5,000 Hinge: Will the Market Rebound Today?

• KOSPI fell 6.0% last Friday. It briefly broke below 5,000 before closing at 5,059.8.
• A circuit breaker was triggered within three minutes of opening.
• Foreign investors sold a net 2.8 trillion won. Their cumulative net selling this year reached 220 trillion won.
• The index has fallen 44.5% from its June 22 peak of 9,114.6.
• Samsung Electronics and SK Hynix dropped 6.4% and 10.4%, respectively.
• A bank executive interviewed by Chosun Ilbo said, “The entire nation is losing wealth through stocks and may soon suffer from unspeakable depression.”
• Lee Hyung-il (Minister of Economy and Finance), Lee Won-bok (Financial Services Commission Chairman), and Lee Chan-jin (Financial Supervisory Service Governor) held an emergency meeting.
• They decided to exempt securities firms from the obligation to maintain a 140% collateral ratio for margin loans for three months.
• Yang Joon-seok (Catholic University professor) said, “This could instead encourage debt-fueled investing.”
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Diverging Outlooks.

• Concerns emerge that data center investments may wane after the U.S. midterm elections.
• Diana Powell McCormick (Meta Platforms CEO) stated, “Building new data centers in the U.S. will become extremely challenging.”
• Microsoft decided not to renew its contract to borrow computing resources from Oracle.
• Lee Jong-hwan (Sangmyung University professor) analyzed, “The likelihood of Big Tech immediately terminating long-term purchase agreements or reducing order volumes remains low.”
• Yoon Seok-mo (Samsung Securities Research Center head) assessed, “This is not a structural adjustment stemming from issues in AI or semiconductor innovation, but a temporary shock caused by external adversities and psychological anxiety.”
• Lee Jin-woo (Meritz Securities Research Center head) evaluated, “Even the National Pension Service lacks the capacity to absorb foreign selling pressure.”
• Hwang Seung-taek (HANA Securities Research Center head) remarked, “Given the high dependence on the U.S. market, a structural limitation exists: when service-driven countries (like the U.S.) catch a cough, component-supplying countries (like Korea) inevitably contract a cold or flu.”
• Lee Chae-won (Life Asset Management chairman) stated, “It feels less like a correction and more like a reset,” adding, “Since the decline was excessively sharp, I expect a sharp rebound followed by consolidation in a range—oscillating between 5,000 and 6,000 points seems a reasonable level.”
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U.S. Markets See a Bounce.

• Nasdaq rebounded last Friday. The S&P 500, Dow, and Nasdaq indices closed at 0.32%, -0.46%, and 1.09%, respectively.
• Nvidia rose 2.8% on Friday after falling 9.3% on Thursday. Micron also rebounded 5.1% after dropping over 17%.
• Arun Sai (Pictet Asset Management strategist) said, “U.S. corporate earnings and economic outlooks have not changed enough to justify the selling pressure.”
• Robert Armstrong (Financial Times columnist) analyzed, “The election has accelerated a process already underway.” The decline did not start solely because of the election results—it’s about the already ongoing AI investment risk reduction speeding up.
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What Matters Now.

Special Prosecutor Bill for Manipulation Indictment Passes National Assembly.

• This is the seventh special prosecutor case since the inauguration of the Lee Jae-myung (President) administration.
• The People Power Party resisted with a filibuster but allowed it to pass after a 24-hour forced closure.
• The bill was approved with 167 votes in favor and 1 against, as People Power Party lawmakers had walked out.
• Hardliners such as Kim Yong-min (Democratic Party lawmaker) and Park Eun-jeong (Innovation Party lawmaker) did not participate in the vote.
• The special prosecutor team can operate for up to 200 days with a maximum of 309 members. Eight of the 17 cases involve Lee Jae-myung (President).
• Chosun Ilbo criticized in an editorial, “It is no different from appointing one’s own judge for one’s own case.”
• Donga Ilbo pointed out in an editorial, “It is contradictory to strip prosecutors of investigative power and then grant it to a special prosecutor by dispatching prosecutors from the prosecution service.”
• Jang Dong-hyeok (People Power Party leader) claimed, “This is the day South Korean rule of law died.”
• Jeong Seong-ho (Democratic Party lawmaker) said, “If nothing comes out of all this shaking, how many side effects will there be?”
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Justice Minister Nominee: Lee Yong-cheol.

