Kim Geun-sik "Hong Jun-pyo Opposing Disaster Relief Fund Is a Problem... Lee Jae-myung Is a Bigger Problem"

Professor Kim Geun-sik of Gyeongnam University, chairman of the People Power Party's Songpa-byeong district in Seoul, is speaking at the National Assembly's "Second Meeting of the Advisory Panel for National Intelligence Service Director Nominee Park Ji-won and the Intelligence Committee" on July 16.
[Image source=Yonhap News]

[Asia Economy Reporter Heo Midam] Professor Kim Geunsik of Gyeongnam National University, chairman of the People Power Party's Songpa-byeong district committee in Seoul, strongly criticized on the 23rd, saying, "Assemblyman Hong Joon-pyo, who opposes disaster relief payments, is an independent, and Governor Lee Jae-myung of Gyeonggi Province is a populist who deceives the public."

In a post on his Facebook on the same day, Professor Kim said, "Assemblyman Hong, who opposes disaster relief payments, is problematic, but Governor Lee, who again proposes increasing national debt amid this, is an even bigger problem."

He pointed at Assemblyman Hong, saying, "It is reasonable to provide emergency relief funds to vulnerable groups suffering from the COVID-19 crisis. That is why the ruling and opposition parties dramatically agreed on the 4th supplementary budget," and added, "Assemblyman Hong, who opposes even this, is not a member of the People Power Party but an independent lawmaker."

Professor Kim also said, "Governor Lee's claim about increasing national debt is an even bigger problem," and pointed out, "The average national debt ratio of 34 OECD countries is 109%, while Korea's is about 40%, so the argument that it is okay to borrow more seems superficially correct, but if you look closely, borrowing to throw a feast often leads to ruin."

He continued, "Since the Moon Jae-in administration, the rise in national debt has been too steep. The speed of debt increase is excessive. National debt, which was 627 trillion won in 2016, is expected to rise to 1,070 trillion won in 2022. This means an annual increase of almost 10%," and sarcastically added, "Can a household that has steadily increased debt little by little over decades be the same as a household that suddenly recklessly increased debt in a few years?"

He went on, "Governor Lee's argument to immediately throw a debt party based solely on the fact that Korea's national debt ratio is low among OECD countries is therefore 'knowing only one side and not the other,'" and said, "If he knows this and still deceives the public, he is simply a 'typical populist seeking votes.'"

Then Professor Kim warned, "If ten children each borrow 100 million won and pay an annual interest rate of 20% like private loans, this is already abnormal," and added, "If the healthy parents (the state) borrow 1 billion won to pay off the children's debts, the debts are paid off for now, but the children still rely on debt, and the state is like pouring water into a bottomless pit, eventually unable to repay the debt and going bankrupt. Do not deceive the people with the sweet temptation right before their eyes."