The Korean Economic Association (KEA) is organizing its eighteenth international conference jointly with Asia-Pacific Economic Association (APEA) which is thirteenth annual conference of its own.

Organizing Units

Korean Economic Association
Asia-Pacific Economic Association


Korean Economic Association


Korea University Institute for Sustainable Development
Korea-America Economic Association
National Research Council for Economics, Humanities and Social Sciences
Korea Development Institute
Bank of Korea
Korea Institute for Health and Social Affairs
Korea Maritime Institute


International Studies Hall, Korea University (


The Korean Economic Association (KEA) is organizing its eighteenth international conference on “The Rise of Economic Nationalism in a New Era of Globalization” jointly with Asia-Pacific Economic Association (APEA) which is thirteenth of its own. KEA has organized an international conference every other year since 1982, yet it will be organized every year from this year on so as cope with a soaring demand for more forums for economists in a new era of globalization.

This year, three keynote speeches and nearly 160 papers will be presented to analyze and discuss the Korean economy at the crossroads as well as the Asia-Pacific economy confronted with new challenges and opportunities, focusing on the scholarly and policy-oriented perspective. A couple of panel sessions on the rise of economic nationalism in a new era of globalization and the partnership for sustainable development would at least help seeking a way out respectively.

At a time of uncertainty and the crossroads, we hope that this year’s conference will become an open podium for confronting many problems facing Korea, including the Asia-Pacific region as well, and provide solutions that will push Korea and other countries into a better economic future.

July 2017

Chung Mo KooPresident, Korean Economic Association
Kar-yiu WongPresident, Asia-Pacific Economic Association


Registration: 2F Lobby, International Studies Hall

Friday July 14 Saturday July 15
09:00-10:30 Parallel Sessions I 09:00-10:30 Parallel Sessions IV
10:45-12:15 Parallel Sessions II 10:45-12:15 Parallel Sessions V
12:15-13:30 Lunch 12:15-13:45 Lunch
13:30-14:15 Opening Session & Keynote Speech I 13:45-15:15 Parallel Sessions VI
14:15-16:00 Plenary Session I (Globalization) 15:30-16:00 Keynote Speech II
16:00-17:30 Plenary Session II (Development)
16:15-17:45 Parallel Sessions III
17:30-17:45 Closing Session
19:00-20:30 Dinner


1. Welcome reception at 19:00-20:30 on Thursday, July 13 at Koreana Hotel (Blue Sunrise, 2nd floor)
2. Conference dinner at 19:00-20:30 on Friday, July 14 at Koreana Hotel (Gloria Room, 7th floor)


Friday, July 14, 2017

Room No. Parallel Sessions I (09:00–10:30) Parallel Sessions II (10:45–12:15) Lunch (12:15–13:30) Opening and Keynote Speech I (13:30–14:15) Plenary Session I (14:15–16:00) Parallel Sessions III (16:15–17:45)
114 I.1 Micro II.1 Micro Inchon Memorial Hall
(1st Floor)
Opening and Keynote Speech I
(Room 214)
Plenary Session I: Globalization
(Room 214)
III.1 Political
215 I.2 Financial Markets II.2 Macro III.2 Applied
216 I.3 Money and Finance II.3 Money and Finance III.3 Applied
217 I.4 Trade and FDI II.4 Trade and FDI III.4 Energy
218 I.5 Labor II.5 Labor III.5 Labor
219 I.6 Econometrics II.6 International Trade and Transportation (Korea Maritime Institute) III.6 Econometrics
322 I.7 Health II.7 Development III.7 Development
324 I.8 Chinese Economy II.8 Money and Banking (Bank of Korea) III.8 Industrial
331 I.9 Micro II.9 International Finance III.9 International Finance

Saturday, July 15, 2017

Room No. Parallel Sessions IV (09:00–10:30) Parallel Sessions V (10:45–12:15) Lunch (12:15–13:45) Parallel Sessions VI (13:45–15:15) Keynote Speech II (15:30–16:00) Plenary Session II (16:00–17:30) Closing (17:30– 17:45)
114 IV.1 Micro V.1 Micro Inchon Memorial Hall
(1st Floor)
VI.1 Micro Keynote Speech II
(Room 214)
Plenary Session II: Development
(Room 214)
Closing Session
(Room 214)
215 IV.2 Macro V.2 Macro VI.2 Macro
216 IV.3 Trade and Firms V.3 Applied VI.3 Applied
217 IV.4 International V.4 International Finance VI.4 International Trade Policy
218 IV.5 Health V.5 Development VI.5 Development
219 IV.6 Econometrics V.6 Pension and Welfare VI.6 Health and Aging in Asia (Asian Development Bank Institute)
322 IV.7 Labor V.7 Income Inequality VI.7 Applied
324 IV.8 Monetary Policy V.8 Trade VI.8 Shocks and Growth (University of Missouri)
331 IV-9 International Finance V-9 Applied VI.9 Social Choice and Justice

OPENING SESSION & KEYNOTE SPEECH I13:30-14:15, July 14 (Fri) / Room 214


Hyun-Hoon Lee (Kangwon National University)


Welcome Remarks

Chung Mo Koo (President, Korean Economic Association and Professor, Kangwon National University)
Kar-yiu Wong (President, Asia-Pacific Economic Association and Professor, University of Washington)