• Lee Yong-cheol (Defense Acquisition Program Administration chief) was nominated for the position left vacant for over two months.
• He was active in the Minbyun (Lawyers for a Democratic Society) and the Citizens’ Coalition for Economic Justice. His ties with Lee Jae-myung (President) run deep: they worked at the same law firm, and Lee served as the transition committee head for Seongnam mayor in 2010 and as head of the Seongnam Industrial Promotion Foundation in 2011.
• Lee stated, “I will ensure the smooth completion of prosecutorial reform and work to swiftly establish a new criminal justice system.”
• A key ruling party insider said, “Lee is the president’s hidden core ally.” Reactions were dominated by “an unexpected choice no one saw coming.”
• After Park Gyun-taek (Democratic Party lawmaker) and Yang Bu-nam (Democratic Party lawmaker) declined, the nomination fell to Lee.
• Jeong Jeom-sik (People Power Party floor leader) criticized, “So in the end, the only people you trust to handle case dismissals are the Seongnam line?”
• Lee has no background as a prosecutor or judge and lacks political experience. A ruling party insider interviewed by Dong-A Ilbo said, “Lee mainly handled notarization work, so risks during his confirmation hearing are minimal.”
• Chosun Ilbo criticized in an editorial titled, “It might as well be called the president’s personal law firm,” stating, “He chose a close aide he trusts to handle case dismissals.”
• JoongAng Ilbo demanded in an editorial, “He must first clarify that he will not exercise command authority related to case dismissals.”
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Chief of Political Affairs: Choi In-ho.

• Choi In-ho (CEO of Korea Housing & Urban Guarantee Corporation) has been tapped to replace Hong Ik-pyo (Blue House Chief of Political Affairs). Choi served as a press secretary during the Roh Moo-hyun administration and is regarded as aligned with the pro-Roh faction.
• Lim Gwang-hyun (Blue House Chief of Staff, former National Tax Service Commissioner) was replaced by Ahn Deok-su (Seoul Regional Tax Office Commissioner), nominated as the new tax chief.
• Yoon Ho-joong (Minister of the Interior and Safety) recommended Kim Jong-cheol (Deputy Commissioner of the National Police Agency) as the next police chief.
• Critics call this a “revolving door” personnel reshuffle.
• In an editorial, Kyunghyang Shinmun noted, “There is growing backroom talk that figures like Kim Hyun-ji (Blue House Deputy Chief of Staff) and the so-called ‘Seongnam line’ are steering public appointments.”
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National Pension Role Theory.

• Critics note the National Pension Service cannot defend against market declines because its stock holdings have already reached the legal limit.
• In fact, during last year’s tariff shock, the pension+funds purchased 8.4 trillion won worth of shares—but during last month’s Black Thursday and post-midterm “blue tsunami” shock, the National Pension Service barely intervened.
• Yoon Seok-myeong (Korea Institute for Health and Social Affairs researcher) pointed out, “The golden time for pension structural reform has already passed.”
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Deep Dive.

Stephen Miller’s Significance.

• Trump selected Stephen Miller (White House Deputy Chief of Staff) to replace Susan Rice (White House Chief of Staff).
• The Wall Street Journal analyzed this as a signal of confrontational governance.
• Trump introduced him as a “great fighter.” Marlin Stutzman (Republican Congressman) criticized it as a “terrible decision.”
• According to CNN, Trump offered Dana White (UFC CEO) a position as White House spokesperson. Trump argued, “We need them to protect us from the crazy left.”
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No U.S. Factory, 300% Tariff.

• Trump (U.S. President) has no intention of abandoning tariffs. Concerns grow that the ‘angry duck’ is spiraling out of control.
• Democrats secured a majority, but Trump is likely to veto. The negotiating counterpart hasn’t changed—it’s now a White House plus Congress dynamic.
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Lee Jae-myung’s Approval Rating Rebounds.

