[Yoo Choon-sik] Saemaul Geumgo and trust in financial system

Some of the business irregularities involving MG Community Credit Cooperatives, better known as Saemaul Geumgo within the country, have again grabbed media headlines in recent weeks, even as their stretched exposure to the depressed real estate market remains a potential risk to South Korea’s financial stability. The Korea Economic Daily and other local media reported that Saemaul Geumgo cooperatives paid out some 500 billion won ($367 million) in dividends to their members last year, more

ViewpointsMay 7, 2024

[Robert J. Fouser] AI changes rationale for learning languages

As the AI boom spreads and puts down ever deeper roots, questions about the future of foreign language education have arisen. If AI can translate and interpret on demand, then why learn foreign languages in the first place? Is there some innate value in learning foreign languages that negates the convenience of AI? These questions are important for South Korea because foreign languages have an important place in the educational curriculum and in career development. Foreign language learning on a

ViewpointsMay 3, 2024

[Wang Son-taek] 'Lattice-like architecture' to manage alliances

Mr. Rahm Emanuel, the US ambassador to Japan, introduced the concept of "lattice-like architecture," which can be a new US alliance management system in the Indo-Pacific region, replacing the current "hub-and-spokes" system. Emanuel explained that the new system will help allies in the Indo-Pacific area work together and increase collective deterrence to counter China's coercive and aggressive behavior. The concept metaphorically describes several small-size cooperation

ViewpointsMay 2, 2024

[Richard K. Sherwin] Trump‘s enablers on Supreme Court

The fate of American democracy was on the US Supreme Court’s docket last week as lawyers argued over the nature and limits of presidential immunity. The case before the Court concerns federal criminal charges arising from former President Donald Trump’s alleged attempt to thwart the peaceful transition of power following the 2020 election. The acts charged include fraudulently asking state officials to “find” non-existent pro-Trump votes and coercing Vice President Mike P

ViewpointsMay 2, 2024

[Jeffrey Frankel] The election-devaluation cycle

The proposition that major currency devaluations are more likely to come immediately after, rather than before, an election is being tested anew. In the biggest voting year in history, the implications could be far-reaching. Economists will recall the Nobel laureate economist William D. Nordhaus’ influential 1975 paper, “The Political Business Cycle.” According to Nordhaus, in the year leading up to an election, governments are more inclined to pursue fiscal and monetary expans

ViewpointsMay 1, 2024

[Kim Seong-kon] Between the ‘Free World’ and authoritarian countries

Today, we are witnessing a sharp confrontation between authoritarian countries and democratic countries. It is like deja-vu for those of us who recollect the clashes between Communist countries and the “Free World” after World War II. Authoritarian countries have a nostalgic longing for their glorious past and dream of recovering their former power and territories. The democratic countries try to stop them from invading other countries and promote peaceful coexistence instead. So

ViewpointsMay 1, 2024

[Mariana Mazzucato, David Eaves] Central banks in a cashless world

Economics has always had a strange and much-debated relationship with money. For a long time, economists -- including Nobel laureates like Merton Miller and Franco Modigliani -- regarded money merely as a medium of exchange. But by building on the work of John Maynard Keynes and Hyman Minsky, economists have since moved beyond a narrow focus on the quantity of money to consider its structural influence on the real economy and the financial system. A structural understanding of money and finance

ViewpointsApril 30, 2024

[Grace Kao] Hybe vs. Ador: Inspiration, imitation and plagiarism

Min Hee-jin, CEO of Ador (a subsidiary of Hybe) has accused Hybe and its other subsidiary Belift Labs of plagiarism over the similarity between supergroup NewJeans (Ador) and new girl group Illit (Belift Labs). In turn, Hybe has asked Min Hee-jin to step down and has accused her of “breach of trust” in its press release. To any casual K-pop fan familiar with both groups, there is little doubt that Illit’s sound and choreography is reminiscent of NewJeans. However, many other ne

ViewpointsApril 29, 2024

[Yoo Choon-sik] What stellar GDP data masks

South Korea's economy expanded at a much faster pace than expected in the first quarter of this year, offering relief to those concerned about the severe slump experienced last year persisting for an extended period. This news is especially welcome for a country still grappling with domestic instability and uncertain global geopolitics. However, beyond the social and political instability at home and longstanding global geopolitics, there are other pressing issues that demand attention: t

ViewpointsApril 29, 2024

[Kim So-hyun] The quiet taxi driver from Paris

Last week, a man named Hong Se-hwa passed away at age 76. Those who were old enough to read Hong’s 1995 bestseller “I’m a Taxi Driver in Paris” remember him as a writer with a heart for the underdog and a social activist who lived up to his words. The book of essays was about Hong's experiences as a taxi driver in Paris, French society and where he thought Korean society should be headed. He wrote about the French concept and practices of tolerance toward differences

ViewpointsApril 26, 2024

[Career Compass] Preparing for a job interview?

I just graduated from university and will interview for a multinational company. What are the qualities the interviewers look for? How do I show my best self? Congratulations on your graduation. In addition to my opinion, I also sought insights from 20 multinational company executives. Here are the seven attributes that were considered the most significant. 1. Great attitude and curiosity This quality was the most frequently mentioned. An individual with a great attitude is more likely to be p

ViewpointsApril 25, 2024

[Takatoshi Ito] How risky is Japan‘s monetary-policy normalization?

Last month, the Bank of Japan took its first important step toward monetary-policy normalization. The BOJ ended its negative interest-rate policy, setting the policy rate between 0.0 percent and 0.1 percent. It abandoned yield-curve control, which had been introduced to keep the ten-year government bond yield around 0 percent. And it announced that it would taper off new purchases of exchange-traded funds and real-estate investment trusts, but maintain the current pace of government-bond purchas

ViewpointsApril 25, 2024

[Anya Schiffrin, Dylan W. Groves and Joseph E. Stiglitz] Quality journalism is more important than ever

Although news consumption soared during the COVID-19 pandemic, subscriptions have since fallen, and news outlets around the world have been laying off reporters or even shutting down altogether. That is bad news for all of us. Our new UNESCO brief highlights recent research that demonstrates just how important high-quality information is to a well-functioning economy, society, and democracy. New studies in economics and political science use rigorous methods to confirm what journalists already k

ViewpointsApril 25, 2024