South Korea GDP Overtime Shriya
Overview of Economic Growth
(Shriya)- Major recessions and/or expansions: South Korea has transformed from being one of the poorest countries to one of the most successful economies. Most of South Korea’s supply, which is the amount of goods available, used to include imported products. Thus, South Korea was not self-sufficient and depended on other countries for its products. After the Korean War, South Korea rapidly developed and experienced an increase in its real GDP. Therefore an expansion occurred from the 1960s-2010s and has continued since. A recession is a prolonged economic contraction. South Korea has also experienced two major recessions, one in late 20th century and another one in the early 21st century. During the first big recession, most of the South-East Asian countries were experiencing some financial problems. In South Korea, their currency, the Won started taking a downfall. They seeked financial aid and owed many short-term debts. The country also suffered from a period of unemployment, where many people had no jobs. During the second big recession, South Korea's exports fell almost 20% in a year. The GDP also fell by 5.1% in the fourth quarter of that year.
GDP (per capita): GDP (per capita): South Korea has a high GDP per capita of $35,277, which is fantastic considering its poor history.This GDP is the dollar value of all final goods and services produced within South Korea in 2016. At one point in history, South Korea had a GDP of $ 11,02.53 (USD) per capita and since it significant growth, its highest GDP has been 35,277.80 (USD) per capita. Also considering real GDP, South Korea's lowest GDP was a $ 2.36 billion (USD) and its recent highest GDP was $ 1411.33 billion (USD) and it has been getting better. Thus, in the past few decades and since then the country has experienced economic growth along with some low periods. Although South Korea is ranked 27th globally, it is still less productive than the United States, which is ranked 11th globally. The United States' highest GDP ever is $ 51486 (USD) per capita and it is getting better.
Unemployment Rate: South Korea has an unemployment rate of 3.5%. This unemployment rate discerns that about 1.6 million of South Korea’s labor force remains unemployed. It is a very low percentage of the population and the demand, or the desire for labor is still growing. Therefore, this unemployment will start diminishing overtime. The United states has a higher unemployment rate, 6.2%, meaning about 19.8 million people remain unemployed in the Unites States. The United States also has a higher unemployment rate than South Korea but both might improve in the next few years.
(Sabeeha)- Poverty: Comparing to other countries like the U.S, South Korea’s poverty rate, or the ratio of the number of people who fall below the poverty line and the total population is somewhat low. The percentage of population under the poverty line is 14.6% (2013 est.) while the U.S has a percentage of 15.1% (2010 est.). Over the years, poverty has mostly strucken the elderly of South Korea. This is due to the public pension system and large amount of self-employed businesses. The amount of pension they are provided is an important concern because the most highest population growth rate, or a measure of how rapidly a country’s population increases in a given year, is an aging population.
Literacy Rate: The literacy rate, or proportion of a nation’s population over age 15 that can read and write, in South Korea is significantly high with a percentage of 98%. The percentages are about the same compared to the U.S, which has a literacy rate of 99%. South Korea’s education system is all about all work and no play. This has been a source to their high amount of suicide rates, number two in the world. About 6-7% of their population, or the total number of persons inhabiting a country, city, or any district or area. commits suicide Because of Korea’s school system and pressure from their parents , many students can not keep up and end up ending their life.
Economic sectors: The three main economic sectors are manufacturing, services, and agriculture. Services, or actions and activities that one person performs for another, are the biggest part of the South Korean GDP. The take up about 55% of the GDP, like department stores and supermarkets. The second important industry is manufacturing, or making (something) on a large scale using machinery it takes up about 40%. South Korea is the world’s largest producer of semiconductors. Agriculture produces very little to the country's GDP, with only 5%. Rice is the main crop but they also produce products like wheat and barley.
Economic Sectors -Shriya