• Title/Summary/Keyword: historical change

Search Result 804, Processing Time 0.022 seconds

Assessing forest net primary productivity based on a process-based model: Focusing on pine and oak forest stands in South and North Korea (과정기반 모형을 활용한 산림의 순일차생산성 평가: 남북한 소나무 및 참나무 임분을 중심으로)

  • Cholho Song;Hyun-Ah Choi;Jiwon Son;Youngjin Ko;Stephan A. Pietsch;Woo-Kyun Lee
    • Korean Journal of Environmental Biology
    • /
    • v.41 no.4
    • /
    • pp.400-412
    • /
    • 2023
  • In this study, the biogeochemistry management (BGC-MAN) model was applied to North and South Korea pine and oak forest stands to evaluate the Net Primary Productivity (NPP), an indicator of forest ecosystem productivity. For meteorological information, historical records and East Asian climate scenario data of Shared Socioeconomic Pathways (SSPs) were used. For vegetation information, pine (Pinus densiflora) and oak(Quercus spp.) forest stands were selected at the Gwangneung and Seolmacheon in South Korea and Sariwon, Sohung, Haeju, Jongju, and Wonsan, which are known to have tree nurseries in North Korea. Among the biophysical information, we used the elevation model for topographic data such as longitude, altitude, and slope direction, and the global soil database for soil data. For management factors, we considered the destruction of forests in North and South Korea due to the Korean War in 1950 and the subsequent reforestation process. The overall mean value of simulated NPP from 1991 to 2100 was 5.17 Mg C ha-1, with a range of 3.30-8.19 Mg C ha-1. In addition, increased variability in climate scenarios resulted in variations in forest productivity, with a notable decline in the growth of pine forests. The applicability of the BGC-MAN model to the Korean Peninsula was examined at a time when the ecosystem process-based models were becoming increasingly important due to climate change. In this study, the data on the effects of climate change disturbances on forest ecosystems that was analyzed was limited; therefore, future modeling methods should be improved to simulate more precise ecosystem changes across the Korean Peninsula through process-based models.

The Relics of Wae Lineage and the Keyhole-Shaped Mounds in the Honam Area (호남지역(湖南地域)의 왜계자료(倭系資料)와 전방후원형고분(前方後圓形古墳))

  • Tsuchida, Junko
    • Korean Journal of Heritage: History & Science
    • /
    • v.51 no.2
    • /
    • pp.170-203
    • /
    • 2018
  • From the period of Japanese colonialism up to the present, the researchers of archaeology and ancient history in Korea and Japan have paid much attention to the Honam area. Recently the ruins and relics of Wae lineage are often discovered at archaeological excavation sites in this region. In particular, at least 17 keyhole-shaped mounds were confirmed. The fact that three mounds were built on one site was newly revealed. Haniwa, a representative earthenware object of the Kofun period in Japan, was discovered as well. Therefore, the study of a historical meaning of archaeological materials about Wae lineage in the Honam area thus far must be reexamined. The ruins and relics of Wae lineage in the Honam area have been studied by selecting only specific cases. I identified all the ruins and relics of Wae lineage in the Honam area and analyzed the process of their change in this paper. I reviewed the relationship between Wae and Mahan, and the purpose of their negotiation based on archaeological characteristics, changing processes, and historical records on a quarterly basis. The ruins and relics of Wae lineage have increased and widely spread since the early period of the 5th century in the Honam area. This tendency continued until the late period of the 6th century. Weapons of Wae lineage were introduced and tombs in the style of Wae were built from the late 4th century to the early period of the 5th century (TG232~TK216 period). Sueki was introduced from the middle to late period of the 5th century (TK208~TK23 period). Keyhole-shaped mounds and tombs in the style of Wae were built from the late period of the 5th century to the early period of the 6th century (TK47~MT15 period). Japanese weapons were introduced from the middle to late period of the 6th century (TK10~TK209 period). In other words, the archaeological appearance is different in each quarterly period. There was an intensive diplomatic relationship between Baekje and Wae in the TG232~TK216 period. The military might be included in a mission of Wae. The materials of Wae lineage of this period are likely to be related to this. Sueki spread to the inland part of the Honam area in the TK208~TK23 period. This Sueki tends to be excavated on advantageous sites for the accumulation and distribution of supplies. The main characters of the keyhole-shaped mounds are presumed to be a group of traders which were under the control of a certain influence in the north of Kyushu. The keyhole-shaped mounds were abruptly built at some distance from mounds of the leaders in the Honam area. Additionally, there was no special influence base to which the characters of the keyhole-shaped mounds belonged in the surroundings. However, it might have been impossible for the group of traders to build the keyhole-shaped mounds without the support from the residents at all because there was a big difference in the building technology of the keyhole-shaped mounds between Japan and the Honam area. The time of building some keyhole-shaped mounds is the same or almost the same with that of the mounds built for the regional leaders. This proves a close relationship with the residents as well. What do the archaeological materials of Wae lineage which have been used and buried mean over 200 years in the Honam area? Geumgwan Gaya, which had exported iron resources to Japan, perished in the early period of the 5th century. Instead of Gaya, the Honam area might have played an important role to supply the necessary resources to Japan. We assume that the Japanese (Wae) actively worked to acquire various resources focusing on the underground resources in the Honam area.

