Estimates of Capital Stock and Capital/Output Coefficients by Industries: Korea (1953–86)

Intra-Industry Trade: The Korean Experience

“…According to Pyo (1988), total net physical capital stock in Korea increased by 13.0 percent per annum during 1973-86. In the manufacturing sector, the increase was 16.7 percent per annum during 1973-86.…”

Labor Surplus in Korea: A Reassessment

“…They also indicate that the turning point occurred (in expectation) in 1967, which is similar to the estimate obtained from examining wage data. 1950 1955 1960 1965 1970 1975 1980 1985 Sources: Pyo (1988), Bank of Korea (various years).…”

“…Presumably, then, labor income was by 1971 comfortably above this subsistence level. 2 1960 1965 1970 1975 1980 1985 Sources: Pyo ( 1988). Bank of Korea (various years).…”

“…Manufacturing capital-ratios began an uninterrupted climb by 1968, after nearly a decade of modest declines, consistent with labor absorption. As for agriculture, figure 6 combines Pyo's (1988) estimates for agricultural capital with the population in Korean farm households, with the latter collected by the Bank of Korea from the early 1950s on. The data show a sharp acceleration in the level of capital per member of the farm population beginning in 1968 and continuing without interruption.…”

“…At worst, a rise in the capital-labor ratio places a ceiling on the turning point. Pyo (1988) was able to create estimates for both overall and sector-specific capital stock for the period 1953-1986. The economy's total capital-labor ratio began to rise rapidly beginning in approximately 1966, although the lack of data on the manufacturing and total workforce before 1962 means that it is not certain that such ratios were constant prior to that.…”