• The Journal of Asian Finance, Economics and Business
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• v.8 no.2
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• pp.783-790
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• 2021

The remittances play a major and a very critical role in promoting economic growth and development activities in the developing countries. In this study, the relationship between per capita gross domestic product (GDP) and remittances paid has been investigated based on the case studies in Malaysia from 1987 to 2018. Data was collected from various sources namely statistical yearbook by World Bank and Asian Development Bank. All variables are expressed in natural logarithm form. The technique utilized is the nonlinear autoregressive distributed lags (hereafter NARDL) approach which was introduced by Shin et al.(2014) to examine both short run and long run relationships, as well as the direction of causality, due to the asymmetric relationship between GDP and remittances. The bound test verifies asymmetric cointegration among the variables. The empirical results show that the remittances paid has a momentous short-run and long-run effect towards capital accumulation in Malaysia. Remittances also increase a positive relationship with capital accumulation for Malaysia. We found that remittances form a significant source of external capital and investment for developing countries especially Malaysia which helps in promoting economic development. Furthermore, as a developing country, foreign workers are a source of income to the receiving countries and an indicator to boost sender countries.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.2
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• pp.49-59
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• 2022

The relationship between income inequality and capital account openness is empirically investigated in this study, where macroeconomic variables have opposing effects. Panel data used in the study from the KAOPEN Index and World Bank consists of 28 Asian countries and has been examined; it contains annual observations from 1970 to 2018. The data is examined using a random-effect model based on GMM estimates. Income inequality and capital account openness are positively and significantly related, according to our findings. Overall, the findings imply that increasing income gaps reduced capital investment in nations with large discrepancies. The growing economic discrepancy is being caused by the rich's increasing income share at the expense of the poor. In Asia, inward capital account openness exacerbates income inequality, while outward capital account openness exacerbates it. As a result, income inequality slows economic growth, leading to inflation, unemployment, and increased government spending in several Asian countries. Our control factors, GDP, and other secondary school enrolments, all had a statistically significant negative relationship with income inequality. Income disparity has a positive and statistically significant association with government spending, inflation, population, trade openness, and unemployment. Income disparity has a negative association with capital account openness, gross domestic product, and secondary school enrollment.

• International Commerce and Information Review
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• v.14 no.1
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• pp.87-114
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• 2012

The purpose of this paper is to analyze the economic effects of Foreign Direct Investment(FDI) and human capital using VECM in Korea from 1970 to 2009. Empirical results through VECM show that the coefficients of GDP, GFO(gross fixed capital), LAB(total labor), EXO(export), PCDB(public and commercial loan) and FDI have had a positive impact on Korean economic growth. In contrast, the effects of PCDB and FDI were not as significant as the other variables. In particular, the interaction effect, $FDI^*EDU$(the college graduation variable), was more important than that of the FDI alone. However, the coefficient of $FDI^*EDU$ was not so big. Korean government needs to attract more FDI to enhance Korean economic growth rate by the improvement of investment environment. There are a big amount gap between notification FDI and arrival FDI in Korea. So Korean government and companies should actively persuade foreign investors to invest after their investment notification. Also the Korean college authorities should emphasize more on curriculum which adapts to company skill in the field work.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.20 no.12
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• pp.574-580
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• 2019

In this paper, the economic performance of the Jeju Free International City and the Free Economic Zone is investigated using statistical testing and the difference in differences (DID) model with data on foreign direct investment (FDI), gross regional domestic product (GRDP), and employment-to-population ratio (EPR). The relationships among FDI, GRDP, and EPR are also investigated using the panel vector error-correction model on the regional data. The compound average growth rate of actual investment, and the ratio of FDI received to FDI declared in the capital region were higher than in the non-capital region. For the growth and relative volume of FDI received, seven regions out of 16 were found to be low in growth and small in relative volume. The results of statistical testing showed statistically significant differences in some variables, except for two regions, but DID estimates that determine the pure policy effect of zone designation showed statistical insignificance. On the other hand, the explanatory power among the three variables was found to be quite limited, but it was greater in the cities, provinces, and non-capital region. In summary, it is necessary to establish the FDI inducement mechanism so the inflow of FDI can increase GRDP and EPR.

