State Institutions Are Different For North And South Korea.

1221 WordsMay 4, 20175 Pages
State institutions are different for North and South Korea. South Korea offers universal healthcare to its citizens and strongly protects private property rights (“South Korea” 2017). Although North Korea claims it offers universal healthcare, reports have stated that it does not; also, almost all property is owned by the state (“North Korea” 2017). Corruption is extremely high in North Korea compared to South Korea and there is also no effective tax system (“North Korea” 2017). The North Korean government controls all economic activity and most industries that account for the GDP are owned by the state (“North Korea” 2017). South Korea has one of the fastest growing economies in the world. Its GDP per capita in 2016 was $37,900, larger…show more content…
North Korea has a state-led, highly centralized economy because its government is the dominating force in all aspects of the country (Park 2004). In the beginning of its formation, North Korea practically banned all markets and was run by select bureaus and elites. As years passed, there has been slightly more freedom given to the people through various reforms in order to help the dwindling economy stabilize (Park 2004). South Korea has a much more successful, open, and market-based economy. However, most of it is dominated by large and centralized business groups, called chaebols (Campbell II and Keys 2002). North Korea has about 14 million people in its labor force out of a population of 25 million with about 63% of those people working in industry and services while 37% work in agriculture (“Korea, North” 2017). On the other hand, South Korea has a larger labor force of 27.25 million because of a significantly larger population of 50.9 million (“Korea, South” 2017). Almost all of the labor force, about 94.4%, work in services and industry while only 5.7% of people work in agriculture (“Korea, South” 2017). This is because South Korea’s main focus and money source are on industrialized products. South Korea also has one of the strictest and highly rated education systems in the world (Sorensen 1994). The extremely high number of
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