To reduce the unemployment rate under these assumptions, of course, more than 120,000 net new jobs would be needed. The standard calculation I just presented was based on the assumption that the rate of labor force participation does not change, an assumption that may not be valid during a cyclical recovery in the labor market.
And for Korea, reducing exchange rate volatility has become an important policy objective, since the Korean won’s volatility towers well above those of other currencies. The won’s intraday volatility vis-à-vis the US dollar was in fact found to be 0.60% for 2010, fourth-highest among the 25 major currencies assessed against the dollar.