North Korea entered into a state of bankruptcy after 1990s, causing many to question the regime’s long-term survival. This looming possibility necessitates countermeasures from South Korea to prepare for any sudden changes in North Korea. Recently, the significance of this notion has grown as health concerns of North Korea’s Supreme Leader and currency reform failures suggest an increasing likelihood that the country’s state organs are operating ineffectively.
A North Korean collapse would generate a variety of shocks and changes among neighboring countries, including South Korea. For average citizens, the economic implications should be of the highest interest because of the potential to directly affect their lifestyles. South Korea would feel the most direct influences, as well as China, and Russia, who all share a border with North Korea, and Japan. Of course, U.S. military forces and international organizations stationed in South Korea would not be immune from any potential economic repercussions.
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