Introduce a case study of the Korean industrial (or trade) policy Essay

Introduce a case study of the Korean industrial (or trade) policy - Essay ExampleDomestic savings were very low, and there was little forthcoming domestic capital. This obstacle was overcome by introducing foreign loans and inaugurating attractive domestic interest rates that enticed topical anaesthetic capital into production. Of South Korea, Taiwan, Hong Kong, and Singapore, only South Korea financed its economic development with a dramatic build-up of foreign debt, debt that be US$46.8 billion in 1985, making it the fourth largest Third World debtor (Wikimedia Foundations, Inc).It was this strategy that worked head for Korea. Specifically, The government mobilized domestic capital by encouraging savings, determined what kinds of plants could be constructed with these funds, and reviewed the potential of the products for export. In this sense, the leave of the government to undertake economic development played a crucial role the role of the government, however, was not limite d to such measures as mobilizing capital and allocating investments (Wikimedia Foundations, Inc).It was vast savings and investment that brought Korea to instant stardom. However, it was trade liberalisation that made it surpass a perilous regional economic crisis The Asian Economic Crisis in 1997.Koreas providence has achieved an impressive recovery from the Asian crisis, with its GDP per capita having been restored to pre-crisis levels, according to a report on the trade policies and