Energy and growth in an open-economy: the Korean case

Journal Article · · J. Energy Dev.; (United States)

OSTI ID:6939982

Kim, I

Using a long term open-economy growth model and a short-term macroeconomic stabilization model, the author examines the relationships between energy and economic growth in Korea. The major issues of interest are the implications of energy effects for the steady state capital-labor ratio, equilibrium levels of domestic savings, and foreign borrowing. He also considers the case of a reverse oil shock, i.e., a decline in the oil price within the same framework. His analysis suggests that the government needs to take policy measures to speed up aggregate supply adjustment while slowing down the leftward shift of the aggregate demand schedule. Such an approach would minimize painful adjustment costs to the economy by avoiding a recessionary adjustment path. 7 figures, 10 tables.

• Research Organization: Korea Development Inst., Seoul
• OSTI ID: 6939982
• Journal Information: J. Energy Dev.; (United States), Journal Name: J. Energy Dev.; (United States) Vol. 9:1; ISSN JENDD
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700* -- Petroleum-- Economics
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
294002 -- Energy Planning & Policy-- Petroleum
ASIA
DEVELOPING COUNTRIES
ECONOMETRICS
ECONOMIC ANALYSIS
ECONOMIC GROWTH
ECONOMICS
ENERGY EXPENSES
ENERGY SUPPLIES
GOVERNMENT POLICIES
REPUBLIC OF KOREA