North Korean Defector Economist: How We Analyze North Korea Needs to Change
By: HyeGyeong Joo
After escaping from North Korea in 2014, HyeGyeong is now pursuing a PhD in economics at Korea University, specializing in developing theoretical models of the North Korean economy. She has also participated in LiNK's English Language Program since 2022.
When I think about my past, I often feel a great sense of loss and sorrow for the people I left behind in North Korea. As a PhD student studying North Korean economics here in South Korea, I feel a strong desire to use my research to help improve the lives of North Korean people. In many ways, helping those I left behind also gives meaning to my own journey.
Whenever I watch the news or read academic papers on North Korea, I feel saddened by the way North Korean people are discussed and represented. Over time, I have come to believe that the way we analyze North Korea needs to change.
I believe there is a fundamental limitation in existing research on the North Korean economy, as much of it has traditional socialist planned economy analysis. Earlier studies have suggested that North Korea would either collapse or undergo a system transition as other socialist countries have done. However, after the breakdown of the Public Distribution System (PDS) in the mid-1990s and the emergence of the shadow economy (including through the Jangmadang—illegal markets), these approaches began to reveal their limitations.
As a result, the North Korean economy came to be understood not as a simple planned economy, but as a mixed economy in which state control and market activities coexist. However, these studies do not sufficiently explain why the North Korean regime allows marketization to persist at a certain level instead of completely suppressing it.
In order to explain the interaction between the government and ordinary North Korean citizens, who are the primary actors in Jangmadang activities, I divide the North Korean system into three groups: the regime, the elites, and ordinary citizens.
In particular, elites are important economic actors because they function as intermediaries between the regime and the people. My argument is that this phenomenon can be better understood by analyzing how these three groups strategically interact with one another.
These three groups pursue their interests in different ways, and their goals also differ significantly. The leadership wants to continue dynastic rule and ensure stable succession, the elite seek to secure their positions and avoid political risks such as purges, and ordinary citizens primarily seek survival and improved living conditions.
The interests of these three groups sometimes conflict with one another and sometimes align. In my opinion, these three groups in North Korea are currently remaining in a state of equilibrium.
This equilibrium means that these three groups can achieve their maximum interests under the current conditions in North Korea. Precisely because of this equilibrium, North Korea has been able to maintain both regime stability and limited marketization simultaneously.
That is why I believe we must identify what kind of shocks could cause this equilibrium to collapse. If such a change were to occur, it could become a new turning point for North Korea.
A new turning point for North Korea could lead the country toward a new political and economic order. The important thing is that we must identify what kinds of shocks could trigger such a transformation.
I hope for a North Korea that has changed—a place where its people can live freely. For me, North Korea is not just a state; it is my hometown, where I was born and raised, and where my family still lives. This is precisely why I am committed to a different approach to the North Korean issue—because my only goal is to see genuine change in North Korea, and I truly want to help bring about that change.
I want my article to inspire you to see something different the next time you watch the news or media coverage about North Korea. The next time you come across a piece of media about North Korea, I hope you take a moment to think about the real North Korean people. And perhaps you may also reflect on this article and consider what kinds of shocks could transform the current equilibrium of North Korea.
I hope you will join me on this journey.
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HyeGyeong is a participant of the LiNK English Language Program (LELP), which serves to not only help North Korean defectors build confidence and skills in English, but develop their capacity as advocates for this issue. To that end, we partnered with select LELP “columnists” to write and polish personal essays through multiple rounds of external feedback and revision. Our goal is to have more North Koreans share their stories directly and lead efforts to change the narrative.
We believe the North Korean people can achieve their liberty in our lifetime.
Opportunities like LELP invest in the people building that future now. Help more North Koreans find their voice, reach their goals, and lead change on this issue.
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4 Myths about North Korea
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Let’s be honest. We’ve heard them before, but some of these are just bad. Here are 4 myths about North Korea and why they're completely wrong!
Myth 1: North Korea is just Kim Jong Un and nukes.
News flash: North Korea is more than Kim Jong-un and nuclear weapons. It’s home to 25 million people who face one of the world’s most brutal regimes. The media headlines obsess over Kim Jong Un and nuclear warfare. But the North Korean people and their stories remind us that it is a country of people with potential and hope. Read stories of the North Korean people here.
Myth 2: The North Korean people are all brainwashed.
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Goosestepping soldiers and images of hysterical crowds cheering for the Kim family are what the regime wants the world to see. But it’s definitely not the whole picture Even the regime’s tight control does not stop the North Korean people from becoming more aware of the outside world.
New technology and smuggled foreign goods in the Jangmadang (markets) give North Koreans new outlets to the outside. And this access to illegal foreign media is eroding loyalty to the regime. Just like any other person, North Koreans binge-watch South Korean dramas and Hollywood films—even without WiFi! Where there’s a will, there’s a way!
Myth 3: North Korea is hopeless and unchanging.
Yes, the North Korean people face the world’s most authoritarian regime. But they are shaking up the status quo and challenging the regime’s control at the grassroots level. They’re starting businesses and those who are able to escape are sending money and information back into the country. The changes they’re driving are irreversible and are small steps towards change and opening inside North Korea. Time and time again, North Koreans prove their resourcefulness and resilience in a system that has failed them.
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Myth 4: There’s nothing I can do for the North Korean people.
Wrong! Though it may seem like North Korea is an issue too big for any one person to solve, you can still make a direct impact on North Korean refugees today by following any of these steps:
