Will Exports Drive Economic Sustainability?

Manufacturing has been the backbone of Korea’s economic growth. The rise in Korean manufacturing has been fuelled largely by exports.

We understand why the East Asian countries like Korea have pursued export-driven economic model.

We also understand the perils of export-driven economy.

Production and innovation are vital to economic sustainability when they are aligned with other crucial factors such as fiscal discipline. The 1997 financial crisis and Japan’s decade-long deflation have taught us that.

Furthermore, globalization needs to be factored in.