Characteristics of Everyday Movement Represented in Steve Paxton's Works: Focused on Satisfyin' Lover, Bound, Contact at 10th & 2nd- (스티브 팩스톤(Steve Paxton)의 작품에서 나타난 일상적 움직임의 특성에 관한 연구: , , 를 중심으로)

  • KIM, Hyunhee
    • Trans-
    • /
    • v.3
    • /
    • pp.109-135
    • /
    • 2017
  • The purpose of this thesis is to analyze characteristics of everyday movement showed in performances of Steve Paxton. A work of art has been realized as a special object enjoyed by high class people as high culture for a long time. Therefore, a gap between everyday life and art has been greatly existed, and the emergence of everyday elements in a work of art means that public awareness involving social change is changed. The postmodernism as the period when a boundary between art and everyday life is uncertain was a postwar society after the Second World War and a social situation that rapidly changes into a capitalistic society. Changes in this time made scholars gain access academically concepts related to everyday life, and affected artists as the spirit of the times of pluralistic postmodernism refusing totality. At the same period of the time, modern dance also faced a turning point as post-modern dance. After the Second World War, modern dance started to be evaluated as it reaches the limit, and at this juncture, headed by dancers including the Judson Dance Theatre. Acting as a dancer in a dance company of Merce Cunningham, Steve Paxton, one of founders of the Judson Dance Theatre, had a critical mind of the conditions of dance company with the social structure and the process that movement is made. This thinking is showed in early performances as an at tempt to realize everyday motion it self in performances. His early activity represented by a walking motion attracted attention as a simple motion that excludes all artful elements of existing dance performances and is possible to conduct by a person who is not a dancer. Although starting the use of everyday movement is regarded as an open characteristic of post-modern dance, advanced researches on this were rare, so this study started. In addition, studies related to Steve Paxton are skewed towards Contact Improvisation that he rose as an active practician. As the use of ordinary movement before he focused on Contact Improvisation, this study examines other attempts including Contact Improvisation as attempts after the beginning of his performances. Therefore, the study analyzes Satisfyin' Lover, Contact at 10th & 2nd and Bound that are performances of Steve Paxton, and based on this, draws everyday characteristics. In addition, related books, academic essays, dance articles and reviews are consulted to consider a concept related to everyday life and understand dance historical movement of post-modern dance. Paxton attracted attention because of his activity starting at critical approach of movement of existing modern dance. As walking of performers who are not dancers, a walking motion showed in Satisfyin' Lover gave esthetic meaning to everyday movement. After that, he was affected by Eastern ideas, so developed Contact Improvisation making a motion through energy of the natural laws. In addition, he had everyday things on his performances, and used a method to deliver various images by using mundane movement and impromptu gestures originating from relaxed body. Everyday movement of his performances represents change in awareness of performances of the art of dancing that are traditionally maintained including change of dance genre of an area. His activity with unprecedented attempt and experimentation should be highly evaluated as efforts to overcome the limit of modern dance.

