Regional Policy in Export-led Industrialization: The Korean Experience
Since the 1960s, Korea has experienced rapid industrialization and urbanization as the country has transformed itself into a semi-industrialized economy through an export-led development policy. The government has intervened selectively in industrial activities to alter resource allocation. With poor natural resources and little capital, the development efforts of the early 1960s focused on promoting labour-intensive light industries to gain comparative advantages in overseas markets. During this process, labour-intensive manufacturing activities became concentrated in the large metropolitan areas, particularly in Seoul and Pusan. The jobs created by manufacturing activities in these areas led to job-seeking out-migration from the rural areas. The concentration of workers and industrial activities in the major urban areas generated a synergistic effect to create agglomeration economies in a cumulative fashion.
KeywordsMigration Income Agglomeration Tated Tral
Unable to display preview. Download preview PDF.
- Chenery, H. and M. Syrquin (1975) Patterns of Development 1950–70 (Oxford University Press).Google Scholar
- Hong Sung Woong (1986) ‘On Agglomeration and Regional Equity: A Study of Productivity in Manufacturing and Migration’ (Seoul) (in Korean).Google Scholar
- Kim Heung Soo (1993) Evaluation of Public Investment for Urban Areas (Korea Research Institute for Human Settlements) (in Korean) (Seoul).Google Scholar
- KRIHS (Korea Research Institute for Human Settlements) (1991) A Growth Management Plan for the Capital Region (in Korean) (Seoul).Google Scholar
- Prud’homme, R. (1985) ‘Study on Regional Policy’, Aide-mémoire (mimeo).Google Scholar
- ROK (Republic of Korea) (1992) The Third Comprehensive National Development Plan 1992–2001 (Seoul: Government of the Republic of Korea).Google Scholar
- Sakong Il (1993) Korea in the World Economy (Seoul: Kimyoungsa Press) (in Korean).Google Scholar
- Vanhove, N. and L. H. Klassen (1980) Regional Policy: A European Approach (Saxon House).Google Scholar