KOREA OECD Economics Surveys: 1조 경제학과 20113169 한호성 경제학과 20113173 황준연 경제학과 20123121 김종헌 금융정보통계 20133412 김지혜 경제학과 20143135 송경희 경제학과 20143166 한민지

INDEX Promoting social cohesion in Korea 01 Rising income inequality and relative poverty and the factors behind it 02 social spending is low but increasing rapidly 03 Increasing social spending to promote social cohesion 04 Labour market reforms to promote social cohesion by breaking down dualism 05 Reforms in the education system to promote social cohesion Conclusion 06 The service sector as a factor in inequality 07 Conclusion

Promoting social cohesion in Korea 01 Rising income inequality and relative poverty and the factors behind it

OECD Economics Lower wages Precarious Jobs less training KOREA

employment protection improved social insurance coverage OECD Economics employment protection improved social insurance coverage Expanded training KOREA

OECD Economics A survey of 34 countries highest in Korea at 86% KOREA

OECD Economics KOREA

Causes of inequality Education system Service sector OECD Economics KOREA

Korea achieved one of the highest growth rates in the world, OECD Economics Korea achieved one of the highest growth rates in the world, KOREA

OECD Economics income inequality During the past decade. KOREA

should not focus solely on income growth OECD Economics Economic growth should not focus solely on income growth but should take into account income distribution KOREA

OECD Economics Rising inequality KOREA

Promoting social cohesion in Korea 02 Social spending is low but increasing rapidly

Accounted for only 2.7% of disposable income in Korea OECD Economics Accounted for only 2.7% of disposable income in Korea KOREA

income support to the working-age popolaton OECD Economics The government should move cautiously and incrementally in developing social welfare programmes All social services except health income support to the working-age popolaton KOREA

OECD Economics KOREA

OECD Economics Total labour supply unemployment KOREA

The government should at least freeze their OECD Economics The government should at least freeze their benefits, while allowing them to grow for the relatively poor. KOREA

OECD Economics KOREA

OECD Economics Weak coverage of the NPS and the EIS is a problem for non-regular workers KOREA

Promoting social cohesion in Korea 03 Increasing social spending to promote social cohesion 04 Labour market reforms to promote social cohesion by breaking down dualism

Korea, was the fourth highest in the OECD OECD Economics Korea, was the fourth highest in the OECD To promote social cohesion by breaking down dualism KOREA

intensified competition OECD Economics Reduce labor reduce fixed cost intensified competition Factors explaining the high level of labour market dualism KOREA

the labour market remains severely segmented OECD Economics the labour market remains severely segmented KOREA

Increasing the share of regular workers OECD Economics Wage disparity Increasing the share of regular workers Problems associated with the high share of non-regular workers KOREA

OECD Economics While the share of unemployed receiving benefits has risen from 7% in 2000 to over 30% in 2007 KOREA

regular workers nonregular workers OECD Economics Entrenched dualism creates conflicts regular workers nonregular workers KOREA

Promoting social cohesion in Korea 05 Reforms in the education system to promote social cohesion

OECD Economics In 1945, Korea’s KOREA

OECD Economics investment in schools KOREA

social mobility income equality OECD Economics economic growth compulsory education social mobility income equality KOREA

OECD Economics The educational quality of kindergarten is considered superior to that of childcare In a survey of parents 78% replied that there are significant differences between kindergarten and childcare KOREA

In Korea was the second lowest in the OECD area in 2008, OECD Economics In Korea was the second lowest in the OECD area in 2008, subsidies to families The government has been steadily increasing ECEC. KOREA

In 2011, the subsidy was raised to 100% of basic fees OECD Economics IN 2009 with the subsidy covering between 30% and 100% of basic childcare fees In 2011, the subsidy was raised to 100% of basic fees Extending such support to all three and four-year-olds beginning in 2013. KOREA

lack of capacity in public kindergartens. OECD Economics Their children to childcare centres, reflecting several factors. cheaper lack of capacity in public kindergartens. more conveniently located more convenient for working parents KOREA

participation is more than double the OECD average in every subject OECD Economics In 2010, around three-quarters of students participated in such courses. participation is more than double the OECD average in every subject KOREA

70% of students participating in private tutoring attend hagwons, OECD Economics 70% of students participating in private tutoring attend hagwons, includes individual or group tutoring and Internet and distance learning. KOREA

OECD Economics Most of the parents have to say that it is important that it is difficult to enroll in prestigious universities. KOREA

OECD Economics Participation and spending on private tutoring are highly correlated with family income KOREA

Entrance examination banned hagwons and other private tutoring A five-year plan to improve the quality of schools A 10 p.m. curfew on hagwons. OECD Economics Policies to reduce reliance on hagwons and other forms of private tutoring KOREA

Policies which parents want OECD Economics 1. improving the quality of schools 2.importance of creating diverse schools 3. Strengthening vocational education and career guidance Policies which parents want KOREA

Reducing the burden of tertiary education OECD Economics Reducing the burden of tertiary education tertiary education KOREA

Government’s several steps to address the tuition issue. OECD Economics Government’s several steps to address the tuition issue. To organise a tuition review committee The government established the Korean Student Aid Foundation Tuition beginning KOREA

Half-price tuition’s drawbacks OECD Economics Half-price tuition’s drawbacks The problem of overemphasis on tertiary education and skill mismatches half-price tuition raises questions about value for money less efficient and less equitable than targeting support on students which is limited to the lower 70% of the income distribution, KOREA

Promoting social cohesion in Korea 06 The service sector as a factor in inequality

services from nearly 100% of that in manufacturing to only 54% OECD Economics services from nearly 100% of that in manufacturing to only 54% KOREA

poverty workers small companies OECD Economics small companies poverty workers workers in firms with 10 to 29 workers earned 24% less than workers at companies with 300 or more workers KOREA

Promoting social cohesion in Korea 07 Conclusion

OECD Economics provide a double dividend in terms of boosting economic growth and fostering social cohesion. Apriority to reverse the rise in inequality Enhance social cohesion. To promote inclusive growth KOREA

PRESENTATION THANK YOU