South Korea's economic future: Industrial policy, or economic democracy?

Many South Koreans believe that the country's remarkable economic successes over the past half-century are the product of an industrial policy that made Korean industry competitive in world markets. While there is widespread sentiment in favor of maintaining the emphasis on industrial policy, others believe industrial policy has generated benefits for some Koreans at the expense of the welfare of working-class Koreans. This has resulted in a push toward economic democracy to more equitably distribute the gains from increased productivity. Neither industrial policy nor economic democracy are in the best interest of Koreans. Rather, a laissez faire policy of minimal government interference will provide the best environment to foster South Korea's continued economic progress. (C) 2011 Elsevier B.V. All rights reserved.