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Economic Effects of Sunday Shopping Restriction in Korea: A Review

Jinook Jeong 1

1연세대학교

Accredited

ABSTRACT

There have been voluminous debates on the economic effects of the Sunday shopping restriction in Korea. This paper summarizes the issues on the restriction, critically reviews the previous researches, and proposes policy alternatives. First, the Sunday shopping restriction in Korea significantly lowers supply-side efficiency. Second, the restriction considerably reduces demand-side efficiency due to higher transaction costs. Third, there is no empirical evidence showing the restriction improves equity overall. Fourth, even if equity improvement occurs, there are a number of policy alternatives that can achieve the same equity effect with less efficiency loss.

Citation status

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

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