Unformatted text preview: POLITICAL / REGULATORY The global recession is receiving much attention, after Lehman Brothers declared bankruptcy. An international quick response to this turndown focuses on lower taxes. In South Korea, governmental policies are crucial for manufactures and the nation’s future development. South Korean consumer sentiment tumbled to a 10-year low in December 2008 as the deepening economic downturn chilled job markets and cut household incomes. According to CNBC news, the Bank of Korea's consumer sentiment index, which measures sentiment in six categories, fell to 81 in December, it’s lowest since the last quarter of 1998 when it touched 80. In particular, the number of consumers planning to reduce expenditures on durable goods. With regard to the global financial crisis, for higher growth the Korean government's announcement on Nov. 3rd 2008 of a policy to increase financial spending worth 14 trillion won (US$1=W1,490) and cut taxes. According to the Organization for Economic Cooperation and trillion won (US$1=W1,490) and cut taxes....
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- Spring '09
- Recession, government spending, consumer sentiment, Security equipment Industry, Korean consumer sentiment