Economic Performance and Human Resources of Hong Kong

Economic Performance of Hong Kong

Economic Indicators

• Gross Domestic Product (GDP):

  • Definition: Total value of goods and services produced in a country or region in a specific period.
  • High GDP or GDP growth rate indicates a healthy economy.
  • Hong Kong's GDP generally increased from 2000-2020, but dropped in 2020 due to COVID-19.

• Unemployment Rate:

  • Definition: Proportion of unemployed population in the labor force.
  • Rising unemployment rate signifies a poor economic situation.
  • Hong Kong's unemployment rate was relatively low, but increased to 7.9% during the SARS epidemic in 2003 and to 5.8% during the COVID-19 pandemic in 2020.

Industries

• Primary Production:

  • Involves direct extraction or utilization of natural resources (e.g., agriculture, fishing, mining).

• Secondary Production:

  • Involves processing raw materials into semi-finished or finished products (e.g., manufacturing, construction).

• Tertiary Production:

  • Involves providing services (e.g., retail, tourism, education).

• Industrial Structure of Hong Kong:

  • Tertiary production contributes over 80% (and recently around 90% or more) to Hong Kong's employment and GDP.
  • Secondary production contributes the remaining share, with almost zero contribution from primary production.

Economic Characteristics

• Externally Oriented Economy:

  • Hong Kong's economic fluctuations are closely tied to events in other places.
  • Total value of external trade is more than twice the GDP.

• Open Economy:

  • Few restrictions on non-residents engaging in economic activities.
  • Free flow of goods, funds, and talents.

• Economic Security:

  • Includes the security of the economic system, order, sovereignty and development.
  • Foundation of national security and development.