The Journal of Northeast Asia Research 2023 KCI Impact Factor : 0.75
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pISSN : 2005-4432
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The Impact of Economic Globalization and Political Development on the Welfare System in Korea : From Efficiency to Compensation
- The Journal of Northeast Asia Research
- Abbr : NEA
- 2013, 28(1), pp.189-223
- DOI : 10.18013/jnar.2013.28.1.007
- Publisher : The Institute for Northeast Asia Research
- Research Area : Social Science > Political Science > International Politics > International Relations / Cooperation
1고려대학교
Candidate
ABSTRACT
The efficiency theory argues that economic globalization limits public welfare spending in order to attract and retain mobile capital since the increase of government social spending undermines economic efficiency and the competitiveness of domestic firms in the globalized markets. On the other hand, compensation approach contends that governments are more likely to increase public expenditures in response to global economic integration, focusing on the social demands for social protection and the political motifs of political leaders to respond to such demands. Welfare spending in Korea has expanded as its economy has been integrated into the global market. The development of the welfare system can be explained by the interaction between political transition from an authoritarian to a democratic system and economic globalization. The democratic and progressive characteristics of the Kim Dae-jung government enabled the state to compensate the economic dislocations caused by economic globalization.
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