[Public Opinion Briefing 40-1] Economic Crisis Spreads Politically and Socially

[Public Opinion Briefing 41] The Second Year of the MB Administration: Challenges and Public Opinion

[1] The Dual Challenges Facing the MB Administration in its Second Year

[2] The Economy: How to Resolve It? "Resolve Economic Polarization and Pursue Economic Growth Simultaneously"

[3] For the Lee Myung-bak Administration to Succeed in Revitalizing the Economy...

[4] Security Threats the MB Administration Must Address

The Dual Challenges Facing the MB Administration in its Second Year

"Concern that the economic crisis will spill over into political and social conflict" - Focus on the economy, but hasten social integration and political restoration

The Government's Top Priority: "Mitigating Economic Polarization and Achieving Economic Growth"

- Global economy worsened 89.3%, Korean economy worsened 93.1%, household economy worsened 50.9%

From the beginning of its term, the Lee Myung-bak administration's primary task has been to revitalize the economy. Public attention is focused on economic revitalization due to pessimism about the Korean economy, which has been suffering from the global economic crisis and its repercussions, stemming from rising oil prices and the US financial crisis. In response to the question 'How do you assess the global economic situation over the past year?', a significant 89.3% responded that it had worsened (60.0% significantly worsened, 29.3% slightly worsened), while only 8.7% indicated it remained the same, and 1.8% (0.2% significantly improved, 1.6% slightly improved) said it had improved. Regarding the Korean economy, 93.1% (58.9% significantly worsened, 34.2% slightly worsened) provided negative assessments, consistently evaluating it negatively [Figure 1]. However, concerning household economic conditions, which reflect personal financial situations, only 50.9% reported a worsening, while the majority responded that it remained the same (43.2%) or had improved (5.8%).

Concerns about domestic and international economic crises lead to demands that the government prioritize economic problem-solving in its policies. In the March survey just before the 2008 general election, 46.9% cited 'mitigating economic polarization' as the top priority for the government to address, and 32.8% cited 'economic growth.' In essence, eight out of ten respondents (79.7%) demanded that the government focus on resolving economic issues. Following these, 6.3% of respondents assigned the highest national priority to 'the task of national integration.' Other national agendas such as 'improving the quality of life' (5.5%) and 'political reform' (3.6%) did not receive high scores. Issues like 'improving inter-Korean relations' (1.7%) or 'strengthening security' (0.2%) were outside the public's immediate concerns [Figure 2].

Even one year later, the public continues to urge the government to focus on economic revitalization. Respondents who selected economic issues such as mitigating economic polarization and achieving economic growth accounted for a total of 60.5%, maintaining the top two priorities for national agendas the government should focus on. However, the issue is that public anxiety stemming from the economic crisis is spreading into the social and political spheres.

Growing Voices of Concern Over Stratification and Political Vacuum

While it is true that respondents who consider economic issues as the nation's top priority still constitute the largest group, their proportion has decreased compared to a year ago. The percentage of respondents citing 'mitigating economic polarization' has declined (46.9%→33.9%), and those pointing to 'economic growth' have also decreased (32.8%→26.6%) [Figure 2]. Instead, voices calling for 'national integration' and 'political reform' are growing. Compared to the 2008 survey, the proportion of respondents who selected 'national integration' as the MB administration's top task has more than doubled, from 6.3% to 13.9%. This appears to reflect growing concerns about the significant divisions that have emerged among the government, political circles, and the public during the MB administration's first year, amidst controversies such as the mad cow disease protests, the presidential transition process, and the Grand Canal project.

Meanwhile, the proportion of respondents citing 'political reform' has also increased from 3.6% to 7.4%. The political sphere has been criticized for amplifying, rather than mediating, the political conflicts arising from the economic crisis. The growing calls for political reform can be understood as a critical message regarding the unproductive and consumptive debates and power struggles that have consumed the energy of the National Assembly and political circles. It is important to note that although currently overshadowed by economic issues, if the political circles fail to heed the public's unspoken dissatisfaction, the entire political establishment, which should be leading political reform, could become the target of reform itself. Ultimately, the message the public is sending to the government and political circles after experiencing the first year of the Lee Myung-bak administration is to focus on economic revitalization while simultaneously striving for social integration and the normalization of politics.

[Figure 1] Assessment of Global, Korean, and Household Economies Over the Past Year

[Figure 2] Changes in Perception of Top National Priorities the Government Should Pursue