Congratulatory Remarks

Kwan-Young Lee (Vice President, Korea University)



Dong-yeon Kim (Deputy Prime Minister and Minister of Strategy and Finance, Republic of Korea)

PLENARY SESSION IThe Rise of Economic Nationalism in a New Era of Globalization14:15-16:00, July 14 (Fri) / Room 214


Choong-soo Kim (President, Hallym University and Former Governor, Bank of Korea)


Wilfred J. Ethier (Professor Emeritus, University of Pennsylvania)
Fukunari Kimura (Chief Economist, Economic Research Institute for Northeast Asia, and Professor, Keio University)
Jongwha Lee (Professor, Korea University)
Juan Carlos Martinez Oliva (Directorate General for Economics, Statistics, and Research, Bank of Italy)
Yasuyuki Sawada (Chief Economist, Asian Development Bank)
Kar-yiu Wong (Professor, University of Washington)

DINNER SPEECH19:00-20:30, July 14 (Fri) / Gloria Room, 7th floor, Koreana Hotel


Jong Ho Hong (Seoul National University)


Un-Chan Chung (Former Prime Minister, Republic of Korea)

KEYNOTE SPEECH II15:30-16:00, July 15 (Sat) / Room 214


Sung Jin Kang (Korea University)


Yasuyuki Sawada (Chief Economist, Asian Development Bank)

PLENARY SESSION IIGlobal Partnership for Sustainable Development16:00-17:30, July 15 (Sat) / Room 214


Jang-Hee Yoo (Professor Emeritus, Ewha Womans University)


Arindam Banik (Director, International Management Institute Kolkata)
Valerie Cerra (Economist, International Monetary Fund)
Shin-ichi Fukuda (Professor, University of Tokyo)
Sung Jin Kang (Professor, Korea University)
Hyuncheol Bryant Kim (Professor, Cornell University)

CLOSING SESSION17:30-17:45, July 15 (Sat) / Room 214


Hyun-Hoon Lee (Kangwon National University)

Closing Remarks

Chung Mo Koo (President, Korean Economic Association and Professor, Kangwon National University)
Kar-yiu Wong (President, Asia-Pacific Economic Association and Professor, University of Washington)

PARALLEL SESSIONS I09:00-10:30, July 14, (Fri)

SESSION I.1 (Microeconomics) / Room 114


Byoung Heon Jun (Korea University)

Relation Exchange as the Model of Bounded Rationality

Sung Sup Rhee (Soongsil University)

Bayesian Persuasion and Moral Hazard

Kyungmin Kim (University of Miami)

Does Equalization Transfer Enhance Partial Tax Cooperation?

Keisuke Kawachi (Mie University)
Hikaru Ogawa (University of Tokyo)

SESSION I.2 (Financial Markets) / Room 215


Jae-Young Kim (Seoul National University)

Stock Market Integration and Financial Crises: The Case of Asia

Yan Zhang (Meiji Gakuin University)

Asian Financial Market Integration and the Role of Chinese Financial Market

Byung-Joo Lee (University of Notre Dame)

Bond Spreads, Market Integration and Contagion in the 2007-2008 Crisis

Jae-Young Kim (Seoul National University)

SESSION I.3 (Money and Finance) / Room 216


Jeong-Ho (John) Kim (Emory University)

Sustainability of Current Account Deficit in Fiji Islands: An Empirical Analysis

Keshmeer Makun (Dongbei University)

The MAX Effect: Lottery Stocks with Limit Hits and Limits to Arbitrage

Weifeng Hung (Feng Chia University)

Monetary Policy and Mutual Funds: Reaching for Yield in Response to Low Rates

Jeong-Ho (John) Kim (Emory University)

SESSION I.4 (Trade and FDI) / Room 217


Jay Pil Choi (Michigan State University and Hitotsubashi University)

How would You Like to Pay Today? Product Differences in the Terms of Payment in International Trade

Hyejoon Im (Yeungnam University)

Trade Policy and Production Location with Cross-border Unbundling

Ayako Obashi (AoyamaGakuin University)

Foreign Direct Investment and Transfer Pricing

Jay Pil Choi (Michigan State University and Hitotsubashi University)

SESSION I.5 (Labor Economics) / Room 218


Seung-Gyu Sim (University of Tokyo)

Wage Dynamics of Workers with Temporary Job Experience: Wage Growth by Type of Job Transition

In Young Hwang (Seoul National University)

Explaining Labor share Movements in Korea: A Regional Analysis: What Drives Labour Share of Incomes Across Regions in Korea?

Woo-Yung Kim (Kongju National University)

On-the-job Training and On-the-job Search: Wage-Training-Promotion in a Frictional Labor Market

Seung-Gyu Sim (University of Tokyo)

SESSION I.6 (Econometrics) / Room 219


Suyong Song (University of Iowa)

Likelihood Inference for Dynamic Linear Models with Markov Switching Parameters: On the Efficiency of the Kim Filter

Young Min Kim (Korea University)

A Generalized Control Function Approach for Nonparametric Regressions with Endogenous Variables

Kyoo il Kim (Michigan State University)

Estimation of Semiparametric Models with Mismeasured Endogenous Regressors Using Control Variables

Suyong Song (University of Iowa)

SESSION I.7 (Health Economics) / Room 322


Bosu Seo (University of the Fraser Valley)