  • PDF

An Essay on the Change of Jinju Sword Dance after being designated as an Important Intangible Cultural Asset (<진주검무> 중요무형문화재 지정 이후의 변화에 관한 소고)

  • Lee, Jong Sook
    • Korean Journal of Heritage: History & Science
    • /
    • v.49 no.1
    • /
    • pp.4-21
    • /
    • 2016
  • The purpose of this study is to investigate changes of Jinju Sword Dance, characteristics of the changes, and the current condition of its preservation and succession after the designation as the important intangible cultural property no. 12 in January 16th, 1967. In other words, this study understands the situation which has established the present state of after changes over generations. As of now. the year of 2015, the 3 generation holders have been approved since 1967. In 1967, 8 members of $1^{st}$ generation holders were selected from gisaengs of Gwonbeon. However, the succession training was incomplete due to conflicts among the holders, the deaths of some holders, and economic activities of the individuals. As the need of a pivot for succession training and activities was rising, Seong, Gye-Ok was additionally approved as the $2^{nd}$ generation holder on June $21^{st}$, 1978. Seong, Gye-Ok who had never been a gisaeng had dramatically changed with a lot of new attempts. After the death of Seong, Gye-Ok in 2009, Kim, Tae-Yeon and Yu, Yeong-Hee were approved as the $3^{rd}$ generation holders in February, 2010. Based on the resources including the "Cultural Research Reports of Important Intangible Cultural Properties" in 1966 and videos up to 2014, the changes of the dance and surroundings are as follow. 1. The formation of musical accompaniment has been changed during the 3 generations. In the video of the $1^{st}$ generation(in 1970), the performance lasted about 15 minutes, whereas the performance lasted 25 minutes in the video of the $2^{nd}$ generation. Yumbuldoduri rhythm was considered as Ginyumbul(Sangryeongsan) and played more slowly. The original dance requiring only 15 rhythms was extended to 39 rhythms to provide longer performance time. In the $3^{rd}$ generation, the dance recovered 15 rhythms using the term Ginyumbul. The facts that Yumbul was played for 3 minutes in the $1^{st}$ generation but for 5 minutes in the 3rd generation shows that there was tendency pursuing the slowness from the $2^{nd}$ generation. 2. For the composition of the Dance, the performance included additional 20 rhythms of Ginyumbul and Ah(亞)-shaped formation from the $2^{nd}$ generation. From the $3^{rd}$ generation, the performance excluded the formation which had no traditional base. For the movement of the Dance, the bridge poses of Ggakjittegi and Bangsukdoli have been visibly inflexible. Also, the extention of time value in 1 beat led the Dance less vibrant. 3. At the designation as an important intangible cultural property (in 1967), the swords with rotatable necks were used, whereas the dancers had been using the swords with non-rotatable necks since late 1970s when the $2^{nd}$ generation holder began to used them. The swords in the "Research Reports" (in 1966) was pointy and semilunar, whereas the straight swords are being used currently. The use of the straight swords can be confirmed from the videos after 1970. 4. There is no change in wearing Jeonlib, Jeonbok, and Hansam, whereas the arrangement of Saekdong of Hansam was different from the arrangement shown in the "Research Reports". Also, dancers were considered to begin wearing the navy skirts when the swords with non-rotatable necks began to be used. Those results showed that has been actively changed for 50 years after the designation. The $2^{nd}$ generation holder, Seong, Gye-Ok, was the pivot of the changes. However, , which was already designated as an important intangible cultural property, is considered to be only a victim of the change experiment from the project to restore Gyobang culture in Jinju, and it is a priority to conduct studies with historical legitimacy. First of all, the slowing beat should be emphasized as the main fact to reduce both the liveliness and dynamic beauty of the Dance.

