2007, Vol.16, No.1

Journal of Regulation Studies 2023 KCI Impact Factor : 0.78

pISSN : 1738-7132
https://journal.kci.go.kr/ksrs2002

Korea Fair Trade Commission drastically changed Fair Trade Act, in particular, codes of regulation on unfair collusion in the end of 2004. This study investigates the effect of the regulation change on the formation of cartel, antitrust damage suit, and the imposition of administrative fine. And also, this research explores on the types of abuse in the levy of administrative fine through the deep analysis of the existing judicial precedent cases. This study suggest that the government agency should asses the basic fine on the basis of proper damage estimation, not on the basis of the certain percentage of gross sales. This legal approach may help the consistency, the stability, and predictability of legal enforcement. This study also suggest that at the stage of active antitrust damage suit, the financial remedy rely on damage suit and the fine focus on administrative regulation reflecting dead weight loss and enforcement cost due to the collusion in oligopoly market. The punitive compensation system needs to be introduced restrictively in hard-core cartels.

International Investment Agreements include a clause requiring compensation for indirect expropriation, which is a state measure that substantially impairs the value of investment without necessarily assuming ownership of the investment. The investment chapter of the KORUS FTA which is being negotiated will also include the clause. This paper examines the controversial issues surrounding this clause and explores some implications for the Korea's property rights protection system. Korea's legal system is generally consistent with the rules on indirect expropriation provided in the investment agreements. The case of reverse discrimination to the detriment of the nationals is not so likely. It is not a legitimate concern that this clause will exert a chilling effect on government's decisions to regulate in the public interest. KORUS FTA is an opportunity to improve the Korea's property rights protection system. The domestic procedures for remedies need to be more effective. The policy makers should consider other viable alternatives, when available, to meet required objectives while minimizing the potential impact on the property rights.

Since the bill on basic old age pension proposed by the ruling party and the government has passed through the National Assembly, and the ruling party and the main opposition party agreed on carrying the temporary bill on National Pension Reform in April 2007, in Korea we have a growing prospect of the success in National Pension Reform which has started in 2003. But regardless of whether the National Pension Reform bill will pass or not in the National Assembly in 2007, it is believed that additional reform will be needed to strengthen the financial sustainability of National Pension System with discussion about a long-term pension finance structure of National Pension. This study presents a funded Defined Contribution type individual account program as an effective and feasible reform model for the case that a partial funded pension system with a high level of reserve is considered as an optimal long-term pension finance structure of National Pension System. The reform model includes the program for decentralized decision on asset portfolio, the introduction of a default fund for passive account holders, the introduction of the minimum guarantee pension to reduce market risk inherent in asset management.