Health Insurance and Labor Supply: Evidence from the Affordable Care Act Early Medicaid Expansion in Connecticut

Daeho Kim (Ohio State University)

Sustainability of Health Insurance Enrollment: Evidence from a Field Experiment in Ghana

Hyuncheol Bryant Kim (Cornell University)

A Statistical Analysis of Children’s Health Inequality in Bangladesh

Bosu Seo (University of the Fraser Valley)

SESSION I.8 (Chinese Economy) / Room 324


Juan Carlos Martinez Oliva (Directorate General for Economics, Statistics, and Research, Bank of Italy)

Politico-economics of Over-investment in Regional China---An Experimental Study Based on Provincial Panel Data

Katsuji Nakagane (University of Tokyo)

A Time-Varying Cointegration Study on the Onshore and Offshore Renminbi Exchange Rates

Xiang Lin (Södertörn University)

Changing Patterns of China’s Growth

Juan Carlos Martinez Oliva (Directorate General for Economics, Statistics, and Research, Bank of Italy)

SESSION I.9 (Microeconomics) / Room 331


Semin Kim (Yonsei University)

Price Competition and Market Segmentation in Retail Gasoline: New Evidence from South Korea

Taehwan Kim (University of Missouri)

Interim Self-Stable Decision Rules

Semin Kim (Yonsei University)

PARALLEL SESSIONS II10:45-12:15, July 14 (Fri)

SESSION II.1 (Microeconomics) / Room 114


Humberto Llavador (Pompeu Fabra University)

Delegation and Public Pressure in a Threshold Public Goods Game

Doruk Iris (Sogang University)

Rebranding Ex-convicts

Young-Chul Kim (Sangmyung University)

Inequality Reducing Properties of Progressive Income Tax Schedules: The Case of Endogenous Income

Humberto Llavador (Pompeu Fabra University)

SESSION II.2 (Macroeconomics) / Room 215


Suk Jae Noh (Hallym University)

Investment Shocks and Optimal Monetary Policy

Minki Kim (Yonsei University)

R&D Cycle in a Fully-endogenous Growth Model with Population Growth

Daishoku Kanehara (Kyoto University)

Technological Change and Reallocation

Junghoon Lee (Emory University)

SESSION II.3 (Money and Finance) / Room 216


Wooheon Rhee (Kyung Hee University)

Inflation Targeting, Exchange-Rate Targeting Monetary Policies in an Open New Keynesian DSGE Model

Chen-Min Hsu (CTBC Financial Management College)

Measuring Market Expectations in the Presence of Unobserved Fundamentals: A Predictive System for Exchange Rates

Seojin Lee (Shanghai Lixin University)

A Bayesian Method for Foreign Currency Portfolio Optimization of Conditional Value-at-Risk

Donghwan Kim (Korea University)

SESSION II.4 (Trade and FDI) / Room 217


Myung-bae Yeom (Chungnam National University)

Heterogeneous Firms, Factor Productivity and Trade

Yang Seung Lee (Kunsan National University)

Institutional Quality and Trade in Intermediate Goods

Hea-Jung Hyun (Kyung Hee University)

Crisis, FDI, and Investment: The Impact of Banking Crisis in Source Countries on Investment of Foreign-Owned Companies

Kwang Soo Kim (University of Texas at Dallas)

SESSION II.5 (Labor Economics) / Room 218


Doyoung Kim (Sogang University)

Do University Entrepreneurship Programs Promote Entrepreneurship?

Yong Suk Lee (Stanford University)

Output Cost of Gender Discrimination in the Korean Labor Market

Hanol Lee (Southwestern University of Finance and Economics)

Baby-Boomers’ Investment in Social Capital: Evidence from the Korean Longitudinal Study of Ageing

Vladimir Hlasny (Ewha Womans University)

SESSION II.6 (International Trade and Transportation) - Organized by Korea Maritime Institute / Room 219


Tirthankar Nag (International Management Institute, Kolkata)

Does the Nationality Matter in Container Shipping Market? Effects on Freight Rates of Hanjin Shipping's Collapse

Byoung-Wook Ko (Korea Maritime Institute)

Performances and Challenges on the Ocean Economy Assessment in Korea

Jeong-In Chang (Korea Maritime Institute)

Barriers to Cross Border Energy Cooperation & Implications on Energy Security: An Indian Perspective with Reference to Energy Trade in South Asia

Tirthankar Nag (International Management Institute, Kolkata)

SESSION II.7 (Development Economics) / Room 322


Toru Yanagihara (Takushoku University)

The Indian Inflation 2006-16: An Econometric Investigation

Paramita Mukherjee (International Management Institute, Kolkata)

Women Participation in Labor Force: An Attempt of Poverty Alleviation

Wandira Senja Larasati (SDGs Center Universitas Padjadjaran)

Promoting Inclusive Economic Relationship toward Sustainable Development in Asia

Seyed Komail Tayebi (University of Isfahan)
Zahra Zamani (University of Isfahan)

SESSION II.8 (Money and Banking) - Organized by the Bank of Korea / Room 324


Jaerang Lee (Bank of Korea)

Equity Market Globalization and Portfolio Rebalancing

Kyungkeun Kim (Bank of Korea)

Does Intra-Regional Trade Matter in Regional Stock Markets?: New Evidence from Asia-Pacific Region

Moon Jung Choi (Bank of Korea)

