Korean economic recovery is not expected to happen sooner in comparison with the days of the Asian crisis in 1998 while the Korean economic downturn is slower. Rapid increase in exports and the boom of venture companies' establishment occurring right after the Asian crisis was followed by speedy facilities investment hopping up the rebounding of Korean economy. But the domestic business condition of recent days is worse than that of last half of 1998 in that the export growth is weakening because of world's economic contraction and it lead domestic demands to dampen. Because exports has played a role in leading Korea economy as a main economic driver increasing its contribution to economic growth twice as much since Asian crisis, the sluggishness of export naturally acts as the shock to scale Korean economy back.
U.S. having a great influence on world economy trend is tied up with some difficulties such as the instability of house price, additional banks' bad loans, the possibility of deflation, the high leverage of corporate and household under pressure to reduce and credit crunch pushing its economy into danger of prolonged recession. It is possible that U.S. economic recession will cause Korean exports to shrink in company with further weakened domestic demands, which would shape Korean business cycle like "L".