The Growth of the "Asian Tigers"

Introduction

The Asian dragons termed used for the highly developed economies of the Asia. Hong Kong, Singapore, South Korea and Taiwan are Asian dragons or four Asian tigers. They have been reference with this term due to maintaining the exceptionally high growth rates and quick industrialization between the early 60s and 90s. In this current century, these four tigers established in to high income and advance economies that specialized in division of competitive advantage. Singapore and Hong Kong are the world leading financial centers whereas; Taiwan and South Korea are leaders in manufacturing information technology in the world. They are the role model for those countries who are still developing. In this paper, we will focus on the Hong Kong and factors that made Hong Kong so powerful in Asia and what factor contributed towards their downfall (Rising Tigers, 2010, Pp. 81).

Discussion

1960s was the economic turning point for Hong Kong. During this era, per capita GDP was relatively low. Compare it to the same period, probably, and Peru, South Africa and Greece is similar to Argentina's per capita GDP is twice that of Hong Kong, and Venezuela is three times. The living standard was steadily rising, but salaries of the people were still low. The registered factories in the 1950s to the 1960s were 3,000 to 10,000, the number of registered foreign companies also from 300 to 500. Despite mainland China's political struggle cast a shadow on all kinds of industrial demand for labor is still high, which makes the sustainable development of Hong Kong's manufacturing industry (Guha, S., 2005, Pp. 4).

1960s the last decade followed by Hong Kong was the pace to continued development and expansion of the manufacturing industry. Strong economic growth gave title of Asian tigers to Hong Kong. The rapid economic and infrastructure development raised the quality living standard in Hong Kong. However, by the Chinese mainland instability factors, Hong Kong accumulated a lot of resentment, leading to the emergence of two riots. But after the riot, the Government actively studies how to improve people's livelihood, for the next decade, paving the way for the livelihood of policy reforms.

With the 1960 China Gas market, and in 1961, Jardine Matheson and Kowloon Motor Bus listed, together with a result of mainland China's three difficult years, a lot of influx of new immigrants, leading Hong Kong stock market and the Hong Kong property market boom phenomenon unhealthy. Although the 1961 June 14, the outbreak of Liu Chong Hing Bank runs, one month after the Chairman Liu Po Shan hit due to stroke of sudden death, but because of the property market chasing each other, record turnover of World War II, after a new high, but it has buried the Hong Kong banking system crisis. Since then the Hang Seng Index in 1964, July 31 starting at 100 points as the base, was 1965, January 29, rose to 103.53 points, within six months rose by only 3.53%, the market has shown concern (Infanger, John, 2011, ...