Does Europe Have a Korean Option?
The eurozone could learn from the experience of Korea, which came through its crisis in the late 1990's more quickly than anyone expected, combining sensible reforms with a rapid recovery. The key was a large depreciation of the currency, the won – just as depreciation of the euro seems to be one likely way that the eurozone will turn the corner.
https://prosyn.org/h444saC
WASHINGTON, DC – On the surface, at least, the situation in the eurozone today and South Korea in the fall of 1997 look very different. Both are cases of severe economic crisis, to be sure. But the eurozone’s problems stem from high levels of government debt, while South Korea faced massive capital flight and a collapsing currency – and almost all of the debt was in the corporate sector.