[Editorial] Cash under the mattress

Fewer high-denomination bills are returning to the Bank of Korea, as President Park Geun-hye’s administration is cracking down on the nation’s shadow economy. Moreover, the number of receipts being issued for cash payments is also declining ― another reaction to the tightening tax policy. These certainly are a setback for the administration, which is planning to collect an additional 27 trillion won in taxes during the next five years by shedding light on underground business activities. The env

Nov. 8, 2013

[Editorial] More foreign investment

Senior officials from the government and the ruling party agreed to put top priority on passing 15 key bills designed to revitalize the economy during the current parliamentary session when they met for policy consultations Tuesday. With the effect of the front-loaded fiscal spending limited, it is all the more necessary to implement measures to boost private sector investment and consumption.Korea’s economy has shown signs of moving into a recovery phase, with its gross domestic product growing

Nov. 7, 2013

[Editorial] Nuclear talks momentum

Seoul and Washington seem to face increasing difficulties in sticking to their conditions for the resumption of the six-party talks aimed at dismantling North Korea’s nuclear weapons programs.A senior South Korean official was quoted by local media Tuesday as reaffirming that the multilateral negotiations, which have been suspended since late 2008, would not restart unless Pyongyang demonstrated its sincerity about denuclearization through concrete actions. His remark was interpreted as implying

Nov. 7, 2013

[Editorial] Reckoning for UPP

In an unprecedented move, the government has filed a petition with the Constitutional Court to dissolve the United Progressive Party, which it views as an “unconstitutional and dangerous” pro-North Korea political party.The government’s action is in compliance with the Constitution, which empowers it to pursue the disbandment of a political party if its “purposes or activities are contrary to the fundamental democratic order.”In September, the Ministry of Justice launched a task force to examine

Nov. 6, 2013

[Editorial] Real estate recovery

The government has strongly signaled its determination to stimulate the depressed housing market by deciding to retroactively apply a proposed cut in home acquisition taxes.In August, the government announced a plan to permanently lower taxes on home purchases starting next year. On Monday, however, it agreed with the ruling Saenuri Party to have the tax cut take effect retroactively from Aug. 28.The policy change, which would cost the government 780 billion won in additional revenue losses, sho

Nov. 6, 2013

[Editorial] R&D spending

Samsung Group, the country’s largest conglomerate, opened a new research and development complex for electronics-related materials Tuesday on the outskirts of Seoul. The R&D center, which was completed 22 months after it broke ground in January 2012, is different from the group’s existing research facilities in that it is designed to develop new materials, not parts and finished products.The spacious complex, set to hire about 3,000 researchers, mirrors the conglomerate’s long-term strategy to k

Nov. 5, 2013

[Editorial] Breakthrough for opposition

Opinion polls showed that President Park Geun-hye’s approval rating dropped from 67 percent in September to 53 percent in October, reverting approximately to her share of the votes cast in last year’s presidential election. The rise in the public support for Park, attributable mainly to her principled handling of inter-Korean affairs, was pared away by the partial rollback of her welfare pledges and the allegations that the state spy agency meddled in the election to spread negative views about

Nov. 5, 2013

[Editorial] IMF’s advice

The top policy priority for the Korean economy, either in the short term or the long term, is to support domestic demand, notably household income. That’s the advice that the International Monetary Fund has given to the Korean government after concluding its annual consultation last week.Overall, the IMF has given a positive assessment of the Korean economy. It said Korea had fared well in the summer’s financial market turmoil, which was triggered by the U.S. Fed’s move to start tapering its sti

Nov. 4, 2013

[Editorial] Nuclear waste panel

The government has taken a first step toward tackling the thorny problem of dealing with spent nuclear fuel rods by launching a private commission tasked with raising awareness and understanding of the inflammatory issue.The 15-member panel will conduct a series of public forums to allow citizens to discuss how and where to store spent fuel rods. Based on the views expressed at these meetings, it will present policy recommendations to the government by the end of next year.Currently, spent fuel

Nov. 4, 2013

[Editorial] Exports and won’s rise

Korea broke fresh ground in exports when its monthly shipments abroad topped $50 billion in October. The nation, whose economic growth is driven by exports, demonstrated its prowess as an exporter again.The achievement can be better understood when it is put into historical perspective. Korea has come a long way since 1964, the year when exports surpassed the $100 million mark for the first time. It deserves to pat itself on the back for the phenomenal growth.What was still better, the nation re