Behavioral Aspects of Household Portfolio Choice: Effects of Loss Aversion on Life Insurance Uptake and Savings

In Do Hwang (Bank of Korea)

SESSION II.9 (International Finance) - Organized by Yuri Sasaki (Meiji Gakuin University) / Room 331


Yuri Sasaki (Meiji Gakuin University)

Declining Japanese Yen and Inertia of the US Dollar

Eiji Ogawa (Hitotsubashi University)
Makoto Muto (Hitotsubashi University)

The Impacts of Emerging Asia Global Financial Markets

Shin-ichi Fukuda (University of Tokyo)
Mariko Tanaka (Musashino University)

Factor Decomposition of Japan’s Trade Balance

Yuri Sasaki (Meiji Gakuin University)
Yushi Yoshida (Shiga University)

PARALLEL SESSIONS III16:15-17:45, July 14 (Fri)

SESSION III.1 (Political Economy) / Room 114


Hong Y. Park (Saginaw Valley State University)

Fiscal Policy to Maintain U.S. Military Bases and Okinawa's Right to Self-determination

Mitsuyoshi Kawase (Kyoto Prefectural University)

The Dynamics of Parliamentary Bargaining and the Vote of Confidence

Seok-Ju Cho (Sungkyunkwan University)

Practical Application of Whiteheadian Process Philosophy and Creativity to the Creative Economy in Korea: A Five Cs Creativity Theory Perspective

Hong Y. Park (Saginaw Valley State University)

SESSION III.2 (Applied Economics) / Room 215


Junsoo Lee (University of Alabama)

Political Turbulence in the Middle East and the Returns of Oil Companies

Jee Young Bae (Seoul National University)

Credit Constraints, Utilitarian Market Failure, and Social Enterprises

Hyunwoo Hong (Seoul National University)

Group Sanctions and Intergroup Conflict

Gopal Sharan Parashari (Indian Institute of Technology)

SESSION III.3 (Applied Economics) / Room 216


Jisoon Lee (Seoul National University)

What Determines Japanese Corporate Effective Tax Rates? Evidence from Firms Listed on the Tokyo Stock Exchange

Hiroyasu Nomura (Dokkyo University)

The Allocation of Time after Psychological Shock: Evidence from the Sewol Ferry Disaster

Sok Chul Hong (Seoul National University)

The Trade Effects of Tariffs and Non-tariff Changes of Preferential Trade Agreements

Juyoung Cheong (Kyung Hee University)

SESSION III.4 (Energy) / Room 217


Jong-Ho Hong (Seoul National University)

Analyzing the Law of One Price and Volatility in the New Zealand Emissions Trading Scheme using NZUs, CERs and ERUs

Na-Young Lee (Korea University)

Effect of Carbon Tax on Fuel Choice in India

Pooja Rathore (Jawaharlal Nehru University)

The Slowdown of CO2 Emissions in Korea: An IDA Analysis

Wankeun Oh (Hankuk University of Foreign Studies)
Jonghyun Yoo (Yale University)

SESSION III.5 (Labor Economics) / Room 218


Bun Song Lee (University of Arkansas-Fort Smith)

Informal Job Holding and Business Cycle in Russia: Evidence from the RLMS

Mi-kyung Kim (Seoul National University)

Migration and Back Door Brain-drain: Do the Unequals Lose?

Sahana Roy Chowdhury (International Management Institute, Kolkata)

Who in Korea Marries a Woman from Southeast Asia? Evolution of International Marriages from 1993-2013

Bun Song Lee (University of Arkansas-Fort Smith)

SESSION III.6 (Econometrics) / Room 219


Hyeongwoo Kim (Auburn University)

Option Pricing with High-frequency-based Affine Stochastic Volatility (HEAVY-SV) Models

Hyojin Han (Brown University)

A New Approach for Construction and Estimation of Prior

Jae-Young Kim (Seoul National University)

Improving Forecast Accuracy of Financial Vulnerability: PLS Factor Model Approach

Hyeongwoo Kim (Auburn University)

SESSION III.7 (Development Economics) / Room 322


Munim Barai (Ritsumeikan Asia Pacific University)

Spatially Heterogeneous Effects of a Public Works Program

Joshua D. Merfeld (University of Washington)

Family Clans and Public Goods: Evidence from the New Village Beautification Project in South Korea

Hyunjoo Yang (Korea Development Institute)

Public Works, Crowd Out, and Non-Farm Self-Employment: Evidence from India

Joshua D. Merfeld (University of Washington)

SESSION III.8 (Industrial Economics) / Room 324


Inhyuck (Steve) Ha (Western Carolina University)

Does Competition Increase Quality? Evidence from the US Airline Industry

Myongjin Kim (University of Oklahoma)

Use It or Lose It: Fiscal Year End Corporate Investment around the World

Yong H. Kim (University of Cincinnati)

“Alleged Collusion” Effects in Power Supply Shortage in the Philippines

Miah Pormon (UPV Tacloban College)

SESSION III.9 (International Finance) / Room 331


E. Kwan Choi (Iowa State University)

International Capital Movement and Monetary Independence in Asia

Yoonbai Kim (Nazarbayev University & University of Kentucky)

Sovereign Risk Contagion in East Asia: A Mixture of Time-varying Copulas Approach

Kisung Yang (Korea University)

