Micro Foundation of Worship of the Kims

Abstract

It is well known that worship of the Kims has been strengthened in North Korea. This paper analyzes this mechanism. The paper proposes two kinds of models which depict the North Korean system. The first one is a case where North Korean authorities can directly decide the labor allocation of people. The second one is a case where North Korean authorities make contracts with people. The result shows that low levels of reservation income is the origin of the strengthening worship of the Kims.