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ough Korea has come up to become one of the ‘big players’ in the game and has established a working infrastructure in a very short amount of time, it has its own set of problems. For example, a relatively low ratio of SOC stock/private capital or relatively high distribution costs. So an effective investment in the infrastructure is inevitable for Korea and therefore, an effective government is crucial for our next big leap on to the next level.

(2) Needed Change in the Infrastructure Investment

1) Change in Perspective

As mentioned earlier, Korea’s previous approach on evaluation have been ‘cost-function approach’(cost minimalization emphasis). But recent researches and statistics show that this method has been effective in the past because Korea’s economic state was at it’s early level. So we must change our perspective and evaluate our finance allocation with ‘growth-model approach’, which puts marginal productivity of after-tax private capital into the equation. When the

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