Status of Strategic Investments in Innovative Growth and Analysis of Their Economic Spillover Effects (Analysis of Pending Economic Issues No. 99)
Published on 7 October 2020
Published by Industry & Energy Analysis Division
As part of new growth strategies to respond to the paradigm shift caused by the 4th Industrial Revolution, the government is pursuing policies to support innovative growth, including through three strategic investment sectors, nurturing innovative talent and eight leading projects.
By linking strategic investment projects for innovative growth to industry sectors on the input-output table and analyzing their economic spillover effects, five areas exhibited high added value and high potential for job creation, per fiscal input unit―nurturing innovative talent, smart factories, bio-health, the hydrogen economy and the data & AI economy.
While area-specific analysis of economic spillover effects such as production, added-value and job creation potential can be a critical source of reference when determining relative priority for government fiscal input, consideration should also be given to area-specific global competitiveness, the division of roles between the public and private sectors, impact on the environment such as climate change, as well as other circumstances in Korea and abroad, from a comprehensive perspective.