Nov. 3, 2013

[Editorial] Better inspections

It is a constitutional mandate given to the legislature to inspect state affairs administered by the government. For this purpose, the National Assembly is authorized to demand documents from government agencies and call witnesses to testify in person during its regular session each year.With this year’s 20-day inspection nearing its end, its efficacy is again being called into question, as it has in the past. A civic group has given the National Assembly a “C” after monitoring its inspection of

Nov. 3, 2013

[Editorial] Telemedicine row

Smartphones and other mobile devices make it possible for post-surgery outpatients to get routine medical advice from their doctors without visiting the hospital. But they have been denied this convenience because a special interest group representing doctors has scuttled the government’s plan to introduce telemedicine ― the use of information and communication technology in the provision of health care.Post-surgery outpatients are not the only potential beneficiaries. In many countries in the w

Nov. 1, 2013

[Editorial] Breaking long silence

Breaking a long silence, President Park Geun-hye promised on Thursday to look closely into an allegation that the National Intelligence Service engaged in an online smear campaign against the opposition candidate during the run-up to the presidential election last year.She also promised that her administration would take steps to ensure that there will be no such lawbreaking after the court comes up with a ruling on the case.Now the question is why she has waited until now. She could have avoide

Nov. 1, 2013

[Editorial] Drawbacks of jury trials

Korea introduced jury trials in 2008 to promote citizen participation in the judicial process. Under the system, lay citizens serve as jurors in criminal trials. They are given the power to decide on the facts, deliver a guilty or not-guilty verdict, and present opinions on what the punishment should be.In the Korean system, a defendant is given the choice over whether to request a jury trial. In 2008, 233 defendants chose to be tried through the new procedure. The figure rose to 437 in 2010 and

Oct. 31, 2013

[Editorial] Google’s Hangeul pitch

It is encouraging that Google executive chairman Eric Schmidt has come forward to support the propagation of Korea’s culture and arts, especially its unique writing system, “Hangeul.” Google has concluded an agreement with the Ministry of Culture, Sports and Tourism to promote the Korean alphabet, which Schmidt praised as the world’s most intuitive writing system. Worth noting is Google’s plan to assist Korea in developing software to help foreigners learn the basic principles of the Korean alph

Oct. 31, 2013

[Editorial] Accommodating attitude

It took more than two decades for Korea to enact a relevant domestic law after it joined the U.N. Convention on the Status of Refugees in 1992. The law, which came into force in July, should mean that more asylum seekers are allowed to settle here and that their treatment is improved. Under this act, the Justice Ministry has set up a new division in charge of refugee affairs, deploying officials in eight places, including Incheon International Airport, to examine applications for asylum.It canno

Oct. 30, 2013

[Editorial] Entrepreneurial spirit

Calls for measures to encourage the entrepreneurial spirit are resonating beyond business circles and reaching Korean society as a whole this week.In her speech marking the 2013 Entrepreneurship Week, which began Monday, President Park Geun-hye said entrepreneurship was critical for reviving the economy and opening up an “era of happiness” for all people. She pledged to eliminate unnecessary regulations and establish a healthy economic ecosystem.The trade, industry and energy minister, who read

Oct. 30, 2013

[Editorial] Japanese boots in Korea?

The last thing many Koreans want to see is Japanese soldiers setting foot on this soil again. They shudder at the mere thought of Japanese boots here as it brings back memories of Japan’s ruthless colonial rule.To their dismay, however, the specter of Japanese troops being deployed here has loomed, as Tokyo is seeking, with the full backing of the United States, to lift a self-imposed ban on collective self-defense.The United Nations Charter declares that each member country has the inherent rig

Oct. 29, 2013

[Editorial] Utility charge hikes

Public utility charges are expected to rise sharply as state-run corporations seek to increase their income to rein in their mounting debt.The government recently told the 41 public entities with assets exceeding 2 trillion won to submit medium- to long-term plans to curb their fast growing debt. One solution suggested by many of the organizations was to transfer a large chunk of the debt to the public through gradual hikes in utility charges.For instance, Korea Express Corp., which is 25 trilli

Oct. 29, 2013

[Editorial] Boosting MICE sector

The Seoul Metropolitan Government has taken the right course by selecting the tourism and convention industries as the two major future growth engines for the city. Seoul Mayor Park Won-soon last week announced an ambitious plan to double the annual number of foreign visitors to the city to 20 million within the next five years by expanding and upgrading infrastructure for the tourism industry and the MICE sector, which stands for meetings, incentive travels, conventions and exhibitions. He pled

Oct. 28, 2013