Economics Commons^™

The Rise And Fall Of The Hk Economy, Lok Sang Ho

CAPS Working Paper Series

In this Chapter, I want to make a simple hypothesis. Hong Kong under the SAR Government had departed from the long-held recipe of success. The economic decline witnessed till the time of writing was the direct and immediate result of misguided government intervention, particularly in the property market. The nine-point rescue package announced on June 221998, however, showed that the SAR government might have learnt the lesson. In the absence of a full-hearted reversion to the old wisdom of positive nonintervention, however, the Hong Kong economy would continue to decline, and Hong Kong would lose its importance in the global …