Future Changes in Global Terrestrial Carbon Cycle under RCP Scenarios (RCP 시나리오에 따른 미래 전지구 육상탄소순환 변화 전망)

  • Lee, Cheol;Boo, Kyung-On;Hong, Jinkyu;Seong, Hyunmin;Heo, Tae-kyung;Seol, Kyung-Hee;Lee, Johan;Cho, ChunHo
    • Atmosphere
    • /
    • v.24 no.3
    • /
    • pp.303-315
    • /
    • 2014
  • Terrestrial ecosystem plays the important role as carbon sink in the global carbon cycle. Understanding of interactions of terrestrial carbon cycle with climate is important for better prediction of future climate change. In this paper, terrestrial carbon cycle is investigated by Hadley Centre Global Environmental Model, version 2, Carbon Cycle (HadGEM2-CC) that considers vegetation dynamics and an interactive carbon cycle with climate. The simulation for future projection is based on the three (8.5/4.5/2.6) representative concentration pathways (RCPs) from 2006 to 2100 and compared with historical land carbon uptake from 1979 to 2005. Projected changes in ecological features such as production, respiration, net ecosystem exchange and climate condition show similar pattern in three RCPs, while the response amplitude in each RCPs are different. For all RCP scenarios, temperature and precipitation increase with rising of the atmospheric $CO_2$. Such climate conditions are favorable for vegetation growth and extension, causing future increase of terrestrial carbon uptakes in all RCPs. At the end of 21st century, the global average of gross and net primary productions and respiration increase in all RCPs and terrestrial ecosystem remains as carbon sink. This enhancement of land $CO_2$ uptake is attributed by the vegetated area expansion, increasing LAI, and early onset of growing season. After mid-21st century, temperature rising leads to excessive increase of soil respiration than net primary production and thus the terrestrial carbon uptake begins to fall since that time. Regionally the NEE average value of East-Asia ($90^{\circ}E-140^{\circ}E$, $20^{\circ}N{\sim}60^{\circ}N$) area is bigger than that of the same latitude band. In the end-$21^{st}$ the NEE mean values in East-Asia area are $-2.09PgC\;yr^{-1}$, $-1.12PgC\;yr^{-1}$, $-0.47PgC\;yr^{-1}$ and zonal mean NEEs of the same latitude region are $-1.12PgC\;yr^{-1}$, $-0.55PgC\;yr^{-1}$, $-0.17PgC\;yr^{-1}$ for RCP 8.5, 4.5, 2.6.

Investigation of conservation state on the waxed volumes of annals of the Joseon Dynasty (조선왕조실록 밀납본의 보존상태 조사)

