After the IMF economic crisis, th basic socio-economic policies of the new regime are represented as the market economy and the social democracy. For this, the so-called ‘people’s government’tried to make itself a small government by minimizimg government’s intervention in the economic activities and reducing various government’s regulations. Its final goal is to achieve economic transparency and efficiency by increasing economic autonomy. The theoretical background of this policy is neo-liberalism. But, even if the small government does not mean directly the weak government, it may limit the urgent needs of the socio-economic reforms. I emphasize that socio-economic reform can not be accomplished so efficiently by the small government. Socio-economic reform can be made by the strong governmental role highly supported by the people. This form of government depends more on the traditional culture and historical experiences rather than the western ideology of neo-liberalism. Traditionaly, patrimonial rule and moralism originated from the Confucionism helped the Korean society to have a strong government. The future success of socio-economic reform of the new regime may depend on how to make a strong government being supported by the people.