• In a Gallup Korea poll, President Lee Jae-myung’s approval rating rebounded to 41%.
• The Democratic Party and People Power Party’s support rates stand at 36% and 28%, respectively.
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Approval Drops, X Posts Surge.

• After President Lee Jae-myung’s approval rating fell below 40% in the second week of September, his X posts increased.
• A Democratic Party lawmaker said, “It seems they sensed the drop as a dangerous signal.”
• A Blue House official remarked, “You fit shoes to your feet, not feet to shoes”—implying the situation is beyond aides’ ability to restrain him.
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The Government Doesn’t Grasp the Democratic Party’s Crisis.

• The Democratic Party has requested the Blue House ease comprehensive real estate taxes for non-resident single-homeowners.
• Park Sung-jun (Democratic Party spokesperson) stated, “The party strongly demanded this.”
• The government plans to raise the basic deduction for resident single-homeowners from 1.2 billion won to 1.4 billion won, while keeping non-residents at 1.2 billion won. Initially, the government intended to lower the non-resident deduction to 900 million won but maintained 1.2 billion won after backlash.
• Park Sung-jun emphasized, “This is a matter directly tied to the 2028 general election,” adding, “Lawmakers in the Seoul region are extremely sensitive.”
• A Blue House official said, “Nothing has changed.”
• One Democratic Party lawmaker remarked, “The government doesn’t grasp the crisis lawmakers are feeling.”
• The Blue House appears taken aback.
• A Blue House official interviewed by Dong-A Ilbo stated, “Demanding the elimination of distinctions between resident and non-resident status is asking the Blue House to change its fundamental stance,” adding, “Revising the government’s proposal again would shake trust in real estate policy.”
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Elderly Crime on the Rise.

• Arrests of men aged 61+ for violating the Stalking Punishment Act rose from 1,278 in 2023 to 1,487 in 2024 and 1,881 last year.
• The number of suspects aged 61+ in violent crimes increased from 3,062 in 2021 to 3,818 last year. Their share of all violent crime suspects also grew from 13.3% to 16.4%.
• Single-person households aged 65+ surged 48% from 1.66 million in 2020 to 2.46 million last year.
• The elderly poverty rate stands at 39.7%—the highest in the OECD.
• Lee Woong-hyeok (Konkuk University professor) argued, “Systems must be established to identify and manage high-risk elderly individuals early.”
• Kim Sang-gyun (Baekseok University professor) explained, “Isolated seniors may perceive even minor slights as deep emotional wounds or rage if they depend heavily on specific individuals.”
• Kim Do-woo (Kyungnam University professor) emphasized, “Management systems combining medical support, care, and welfare services should be developed beyond probation.”
• In an editorial, Dong-A Ilbo stressed, “Isolated elderly must be actively managed to prevent exclusion from social welfare services.”
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Too Many Suspended Sentences.

• The Supreme Court Administrative Office reported that last year, 50% of defendants sentenced to imprisonment or detention (based on first-instance rulings) received suspended sentences.
• While robbery carries a minimum sentence of three years, if mitigating factors are applied to the recommended sentencing range, the penalty can be reduced to 1 year 6 months–3 years—making suspended sentences possible.
• Cumulative sentencing for multiple offenses is another factor. The U.S. adds sentences for multiple crimes, but South Korea increases penalties by up to 50% based on the most severe offense, so repeat offenders rarely face significantly longer terms.
• Last year, 553,000 of those arrested had prior convictions, including 15,000 who were still in their suspended sentence period.
• Lee Chang-hyun (Handong Global University professor) noted, “This means the state’s punitive function is failing.”
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Is Netanyahu Finished?

• Benjamin Netanyahu (Israeli Prime Minister) is likely to fail in extending his rule.
• Arab-majority parties holding the casting vote have decided to support the anti-Netanyahu bloc led by Benny Gantz (Yesh Atid leader).
• Gantz and Netanyahu each have 67 and 46 supporting lawmakers, respectively.
• Prime ministerial candidacy and coalition-building are separate processes. Many variables remain. If coalition talks fail, Netanyahu could continue as caretaker PM while heading to new elections.
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Another Take.

