Hong Kong Economy Book

New Page 1 The prolonged post-Asian Financial Crisis economic recession in Hong Kong requires new analysis. By looking at the economic performance since the 1980s, this book focuses on analysing the macroeconomic intricacies facing the Hong Kong economy. The economic boom in the pre-Asian Financial Crisis years has also given rise to various structural imbalances that could not sustain the economy after the burst of the bubble. The large producer services sector could arguably be the basis of imbalance. The short-term investment behaviour exhibited in the pre-1997 years has not fully adjusted. Demand-driven solutions can provide short-term rescue and recovery, while economic restructuring requires supply-driven solutions. There is still room for economic expansion in Hong Kong; the focus should return to the basics of economic growth and trade rather than rely on redistributive instruments and heavy government expenditures. Economic integration with the Mainland economy produces both complements and competition; strategies adopted should enable Hong Kong investors to make use of the growing economic pie in Mainland China. By considering the various macroeconomic issues, the book provides useful analysis for readers to arrive at their own economic decisions. Read More