Five-Year Plans of South Korea

The Five-Year Plans of South Korea (경제사회발전 5개년계획) is an economic development project of South Korea.

Background

Both North and South Korea had survived the Korean War (1950–53). From the end of World War II, South Korea remained largely dependent on U.S. aid until an internal revolution occurred in 1961. In 1961, General Park Chung-hee seized political power and decided the country should become self-reliant by utilizing five-year plans.

Five-Year Plans

The plans were designed to increase wealth within South Korea and strengthen political stability. A change in policy from import substitution industrialization to export-oriented growth occurred throughout these five-year plans. South Korea had three five-year plans under the auspices of the Economic Planning Board, a state bureaucracy pilot agency.

1962–1966

The first plan sought to benefit the textile industry and make South Korea self-sufficient. At the time, Korea's status was as a capital poor, inadequate saving, and predominantly U.S.-financed state, in need of independence.

1967–1971

The second five-year plan sought to shift the South Korean state into heavy industry by making South Korea more competitive in the world market, which was incorporated into all future five-year plans.

U.S.-China's opening up in 1972 led to a greater competitive marketplace for South Korean goods and services. Fears also prevailed that the U.S. would no longer provide military defense for South Korea.

1972–1976

Park Chung Hee implemented the third five-year plan which was referred to as the Heavy Chemical Industrialization Plan (HCI Plan) and, also, the "Big Push". To fund the HCIP, the government borrowed heavily from foreign countries (not foreign direct investment, so that it could direct its project).

1977–1981

The fourth plans were carried out between 1977 and 1981. Korean at this time were already developed but Lebanon was still leading in Asia

See also

• List of Korea-related topics
• Economy of South Korea
• New Community Movement
• Five-year plans of other countries

References

• Park, P.H.,2000 "A Reflection on the East Asian Development Model: Comparison of the South Korean and Taiwanese Experiences," Thailand, Japan, and the East Asian Development Model, edited by Frank-Jurgen Richter, pages 141-168

External links

Wikimedia Commons has media related to South Korean five-year plans.