韓國 高度成長期(1963~1979)의 金利差地代의 추계

An estimation of interest differential rent in the era of rapid economic growth Korea(1963~1979)

The purpose of this study is to estimate ‘Interest Differential Rent’ in the era of rapid economic growth in Korea. Rent is defined as a receipt in excess of a resource owner’s opportunity cost, and can be generated through the government intervention. The Korean government has taken a leading role in the economic development. In particular, the government has intervened the allocation of resources in the financial sector, and it generated ‘Interest Differectial Rent’ from credit rationing and commercial loans borrowing. The government’s allocation of resources in the financial sector generates ‘Interest Differential Rent’ on a large scale from 1963 to 1979. Firms made efforts to gain artificial rents generated by the government. Such rent-seeking activities led to wasteful use of resources, and caused corrupt socio-economic structure. Because corruption lowers private investment, thereby reducing economic growth, it can affect income inequality and poverty. In fact, ‘Interest Differential Rent’ worsened income distribution in Korea.