  • Jeong, So-Young;Lee, Hye-Yun;Chung, Yong-Jae;Hong, Jung-Ki;Eom, Doo-Sung
    • 보존과학연구
    • /
    • s.25
    • /
    • pp.119-132
    • /
    • 2004
  • Annals of the Joseon Dynasty is the authentic record of the historical facts and events taken place throughout the entire period of 472 years(25 generations, 1392~1863)described in a chronological order. The tremendous volume of the records contains the factual events taken place in almost all the fields of the Joseon Dynasty ranging from politics, economy to history of the dynasty. Not only because of its affluent contents but also with the precision of its records, it was designated as the National Treasure No. 151 in1973 by the Korean government and also registered as the Memory of the World by UNESCO in October 1997.This study is to report a exhaustive investigation results on the conservation state of annals of the Joseon Dynasty, especially Mt. Jeongjoksan edition, under the storage of the Kyujanggak in order to obtain the current condition, and thereby to estimate the any deterioration of the waxed volumes in the future. According to results of the investigation, we are going to verify damage causes of annals of the Joseon Dynasty, and to consider scientific conservation methods for the permanent preservation of invaluable cultural heritage. The major problem with the preservation of annals has arisen particularly from the deterioration of the waxed volumes of the Mt. Jeongjoksan edition. In order to provide for the counter measures for this problem, we have conducted twice investigations(first :1998~1999, second : 2003) to the internal and external conditions of waxed volumes(Annals of King Taejo~Annals of King Myeongjong).The result of the investigation has indicated that the paper quality of the some of the waxed volumes (Annals of King Taejong~Annals of King Sejong) is cracked and folded and the pages are imbedded to each other due to the hardened or congealed wax on the paper. Some of the pages are even getting moldy. And in order to detect as to whether“ there has been any deterioration progressed to the waxed books in the modern storage facility of the Kyujanggak equipped with constant temperature and humidity condition, the first investigation(1998~1999) and the second investigation(2003) have recorded the values of acidity, whiteness and moisture rate of the waxed paper, reporting an observation that there has been no difference on the measuring items. This indicates that no virtual deterioration has been progressed so far to the waxed volumes preserved in the Kyujanggak. Also, except for the causes of deterioration to the paper by insects and microorganisms, the major cause for the paper damage seems to the change of moisture of the paper caused from the alteration of the temperature and humidity of the storage environment. With this understanding in mind, we have conducted an environmental investigation on the three selected points of the storage in the aspects of the temperature, humidity, air current, $CO_2$,HCHO, and $SO_2$.It has been observed that the temperature stood at $16.9^{\circ}C~20.2^{\circ}C$ and the humidity was stable between 53%~56% during the period of the investigation. The concentration of the carbon monoxide and carbon dioxide of the storage were very similar to those in the air. These data lead to presume that there is no problem in the aspect of carbon oxidization. But the concentration of sulfur dioxide, hydrogen sulfide and formaldehyde of the storage were detected a little higher than those of standard. Therefore, we consider that it is necessary to ventilate the internal air of the store room by means of operating air purification devices.

  • PDF

A Study on the Setting Process and Formational Characteristics of the Seonyu Eight Scenic in Gogunsan Islands (고군산 선유팔경(仙遊八景)의 설정과정과 집경(集景) 특성)

  • Jung, Woo-Jin;Hwang, Guk-Woong
    • Journal of the Korean Institute of Traditional Landscape Architecture
    • /
    • v.37 no.4
    • /
    • pp.32-50
    • /
    • 2019
  • The present study examines the circumstances around the establishment of the Seonyu Eight Scenic Spots (仙遊八景) in Gogunsan Islands and the characteristics of the landscape of each viewing point. The study conclusions are as follows. First, since the scenic spots were first established in 1969, their content and sequences have been changed several times, and their names have also been changed to some extent. Until the 1970s, these scenic spots did not have official names for them and were often specified as 'Gogunsan Eight Scenic Spots', and excluded 'the Musan Twelve Peaks (巫山十二峰)'. In addition, viewing points of the eight scenic spots varied across periods. This suggests that, for the early form of Seonyu Eight Scenic Spots, the picturesque scenery of Gogunsan Islands, and Seonyudo Island in particular, was chosen, while eight scenic spots in its vicinity were regarded. Second, the Seonyu Eight Scenic Spots of the early 2000s, which has all eight scenic spots of now, follows the nomenclature of the traditional eight scenic spots by specifying the sequence number with a refined name in four syllables. Its first scenic spot was Mangju Waterfall (望主瀑布) and its eighth scenic spot was Seonyu Sunset (仙遊落照); currently, the first scenic spot is Seonyu Sunset and the second scenic spot is Mangju Waterfall. Such change in the sequence of viewing points resulted from differences in representative landscape resources between the periods. Third, the lack of structure and finesse due to continuous changes is directed related to the identity issue of the Seonyu Eight Scenic Spots. Above all, it is unclear by whom and when Seonyu Eight Scenic Spots was established, and there are clear traces of following the eight scenic spots in the neighboring areas such as Okgu (沃溝) and Impi (臨陂)'s Eight Scenic Spots. Moreover, it is evaluated to have an unrefined, incomplete structure due to the lack of clarity in the knowledge and information about viewing objects, when to view, and historical and cultural background. Fourth, the first scenic spot, Seonyu Sunset, has the image that dominates the entire Eight Scenic Spots. The temporary landscape, the sunset, became the best view because it was perceived as the entirety of the landscape created by the fusion of the beautiful natural elements of Seonyudo Island. Therefore, there is ample room for raising the value of other landscape resources of Gogunsan Islands by utilizing the existing perception of exploring the entire landscape of Seonyudo Island and Gogunsan Islands starting with Seonyu Sunset. This likely requires additional work to imbue each viewing point with identity and completion.

