Importance of Korean development model rising

By Kim Young-jin

Staff reporter

South Korea’s spectacular rise as an economy and democracy provides a valuable model for up-and-coming countries, experts said Wednesday in Washington, D.C.

At a forum co-organized by the Asia Foundation, scholars discussed the lessons to be learned from Korea’s transformation from one of the world’s poorest nations to rank as the 14th largest economy.

The forum came as the country, the first to evolve from a major recipient of aid to a donor nation, is considering exporting its development model abroad.

Lee Jay-min, a professor at Yonsei University, underlined the importance of an outward-looking development strategy and global integration in creating a powerful economy.

He said that while other underdeveloped countries attempted to reduce foreign dependency by bolstering local production of industrialized products, Korea got ahead by employing a timely export-oriented approach.

“All economic miracles in the last sixty years have occurred through raising the degree of integration,” he said. “Integration is a necessary condition for successful growth, making it possible to access the market, capital and technology provided by advanced countries.”

During its industrialization, Korea was able protect its domestic market, give subsidies to its industries, and regulate foreign investment by exporting freely to advanced countries.

Professors Kwack Sung-yeung of Howard University and Lee Young-sun of Hallym University pointed to uncompromising leadership as key for emerging countries, citing that of former President Park Chung-hee, who spearheaded the industrialization.

His determination to break, once and for all, the vicious cycle of poverty and economic stagnation inspired the Korean people to come together and mobilized Korea's resources for national reconstruction, they said.

Kwak and Lee said Korea’s zeal for education as well as government expansion of educational institutions also contributed greatly to the rise.

Looking to the future, Professor Park Myung-lim of Yonsei University said the country can expand on the model by acting as a regional mediator.

According to Park, such a role would help stabilize East Asia, where economic cooperation is increasingly important but major powers still jockey to secure their interests.

By playing a bridging role between the security power of the United States and the economic clout of China, the South can become a “peace hub to promote East Asian cooperation,” he said.