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A Study on Economic Development Expenditureat Non-Metropolitan Area in Korea

BeungKy Oh 1

1순천대학교 지역개발연구소

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ABSTRACT

Local public expenditure of non-metropolitan(and Non-Capital) areas have been different from metropolitan(and Capital) areas. In other words, non-metropolitan areas have been much weight on the Economic Development Expenditure of total local public expenditure. Because local income and local public finance of these areas have been a low level, it is necessary to use local Economic Development Expenditure as efficiently as possible in order to grow its local economy. This thesis analyzes that which of local Economic Development Expenditure is more efficient and elastic for local economy's growth. According to the result of analysis, Industry & Economy Expenditure(which supported primary industry) have been more efficient than Regional Development Expenditure(which supported secondary and tertiary industry), from a standpoint of elasticity for local economic growth and in terms of lags. Therefore, to boost local economy and local income, the local governments of non-metropolitan area should increase the ratio of Industry & Economy Expenditure rather than Regional Development Expenditure.

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* References for papers published after 2023 are currently being built.

This paper was written with support from the National Research Foundation of Korea.
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