공적개발원조(ODA)가 공여국 수출, 생산 및 고용에 미치는 효과

The Effects of Official Development Assistance (ODA) on Donor Exports, Production and Employment: The Case of Korea

Purpose - This paper empirically analyzes the effects of Korea’s Official Development Assistance (ODA) on its exports, production and employment, thereby providing some policy suggestions for Korea. Design/Methodology/Approach - We conduct dynamic panel regression analyses based on the augmented gravity model, using bilateral ODA and relevant gravity data for 156 countries that have received either concessionary loans or grants from Korea over the period from 1991 to 2017. Based on the regression results and Korea’s input-output tables published by the Bank of Korea, we calculate the exact amount of Korea’s exports, production and employment promoted by Korea’s ODA. Findings - First, Korea’s ODA increases Korea’s exports to the recipient countries. Secondly, a dollar increase in Korea’s ODA increases its exports by $6.30 in the short run and by $13.70 in the long run. Thirdly, unlike what is commonly believed, grants promote exports more than loans do. Fourthly, Korea’s input-output table shows that a dollar increase in Korea’s ODA expands Korea’s GDP by $4.10 in the short run, and by $8.10 in the long run. Finally, Korea’s ODA has created 1.1 million jobs in the short run, and 2.1 million jobs in long run over the past 27 years. Research Implications - Korea’s ODA has contributed to domestic production and employment as well as its exports. This shows that ODA is beneficial not only to recipient countries, but also to donor countries. Following the OECD guideline and the other advanced donor countries, therefore, Korea should be able to increase the amount of its ODA.