Economic Development and Poverty Reduction in Korea: Governing Multifunctional Institutions

Combining economic development and poverty reduction is a challenge for developing countries. In the search for mechanisms that integrate both goals, this article examines the Republic of Korea's development strategy, which transformed one of Asia's poorest nations into an industrialized country with low levels of poverty. The authors investigate the state-society nexus in which Korea's developmental state has operated and look at the role of governance for economic development, focusing especially on multifunctioning institutions performing for economic growth and poverty reduction. The article provides strategic suggestions for developing countries on managing effectively within institutional constraints and moving beyond a simple emphasis on good governance.