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Economy

Coffee prices -- South Korea's latest deflationary signal

Paiks Coffee houses stand out with their blue and yellow exteriors.

SEOUL -- South Koreans love coffee. Office workers often buy a cup on the way to work in the morning as well as after lunch. Here in the capital, as many as 10 coffee shops and takeaway stands can be packed within a one-minute walk of one another.

A cup of coffee is not that cheap, though. An Americano -- a shot of espresso with hot water added to it -- costs 4,100 won ($3.70) at Starbucks. That is almost as much as a traditional kimchi jjigae hot pot, a popular lunch dish, which can be had for around 5,000 won.

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