Many more Koreans singing the blues
People in South Korea are becoming unhappier.
This unhappiness is not isolated to any specific group but is pervasive throughout society.
The younger generation here sees limited opportunities to achieve success; newlyweds can’t afford to buy houses; those in their 40s and 50s are worried about compulsory redundancies; and a large portion of the elderly segment cannot afford their own retirement.
Most importantly, many people in the middle class feel overworked with no corresponding reward. Raising a child in this environment is less and less of a joyful experience.
Korea has been admired by many developing countries for its remarkable economic success but the achievements have failed to deliver “true happiness” for Koreans.
The real concern is that more Kore- ans are feeling less happy over time. Simply put, few people feel their well-being is improving despite an increase in living standards, including per capita income.
This gloomy reality is well manifested in one of the latest surveys.
According to the 2018 World Happiness Report by the UN Sustainable Development Solutions Network, Korea ranked 57th among 156 countries on a global happiness index.
The ranking was based on various factors, including life expectancy, social support and corruption.
The problem is that the Korea’s ranking is on a downward spiral. Its 2018 ranking was down from 55th in 2017, 47th in 2015 and 41st in 2013.
Finland ranked top, followed by Norway, Denmark, Iceland, Switzerland, the Netherlands, Canada, New Zealand, Sweden and Australia.
“The unhappy reality of Korea seems to be related to the massive efforts behind their economic success,” Alicia Garcia-Herrero, Asia-Pacific chief economist at Natixis, told The Korea Times.
She pointed out that most of the countries at the top of the leader board have been rich for a long time so that they have not had to make the sacrifices that Koreans have during the past few decades.
“At the very same time, Korea has not built a huge welfare state as a way to protect its citizens in bad times,” she said.
There could be many reasons behind the low level of happiness but the root cause is simple — Koreans work longer but earn less.
According to data from the Total Economy Database by The Conference Board, Korea is considered one of the lowest among advanced economies in “GDP per hour worked,” the common measure of worker productivity.
For example, Korea recorded 50 in GDP per hour and 69 in GDP per capita, which is compared to France’s 71 and 99, respectively. The figures were calculated based on data from 2016 where U.S. levels are made equal to 100.
“GDP per capita in South Korea is as high as that of France, but GDP per hour is about 40-50 percent lower,” said Antonio Fatas, a professor of economics at INSEAD’s Singapore Campus.
“This means South Koreans achieve the same income by working many more hours,” he added. “When you think about happiness you have to take this into account as we all derive some of our happiness from our leisure time.”