Currency Devaluation and Unemployment in an Open Economy

E. Kwan Choi (Iowa State University)

PARALLEL SESSIONS IV09:00-10:30, July 15, (Sat)

SESSION IV.1 (Microeconomics) / Room 114


Kuo-Feng Kao (Tamkang University)

Revenue Sharing on Hierarchies

Soojeong Jung (Seoul National University)

The Effect of a Licensing Option Agreement in Vertically-related Markets

Kuo-Feng Kao (Tamkang University)

SESSION IV.2 (Macroeconomics) / Room 215


Jaewoon Koo (Chonnam National University)

Crash Risk and Risk Neutral Densities

Pei-lin Hsieh (Xiamen University)

Does Financial Innovation Increase Inequality?: A Competitive Search Approach

BongGeun Choi (University of Connecticut)
Hyun Lee (University of Connecticut)

Inflation, Inventory, and Credit Market Disruptions: Micro-level Evidence and Aggregate Implications

Ryan (Sung Ryong) Kim (Columbia University)

SESSION IV.3 (Trade and Firms) / Room 216


Deokwoo Nam (Hanyang University)

Do Non-exporting Plants Benefit from Parent Firms’ Export Experience?

Haeyeon Yoon (Sogang University)

Korean Multinational Firms in Factory Asia and Home-Country Effects on Plant Turnover and Job Reallocation

Nyeong Seon Son (Sogang University)

The Impact of Trade and Exchange Rate Stability on Foreign Direct Investment: Case Study in ASEAN and Myanmar

Khin Mar Thet (Okayama University)

SESSION IV.4 (International Economics) / Room 217


Jang Ok Cho (Sogang University)

Anatomy of the Trade Collapse, Recovery, and Slowdown: Evidence from Korea

Sooyoung Lee (Korea Institute for International Economic Policy)

The Politics of Tariff Cooperation in the Presence of Trade Costs

Taiki Susa (Chubu University)
Masafumi Tsubuku (Daito Bunka University)

College Education, Occupational Sorting, and International Trade

Soo Hyun Oh (Korea Institute for International Economic Policy)

SESSION IV.5 (Health Economics) / Room 218


Seonghoon Kim (Singapore Management University)

Disease Risk and Fertility: Evidence from the HIV/AIDS Pandemic

Yoo-Mi Chin (Baylor University)

Weather Shocks and Sex-selective Abortion: Evidence from Rural Vietnam

Jaehyun Jung (Columbia University)

The Welfare Effect of Health Insurance in Rural China: Evidence from New Cooperative Medical Scheme

Seonghoon Kim (Singapore Management University)

SESSION IV.6 (Econometrics) / Room 219


Jihyun Kim (Toulouse School of Economics)

Correlations in the Frequency Domain under Misspecification of Trends

Jin Lee (Ewha Womans University)

Weak Sigma-Convergence: Theory and Application

Donggyu Sul (University of Texas at Dallas)

Volatility Regressions with Fat Tails

Jihyun Kim (Toulouse School of Economics)

SESSION IV.7 (Labor Economics) / Room 322


Sangyoon Park (University of Hong Kong)

Foreign Labour Policy and Labour Demand in Manufacturing: The Case of Malaysia

Evelyn Devadason (University of Malaya)

Estimating the Effect of the Special Employment Promotion Zone Project in Tongyeong using Synthetic Control Method

Hyejin Kim (Seoul National University)

Input Misallocation and Production Externalities

Sangyoon Park (University of Hong Kong)

SESSION IV.8 (Monetary Policy) - Organized by Yuri Sasaki (Meiji Gakuin University) / Room 324


Kyung Soo Kim (Sungkyunkwan University)

Monetary Policy and Covered Interest Parity in the Post GFC Period: Evidence from the Australian Dollar and the NZ Dollar

Shin-ichi Fukuda (University of Tokyo)
Mariko Tanaka (Musashino University)

The BOJ's ETF Purchasing Program and the Impact on the Market

Kimie Harada (Chuo University)

Long-Run Welfare Implication of Helicopter Money in Aging Economies

Kiyohiko G. Nishimura (University of Tokyo)
Yoshihiro Tamai (Kanagawa University)

SESSION IV.9 (International Finance) / Room 331


Hyun-Hoon Lee (Kangwon National University)

“Alleged Collusion” Effects in Power Supply Shortage in the Philippines

Miah Pormon (UPV Tacloban College)

The Determinants of Detecting Veterinary Drugs Residues: Evidence from Shrimp Farmers in Southern Viet Nam

Geunwoo Lee (University of Tokyo)

Effects of Aid for Trade (AfT) on Trade and Foreign Direct Investments: Implications for Vietnam

Hyun-Hoon Lee (Kangwon National University)
My Dung Ly (Kangwon National University)

PARALLEL SESSIONS V10:45-12:15, July 15 (Sat)

SESSION V.1 (Microeconomics) / Room 114


Youngsub Chun (Seoul National University)

Multidimensional Second-Price and English Auctions

Seungwon (Eugene) Jeong (University of Bristol)

Optimal Mechanisms in Almost Ex-Ante Bargaining Problems

Jin Yeub Kim (University of Nebraska-Lincoln)

Delay in Selling to Buyers with Outside Options

Dongkyu Chang (City University of Hong Kong)

