In the reforms of centrally planned economies (CPEs), variants of the double-track system as a transitional measure. While there have been some studies of the system from the demand side, little effort has been spent by economists to analyze its consequences from the supply side. This paper is...

East Asia's Monetary Future is an illuminating and valuable work which uniquely focuses on a long-term monetary view of the region. There are multiple and varied future scenarios which can be applied to this region – an enlarged Singapore–Brunei currency area, a greater China monetary bloc...

This paper puts forward two major sets of institutional and systems arguments against implementing the 'big bang' experiment in the transformation of centrally planned economies: (1) problems arising from the difficulties of establishing criteria for asset valuation in the transition and the...

Since the beginning of 1990s, the credit balance of the banking system in mainland China has experienced a big swing from negative to positive. The balance has continued to expand up to now. It seems that both negative and positive credit balances are so large that the financial resources have...

The Hong Kong dollar has been pegged to the U.S. dollar since 1983. Recently, the rapid economic integration between Mainland China and Hong Kong has raised concern about the continuing optimality of the peg. Officially, the Hong Kong Special Adminstrative Region (HKSAR) is under the framework...

This paper examines the issue of achieving full convertibility for the Chinese currency, Renminbi (RMB), and its impact on the economies of both mainland China and Hong Kong. It focuses on the sequencing of Renminbi¡¦s full convertibility, clarifying the different concepts of currency...

After the political unification of Hong Kong with China, Hong Kong is supposed to function as a separate economic entity under the framework of ¡§one country, two systems¡¨. However, the increasingly close ties between the two economies, particularly in recent years, have raised the...

This study examines the causal relationships between sale price changes and rental rate changes in the Hong Kong real estate market. Three different hypotheses are put forth: (1) the demands in the two markets are substitutes, (2) prices and rentals are positively correlated; and (3) prices and...