We examine the purchasing power parity (PPP) hypothesis in won/dollar and won/yen real exchange rates using a non-linear framework. Many empirical studies based on the linear framework have failed to find clear supporting evidence for the validity of PPP hypothesis. We test the PPP hypothesis...

This paper provides a conceptual framework for analyzing the labor movement between the two Koreas and its impact on the structure of industrial output in the South. In particular, the paper is concerned with the absorption pattern of the new labor supply from the North by the South. It also...