After the korean won devalued by approximately 50 in late


Question: After the Korean won devalued by approximately 50% in late 1997 and the economy plunged into a severe recession in 1998, the economy rebounded strongly, with the growth rate returning to 9.3% in 2000. Without becoming an expert on the Korean economy, what do you think were the underlying factors that caused real growth to rebound so much more rapidly in Korea than in other east Asian nations that also devalued? What factors would you look at to determine whether the Korean economy would continue to outpace its neighbors?

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Microeconomics: After the korean won devalued by approximately 50 in late
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