GRAPHICS-S.Korea avoides Japan trap, faces more tasks
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SEOUL/TOKYO, Nov 9 (Reuters) - South Korea has done half the work needed to avoid falling into the "Japan export trap" but faces more daunting tasks to ensure domestic demand is strong enough to support the economy when exports inevitably falter.
Following are a collection of graphics describing how and where South Korea has succeeded and faces tasks:
South Korea's economy, being on a still developing stage, has been able to keep growing faster than and to recover from the current crisis ahead of Japan's, which has already entered into a mature stage and has been hurt by an aged population:
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South Korea's strong push for exports has helped its economy outperform Japan but its exports still remain dependent on the value of its currency, keeping the risk high for a possible flip in overseas sales if the won strengthens further:
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South Korea has gradually expanded its global market shares in key industries at the expense of the Japanese companies, noticeably in the shipbuilding and automobile sectors:
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A highly aged and shrinking population, with those aged 65 or older accounting for more than one-fifth of the total, has dragged on Japan's economic growth but South Korea's demographics is also moving quickly toward the Japan's style:
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South Korea has been trying so hard to turn its economy into a more balanced one between exports and domestic spending but has still a long way to go, while Japan is doing better: Continued...