SESSION V.2 (Macroeconomics) / Room 215


Lance Fisher (Macquarie University)

Oil and the Regional Economies in Japan: Analysis Using a VAR with Block Exogeneity

Hayato Nakata (Meisei University)

Household Debt Overhang and Transmission of Monetary Policy

Sarah Zubairy (Texas A&M University)

Combining Sign and Long-run Parametric Restrictions in a Weak Instrument Case: Monetary Policy and Exchange Rates

Lance Fisher (Macquarie University)

SESSION V.3 (Applied Economics) / Room 216


Yoonsoo Lee (Sogang University)

Estimating the Effect of Countercyclical Capital Buffer on Banking System Resilience: The Cases of the United States and South Korea during 2008 Crisis

Jongheuk Kim (National Assembly Budget Office)

Technology Licensing and Environmental Policy Instruments: Price Control versus Quality Control

Sungwan Hong (University of Tokyo)

Regulating Private Consumption in Korea: Lessons from Another Failure

Hoon Choi (The Regional Quantitative Analysis Group, University of Barcelona)

SESSION V.4 (International Finance) - Organized by Yuri Sasaki (Meiji Gakuin University) / Room 217


Etsuro Shioji (Hitotsubashi University)

Absence of Safe Assets, Large Sovereign Debt, and Low Bond Yields

Yukie Sakuragawa (Atomi University)
Masaya Sakuragawa (Keio University)

Firm Specificity, Cash Flow and Investment among Japanese Firms: Evidence from the Lost Decades

Dick Beason (University of Alberta)

Extracting Fiscal Policy Expectations from a Cross Section of Daily Stock Returns

Etsuro Shioji (Hitotsubashi University)

SESSION V.5 (Development Economics) / Room 218


Hyuncheol Bryant Kim (Cornell University)

Immigrant Educators and Students’ Academic Achievement

Kelvin Seah (National University of Singapore)

Parental Decision on Additional Birth and Burden on Child Quality

Ahram Moon (Tianjin University of Finance and Economics

When Student Incentives Don’t Work: Evidence from a Field Experiment in Malawi

Hyuk Son (Cornell University)
Hyuncheol Bryant Kim (Cornell University)

SESSION V.6 (Pension and Welfare) / Room 219


Jung Wook Seo (Daegu University)

Optimal Income and Happiness of the Elderly: Does Money Improve Happiness, Up to What Point?

Young Sook Chung (Daegu University)

The Effect of both the National Pension and the Basic Pension on Alleviating the Poverty of the Old-aged People over 65 in Korea

Seung Hoon Jeon (Daegu University)

The Method of Farmland Pension System Improvement by Applying Interrupted Time Series Model

Deokho Cho (Daegu University)

SESSION V.7 (Income Inequality) / Room 322


Insill Yi (Sogang University)

The Empirical Research on Role of Primacy on Income Difference across Region in South Korea

Jinwoo Dong (Pusan National University)

Nexus between Income Inequality and Financial Development in Selected Latin American Economies

Rajendra Narayan Paramanik (Birla Institute of Technology and Science-Pilani)

SESSION V.8 (Trade) / Room 324


Noh-Sun Kwark (Sogang University)

Probabilistic Patents, Alternative Damage Rules and Optimal Trade Policy

Arun Kumar Kaushik (Jindal Global University)

Globalization, Coordination, and Optimality in the Setup of International Public Goods

Jin Kim (Dongduk Women’s University)

Price Stabilizing Effects of the FTAs

Noh-Sun Kwark (Sogang University)

SESSION V.9 (Applied Economics) / Room 331


Toshiro Matsumoto (Okayama University)

Why Japanese Firms are Failing? An Examination of Their Business Model

Munim Barai (Ritsumeikan Asia Pacific University)

Firm Heterogeneity in Sources of Total Factor Productivity Growth: Evidence from Japanese Manufacturing Firms

Sangho Kim (Ritsumeikan Asia Pacific University)

Determinants of Chinese Outward FDI in ASEAN

Sineenat Sermcheep (Chulalongkorn University)

PARALLEL SESSIONS VI13:45-15:15, July 15 (Sat)

SESSION VI.1 (Microeconomics) / Room 114


Myungkoo Song (California Institute of Technology)

Partial Privatization and Subsidization in a Mixed Duopoly: R&D versus Output Subsidies

Sang-Ho Lee (Chonnam National University)
Timur K. Muminov (Chonnam National University)
Yoshihiro Tomaru (Chukyo University)

Startup Financing and Capital Structure: A Signaling Approach

Joon Yeop Kwon (POSTECH)

High CEO Compensation: Incentives for CEO or Managers?

