Abstract English

Abstract English

As of March 2004, the base year for National Accounts has been updated from FY1995 to FY2000. On the other hand, the manual for compiling the data has been changed from '68 SNA(System of National Accounts) to '93 SNA. With these changes, all the time series data on National Accounts were revised significantly: they include private and government consump- tions, investments, net exports, indus- trial outputs, savings rate, labor share, to name a few. Furthermore, statistical relations among those data have also been changed, which, accordingly, requires serious revisions in macroeconomic models. Structural changes in Korean economy since the economic crisis also mandate such revisions in order to reflect those chan ges in the model.

With a view to accomplishing such purposes, a quarterly large-scale macro eco- nomic model of the Korea Institute of Finance, KIF05Q, was built recen tly and this report is to describe the structure and details of the model. In