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 currentaccountdeficits are being financed. If borrowed resources are not used produ
of exchange rate of U.S. and china that account for a large proportion of exports in the export-dependent Korean economy cause Korean company’s sales decreasing and trade frictions in the international trade of Korea. What is worse is that exchange rate frictions occur all around the world as well as between U.S. and China. And also protectionism of exchange rate is current global trend. Theref
Global Imbalances :
The global imbalances refers to the large currentaccountdeficits of developed economies such as the United States and the large surpluses of developing economies such as China and oil rich economies of the Middle East and Russia.
Causes of the Global Imbalances :
- Events in the United States : Saving-Investment Imbalances
- Events Outside the US :
Inadequate In
of members of insurance against increasing insurance premium, we can't increase insurance premium.
Also with an aging society is continued, and medical technology development, medical cost paid by old people increase.
If this situation is continued, accountof health insurance will have a deficit.
Korean use seventy or eighty millions of money as medical cost all their life and half of their
of operating income. Since 2006, its operating income has shown -₩3,006,000,000 in 2006, -₩2,314,000,000 in 2007, -₩2,999,000,000 in 2008, -₩164,000,000 in 2009, and finally ₩183,000,000 in 2010. EBIT (Earnings Before Interest and Tax) and NI (Net Income) also show that its deficits are getting smaller. In terms of probability for going into insolvency, the current r