Myungkoo Song (California Institute of Technology)

SESSION VI.2 (Macroeconomics) / Room 215


Byung Ho Song (Dongguk University)

Firm Entry, Search and Matching in a Small Open Economy Faced with Uncertainty Shocks: The Case of Korea

Samil Oh (The Bank of Korea, ESSEC Business School)

Has the Labour Share Declined? It Depends

Taehyoung Cho (The Bank of Korea)

The Labor Market Effects of Public Employment

Weh-Sol Moon (Seoul Women’s University)

SESSION VI.3 (Applied Economics) / Room 216


Wankeun Oh (Hankuk University of Foreign Studies)

Does a Government Public Transfer Program Crowd out Intergenerational Transfers? Evidence from South Korea

Kanghyock Koh (Ulsan National Institute of Science and Technology)

The Effect of Female Labor Supply on Vote Choice

Li-Ju Chen (University of Taipei)

The Impact of ICT on Government Openness by Income

Eun G. Park (McGill University)
Wankeun Oh (Hankuk University of Foreign Studies)

SESSION VI.4 (International Trade Policy) / Room 217


Valerie Cerra (International Monetary Fund)

Are Seminars on Export Promotion Effective? Evidence from a Randomized Controlled Trial

Yu Ri Kim (Waseda University)

The Geography of Gravity

Jun-Hyung Ko (Aoyama Gakuin University)

Launching Export Accelerations in Latin America and the World

Valerie Cerra (International Monetary Fund)

SESSION VI.5 (Development Economics) / Room 218


Arindam Banik (International Management Institute, Kolkata)

Understanding Social Capital in the Sharing Economy

Chiung-Ting CHANG (National Sun Yat-sen University)

Population Aging and the Possibility of a Middle Income Trap in Asia

Sang-Hyop Lee (University of Hawaii at Manoa)

Measuring the Barriers to Trade in Banking and Financial Services in BRICS Economies

Arindam Banik (International Management Institute, Kolkata)
Rituparna Basu (International Management Institute, Kolkata)

SESSION VI.6 (Health and Aging in Asia) - Organized by Asian Development Bank Institute / Room 219


Chul Ju Kim (Asian Development Bank Institute)

Costs and Potential Funding of Expanded Public Pension Coverage in Asia

Peter Morgan (Asian Development Bank Institute)

The Imminent Obesity Crisis in Asia and the Pacific: First Cost Estimate

Matthias Helble (Asian Development Bank Institute)

Population Aging and Inequality: Evidence from China

Bihong Huang (Asian Development Bank Institute)

SESSION VI.7 (Applied Economics) / Room 322


Woojin Lee (Korea University)

The Effect of Sex Ratio on Crime: Instrumental Variable Estimates from India

Prarthna Agarwal Goel (Jawaharlal Nehru University)

Gender and Confidence – Evidence from the PISA Math Test

Seo-Young Cho (Philipps-University Marburg)

Inequality of Opportunity in South Korea

Woojin Lee (Korea University)
Jinsoon Cho (Korea University)

SESSION VI.8 (Shocks and Growth) - Organized by University of Missouri / Room 324


Sang Geun Bae (Korea Economic Research Institute)

How Did the Asian Financial Crisis Affect Korean Household Consumption?

Shawn Ni (University of Missouri)

Resource Endowment and Economic Growth: Dynamic Heterogeneous Approach

Dong-Hyeon Kim (Korea University)

Two Sectors and Two Shocks: How Do Surprise and News Shocks Impact on Economy?

Ingul Baek (Korea Housing Finance Corporation)

SESSION VI.9 (Social Choice and Justice) / Room 331


Biung-Ghi Ju (Seoul National University)

Fractional Group Identification

Wonki Cho (Korea University)

The Impossibility of Liberal Rights in a Diverse World

Hun Chung (University of Rochester)

Entitlement Theory of Justice and End-state Fairness in the Allocation Goods

Biung-Ghi Ju (Seoul National University)

The Korean Economic Association (KEA)

The KEA is the representative economic association in Korea, established in 1952. Its missions are
- to promote interactions among economists in Koreaand in other parts of the world;
- to encourage economic research in Korea and otherparts of the world; and
- to disseminate economic research results.
Since 1982, KEA has organized an international conference every other year. From this year on,
KEA will organize an international conference every year.
For more information, please visit the KEA's web site.

The Asia-Pacific Economic Association (APEA)

The association was established as a result of a series of conferences organized by a group of economists in the United States, Japan, South Korea, Taiwan, Hong Kong, and Mainland China on the Asian economies and the 1997 Asian financial crisis.
They all felt the need for more forums for economists to share their research work with others, to interact with other economists, to search for more research opportunities and topics, to make policy recommendations, and to make more friends. The association has the following missions:
- to promote interactions among economists in the Asia-Pacific region and in other parts of the world;
- to encourage economic research in the region; and
- to disseminate economic research results.
Since the summer of 2005, APEA has been organizing annual conferences in different places to provide a forum to economists to present their research ideas and results, and to interact with economists from all over the world. For more information, please visit the APEA's web site.

Executive Committee

Chung Mo Koo, Kangwon National University (co-chair)
Kar-yiu Wong, University of Washington, USA (co-chair)
Joshua Aizenman, University of Southern California, USA
Shin-ichi Fukuda, University of Tokyo, Japan
Junsoo Lee, University of Alabama, USA

Program Committee

Hyun-Hoon Lee, Kangwon National University, Korea (co-chair)
Shin-ichi Fukuda, University of Tokyo, Japan (co-chair)
Biung-Ghi Ju, Seoul National University, Korea (coordinator)
Charles Harvie, University of Wollongong, Australia
Hyeon-seung Huh, Yonsei University, Korea
Hyuncheol Bryant Kim, Cornell University, USA
Youngse Kim, Sungkyunkwan University, Korea
Deokwoo Nam, Hanyang University, Korea
Euston Quah, Nanyang Technological University, Singapore
Myung Hwan Seo, Seoul National University, Korea
Kwanho Shin, Korea University, Korea
Tom Willett, Claremont Graduate University, USA
Miaojie Yu, Peking University, China

