Financial Crisis in South Korea in 1997 Research Paper

Financial Crisis in South Korea in 1997 - Research Paper Example The ration between GDP and foreign reserves was less than 30%. It was the lowest ration throughout the developing countries at global scale, even less than several advanced countries as well. Annual budget had also a balanced composition. Therefore, due to this macro analysis, numbers of economic institutions including IMF had no idea of occurrence of an economic crisis that had affected Southeast Asian countries during the summers of 1997 (5). The crisis was so massive that lots of financial experts had predicted a likely sovereign default of South Korea. South Korea, after great struggle, could hardly manage to survive by getting support from IMF, friendly countries, and several other institutions. The extent of economic downturn of South Korea can be evaluated and measured more accurately by utilizing the five macroeconomic parameters i.e. GDP rate, Inflation rate, Unemployment rate, and Interest rate. Korean GDP rate observed a steady phase during 1990 to 1996 as it remained betw een 5.9 to 9.4% with an average growth of about 7.9% per year. Due to financial crisis and reduced exports, the GDP growth experienced a downward trend in 1997. It dropped to a negative 6.8% in 1998. Mishkin and Hahm (2000) described four basic factors which as a combined effect lead to the financial instability. These factor include financial deterioration in in terms of balance sheets, increasing interest rates, worsening of nonfinancial balance sheets, and upturn in uncertainty. All these factors were rightly observed as a source of financial crisis in South Korea. Due to prompt survival of national economy and by the help of IMF, a recovery was observed in 1999 and 2000 (Hardy & Pazarbasioglu, 1998). The main objectives of this paper are to analyze the historical perspective of different economic policies in different political regimes and what did they contribute as well as to discuss the factors that contributed towards this credit-crunch. The role of IMF is discussed briefly that how it affected and supported the country financially. At the end of the paper, a conclusion is drawn, based upon different policies and findings, and few recommendations are suggested for the Korean government in terms of future perspectives. Economic Policies and Performances After independence in 1945, South Korea observed a great financial progress as well as declining phases. These economic ups and downs have been based on numbers of different economic policies which have been devised by different governments in different scenario. These policies could be the reconstructing of institutions (1945-1961), export promotion and growth policies (1961-1972), recovery and stabilization (1973-1981), adjustment and expansion era (1982-1996) or the two economic crisis of 1997 and 2008. The economic policies which were enforced during the regime of Park Chung-Hee are characterized as the government-led model, also referred to as the statist approach (Alice, 1992). This type of policy, the role of government is most important because it is the authority to formulate all the structures and designs of economic policies and then ensures its implementation (Caporaso & Levine, 1992). Park’

Frankenstein by Mary Shelly Essay Example | Topics and Well Written Essays - 1250 words

Frankenstein by Mary Shelly - Essay Example Mary Shelley was a very young woman when she wrote Frankenstein and her natural love of romance came into play in the relationship between Victor Frankenstein and his adopted sibling, Elizabeth Lavenza. While Victor was reckless and ambitious within his desire to create his "new species" that went beyond just creating a human being, Elizabeth remained a gentle, caring and devoted person. She played the opposite of Frankenstein's compulsion with his "project". It did not appear to be a wildly passionate love affair but one of depth and caring, especially on Elizabeth's part. Frankenstein developed a fascination with science and nature as a young boy which led him to pursue the philosophies of the ancient Greeks up until he reached the age of seventeen when he went away to the university to study science and medicine. An affable youth, he soon found himself consumed by studies of the then modern science techniques and the radical idea that man could create life other than through the natural process of procreation. An absurd idea then and today that a human life could be returned from death but it was Frankenstein's obsession. The novel leaves the reader with the feeling that Shelley herself did have that much faith in the modern science of the time. Through her main character's preoccupation that he could improve upon science with undisputable expertise, it could be viewed that the author herself felt that were too many limitations at the time period for medical advancement. Victor Frankenstein believed that he had expanded his knowledge beyond that of his professors and broke into a totally new unknown territory as is suggested in the following quote. "It was a mystery; yet with how many things are we upon the brink of becoming acquainted, if cowardice or carelessness did not restrain our enquiries." (Shelley 41) Mary Shelley displayed her thoughts upon science in the way that she developed the character of the monster, as he is, himself, an anomaly, a freakish creation of a human structure, and not one of natural science. The creature is still a human being that finds himself an outcast, shunned from the natural human need for social interaction, but possessed of all the human emotions for that need. As expressed in the monster's speech to Frankenstein "Remember, that I am thy creature; I ought to be thy Adam; but I am rather the fallen angel, whom thou drivest from joy for no misdeed. Everywhere I see bliss from I alone am irrevocably excluded. I was benevolent and good; misery made me a fiend. Make me happy and I shall be virtuous." (Shelley 74) Though a novel of violence as the creature becomes filled with hate for Frankenstein who has in turn become repulsed by the monster and begins to only flee it until in retaliation the creature begins to stalk and kill those whom Frankenstein loves. A deep bond of affection and love runs within Victor