SEOUL -- Bowing to reality, the North Korean government has lifted all restrictions on private markets -- a last-resort option for a regime desperate to prevent its people from starving.
In recent weeks, according to North Korea observers and defector groups with sources in the country, Kim Jong Il's government admitted its inability to solve the current food shortage and encouraged its people to rely on private markets for the purchase of goods. Though the policy reversal will not alter daily patterns -- North Koreans have depended on such markets for more than 15 years -- the latest order from Pyongyang abandons a key pillar of a central, planned economy.
With November's currency revaluation, Kim wiped out his citizens' personal savings and struck a blow against the private food distribution system sustaining his country. The latest policy switch, though, stands as an acknowledgment that the currency move was a failure and that only capitalist-style trading can prevent widespread famine.
"The North Korean government has tried all possible ways [for a planned economy] and failed, and it now has to resort to the last option," said Koh Yu-hwan, professor of North Korean studies at Dongguk University in Seoul. "There's been lots of back and forth in what the government has been willing to tolerate, and I cannot rule out the possibility of them trying to bring back restrictions on the markets. But it is hard for the government to reverse it now."
Because North Korea operates in secrecy and isolation, outside observers rely on informants and accounts from defectors. In this case, experts agree that the food shortage is dire. Several analysts who monitor and travel to North Korea said that in recent weeks, Pyongyang has abandoned almost all its rules about who can spend money and when. That would seem to indicate that Kim -- who once equated free-market trading with "egotism" and a collapse of social order -- now wants to rehabilitate the markets damaged in November
About Me
- TheRightFieldLine
- A farm boy in Minnesota, I acquired my first rifle at 5 and my shotgun at 9. At 10, I was living in Duluth, in a tough neighborhood. So I sawed off the barrel of my rifle and whittled a pistol grip. The farm boy was now ready for life in the city. In the army I expanded my repertoire to the M1, the bazooka, machine guns and other things that make loud noises. It was a blast, and I didn't have to pay for the ammo. Along the way, I broke bones playng football and spilled blood on hockey rinks. No regrets. Sports were a blast. Still are. I spent two years at two elite universities, but got my education at the University of Minnesota. A career journalist, I loved my craft until it took up social emgineering in the mid-90s. An industry that had welcomed bright, witty and irreverent free-thinkers was suddenly filling up with not-so-bright leftist zealots on a mission. So I quit. Since then, I have skated, roller-bladed, skied, sailed, canoed, worked out, traced my family roots, honed my churlish side and set up this blog. The old instincts are coming back. Life is good.
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