with the communist bloc, despite professing a relatively moderate stance compared to the actual Korean Communist Party, which had also been banned at this time. A good symbol of how the U.S. military occupation of southern Korea went overall was when Hodge and the USAMGIK created the South Korean Interim Legislative Assembly in December 1946. This assembly was supposed to formulate draft laws to be used as "the basis for political, economic, and social reforms." However, the left-wing political faction, consolidated under the South Korean Workers Party, ignored the assembly and refused to participate. The conservative faction's Korea Democratic Party, supported by landlords and small-business owners, also opposed the assembly because their main leaders were excluded from it by the USAMGIK. The problem was that even though many of the 45-member assembly were conservatives most of the members were nominated by the moderate Kim Kyu-sik, who was the Vice President of the Provisional Government of the Republic of Korea (this was the mostly moderate institution created in 1919 during the Japanese-occupied Korea era with the ultimate goal of delivering independence to Korea in the form of a republic) and was Hodge's choice to lead a future independent South Korea. Unfortunately, Kim was not charismatic and could not inspire either the left wing or the right wing to support him. Inter-Korean relations At the time of division, the overwhelming majority of Korean industry was concentrated in the North, while most of the agricultural land was in the South. Power lines and shipping connections were maintained during this period, but were frequently and unpredictably cut off. The North, controlled during this period by the Soviet Union, had the ability to wreak havoc in the South by cutting off the supply of electricity or fertilizer, and frequently did so. Economy The economy of South Korea did not fare well during this period, although the foundations of recovery were laid. A 1947 assessment by the State-War-Navy Coordinating Committee found that the U.S. had mismanaged the Korean economy and failed to enact needed land and labor reforms. The report concluded, "Thus far the U.S. has done little more than hold its own in South Korea. The operation to date has been improvised from day to day to prevent complete collapse, and has left almost untouched the most basic problems." Counterfeiting was reportedly a serious problem during this period. Dissolution Following the constitutional assembly and presidential