Economic Effect of South Korea’s Self-Employed Support

Economic Effect of South Korea’s Self-Employed Support

Woo-Hyoung Kim


<국문초록>
South Korea’s percentage of the self-employed still ranks among the highest amid OECD nations thus is perceived to be a huge burden on the national economy. Accordingly, the government is continuing its support with the expectation that a support policy is needed for the self-employed. However, few analytic studies exist so far on the economic effect of the government’s support of the self-employed. Thus, this study analyzes the practical effect of the government’s self-employed support. According to the estimation result while determining the sales amount of the self-employed, the labor input, business period, age, gender, prior business preparation period, the experience variable of the self-employed support policy are shown to be significant. The result of this study provides an important practical guideline on the political factors that should be prioritized when the government politically supports the self-employed.