A Schumpeterian Analysis of the Saemaul Undong Movement in 1970s South Korea within the CDD Framework

Seoul Journal of Economics 28 (No. 4 2015): 415-453

40 Pages Posted: 1 Dec 2015

See all articles by Djun Kil Kim

Djun Kil Kim

University of Asia & the Pacific

Date Written: November 30, 2015

Abstract

In the 1970s, the Park Chung Hee government launched the Saemaul Undong (New Village) Movement to address the widening urban-rural income gap. This is often interpreted as a politically-motivated project due to the fact that promoting the SU movement requires a political system capable of sufficient gathering of resources. This paper takes on a different perspective in looking at the components of the SU movement. The goal of this paper is two-pronged: to identify elements of Community-Driven Development (CDD) in the SU movement, and to analyze the SU movement using Schumpeterian concepts in order to draw some implications from the SU model for the economic development in the developing world. While the movement was implemented prior to the conception of CDD as a framework, the elements of CDD of community participation, civic capacities and resource availability were already used. On the other hand, the Schumpeterian concepts of endogenous growth (administrative arrangements, communal empowerment and the community funding), creative destruction (developing civic capacities and ideological reform), innovation (spread of agricultural and non-agricultural technologies), entrepreneurship (Saemaul leaders and education) and minimal role of state (incentive-oriented strategy of the government) were identified in the components of the SU movement.

Keywords: Community-Driven Development (CDD): Community Participation, Civic Capacities, Resource Availability Schumpeterian Concepts: Endogenous Growth, Creative Destruction, Innovator-Entrepreneur, Innovation Saemaul Undong Movement, Saemaul Leaders, Saemaul Education

JEL Classification: N95, O18, P32, P46, R11

Suggested Citation

Kim, Djun Kil, A Schumpeterian Analysis of the Saemaul Undong Movement in 1970s South Korea within the CDD Framework (November 30, 2015). Seoul Journal of Economics 28 (No. 4 2015): 415-453, Available at SSRN: https://ssrn.com/abstract=2697324

Djun Kil Kim (Contact Author)

University of Asia & the Pacific ( email )

Pearl Drive, Ortigas Center,
Pasig City 1605, Philippines
Pasig
Philippines

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