After five decades of rapid economic progress, South Korea's potential for sustained growth is faltering, owing to its working-age population's imminent decline and rising emerging-market competition. In order to improve its prospects, South Korea must maximize its human-capital resources by boosting women's employment rate.
SEOUL – Over the last half-century, South Korea has made considerable economic progress, with per capita income increasing from a mere $80 dollars in 1960 to more than $22,000 last year. But its potential for sustained growth is faltering, owing to the imminent decline of its working-age population – projected to fall by 25% by 2050 – and rising competition from China and other emerging economies. In order to improve its prospects, South Korea must pursue economic reform and restructuring, with an emphasis on maximizing its human-capital resources – especially women.
SEOUL – Over the last half-century, South Korea has made considerable economic progress, with per capita income increasing from a mere $80 dollars in 1960 to more than $22,000 last year. But its potential for sustained growth is faltering, owing to the imminent decline of its working-age population – projected to fall by 25% by 2050 – and rising competition from China and other emerging economies. In order to improve its prospects, South Korea must pursue economic reform and restructuring, with an emphasis on maximizing its human-capital resources – especially women.