Comparative Study of North and South Korean Economies

Abstract

After the combat in the Korean War came to an end in 1953, Both South and North Korea proceeded in
completely opposite ways after that. There is a universe of difference between their economies and the way they live
their lives between the two of them. The demilitarised zone is a territory that is four km wide and runs along the
38th parallel. It approximately divides the Korean peninsula in half from north to south. South Korea operates
under a mixed market economy and boasts one of the most developed economies in the world to the south of the
demilitarised zone (DMZ), in contrast to its neighbour to the north, which is a military dictatorship that tightly
governs the country's economy. It combines elements of free-market capitalism with the monitoring and
management of the economy by the government. It has a diversified economy, with a strong focus on technology,
manufacturing, electronics, vehicles, and shipbuilding; yet, these sectors account for the majority of its revenue.
whereas its neighbour to the north, North Korea, is ruled by an oppressive military regime. The economy of North
Korea is a centrally planned system in which the role of the free market is restricted, although it is rising. This
system is profoundly rooted in communism, and it is governed by the Kim family. The state places a significant
amount of importance on heavy industries including mining, metallurgy, and the production of goods related to the
military