EU Steel Quotas in Jeopardy.

• EU steelmakers’ performance rebounded after the bloc reduced tariff-free quotas and raised excess tariffs in July.
• The tariff-free steel import quota was slashed by 46% from 3.382 million tons to 1.835 million tons annually, with tariffs on excess volumes doubling from 25% to 50%.
• European steelmakers benefited: ArcelorMittal, which had shut three of 14 European blast furnaces late last year, has restarted all three this year.
• Profits for steel divisions at SSAB and ThyssenKrupp also surged.
• South Korea’s dedicated EU tariff-free quota shrank by 19.7% from 2.58 million tons to 2.07 million tons. Korean steel exports to the EU fell 10.7% cumulatively through September.
• A steel industry official interviewed by Chosun Ilbo said, “We’re struggling to find alternative markets for our export volumes.”
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A Verdict to Rival Watergate.

• The Senate stands at 54 Democrats and 44 Republicans, the House at 253 and 157. Though final counts are pending, projections suggest Democratic House seats could swell to 268.
• Ted Cruz (Republican Senator) called it “a verdict rivaling Watergate.”
• Bloomberg reports Marco Rubio (U.S. Secretary of State) may resign. Some speculate distancing from the Trump administration is prudent if he aims for the 2024 nomination.
• JD Vance (U.S. Vice President) has openly criticized Trump.
• Pete Hegseth (U.S. Secretary of Defense) is also reportedly struggling to hold his position. Thomas Massie (Republican Representative) and others are preparing impeachment articles against him.
• Newt Gingrich (former U.S. House Speaker) analyzed, “The presidential primary race is now wide open.”
• “No reason for Republicans to unite anymore,” one analysis concludes.
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Eunma Apartment Surplus Profit Levy: 460 Million Won Per Household.

• The reconstruction surplus profit recovery levy exceeds 2 trillion won—the largest single-complex amount in history.
• The Gangnam District Office estimated the value of each household’s unit at 8.1 billion won by October 2035 (completion date), with an average surplus profit of 1.1 billion won per person. It applied a 10–50% levy rate across brackets.
• Households already face 400–1,000 million won in cost-sharing due to rising construction expenses. Adding the surplus levy brings the total potential cash outflow to over 900 million won per household.
• Among older members with strained cash flow, voices suggest selling homes or halting the project.
• Similar calculations for Apgujeong-dong, Mok-dong, and Seongsu-dong could trigger bills exceeding 1 billion won.
• The surplus profit recovery system reclaims up to 50% of gains exceeding 80 million won per person. Introduced under Roh Moo-hyun, it was suspended during market slumps and revived under Moon Jae-in.
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The Fix.

POSCO’s Lie: Fix a 38-Year-Old Blast Furnace to Use It for Another 15 Years?

• POSCO lied. Its 2024 business report stated:
• “By shifting from full-scale to partial overhaul strategies for blast furnaces, we have laid the foundation for flexible response to low-carbon transitions.”
• But it suddenly reversed course, deciding to fully overhaul Gwangyang No. 2 blast furnace. The coal furnace, built in 1988, was used for 38 years after one overhaul—and now they plan to keep it running until roughly 2040 after this one.
• The contract cost shrank from 283 billion won to 100 billion won, then ballooned quarterly to 305.1 billion won.
• Built in 1988, the furnace was overhauled once in 2005 and used for 21 years. A full overhaul would extend its life another 15–20 years—meaning coal-based operations until the early 2040s.
• Kang Hye-bin (Climate Solutions researcher) said, “If we hadn’t tracked changes over a year and a half, the full overhaul would have proceeded in secret.”
• POSCO explained, “Full overhaul became unavoidable after safety defects were found in equipment diagnostics.”
• Gwangyang No. 2’s annual capacity is 4.35 million tons. At 2.1 tons of CO₂ per ton of steel, that’s 9.14 million tons annually—137.02 million tons over 15 years. That’s equivalent to the annual emissions of 9.8 million citizens.
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Next Year’s Elementary School Enrollment: 270,000.