• Journal of Distribution Science
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• v.13 no.12
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• pp.85-94
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• 2015

Purpose - The purpose of this paper is to provide a political registration point for analyzing the economic impacts on the national economy from the REITs distribution industry in our country. The REITs distribution industry was introduced in 2001 to accelerate the corporate restructuring process and advance the real estate market. During its establishment, the REITs distribution industry faced difficulties; however, the industry grew rapidly through interest from institutional investors, thus mitigating the establishment problems by 2006. In Korea, more than 108 REITs were operating as of the end of June 2015. REITs contribute significantly to the national economy. The economic impacts on the national economy of the REITs distribution industry was analyzed using input-output (I-O) analysis with respect to production, imports, value-added, and employment. Research design, data, and methodology - The research used an I-O analysis of the activities of the REITs distribution industry in the national economy. The I-O analysis methodology analyzes the economic effects that influence other industries with respect to one unit of external investment. The data for this analysis were the I-O table of 2013 as published by the Bank of Korea in 2014. Results - The findings of this study are as follows. First, if an external input to the REITs distribution industry is 1 won, the overall impact of the product is 1.3869 won, the import induction is 0.0002 won, and the value-added induction is 0.7656 won. A new investment of 659.9 billion won into the REITs industry was estimated to produce a gross effect of 915.2 billion won. Second, if an external input to the REITs distribution industry is 1 billion won, the employment-inducing effects are estimated at 19.6394 individuals. The employment-inducing coefficient of 19.6394 for the REITs distribution industry indicates that the industry created significant employment-more than other industries-because the coefficient was 2.2 times the 2013 industry average employment-inducing coefficient of 8.8. Third, the investment effects of the REITs distribution industry on production induction, value-added induction, and employment induction are assumed to be large in business support services, financing, communications and broadcasting, and professional, scientific, and technical services. Conclusions - The REITs distribution industry was analyzed as having a strong employment inducing, high value added effect. The REITs distribution industry is an excellent alternative for the government authority to create multilateral jobs. Because the REITs distribution industry has a significant positive impact on the national economy, it should be developed. However, the I-O methodology has restrictions with respect to the fixation and timing of the input coefficient. Follow-up research is expected to supplement the analysis method at a specific point in time.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.15 no.2
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• pp.698-705
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• 2014

R&D investment has rised in recent years. Korea's R&D budget is 43.8 trillion won which is 3.74% adjusted gross domestic product in 2010. Technological advances and technical inovation will bring productivity growth to Firm and Firm's productivity growth will increase GDP in sequence. Therefore the importance of study on the Firm's R&D industry is getting growing. In this study we attempt to analyse the economic impact of the Firm's R&D industry through several years using an inter-industry analysis. Specifically, this study analyze production-inducing effect, value added inducing effect, and employ-inducing effect based on demand-driven model. The analysed results of year from 1995 to 2009, the Firm's R&D investment increases production-inducing effect, value added inducing effect, and employ-inducing effect with the course of time. This means that influence of the Firm's R&D industry has increased.

• Korean small business review
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• v.43 no.1
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• pp.1-33
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• 2021

This study explores differential value implications of R&D expenditure across firms, especially in terms of growth potential of small businesses. Analyzing Korean listed firms for the period from 1982 to 2014, we document the followings. First, large firms, defined as the top quintile group based on market capitalization, have spent higher R&D expenditure compared to small (bottom quintile group) and medium (middle quintile groups) firms and the difference between groups has enlarged over time. Relatedly, the persistence of R&D spending, measured by the association between current R&D expenditure and cumulative future R&D expenditure over the next five years, is lowest in small firms. Second, R&D of large (small) firms are more (less) likely to generate operating profits over the next five years. Additional analyses suggest that the relation between R&D and gross margin is strongest in large firms, suggesting that R&D underlies their competitiveness in the product market. Third, small firms have borne the highest uncertainty related to R&D investment proxied by the association between current R&D and volatility of future earnings. As a result, the likelihood of R&D leading to future patents is also lowest in small firms. Fourth, the probability of moving up to the next size group within the next five years is significantly lower in small firms than others. Finally, we find that the divergence in R&D expenditure between large and small firms is positively associated with product market concentration. Overall, our findings confirm the small business growth trap in relation to R&D investment.

