TITLE:
An Empirical Study on the Influence of the Economic Cooperation between the Mainland of China and Hong Kong on Economic Growth and Industrial Development of HK since the Return to China
AUTHORS:
Qi Zou
KEYWORDS:
The Return of Hong Kong, Economic Cooperation, The Mainland of China, Hong Kong, Effect
JOURNAL NAME:
Modern Economy,
Vol.7 No.1,
January
26,
2016
ABSTRACT: This paper presents the
economic cooperation between Mainland China and Hong Kong in the past years
since Hong Kong’s return in commodity trade, investment, and service trade, and
then calculates the trade combined degree. Based on the data from 1994 to 2013,
by the empirical methods of unit root tests, co-integration analyses, and
Granger causality tests, this paper studied the influence of the commodity
trade, investment, service trade on economic growth and the industrial
structure of Hong Kong, and draw the conclusion: the goods imports from Hong Kong
to the mainland of China don’t show effect on the second industry, so as the
service imports on GDP and the tertiary industry. The commodity trade,
investment and service exports from Hong Kong to the mainland of China have the
positive effect on the GDP growth. The commodity imports of Hong Kong, and the
investment from the mainland of China promote the development of the tertiary
industry in Hong Kong; then the development of the third industry will promote the
service exports from Hong Kong to the mainland of China.