In order to develop economy, there has been more and more economic integration between Hong Kong and China in recent years. These bring various advantages and disadvantages in different aspects, including economic, political, social, cultural and environmental aspects. There are different arguments regarding the economic integrations. In the following essay, I am going to discuss both of the positive and negative impacts brought by the economic integration between Hong Kong and Mainland, and come to the conclusion of whether economic integration should be promoted.
According to the definition of the website of Investopedia, "an economic arrangement between different regions is marked by the reduction or elimination of trade barriers and the coordination of monetary and fiscal policies. The aim of economic integration is to reduce costs for both consumers and producers, as well as to increase trade between the countries taking part in the agreement. " [1] Individual Visit Scheme, CEPA（Closer Economic Partnership Arrangement）,The Shanghai-Hong Kong Stock Connect and North East New Territories New Development Areas Planning, the multiple-entry permit plan are some of the examples of economic integration between Hong Kong and Mainland China.
In the economic aspect, the positive impacts of the economic integration between Hong Kong and Mainland can be explained by the prosperity of Hong Kong retail industry and stock market. As stated by RG Ehrenberg (2000), economic integration can help promote trade and capital mobility, resulting in the increasing regional GDP.[2] This reflected that the economic integration between Hong Kong and Mainland China can has positive impacts in the economic aspect. Regarding the impacts, Hong Kong and Mainland China should have greater and wider economic integration in the future. A larger extent of economic integration brings positive effects to Mainland China and Hong Kong in economic aspect.
