1993 Articles

International Linkages of the Korean Economy: Simulations with the Korean Global Model

Boone, Peter; Lee, Jong-Wha; Sachs, Jeffrey D.

This paper introduces a dynamic general equilibrium model of the Korean economy. The Korean economy has nine producing sectors and is linked to other blocks in the world, which consist of the U.S., Japan, the rest of the OECD, OPEC, and other economies. Some simulation results are presented to show the functioning of the Korean economy and its linkages to the world economy given internal and external policy changes.