At the Peterson Institute’s blog, Dr. Noland wades into the KORUS FTA controversy. Read the post on your own, but to quote his conclusion:
It would be foolhardy for the government of South Korea, a highly open medium-sized economy dependent on international trade, to abrogate a free trade agreement with the United States, the world’s largest economy. If nothing else it would destroy South Korea’s credibility with other prospective free trade partners, and could have spillovers into other aspects of the bilateral relationship with the US.
The obvious solution to this conundrum would be to implement the agreement, generate demonstrable benefits, and build public support. We may have roughly one year to do so.
And while we’re talking about the FTA, some clever netizen composed a Youtube video comparing the statements some of our favorite DUP and United Progressive Party politicians have made regarding the KORUS FTA over the years:
{ 7 comments… read them below or add one }
Nolan writes: “If nothing else it would destroy South Korea’s credibility with other prospective free trade partners.”
Wrong. Seoul already has no credibility on honoring the letter or spirit of past trade deals. What the KORUS FTA does is offer Korea an opportunity to burnish that disreputable legacy and start anew with a clean slate.
Nolan should know better. I’m sure he does. But one of the problems with being a Koreanist (or Japanologist, for that matter) is knowing that deep down, your paycheck depends on maintaining good relations with one’s paymasters, and since most funding for Korean specialists comes from Korea, well, one sees the problem, doesn’t one?
DLB
I wonder if those leftist politicians realize how silly they look, completely reversing their stance on FTA.
That’s why in order to atone for their past “sins,” these reprehensible DUP characters are falling over each other to denounce the FTA and calling for its abrogation. Part of this is theatrics/politics but I’m afraid they will go too far and their bluster could become reality. The “conservative” Saenuri party is too impotent and disorganized to counter the DUP’s foolishness. Saenuri needs to be punished/destroyed but unfortunately for Korea, this task will be performed by even worse rogues and scoundrels.
Perhaps the Sphynx-like and weasely Ahn Cheol-soo (very smart and likely the most sensible among the DUP’s natural allies) may come out and denounce the DUP’s shenanigans — hopefully not too late.
Korea is a “highly open economy”? Uh, wrong… try again.
Korea is a hard-core mercantilist economy and a master at putting up non-tariff trade barriers. Plus what DLB wrote about reneging on deals.
I’m guessing this is just done by those “progressives” as a way to get attention. Cause more useless controversy. If they were serious about it they will bear the full brunt of US pressure and the significant portion of the populace.
red sparrow,
I agree. The politicians over there don’t seem to get it. Instead they keep this idea of more regulations and laws. When will they realize to be the NE hub Korea needs to deregulate. Freeflow of goods and services as well as $$$$.
This will solve a lot of issues in Korea. The ridiculously cumbersome and complicated distribution network for goods causing their prices to be higher. The dealings with Chaebols. The struggling medium and small businesses. Problem is the country is being run by people who were brought up under the park regime.
It looks like based on comments Korea has become Japan Jr.
You must log in to post a comment.