외부자본 유치가 지역경제에 미치는 경제적 효과

다국어 초록 (Multilingual Abstract)

This paper empirically estimates gains from capital inflow to a regional economy. It will be a usefulc indicator for a local government to build a policy for attracting capital. We estimate the respective Cobb-Douglas production function for 11. provinces of Korea, derive its marginal productivity of capital, and then calculate the amount of capital moved between two provinces and gains from the capital movement. With no barriers to capital movement, there would be a strong motive for capital inflow to Seoul, Pusan, and Kyungki, whereas capital outflow would be expected in Chonnam, Chungbuk, Chungnam, and Kyungbuk. The ratio of gains from capital movement to thee regional domestic product (RDP) is high in Cheju, Kangwon, Chungbuk, and so on. It turns out that capital flows from an area with lower productivity of capital to one with higher productivity. This implies that if the local government of an underdeveloped region wants to lure capital investment from outside, it needs to provide it with strong incentives of tax reduction and special loans,