Not the whole world is in a recession: South Korea sees its GDP expand
Not the whole world is in a recession, there are some countries that are growing, but not in Europe. South Korea's economy grew 0.6% quarter on quarter in the second quarter of 2023, accelerating from 0.3% growth in the first quarter and beating market expectations for 0.5% expansion according to current estimates.
On the expenditure side, private consumption decreased by 0.1%, for one case in the services sector, especially holidays and catering, while expenditure on goods maintained the level of the previous quarter.
Public administration consumption also decreased by 1.9%, due to a drop in spending on social security benefits in kind.
Investment in construction also decreased by 0.3%, driven by the decline in civil engineering. Investment in facilities decreased by 0.2%, as investment in transportation equipment declined, despite the increase in investment in machinery. Exports decreased by 1.8%, due to lower exports of petroleum products and transport services, while semiconductors and motor vehicles increased. Imports decreased by 4.2%, mainly due to lower imports of crude oil and natural gas. Here is the related graph
So South Korea is growing because it has weathered the energy shock well, even if its performance is not brilliant and, as evidenced by the drop in investment, it is preparing for a global recession. The manufacturing PMI is also negative there, even if very far from the European values, marking a slight contraction. So South Korea, despite everything, resists and remains in its position of Asian tiger.
The economic crisis barely touches Seoul.
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The article Not the Whole World is in Recession: South Korea Sees GDP Expanding comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/non-tutto-il-mondo-e-in-recessione-la-corea-del-sud-vede-espandersi-il-pil/ on Tue, 25 Jul 2023 06:14:38 +0000.