• Journal of the Korean Geographical Society
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• v.40 no.1 s.106
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• pp.47-62
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• 2005

This paper aims at analyzing the economic effect of the public financial expenditure on the national industrial complexes. Since public finance support is indirectly supplied to the national industrial complexes, the economic effect of the public financial expenditure on the national industrial complexes may be analyzed indirectly and circuitously In this contort, this paper uses 3 stage analysis method. In the first stage, the economic effect that the public financial expenditure influence the allotment, production and employment of companies residing in the national industrial complexes is analyzed by multiple regression analysis. In the second stage, the economic effect that the investment on the national industrial complexes influence the national and regional economies is analyzed by multiple regression analysis. In the third stage, the economic effect of the public financial expenditure on the national industrial complexes is analyzed through the compromising the results of the first and second stage. The main results of this paper are as follows. Firstly, public financial expenditure on the infrastructure of national industrial complexes leaded to positive growth of the allotment of companies residing in the national industrial complexes. Additionally, growth of the allotment of companies leaded to the positive effect on the production and employment of companies. And secondly, growth of the allotment of companies leaded to the positive effect on the gross regional domestic production. Finally, financial expenditure on the infrastructure of national industrial complexes leaded to positive effect on the national and regional economic growth through the compromising the results of the first and second stage.

• Korean Journal of Construction Engineering and Management
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• v.5 no.6 s.22
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• pp.101-109
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• 2004

The construction engineering field is less than $3\~5\%$ of the gross construction cost but engineering's role is very important because the performance of final facility is decided in the engineering stage. Nevertheless, before now government and private compares are more concentrated on construction works than making strategy to strengthen the competitiveness and technical development of investment in construction engineering sectors. Therefore this research have compared and analyzed the competitiveness of domestic construction engineering companies throughout analytic method 'SWOT' to those developing countries, which are potential big market objects, such as Russia Libya and Indonesia Such research was obtained through business trip & consultation with related specialists for the difficulties of domestic companies in advancing into overseas market. Moreover this research have analyzed the technical improvement of construction engineering companies and reason for competitiveness weaken by various aspects, it provides governmental and private plans to advance into overseas market Especially, to strengthen domestic companies into advancing overseas market it has suggested that tax & subsidy privileges, supporting plans for obtaining information of overseas and strategies cooperation with other organizations.

• International Journal of Industrial Entomology and Biomaterials
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• v.32 no.1
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• pp.12-25
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• 2016

Recently, research investment in the improvement of food safety as a food source and specializing of nutritional source of edible insects is being actively conducted. Cricket especially has been attracting considerable interest in entomophagy; however, research on the safety assessment of cricket is limited. This study investigated the effects of cricket ethanol extract when orally administrated in Sprague-Dawley rats. Here, we performed a 4 wk repeated oral dose toxicity test in Sprague-Dawley rats following the Organization for Economic Cooperation and Development test guidelines 407 under Good Laboratory Practice regulation. Rats were randomly allocated 4 groups: vehicle control, 250, 500, 1,000 mg/kg test groups and administrated based on body weight for 28 d. The animals were observed for mortalities and clinical signs, body weight changes, food and water consumption. At the end of treatment period, blood and urine were collected and analyzed. Subsequently, the animals were sacrificed and subjected to gross pathological examination and organ weight measurement. The organs were preserved for histopathological examination. The results showed that there were no systemic toxicological effects related with the cricket ethanol extract in the 4 wk oral repeated dose toxicity study. It is considered that NOAEL of cricket ethanol extract is greater than 1,000 mg/kg/d and there was no target organ detected.