The study looked at how changes in U.S. long-term interest rates affect the term structure of Korean interest rates. They used a model with U.S. interest rates and other factors to analyze the Korean yield curve. The results showed that a sudden change in the Korean yield curve happened in December 2008. After this change, an unexpected rise in U.S. long-term interest rates led to a bigger increase in Korean long-term rates. However, the impact on short-term rates in Korea was not significant. This supports the idea that market habits play a role in these relationships.