• This year saw 300,000. The all-time peak was 1.06 million in 1968.
• Jeon Young-soo (Hanyang University Professor) said, “When elementary enrollments exceeded 1 million, the focus could be on nurturing the top 200,000 high-achieving talents. Now, every student in the 200,000 range has become a critical resource.”
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Raising Basic Pension by 30,000 Won Cuts Livelihood Benefits by the Same Amount.

• For 780,000 recipients of both basic pension and livelihood benefits, the pension increase has no net effect.
• The government plans to raise the basic pension by 30,000 won monthly for 3.63 million seniors in the bottom 30% income bracket. Since livelihood benefits are calculated by subtracting recognized income from a set threshold, the combined total income may remain unchanged.
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Why Some Say “Reduce Enrollment Rather Than Hire More Teachers.”.

• The government is pushing to reduce the number of infants cared for by each teacher in daycare centers’ 0-year-old classes from 3 to 2—a key state policy.
• According to the Korea Daycare Centers Federation, public institutions would lose 600,000 won monthly in tuition revenue per teacher if the ratio is reduced. Private centers would lose 340,000 won.
• Hiring additional teachers means daycare centers absorb 20% of labor costs not covered by government subsidies. Many are opting instead to reduce enrollment.
• The number of 0-year-old classes dropped 15% from 48,511 in 2023 to 41,359 this year. Meanwhile, demand rose: average wait times increased from 155 days to 187 days in the first half of 2024.
• Lim Jin-suk (President of the Korea Daycare Centers Federation) warned, “Without compensation for losses, the crisis in 0-year-old care will worsen.”
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Telemedicine: Is It Ready?

• Implementation begins December 24. Prescriptions are limited to seven days, but extended to 30 days if prior treatment or prescription records are confirmed and deemed necessary by the physician.
• Kwon Young-hee (Korean Pharmaceutical Association President) criticized, “There has been no proper statistics or post-evaluation of diagnosis, prescription, or medication guidance.”
• The ‘Practicing Pharmacists Association’ is demanding the revision’s withdrawal and a complete halt to medication delivery.
• Kim Seong-geun (Korean Medical Association Public Relations Director) noted, “When intervals between hospital visits increase, we must monitor changes in blood sugar, blood pressure, and mortality rates,” adding, “Only then can we make evidence-based decisions about expanding eligibility for initial consultations.”
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“We Will Take Your Trash.”.

• This is the solution proposed as trash overflows in Myeongdong. If trash cans are installed, waste piles up like mountains within 3 meters around them, so street vendors have instead agreed to accept the trash.
• An English sign has also been posted.
• The cost of trash bags will be borne by the street vendors.
• Seoul has 7,142 trash cans. Paris, France has 24,000, Madrid, Spain has 90,000, and New York, USA has 23,000.
• A Jung-gu Office official said, “Tourists ask for more trash cans, but merchants don’t want them in front of their stores, making it difficult to decide where to install them.”

ICYMI.

Why Automakers Are Heading to the U.S.

• First, high-margin large pickups and SUVs sell well. New vehicle prices average $50,000, and one in five new car buyers pays over $1,000 monthly in auto loans.
• Second, it’s nearly the only market where Chinese automakers don’t compete. High tariffs and technical regulations block their entry.
• Third, emissions and fuel efficiency standards are more lenient.
• Sam Fiorani (Vice President of AutoForecast Solutions) said, “The U.S. auto market looks great from the outside, but it’s extremely difficult to penetrate in reality.”
• The U.S. market has already seen growth rates decline, and the average vehicle age has risen to 13 years. Even in the U.S., oversupply could become a problem.
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Only 22% of Households Make Their Own Kimchi.

• Thirty years ago, it was 95%.
• 39% of households receive kimchi as a gift, while 38% purchase it.
• As store-bought kimchi consumption rises, so does sugar intake.
• Sugar consumed as snacks decreased from 17.7g in 2019 to 15.6g in 2023, but sugar from meals increased from 19.0g to 19.9g.
• Kimchi contributes 2.4g of daily sugar intake, compared to 1.4g from ice cream.
• Bread and coffee account for 3.2g and 2.7g respectively.
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Eggs: The Cholesterol Culprit? Not Anymore.

