South Korea's economy VS UAE's Economy

In the beginning of this blog, I would like to talk about two of the fast economic nations that became very efficient in the terms of its economy and its imports and exports of goods and services that offer not only to local but to the whole world. I would like to start a comparison on the economies of UAE and South Korea. UAE economy could be young in contrast to South Korea. UAE's is an oil based nation which exports oil to many nations around the world like China, Japan, European Union countries, United States and even South Korea. However, South Korea considered as a manufacturing nation. They manufacture cars, chemicals, ships, oil tankers. Hyundai could be considered the the main contributed firms that helps Korea to built its infrastructure  Because of lack or law oil and natural gas resources they usually import it from GCC countries, US and Russia. 

There four economic objectives must be achieved that make sure that a nation's economy is in good shape or health:

Low Unemployment:  South Korea's unemployment rate approximately reached to 3.4% which could be good in contrast with Third world countries that suffers from higher unemployment rates in contrast with South Korea. It considered that Korea have a high rate of which I have found that labor force of Korea is about 25.1 million of the population. We can say that that the unemployment rate 3.4% is because of  lack of jobs available because of large population. UAE's latest unemployment rate reached to 4.6%. The labor force is about 3.075 million of population are in labor force of the UAE. Even with the 4.6% of UAE's population is because of low number jobs available and also most of the labor force are expatriates. Both countries cannot reach to full employment because of the financial meltdown that occurred in 2008.

Stable Prices: Korea's inflation rate reached to 4.2 % while the UAE's inflation rate reached 1.4%. We can see that the prices of goods and services in Korea is much higher than in the UAE. That means that the many prices in Korea is not stable and keeping changes of different policies enforced by their government or because of the rescission that effects most countries around the world. In the UAE's we can say that prices may sometimes become stable and sometimes they increase the prices of the goods. The stable prices in UAE is not all goods sold but some essential goods like rice and flour are priced by a lower prices than most goods. In the other hand, increase of the price of oil in the UAE means higher prices of most goods and services.

Economic growth: South Korea could be considered a very rich nation. It is one part of the four Asian tigers that includes Hong Kong, Singapore and Taiwan. Korea is one of the fastest Asian grown economy. They become reach one wealthy nations because of good government policies that helps the country to be one strongest economies in Asia. UAE had become the fastest growing Arab nation in the Middle East. The discovery of oil had helped the country to be one of leading countries in GCC and in this region. Even the country rely too much on oil exports, they start to use other ways to gain income for the country like free trading with other countries, tourism, establishing festivals and events that attracts millions to UAE. 

A Balance of trade: Korea usually exports motor vehicles, telecommunication equipment  computers, petrochemicals. They import oil, steel, organic chemicals and plastic. UAE exports crude oil, natural gas. They imports machinery and transport equipment  chemicals and food goods. After researching I found out that South Korea imports goods more than UAE and exports more than the UAE. But, even the lower  numbers of imports and exports UAE had accomplished the balance of trade.