the failure of educational policy. So, comprehensive studies about teacher evaluation system are needed. The purpose of this study was to investigate that elementary and secondary teachers' recognition about teacher evaluation system. The tool of this study was used questionnaire which was made by researcher of this study. This study indicates as follows. Many teachers opposed teacher evaluation system, because of deficit of validity and reliability of teacher evaluation system. Also, many teachers indicated instruction ability as the most important evaluation standard of teacher evaluation system. And many teachers predicted the dissatisfaction of teachers' job and excessive competition among teachers as a result of teacher evaluation system.

• Plant Journal
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• v.7 no.2
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• pp.44-51
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• 2011

Given the fact that the entire bituminous coal used for a boiler is imported, the supply of coal is often affected by the rise of international coal price. Moreover, coal suppliers have been diversified due to the competition among power generation companies for reducing costs and inexpensive sub-bituminous coal is used. As a result, boilers combustion conditions have been deviated from the initial boiler design. This requires the selection of adequate excessive air ratio for different combustion conditions to enhance the efficiency of boiler operation. The boiler efficiency has been identified through an examination on the change of excessive air ratio by mixed fuel in unit 8 of Dangjin power plant complex. In addition, an excessive air ratio was calculated based on the examination result. According to the study result, the adequate excessive air ratio was 13% when Macquarie and Powder river were mixed at a ratio of 5:5 and when Sonoma and Megaprima persada were mixed at a ratio of 5:5. When BHP Billiton and Powder river were mixed at a ratio of 4:6 and Centennial and Batubara were mixed at a ratio of 3:7, the adequate excessive air ratio was 11%.

• International journal of advanced smart convergence
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• v.12 no.4
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• pp.418-425
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• 2023

This study examined the importance of screening for changing bodybuilding and fitness category. The screening criteria for bodybuilding, the background and reason for the creation of new bodybuilding and fitness items, the screening criteria for new items, and the use of drugs were described. The current bodybuilding gives high marks to excessive muscles and excessive diet conditions, and new bodybuilding category have been newly established in line with the recent global trend of pursuing natural beauty over abnormally excessive muscles, and the screening criteria also prioritize the balance of ideal and overall muscles to fit your height and weight. In addition, fitness events such as physique and bikini are gaining popularity with the establishment because they focus on not excessive muscles and natural elements of the body that ordinary people can challenge. Since athletes as well as ordinary people are using drugs to increase muscles and suffer side effects, IFBB(International Federation of BodyBuilding) and KBBF(Korea Body Building Federation) should consider and improve the current bodybuilding screening standards that avoid excessive muscles, and it is believed that bodybuilding and fitness events will develop only when strict punishment and continuous anti-doping education are carried out.

• The Korean Journal of Air & Space Law and Policy
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• v.26 no.1
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• pp.93-125
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• 2011

The International Civil Aviation Convention (Chicago Convention) has been a backbone of international air transport system whereby air transport between States should be based on bilateral agreements, and in particular, international airfares, which are set up through IATA(International Air Transport Association) rate-fixing machinery could be approved by the governments concerned. International airfares are fares for transporting passenger and freight and their conditions between two or more countries. However, since U.S. pursued th deregulation policy in 1978 whereby routes, capacity and fares could be freely determined by airlines, many States have been following so called open-skies agreements. In many cases, aeronautical and competent authorities have been reviewing whether airlines' commercial activities including air fares could possibly conflict with free competition rules envisaged in relevant laws and regulations. As competition among airlines gets intense, airlines often resort to cooperation with other airlines in the forms such as equity exchange, M&A, code-sharing, fares consultation and resource pooling, mainly with a view to effectively use resources available and to avoid monopoly situation resulting from excessive and destructive competition among players. Whereas bearing in mind that application of competition laws is important to secure consumers' interests by preventing airlines's malpractices such as bargaining exorbitant fares, it is also important to comprehensively consider as many factors as possible, from that unilateral measure by governments may bring about retaliatory measures by the governments affected, to that airlines' cooperative practices may rather increase consumers' benefits by lowering air fares.

• KDI Journal of Economic Policy
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• v.38 no.1
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• pp.93-121
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• 2016

The excessive demand for universities in metropolitan areas as a result of location premiums and regulated admissions quotas diminishes the competition between universities and the incentive to enhance educational performance to attract more students. Cases in point are the lower graduate employment rates (a measure of educational performance) of universities in metropolitan areas compared to those in non-metropolitan areas despite higher quality students. Additionally, the graduate employment rates of non-metropolitan universities are influenced by educational input factors such as an increase in the percentage of courses taught by full-time faculty, while those of metropolitan universities are contingent merely on enrollees' entrance scores. Ergo, a structure that revitalizes the competition between universities and encourages them to improve their educational services must be established in order to enhance the quality of higher education.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.31 no.1
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• pp.32-40
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• 2008

According to the statistic of industrial disaster in 2006 presented by the Ministry of Labor, there were 10,235 people with occupational diseases adding 2,740 more people (36.6%) compared to the previous year. Concerning the occupational diseases, 1,607 people had brain-cardiovascular diseases comprising more than 15% of all occupational diseases, and excessive workload and occupational stress seemed to play important parts. According to Korean Society of Occupational Stress, among 7,000 workers at 254 businesses in Korea, 73% of them were reported to be exposed to potential occupational stress and 22% of them were reported to be under severe stress. The increase of occupational stress among workers comes from excessive competition caused by business restructuring, promotion competition, annual salary system and so forth. Occupational stress threatens the heath and even the life of workers and lowers business competitiveness. Using the Korean occupational stress reduction model to the workers at small and medium businesses in Incheon area, therefore, the project intends to measure the level of stress among office workers and examine its relatedness to the VTD subjective symptoms. In addition, the project intends to present some methods to reduce occupational stress and increase business efficiency at work by studying and analyzing the various elements that workers use to reduce their occupational stress.

• Journal of Korea Port Economic Association
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• v.26 no.3
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• pp.221-239
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• 2010

This study aims to provide solutions concerned with to residential moving companies about their operational problems. In order to shed light on these problem, factor analysis and fuzzy AHP method are adopted. Selected factors are low quality of workers and equipments, weak condition of business, policy and form of a contract, and excessive competition. The results of survey show that excessive competition is the most urgent problem compared with other problems. In the twelve-measured variables, The problem of non-certificated firms, low service quality caused by excessive competition, and claims caused by lack of service instruction are chosen as the urgent matters. As a result of the analyses, the study would propose policy directions how to solve these problems. Firstly, the government should make the legal basis of operating the industry because there is too competitive in the field. Secondly, the government should regulate firms which have not a certificate because they are the cause of low service quality in the field. Thirdly, in order to improve the service quality, the study would suggest that the managers should instruct the workers of residential moving companies. Lastly, the paper would suggest that customers check the certificate of the firm allowed by the government authorities.