• Exonerated after 50 years.
• The American Heart Association retracted its 1968 guideline limiting eggs to three per week in 2019.
• One yolk contains 185–240mg of cholesterol—still well below the 300mg daily limit.
• A 2024 American College of Cardiology (ACC) study found no significant cholesterol impact on high-risk patients consuming 12 eggs weekly for four months.
• Experts advise: one egg daily is safe, two is manageable.
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Less Meat, Fewer Meals.

• Compared to three years ago, weekly meals have dropped to 14.7 days—25 fewer meals per year.
• Last year’s real beef purchasing value fell 11.9% below the 2022–2024 average, with purchase frequency down 10.5%. Pork saw declines of 7.9% and 6.7% respectively.
• Moon Jeong-hoon (Professor at Seoul National University) labeled it a “dietary contraction society.”
• Grain consumption among 20–40-year-olds fell from 297g daily a decade ago to 255g. Daily caloric intake dropped from 2,213Cal to 1,957Cal. Despite eating less, adult obesity rates rose, with obesity medication prescriptions reaching 1.86 million in the first half of this year alone.
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Palace Runs and Dog Runs.

• Tokyo’s 5km running course around Japan’s Imperial Palace attracts 1.5 million runners annually.
• Seoul’s Palace Run is also popular: an 8km route starting at Gwanghwamun Plaza, passing through Gyeongbokgung Palace, Cheong Wa Dae, Samcheong-dong, Jongno, and Cheonggyecheon Stream before returning to Gwanghwamun.
• Shaped like a dog, it’s nicknamed the “Dangdang Run.”
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Seoul’s First Snow.

• Seoul’s first snowfall this year arrived 12 days earlier than average.
• Snow is officially recorded when an observer at the Seoul Meteorological Observatory in Jongno-gu confirms it with their own eyes.
• Forecasts suggest this winter could bring the strongest El Niño phenomenon on record.
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Samsung Lions Claim Ninth Korean Series Title.

• Ninth career championship.
• Defeated KT Wiz to win after a 12-year drought.

Anthropic Lowers Valuation for Pre-Thanksgiving IPO.

• Pushing for a pre-Thanksgiving listing. Investor expectations for enterprise value range from $1.25 trillion to $1.75 trillion, with a target raise of $80 billion to $100 billion.
• Higher than its current valuation of $965 billion but short of the $2 trillion optimistic investors had hoped for.
• Desperately in need of capital. With $150 billion in cash and liquid assets, it plans to spend $900 billion on computing and infrastructure.
• Q3 revenue was $17 billion. Annualized revenue stands at $81 billion.
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Jensen Huang Under Fire.

• Speculation has emerged that Jensen Huang (NVIDIA CEO) and Alice Huang (Megaspeed executive) were in a romantic relationship.
• U.S. intelligence authorities believe Alice Huang was recruited by the Chinese Ministry of State Security as an informant. She allegedly sought to influence NVIDIA to supply advanced semiconductors to China.
• NVIDIA denies the allegations. The company claims their relationship was strictly professional and that no trade secrets or national security information were shared.
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Human Operators Answering AI Assistants.

• “I am your work assistant, ◯◯◯.” An AI agent called the National Health Insurance Service customer center. When told verification was required, it asked, “Can we proceed without personal information?” and then bombarded with questions.
• Human operators cannot hang up first unless faced with sexual harassment or profanity.
• The health insurance union issued a statement:
• “Forcing agents to respond unconditionally—when the caller’s identity is unverifiable and misinformation cannot be corrected—endangers both public rights (limiting citizens’ access to counseling) and workers.”
• “If AI users pre-set repetitive queries or design the system to generate new questions by adding endless conditions, consultations could spiral into infinite loops.”
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Worth Reading.

Four Myths Debunked in the U.S. Midterm Elections.

