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South Korea has been held out as an economic miracle--as a country that successfully completed the transition from underdeveloped to developed country status--and as an example of how a middle-income country can continue to move up the technology ladder into the production and export of more sophisticated goods and services. But with these successes have come challenges, among them poverty, inequality, long work hours, financial instability, and complaints about the economic and political power of the country's large corporate conglomerates, or chaebol.

The Korean...