It is said that the engineering industry which is known as high value-added and high technology intensified one will maintain rapid growth in Korea. This study tries to forecast the market size of the engineering industry in long-term horizon.
Fifteen areas divided by technology markets have been investigated for better utilization of analysis by the government and industry.
It is found that each of the divided market depends on investments or manufacturing in either related or whole industry.
An attempt for long-term forecast has been made by utilizing elasticity of GDP using log linear regression model. The result shows the market size of which portion is 0.7% of GDP in 1995 is expected to grow 14~20% of GDP by 2020. Telecommunication and information service sectors are expected to be the biggest parts of the engineering industry.
