Victim, not instigator of the Asian Financial Crisis, Hong Kong was the only economy that succeeded in defending its fully convertible currency, indeed its entire financial system, against speculators, but the price it paid for success has been deep recession. Jao gives an objective, even-handed account and analysis. Without political or ideological preconsiderations he shows how Hong Kong authorities handled their intervention in the equity market in August 1998. Explaining the conventional wisdom that no fixed exchange rate regime can hold out for long against massive speculation. He...
Victim, not instigator of the Asian Financial Crisis, Hong Kong was the only economy that succeeded in defending its fully convertible currency, in...
Hong Kong's expanding export-import trade and importance as a capital market have made it one of the major economic centers of Asia, second only to Tokyo. Consequently, the reversion of this previously capitalist city to the People's Republic of China ten years from now will have serious ramifications for the Western financial world. There is much speculation concerning the impact of communist control of the three principal factors which have contributed to Hong Kong's current standing: its political and social stability, economic reform, and the British legal system.
Hong Kong's expanding export-import trade and importance as a capital market have made it one of the major economic centers of Asia, second only to...
