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but according to The Korea Women's Development Institute, the sex trade in Korea was estimated to amount to 14 trillion South Korean won ( billion) in 2007, roughly 1.6% of the nation's gross domestic product.The number of prostitutes dropped by 18% to 269,000 during the same period.The sex trade involved some 94 million transactions in 2007, down from 170 million in 2002.

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In South Korea, the practice of losing virginity to prostitutes is widespread.

According to a study conducted by the Medical College of Korea University, males reported an overall 23.1% for firsthand prostitution experience, while women revealed a lower percentile of 2.6%, for an average of 13.4%.

The first brothels in Korea began to spread after the country first opened its port in 1876 through a diplomatic pact, causing ethnic quarters for Japanese migrants to sprout up in Busan, Wonsan and Incheon.

From the 1960s and until today US camp town prostitution still exists outside US military bases (for example outside Camp Casey and Camp Stanley).

This was the result of negotiation between the Korean government and the US military, involving prostitution for United States soldiers in camp towns surrounding the US military bases.

The government registered the prostitutes who were called as Western princess and required them to carry medical certification.The US military police provide for the security in these US camp town prostitution sites and detained the prostitutes who were thought to be ill to prevent epidemics of sexually transmitted diseases.This government involvement was in the past motivated in part by fears that the American military which protected South Korea from North Korea would leave.Camp town prostitution exists outside US military bases (for example outside Camp Stanley).Though US officials publicly condemn prostitution, they are perceived as taking little action to prevent it, and some locals suggest that US Army authorities prefer having commercial sex services available to soldiers.In 2003, the Korean Ministry of Gender Equality announced that 260,000 women—1 of 25 of young Korean women—may be engaged in the sex industry.