Hong Kong's Policy of Positive Nonintervention: A Critical Appraisal of the 1998 Stock Market Intervention

Hong Kong's success as an international commercial and financial center has often been attributed to a policy of "positive nonintervention" adopted by the government. Market forces were allowed to determine the level of supply and demand in a variety of areas related to public affairs. This has allowed Hong Kong to maintain a relatively small public bureaucracy and has led to a general acceptance of the administrative style and principles …