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Liberation, Division, War, and Aid Economy

In: Korean Economic Growth, 1876 - 2022

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  • Nak Nyeon Kim

    (The Academy of Korean Studies)

Abstract

This chapter examines the transformative period following Korea’s liberation, division into North and South Korea, and the Korean War, highlighting how key economic and institutional decisions during this era shaped Korea’s subsequent development. The collapse of the colonial regional integration system triggered significant structural changes, while the division led to divergent outcomes shaped by the distinct legacies of the colonial period. The chapter explores the handling of Japanese properties post-liberation and the resolution of long-standing land disputes through land reform. It also examines the lasting influence of the Korean War and the Cold War system on Korea’s economic trajectory. Particular attention is given to the Syngman Rhee administration, where U.S. economic aid and associated foreign exchange regulations played a critical role in defining the economic landscape of 1950s South Korea.

Suggested Citation

  • Nak Nyeon Kim, 2025. "Liberation, Division, War, and Aid Economy," Studies in Economic History, in: Korean Economic Growth, 1876 - 2022, chapter 0, pages 211-233, Springer.
    • Handle: RePEc:spr:stechp:978-981-96-4832-0_9
    DOI: 10.1007/978-981-96-4832-0_9
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