The Ownership Structure of Korea's Big Business Conglomerates and Its Policy Implications (우리나라 기업집단(企業集團)의 소유(所有)·경영구조(經營構造)와 정책대응(政策對應))

  • Yoo, Seong-min
    • KDI Journal of Economic Policy
    • /
    • v.14 no.1
    • /
    • pp.3-36
    • /
    • 1992
  • "Corporate control by owners" characterizes the current structure of ownership, control and management of big business groups in Korea. It has become an ever more serious obstacle for the Korean economy to end its distinctive "personal capitalism" and to transform the current system into people's capitalism. The current issue, the deconcentration of ownership, through the course of heated debates should be treated from an integrated perspective. That is, the debate should center on the concentration of economic power and it effects on national economy, instead of sticking to the issue of ownership-control issue per se. This paper, by referring to the historical experiences and development paths which advanced countries have already traveled, analyzes the respective aspects of the concentration issue in a rather descriptive and taxonomist manner - market concentration, business diversification, ownership concentration, integrated management of conglomerates, i.e., managing in groups' unit, and the roles of financial institutions. The government policies against the concentration of economic power have so far focused on the size of big business groups and their diversification activities. The two major policy measures are restrictions on cross-ownership and excess capital investment by big business groups, and controls on their credit deals. This paper strongly suggests that the government should change its current priorities in targeting its policies against concentration. The government should reduce the regulations on size and diversification, and focus its policies on substantial dispersion of corporate ownership. The efficacy of government intervention in the management and control of business enterprises seems quite dubious and even anachronistic given the extent of maturity of Korean firms. Therefore, it should be noted that the current regulation-oriented stance taken by the government against the management style of big business groups should be suppressed, as it has assumed some a priori and typical pattern in advance in directing big business groups, such as independent and specialized management in respective firms' unit. This paper, also, raises the need for introducing new regulations on inter-sectoral diversifications between finance, industry and the press.

  • PDF

A Study on the Heritage Value through the Analysis about the Preservation Status of Historic Urban Environment - Focusing in Suwon Hwaseong Fortress - (역사적 도시환경의 보존형태 분석을 통한 유산적 가치 고찰 - 수원 화성을 중심으로 -)

  • Gil, Ji-Hye;Hwang, Kee-Won;Son, Yong-Hoon
    • Journal of the Korean Institute of Traditional Landscape Architecture
    • /
    • v.33 no.2
    • /
    • pp.67-77
    • /
    • 2015
  • The purpose of this paper is to draw historic valuable resources to conserve through the analysis about the preservation status of historic urban environment in Suwon Hwaseong Fortress. As for the conservation of urban environment, it is important to protect the resources showing historical continuity and to manage the resources remaining characteristics of place, the analysis of the preservation status is focused on the perspective of preservation of physical form and land use. This paper makes progress through three phases. First, in order to understand urban environment in Hwaseong Fortress overall, it compares land registration original map in 1911 to current map in 2014 by the four items of topography, water environment, streets and sites. Next, changes of four items in urban environment have been reviewed further by the research of maps, relative literatures, field survey and interview, and are classified according to the criteria of preservation-partially preservation-disappearance. After analysing preservation status, valuable urban historic cultural resources are drawn separately by being preserved continually and by being preserved partially but remaining characteristics of place. As a result, natural factors of topography and waterway and urban factor of streets are remained considerably preserved. And even if these factors are changed, the ground environment features support to understand historic urban context. Second, as preservation of topography, water environment, streets and sites are closely related to each other, integrated conservation frameworks are needed to enhance urban historic landscape. Third, modern historic resources in Hwaseong are remained unchanged and thus it is necessary to understand urban historic environment by the layers of various times besides Joseon Dynasty period. Fourth, historic sites and streets which had been preserved through urban development process are destroyed by recent historic cultural restoration policies, therefore urban historic resources worthy of conservation should be treated prudently.

