THE KOREA – UNITED STATES FREE TRADE AGREEMENT (KORUS FTA): A WAY TO MANAGE JOB UNEMPLOYMENT ISSUE IN THE UNITED STATES (2007 – 2012)

Abstract

The relations between the United States and Korea have been built since the Korean War in the1950s. It continues to became stronger relations since the United States keeps sending aid to Korea to rebuild the economy. A longstanding relation between the United States and Korea leads to a remarkable economic relation between two nations. Since both nations tend to be prominent trading partner for each other, establishing such free trade agreement would be historical. In 2006, the notion of free trade agreement between both nations emerged, followed by its considerable economic advantage for both nations aimed to ease trading activities. For the United States the Korea – United States Free Trade Aagreement (KORUS FTA) becomes the second largest free trade agreement after North American Free Trade Agreement (NAFTA). The KORUS FTA was signed in 2007 by both nations under President Bush and President Roh. Nevertheless, the ratification process occured under President Obama and President Lee in 2010. During the ratification process, the United States experienced significant number of unemployment. The situation encourage the domestic actors to give respond and associate it with the pending ratification of KORUS FTA. The national government of the United States affirmed the domestic response towards the situation and accelerate the ratification of KORUS FTA. The United States government ratified the KORUS FTA in 2011. The ratification process of KORUS FTA can be best explained by Two-Level Game theory by Robert D. Putnam and supported by Neoliberalism theory by David Harvey. This research will use qualitative method to elaborate the correlation of available facts and data