Korea’s Challenges Ahead—Lessons from Japan’s Experience / / Edda Zoli

• Autore: Zoli Edda
• Pubblicazione: Washington, D.C. : , : International Monetary Fund, , 2017
• Descrizione fisica: 1 online resource (19 pages) : illustrations (some color), graphs, tables
• Disciplina: 305.26095195
• Soggetto topico: Aging - Korea - History; Accounting; Inflation; Macroeconomics; Demography; Price Level; Deflation; Economics of the Elderly; Economics of the Handicapped; Non-labor Market Discrimination; Energy: Demand and Supply; Prices; Public Administration; Public Sector Accounting and Audits; Population & demography; Financial reporting, financial statements; Aging; Oil prices; Financial statements; Population and demographics; Public financial management (PFM); Population aging; Finance, Public
• Soggetto geografico: Korea Economic conditions; Korea, Republic of
• Nota di bibliografia: Includes bibliographical references.
• Sommario/riassunto: This paper draws out the parallels between Korea and Japan in terms of demographics, potential growth, balance sheets, asset prices and inflation. Korea’s demographic trends seem to track Japan’s with a lag of about 20 years. Low productivity in the service sector and labor market duality are common to both countries and need to be addressed with structural reforms. While Korea’s corporate balance sheets are stronger than Japan’s in the early 1990s, Korea needs to progress with the restructuring of nonviable firms to avoid the adverse consequences of delayed balance-sheet repair that Japan experienced. Given its strong fiscal balance sheet position, Korea can afford using fiscal policy actively to incentivize corporate restructuring and structural reforms and cushion their possible short-term adverse impact. Korea can prevent bubbles in asset prices that were at the origin of Japan’s initial crisis with the continued use of macroprudential policies. Although Korea does not appear to be headed toward deflation, new econometric analysis presented in the paper suggests that aging will exert a downward drag on its inflation going forward.
• Titolo autorizzato: Korea’s Challenges Ahead—Lessons from Japan’s Experience
• ISBN: 1-4755-6893-2
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Lingua di pubblicazione: Inglese
• Record Nr.: 9910162943403321
• Lo trovi qui: Univ. Federico II
• Serie: IMF Working Papers; Working Paper ; ; No. 2017/002