North Korea’s economy is one of the most closed economies in the world but they find ways to get money out of their people. North Korea’s source of foreign banknotes come from selling tons of coal to China every year, exporting other merchandise and basic goods, hacking financial organizations in 18 countries and sending North Koreans to work abroad under force labor. They are believed to work in industries like mining, logging, textiles, and construction.
John Park, director of the Korea Working Group at the Harvard Kennedy School, believes Pyeongyang kept a lot of money in China that the government can use to fund its weapons programs. By keeping the money in China, North Korea can avoid penalties aimed at stopping the global financial system more easily. Moreover, if the U.S. Government will fine a Chinese bank for helping North Korea avoid sanctions, other Chinese banks will have to evaluate their compliance procedures.
Vocabulary:
banknotes – a piece of paper currency
exporting – to send or transport abroad, especially for trade or sale
merchandise – goods to be bought and sold
organization – a group of persons organized for a particular purpose
fund– provide with money for a particular purpose
True or False:
- North Korea’s main source of foreign currency is hacking financial institutions.
- John Park believes the Chinese government can fund North Korea’s weapons programs.
- The Chinese bank will be penalized for helping North Korea for avoiding the sanctions.
- North Koreans were under force labor in the mining, logging, and construction industries.
- John Park is the director at the Harvard Kennedy School.
Express your opinion:
- Do you think North Koreans should be forced to work abroad to save their economy? Please explain your answer.
- Do you think North Korea should allocate funds for their weapon programs? Please explain your answer.
- Do you think North Korea and China’s business transactions are legal? Please explain your answer.
- Do you think the U.S. Government should interfere with North Korea and China’s economic alliance? Please explain your answer.
- Why do you think North Korea chose to sell coal and other commodities in China?
Defend your argument:
- Do you agree or disagree that cyber hacking is inevitable? Why? Why not?
- If you are the president of North Korea, would you force your people to work in other countries to make more money for your country? Why? Why not?
- If you are the president of North Korea, would you open North Korea’s economy to the global market. Why? Why not?