A Theory on the Scope of Financial Activity (금융(金融)의 전업(專業) 및 겸업화(兼業化) 이론(理論): 금융산업조직론(金融産業組織論)의 모색(摸索))

  • Jwa, Sung-hee
    • KDI Journal of Economic Policy
    • /
    • v.13 no.1
    • /
    • pp.167-197
    • /
    • 1991
  • This paper is intended as an introductory essay to explain endogenous changes in the scope of firm activities in the competitive structure of a deregulated, multi-product financial industry. Recently, the global financial industry has been experiencing a widespread reshuffling in its activities, reflecting both consolidation and specialization. The spread of the universal banking system, which involves the integration of various kinds of financial activities, has resulted in the so-called financial supermarket. At the same time, the traditional set of banking activities has been unbundled into so-called financial boutiques. A relevant question is where the current reshuffling process of integration and disintegration in financial activities might lead the financial industry. However, presently popular theories of the financial industry are not really appropriate for the analysis of this issue. This paper attempts to integrate the theory of specialization [George J. Stigler, "The Division of Labor is Limited by the Extent of the Market," Journal of Political Economy, Vol. LIX, No.3, June 1951] and the theory of the multi-product firm [William J. Baumol, John C. Panzar, and Robert D. Willig, Contestable Markets and the Theory of Industry Structure, Harcourt Brace Jovanovich, Inc., New York, 1982] and to apply the resulting hybrid theory, a theory on the scope of financial activity, to the financial industry. The implications of this theory for the issues raised above are formalized under five hypotheses on the reshuffling of financial activities as listed below: Hypothesis I: The differences in the organization of financial industries among countries are determined by differences in the size of the financial markets, other things being equal. Hypothesis II: A financial firm will separate those financial activities simultaneously having relatively strong economies of scale and relatively weak economies of scope (alternatively, diseconomies of scope) from other activities. Conversely, the firm will integrate those activities simultaneously having relatively weak economies of scale (alternatively, diseconomies of scale) and relatively strong economies of scope with incumbent activities. Hypothesis III: A competitive equilibrium in the deregulated financial industry will consist of both specialized and multi-product financial firms, resulting in a mixed form of specialized and universal banking systems. Hypothesis IV: As world financial markets fully integrate and all countries consequently face this single, common world market, the financial structures of individual countries will become increasingly similar. Hypothesis V: A more universal banking system will dominate the deregulated financial industry in countries with relatively small financial markets, while a more specialized banking system will dominate in countries with relatively large financial markets. However, equilibrium will ultimately be mixed, with specialized and universal banks coexisting, as stated in Hypothesis III. Based on these hypotheses, this paper interprets the historical development of specialized vs. universal banking systems in major industrial countries as a process driven by the evolution of the financial market in each country - i.e. the change in the size of the financial market over time. In addition, this paper anticipates that the final equilibrium of the world financial industry, which is currently under the pressure of financial innovations and deregulation, will be a mixed equilibrium with both specialized boutiques and universal supermarket-type financial firms, instead of an exclusively specialized or universal banking system. Future research should seek continued theoretical elaboration and empirical verification of this paper's hypotheses.

  • PDF