Selection Committee

Insill Yi, Sogang University, Korea (co-chair)
Jong Ho Hong, Seoul National University, Korea (co-chair)
Inhyuck "Steve" Ha, Western Carolina University, USA (coordinator)
Kenzo Abe, Osaka University, Japan
Arindam Banik, International Management Institute Kolkata, India
Chen-Min Hsu, National Taiwan University, Taiwan
Fukunari Kimura, Keio University, Japan
Won Soon Kwon, Hankuk University of Foreign Studies, Korea
Eiji Ogawa, Hitotsubashi University, Japan
Yuri Sasaki, Meiji Gakuin University, Japan
Sakon Varanyuwatana, Thammasat University, Thailand
Zhongxiu Zhao, University of International Business and Economics, China

Local Organizing Committee

Sung Jin Kang, Korea University, Korea (chair)
Woojin Lee, Korea University, Korea (coordinator)
Wonki Jo Cho, Korea University, Korea
Chirok Han, Korea University, Korea
Jin Young Kim, Konkuk University, Korea
Jae-Young Lim, Korea University, Korea
Danbee Park, Kangwon National University, Korea

Board of the Korean Economic Association


Chung Mo Koo, Kangwon National University

President Elect

Kyungsoo Kim, Sungkyunkwan University

Vice President

Jong Ho Hong, Seoul National University
Sung Jin Kang, Korea University
Insill Yi, Sogang University

Executive Committee

Ji-sang Chang, Kyungpook National University
Byeongho Choe, Pusan National University
Youngsub Chun, Seoul National University
Yongkyun Chung, Kangwon National University
Hyun Ok Han, Pusan National University
Yoon Heo, Sogang University
Hyeon-seung Huh, Yonsei University
Soo-Youl Huh, Chungnam National University
Seonghoon Jeon, Sogang University
Byoung Heon Jun, Korea University
Yongseung Jung, Kyung Hee University
Doyoung Kim, Sogang University
Iltae Kim, Chonnam National University
Sang-Jo Kim, Hansung University
Sung Tai Kim, Cheongju University
Yongjin Kim, Ajou University
Young-Jae Kim, Pusan National University
Jae Woon Koo, Chonnam National University
Oh Sang Kwon, Seoul National University
Chung-Eun Lee, Hallym University
Hyun-Hoon Lee, Kangwon National University
Jongmin Lee, Kangwon National University
Joo-Ha Nam, Sogang University
Suk Jae Noh, Hallym University
Jungsoo Park, Sogang University
Byung-Kun Rhee, Pukyong National University
Kwanho Shin, Korea University
Byung Ho Song, Dongguk University
Seoung Hwan Suh, Yonsei University
Seong Hyeon Whang, Incheon National University
Myung-bae Yeom, Chungnam National University
Young M. Yoon, Incheon National University


Wooheon Rhee, Kyung Hee University
Won Ik Son, Deloitte Anjin LLC


Woocheol Kim, University of Seoul

Deputy Secretary

Biungghi Ju, Seoul National University
Hyung-Gun Kim, Kangwon National University
Sang Bong Kim, Hansung University
Won Joong Kim, Konkuk University
Taesuk Lee, Korea Development Institute
Jae Young Lim, Korea University


We are very grateful to the following institutions for their financial support.

Financial Supervisory Service (금융감독원)
Gyeonggi Technopark ((재)경기테크노파크)
Hana Financial Group (하나금융그룹)
Hana Institute of Finance (하나금융경제연구소)
Hyundai Motor Group Global Business Intelligence Center (현대자동차 글로벌경영연구소)
Hyundai Research Institute (현대경제연구원)
Industrial Bank of Korea (IBK기업은행)
KB Financial Group (KB 금융그룹)
KEB Hana Bank (KEB하나은행)
Kia Motor Corporation (기아자동차)
KOGAS (한국가스공사)
Korea-America Economic Association (한미경제학회)
Korea Deposit Insurance Corporation (예금보험공사)
Korea Economic Research Institute (한국경제연구원)
Korea Electric Power Corporation (한국전력공사)
Korea Exchange (한국거래소)
Korea Eximbank (한국수출입은행)
Korea Federation of Banks (전국은행연합회)
Korea Information Society Development Institute (정보통신정책연구원)
Korea Institute for Industrial Economics & Trade (산업연구원)
Korea Institute for International Economic Policy (대외경제정책연구원)
Korea Institute of Finance (한국금융연구원)
Korea Institute of Public Finance (한국조세재정연구원)
Korea International Trade Association (한국무역협회)
Korea Labor Institute (한국노동연구원)
Korea Research Institute for Vocational Education & Training (한국직업능력개발원)
KT (케이티)
National Research Foundation of Korea (한국연구재단)
Korea Research Institute for Vocational Education & Training (한국직업능력개발원)
NongHyup Financial Group (농협금융지주)
NongHyup Bank (농협은행)
POSCO (포스코)
POSRI (포스코경영연구원)
Samsung Economic Research Institute (삼성경제연구소)
Samsung Electronics (삼성전자)
Samsung Securities (삼성증권)
Science and Technology Policy Institute (과학기술정책연구원)
Shinhan Financial Group (신한금융그룹)
Woori Bank (우리은행)