Difference with Solow model
In the case of Germany, before the World War it was being reached steady state.
According to the solow model,
the more it reached steady state, the slower the capital growth is,
so it shows low economic growth rate after the World war.
However after the war, as the accumulated capital was destroyed, capital stock was out of steady state and it grew fas
1. Introduction
In 1999, the euro was introduced with the interests and expectations of the people around the world. Euro gave a many economic, social benefits to euro using countries as expected . With Euro's social, economic, status rising, many countries wanted to join the eurozone. Euro using countries had risen to 17 countries from 12 countries in 14 years. But high euro’s status began t
Focused on mainly on operational issues
Re-investing in its stores
Broadening its merchandising and design groups
The company’s determination to keep prices high
Global sourcing strategy
Vendors in 37 countries from 258 factories and suppliers
No single supplier accounted for more than 5% of company purchases
Solely positioned in the clothing sector with relatively wide range of
The main causes of downturn after 1995 –
A slump in export earning
The weakening of the yen
The end of equipment and infrastructure investment boom
High wages, high interest rate and high land prices
Won appreciation in1994-95 ↑
A loss of international competitiveness
Won devaluation in 1996 ↓
competitiveness improvement
2) Managing external debt using sustainability indicators
External debt management involves balancing resource mobilization and deployment as well as orderly repayment of future obligations. For sustainable debt management, policy makers need to project accurate debt dynamics that are sensitive to the way the current account deficits are being financed. If borrowed resources are not used produ