Household income share of GDP in South Korea declined sharplyStaff writer ▼ | March 29, 2016
The household income ratio to gross domestic product (GDP) has decreased over the past two decades, showing the second sharpest decline among OECD members.
Asia Going for Growth 2016
The OECD report "Going for Growth 2016" shows Korea's share of household income to its GDP dropped to 64.3 percent in 2014, down 5.3 percentage points from 69.6 percent in 1995, Korea Times reports.
This was the second sharpest decline among OECD members following Austria whose ratio dropped 5.8 percentage points to 73.6 percent.
During the two decades, Korea's GDP grew 3.8 percent annually, but its per capita household income only rose 2.1 percent.
While Korea, Austria, Belgium (-4.7 percentage points), Norway (-4.6) and a number of other co8untries numbers declined, the ratios of Slovakia (9.2), Finland (5.3), Japan (3.2) and the United States (3.1) rose. OECD members' household income share of GDP declined 0.5 percentage points on average.
With its household income-GDP ratio plunging, only three countries - Norway with 59.4 percent, Ireland with 62.2 percent and the Czech Republic with 63.9 percent - posted smaller numbers then Korea. ■