Predicting the Effects of Korean Reunification by Examining the Fall of the Berlin Wall

Abstract

The Berlin Wall fell on November 9th, 1989, marking the end of over 30 years of division between the German Democratic Republic, also known as East Germany, and the Federal Republic of Germany, also known as West Germany. The two states were remarkably different: East Germany's economy was dictated by communism, and West Germany's by capitalism.(1) A similar situation exists today between North and South Korea, with the North ruled by communism and the South by capitalistic markets.(2) Many experts believe that the two Koreas are destined to eventually reunify as well. However, there are widely differing opinions on how such a reunification would occur. Should it occur, there would be massive economic consequences, both regionally and globally.(3) Therefore, preparation for reunification is essential.

By examining the fall of the Berlin Wall, one may be able to glean insight into how this Korean reunification may unfold. This is the essence of this study's hypothesis: whether an in-depth examination of the major events surrounding the divisions of Germany and Korea and the effects those divisions had on each country economically and socially, as well as an examination of the reunification of East and West Germany, will provide a model for Korean reunification in the future.