Parallel economies ¨é

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The government could, of course, spread the cost over time by borrowing abroad: there is no reason why today¡¯s Koreans should pay the full cost of reunifying their country. And in principle, North Korea¡¯s productivity might catch up with the South¡¯s quite rapidly. Because capital is scarce in the North, returns should in theory be high. Investors will be drawn to its promising location, its raw materials and its workers, who are young, reasonably well educated and cheap. (Many South Korean and Chinese firms have already taken the plunge. Hyundai Asan and Korea Land Corporation, for example, run the Kaesong Industrial Complex a few miles inside the North. It hosts 116 factories, employing 40,000 North Koreans, producing over $20m-worth of textiles, chemicals, electronics and other goods a month.)
Despite North Korea¡¯s obstinate commitment to central planning, the market is growing like a vine in the cracks of the socialist edifice. In their new book, ¡°Witness to Transformation¡±, Stephan Haggard and Marcus Noland document this market reform ¡°from below¡±, drawing on surveys of refugees in South Korea and China. They find that 62% of the refugees in China had relied on the market as their primary source of food only 3% relied on the state. And almost 70% of the refugees said they got more than half of their income from some form of private enterprise, such as selling crops or repairing bikes.
North Koreans have turned to the market out of sheer desperation. During the famine of the mid-1990s, for example, the public distribution system broke down, forcing households to rear livestock, collect acorns and sea algae, or cultivate crops in their kitchens. Informal markets sprouted, as people either bent the law or defied it. In 2002 some of these exchanges were decriminalised. But from 2005 the regime cracked down again.

A. ¾îÈÖ
productivity »ý»ê¼º. catch up with µû¶óÀâ´Ù. scarce ºÎÁ·ÇÑ.
returns â¥ìÌ(¼öÀÍ), ¼öÀÔ, º¸´ä. in theory À̷лóÀ¸·Î´Â.
reasonably »ó´çÈ÷, ÇÕ¸®ÀûÀ¸·Î. take the plunge ¸ðÇèÇÏ´Ù, °ú°¨È÷ ÇÏ´Ù.
Land Corporation ÅäÁö°ø»ç. Industrial Complex °ø¾÷´ÜÁö.
textiles Á÷¹°. chemicals È­ÇÐÁ¦Ç°. obstinate ¿Ï°íÇÑ.
commitment ¹æÄ§, Çå½Å, Âü¿©. vine µ¢±¼. cracks °¥¶óÁø Æ´.
edifice °ÇÃ๰, ±¸Á¶¹°, üÁ¦. Witness ¸ñ°ÝÀÚ. Transformation º¯Çü.
document º¸µµÇÏ´Ù, îðËà(Àü°Å)¸¦ º¸ÀÌ´Ù. refugees ÑñÚÅ(³­¹Î), ¸Á¸íÀÚ.
primary 1Â÷ÀûÀÎ. enterprise »ç¾÷, ±â¾÷, ±âȹ.
sheer âíîï(¼øÀü)ÇÑ, ¿ÏÀüÇÑ. desperation ÇÊ»çÀûÀÓ, Àý¸Á, ¿­¸Á.
famine ÑÇÐÏ(±â±Ù). distribution system ¹è±Þü°è.
rear ±â¸£´Ù, »çÀ°ÇÏ´Ù. livestock °¡Ãà. acorn µµÅ丮.
algae ðÝ×¾(Á¶·ù). cultivate °æÀÛÇÏ´Ù. sprout ½ÏÀÌ Æ®´Ù.
exchanges »ó°Å·¡. decriminalise ó¹ú´ë»ó¿¡¼­ Á¦¿ÜÇÏ´Ù, ú°Ð×(ÇØ±Ý)ÇÏ´Ù.
cracked down ¾öÇÏ°Ô ´Ü¼ÓÇÏ´Ù.
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