[Andrew Sheng] The myth of central bank independence

Central bankers are the high priests of high finance. That’s because they control high-powered money, commonly known as the monetary base, or the sum of currency in circulation plus commercial bank deposits with them. By buying government bonds from banks or the market (which expands central bank balance sheets), commercial bank reserves rise, improving market liquidity and therefore tending to reduce short-term interest rates. In effect, central banks affect market sentiment by expanding their

Sept. 2, 2025

[Editorial] Budget carefully

Obligatory expenditures, which are government spending required by laws, are expected to increase by more than 100 trillion won ($72 billion) for four years. According to the government finance management plan for the 2025-2029 period, unveiled by the Ministry of Economy and Finance on Friday, mandatory spending will swell by 100.9 trillion won from 364.8 trillion won this year to 465.7 trillion won in 2029. The growth in obligatory expenditures is largely due to an increase in subsidies provide

Sept. 2, 2025

[Yoo Choon-sik] Spending without discipline won’t save economy

The Ministry of Economy and Finance and the Bank of Korea held their respective events on the state of the national economy just one day apart last week. The ministry unveiled its first full-year budget plan under the Lee Jae Myung administration, while the central bank outlined its monetary policy outlook. Taken together, however, the announcements offered little confidence in the coherence of South Korea’s economic policy and more evidence that both institutions are prioritizing short-term con

Sept. 1, 2025

[Jeffrey Frankel] Make America sick again

US President William McKinley died in 1901 from gunshot wounds that modern medicine could easily have treated. Though X-rays had been invented, they were not yet widely available, so McKinley’s medical team was unable to find one of the assassin’s bullets. And the antibiotics that could have prevented the onset of sepsis — McKinley’s ultimate cause of death — would not be discovered for another few decades. When US President Donald Trump talks about making America great again, this is the period

Sept. 1, 2025

[Editorial] Chips fall unevenly

Just four days after last Monday’s summit, Washington punctured the glow of alliance diplomacy and reminded Seoul where power is measured. On Friday, the Donald Trump administration revoked the “validated end-user,” or VEU, status of Samsung Electronics and SK hynix, a technical detail buried in the Commerce Department’s Federal Register. In reality, it escalates the US-China technology rivalry, leaving South Korea’s semiconductor giants squarely caught in the middle. For years, VEU status allow

Sept. 1, 2025

[Editorial] Seoul’s digital dilemma

Only hours after South Korea and the United States wrapped up what looked like a smooth summit on Monday, US President Donald Trump delivered a jolt reverberating through Seoul’s policy circles. On his social media platform, Trump threatened “substantial” tariffs and export restrictions against any country that dares to regulate American technology giants. He did not list targets, but the implication was clear: Europe first, and possibly South Korea next. At first glance, it may seem to be anoth

Aug. 29, 2025

[Lee Byung-jong] Korea’s role in global governance

At a time when the basic framework of world multilateralism seems to be decaying under the weight of rising nationalism in many parts of the globe, it may sound odd to call for South Korea to play a greater role in global governance. The two summit meetings President Lee Jae Myung just concluded in Japan and the United States attest to the necessity of Korea’s bilateral diplomacy rather than multilateralism. Yet, as a country that has benefited enormously from multilateral institutions over the

Aug. 29, 2025

[Wang Son-taek] The golden age of the Korea-US alliance

The Korea-US summit held in Washington on Monday began under tension, with the possibility of failure — or even fiasco — hanging over it. However, the summit ended in great success, as the two presidents, both inaugurated earlier this year, repeatedly staged scenes of broad smiles and praised each other as great leaders. Since the future of the Korea-US alliance was at stake in this summit, the majority of citizens in both countries are breathing a sigh of relief. They are now dreaming of a gold

Aug. 28, 2025

[Seo Ji-eun] Beyond fandom: BTS as Korea’s cultural mirror

I walked into a sea of purple, and the world shifted beneath my feet. Purple nails, purple hair, purple clothes — even purple hijabs — all moving in unison with an energy that was at once electric and strangely intimate. Hours before the concert began, the crowd had already transformed an ordinary suburb of Seoul into a festival of devotion, a global gathering that defied borders, languages and expectations. On June 13, the first day of the two-day finale of J-Hope’s world tour at Goyang Sports

Aug. 28, 2025

[Editorial] Rebuild the party

Rep. Jang Dong-hyeok, a two-term lawmaker, was elected the new leader of the main opposition People Power Party on Tuesday. He trailed Kim Moon-soo, his runoff rival, in public opinion polls, but party members' overwhelming support tipped the balance in Jang's favor. The new leader should think deeply about how to narrow the gap between his support among party members and that of the general public. Amid intraparty conflict between supporters and opponents of the impeachment of former President

Aug. 28, 2025

[Editorial] Charm and consequence

Diplomatic theater often flatters before it unsettles. The summit between President Lee Jae Myung and US President Donald Trump in Washington on Monday ended with smiles, jokes about golf and talk of shipyards. Yet beneath the conviviality lay reminders that the most difficult chapters of the alliance — from trade disputes to security dilemmas — remain unwritten. The challenge for Seoul is to turn a promising opening into something more durable than a handshake photo. Lee seems to have achieved

Aug. 27, 2025

[Sheldon H. Jacobson] 'Smart' tech does not necessarily make aviation safer

Air travel is remarkably safe, based on several years of performance data. Yet near-misses, including the recent close call between a Delta airplane and an Aeromexico regional jet in Mexico City, give people pause to question whether current air travel risks are higher than historical trends suggest. In light of such concerns, and given the growth of “smart” technologies, it should be no surprise that such technologies have entered the world of air travel. Smart Landing and Smart Runway technolo

Aug. 27, 2025

[Kim Seong-kon] Looking forward to Korea’s multicultural future

Traditionally, Koreans have thought of themselves as homogeneous people, despite the absence of solid evidence for this view. Unfortunately, this preconception has often led to many foreigners finding it difficult to integrate into Korean society. However, these days things appear to be changing. Due to the significant influx of international students, immigrants and migratory workers, Koreans are now witnessing that their country is rapidly turning into a multicultural society. Accordingly, the

Aug. 27, 2025

[Lee Jae-min] Search for a new trade order beyond WTO, FTAs

Jamieson Greer’s declaration (New York Times op-ed on Aug. 7, 2025) that the World Trade Organization system has now run its course, and a new “Turnberry system” should take over, is sparking repercussions in the global community. After years of innuendos and insinuations, he finally points out the elephant in the room. As far as I can remember, this is the first time that a high-ranking official of the United States has officially mentioned a new "system" to replace the WTO instead of improving

Aug. 26, 2025

[Grace Kao] Rookies steal KCON spotlight

KCON LA 2025 was full of established artists such as NCT 127, aespa, Nmixx, Monsta X, i-dle, Jackson Wang, Key of SHINee, Zerobaseone, Ive and others. However, for some of the 37 acts that appeared at KCON, it was their very first KCON. I can attest that these rookie groups worked extremely hard and in some cases, performed more than some senior artists. They did so enthusiastically. 82Major is a six-member boy group who debuted in October 2023, with members Seongil, Yechan, Seongmo, Seongbin, S

Aug. 26, 2025