Macroeconomic Impacts of the Accelerating Depreciation of Human Capital and Rising Social Insurance Contributions (in Korean)

This paper addresses the macroeconomic impact of changes in the utilization of human capital, arising from the increase in depreciation of human capital and the resulting rise in social insurance contributions. We first estimate how greatly the depreciation in human capital has risen in recent years, and, based on the results, estimate the macroeconomic effects. With current labor market practices, the estimation results imply about a 5% reduction in GDP in present value. Meanwhile, the effect of rising social security payments, another response to the labor market uncertainties, is found to be smaller than that of the acceleration in human capital depreciation.