• Simon Schama (Financial Times columnist) offers this analysis.
• First, the myth that money dominates elections has collapsed. Even Elon Musk’s (Tesla CEO) $474 million spent failed to save Texas.
• Second, the myth that gerrymandering guarantees victory has also crumbled. Election district manipulation proved ineffective.
• Third, the myth that mudslinging helps has been shattered. Attack ads targeting childhood sexual assault allegations enraged even Republican voters.
• Fourth, the myth that voters never abandon their party has been broken. Democrats won Ohio and South Carolina—states Trump won decisively just two years ago.

Yoon Yeo-jun’s 500-Day View of Lee Jae-myung.

• “Efficiency is not the lifeblood of a nation.”
• These were the words of Yoon Yeo-jun (Chairman of Love’s Fruit) in an interview with the JoongAng Ilbo. A senior Democratic Party figure who served as Lee Jae-myung’s (President) campaign chairman in the last election.
• “I thought if his aides were just a bit bolder in their support, he could become a truly great president. If he fails to master the subtlety of restraint in this process, he might miss the chance to correct errors. That would only hurt himself.”
• In Yoon Yeo-jun’s view, Korean society judges leaders harshly once they appear arrogant.
• Yoon Yeo-jun noted, “Lee Jae-myung’s leadership style makes it difficult to speak frankly,” and pointed out, “Being adept at practical affairs is different from presidential leadership.” “Even if one is knowledgeable about operations, showing interest in every trivial detail is problematic. It makes it extremely hard for subordinates to work.”
• Yoon Yeo-jun advised, “Presidential thoughts should be conveyed with great caution.” He views the launch of ‘President’s Y’ following X as a danger signal. He also warned that live-streaming State Council meetings “stifles discourse.”
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What the Korean Economy Needs: ‘Intelligent Failure’.

• “If the competition for a follower was a race to run faster than others, the competition for a leader is the process of forging a path where no one has gone before.”
• Kim Chang-gyu (Central Sunday Economic Industry Editor) emphasized, “The closer one approaches the frontier, the more the engine of growth must shift from imitation to innovation—and institutions must evolve alongside it.” The argument is that Korea must abandon the myth of follower success and transition to leading competition.
• We must guard against the paradox where yesterday’s success blocks tomorrow’s innovation.
• Kim Chang-gyu stressed, “When catching up to advanced nations, reducing trial and error was a competitive advantage—but when leading, the ability to endure trial and error becomes the advantage.”
• “In a society that does not tolerate even ‘intelligent failure’—mistakes made while exploring uncharted territory—innovation is impossible,” he argued.
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Why a Special Prosecutor for Fabricated Indictments Won’t Be Easy.

• Jeong Seong-ho (former Minister of Justice) made this remark:
• “I believe the investigation process itself in cases like Daejang-dong or the North Korea remittance scandal had serious issues. However, proving through judicial procedures that evidence was fabricated is not easy.”
• Seong Han-yong (Senior Reporter, Hankyoreh) pointed out, “The special prosecutor for fabricated indictments became so complicated because Lee Jae-myung (President) was overly fixated on dismissing the indictment from the start.” The story goes that Democratic Party lawmakers formed a group to push for indictment dismissal, tying the investigation into fabricated indictments to the dismissal effort.
• Seong Han-yong added, “It would have been better if they had launched the special prosecutor for fabricated indictments without mentioning indictment dismissal when approval ratings were high. It’s a missed opportunity.”
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Yoon’s Call Recording, Filed Under ‘Not to Forget’.

• Yoon Suk-yeol’s election law violation case hinged on a 2012 call recording by Han Sang-jin (Newstapa journalist).
• The recording included the statement: “I told Lee Nam-seok, who had just left the Central Investigations Department, to meet Superintendent Yoon Woo-jin.” Yoon Woo-jin fled abroad but was captured and later cleared of charges.
• Han had stored the file in a folder labeled ‘Not to Forget’ and released it during Yoon’s 2019 Supreme Prosecutors’ Office confirmation hearing.
• Yoon was appointed prosecutor general, became president three years later—but this recording survived to cost him his election. If the Supreme Court finalizes his conviction (1 year 6 months in prison, 3 years probation), the People Power Party must refund 39.7 billion won in election costs.
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