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The Ups, Downs, Ins and Outs of 2003
It was a year of so many downs, the ups had to come in response. After a horrendous arson, people around the country chipped in to help. Politicians got caught, but the truth came to light. Plans fell through, were modified, and eventually worked. A few glimpses of 2003, the year of silver linings:
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| Roh¡¯s presidential inauguration, confidence vote controversy |
The ruling party divided, a four-party system emerges |
| Roh Moo-hyun was inaugurated on February 25 for the 17th presidential
term of the Republic of Korea. He advocated an end to authoritarianism and
the resolution of conflict through dialogue, but social divisions have deepened
as a result of extremist expressions of regionalism and group-ism. Approval
ratings for the president have fallen to below 30 percent. With allegations
of corruption among his aides mounting, the Roh suddenly played his ¡°confidence
vote¡± card on October 10. At not yet one year since taking office, Roh seems
to be near the end of his term. |
For the first time in the history of the republic, a ruling party divided
within the first year of taking power. After the presidential election,
antagonism arose between the pro-Roh and anti-Roh factions of the Millennium
Democratic Party, and on November 11, the pro-Roh camp left the MDP to form
the new Uri Party. Together with the Grand National Party and the United
Liberal Democrats, a new four-party system emerged. Problems over appointments,
calls for the dismissal of ministers, and the reconsidering of a special
prosecution to investigate corruption in Cheong Wa Dae have been byproducts
of hte political reorganization. |
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| Investigations into slush funds and Cheong Wa Dae corruption |
The Daegu subway arson and its 340 victims |
| The SK bribery scandal was the focal point for a ¡°Slush Fund Hurricane¡±
that swept across the nation this year. Investigations of large corporations
and both the ruling and opposition parties have provided clues into the
provision of illegal campaign funds. The LG bribery scandal and others like
it have revealed in detail the Grand National Party¡¯s illegal campaign fundraising.
Even President Roh has been badly hurt as a result of the scandals. The
arrest of former aide Choi Do-sul prompted Roh¡¯s call for a vote of confidence
in his leadership, and one-by-one, presidential aides like Ahn Hui-jeong,
Kang Geum-weon, Yeo Taek-su and others have either been arrested or have
come under investigation. Throw in Yang Gil-seung, and the majority of presidential
aides will have been criminal suspects by next year¡¯s special investigation
into corruption among President Roh¡¯s aides. |
The February 18 arson attack on the Daegu subway was a tragedy the likes
of which had never been seen in Korea. A man in his 50s, depressed due to
illness and wanting not to die alone, started a fire that in the space of
24 seconds spread to two subway trains, burning up 12 of their cars and
leaving 192 dead and 148 wounded. Despite the criticism surrounding the
authorities¡¯ response to the tragedy, a joint funeral service was held on
June 29. Citizens donated W66.8 billion, and Jungang-no Station -- the scene
of the incident -- will resume service on December 31. |
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| The conflict over Buan County¡¯s nuclear waste facility |
A special investigation into the ¡°Cash for Summit¡± scandal results
in suicide |
| The ¡°Buan Incident¡± lasted for more than five months, starting with the
July selection of Buan County, North Jeolla Province, as the site for the
construction of a nuclear waste facility. Citizens who opposed the construction
held continuous gatherings and demonstrations, and for 41 days refused to
send their children to school. The governor was seriously beaten by residents,
and nearly 800 people were wounded during violent demonstrations. The government
put forth compensation and referendum plans, but on December 10 it gave
in, announcing that it would accept applications from other prospective
building sites. |
¡°The DJ Government provided US$100 million of the US$500 million sent.¡±
That was the result announced in June by the special investigation team
assembled to look into the ¡°Cash for Summit¡± scandal. Park Jie-Won¡¯s boasting
that he had not given North Korea one dollar was revealed to have been a
bold-faced lie, and the genuineness of the ¡°Sunshine Policy¡± was dealt a
mortal blow. All those involved were found guilty and sentenced during the
course of two hearings. In the aftermath, Hyundai Asan chairman Chung Mong-hun
jumped to his death, after having given statements concerning the role of
Hyundai in providing illegal payments to North Korea. Prosecutors ended
their investigations with Park Jie-won and Gwon No-gap, their role in the
transfer of Hyundai money having been revealed. |
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| 3,000 troops gear up for Iraq |
Gangnam real estate prices skyrocket |
| On October 4, the United States officially requested a Polish-style division
from Korea for service in Iraq, which was followed by intense discussions
between both Korea and the United States and within Korea itself as to the
size and nature of the troops to be sent. After a UN resolution on Iraq
was passed, however, the government decided on October 18 that it would
take into account the nation¡¯s interests and the Korea-United States alliance
in determining the nature of the deployment. On December 17, the government
made its final decision, calling for a detachment of 3,000 combat and non-combat
troops to be sent to Iraq and to take full responsibility for a designated
region. |
Record low interest rates and over W400 trillion in liquidity drove up
housing prices in Seoul¡¯s Gangnam area. The price of housing there soared
by 25 percent, with one apartment after another shooting over W100 million.
The government, surprised, announced that it would control housing prices
and announced nearly 20 anti-speculation measures, which quickly proved
to be futile. The government finally announced on October 29 a comprehensive
approach -- which included new financial, tax, and business measures --
and land prices began to stabilize. |
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| Credit card defaults rapidly increase, while youth unemployment deepens
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Lotto fever hits Korea |
| With fewer employment opportunities due to a stagnant economy and lower
family earnings, the number of individuals who defaulted on their credit
card debts came close to 3.6 million by the end of November. Moreover, with
companies reducing their hiring of new employees or refusing to hire at
all, the percentage of recent high school and university graduates who joined
the unemployment lines skyrocketed to 8 percent, 1-2 percentage points higher
than previous years. |
The Lotto craze, in which ticket purchasers can win big by selecting the
right six numbers out of a pool of 45, hit Korea hard this year. Because
of the economic downturn, pockets were mostly empty, but Lotto ticket sales
from this year reached a combined W3.7 trillion, giving one an idea of how
tightly Lotto fever gripped the nation. When the jackpot reached its highest
total of W40.7 billion, things really got crazy, and Lotto Syndrome -- buying
a ticket and waiting for the weekend drawings -- became a national epidemic. |
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