Public Finance of Hong Kong：練習問題

Which of the following is an example of the HKSAR Government's expenditure aimed at 'responding to social needs'?

According to the principles of public finance management in the Basic Law, what is the primary reason the government must avoid a persistent fiscal deficit?

According to Article 107 of the Basic Law, what specific principle must the HKSAR follow when managing its public finance to ensure the stability of the system?

In Module 2.3, when students learn about the simple and low tax system of Hong Kong, which learning activity helps them recognize its features?

Hong Kong's simple and low tax system is characterized by few tax types and low rates. Which of the following is a primary reason the HKSAR Government maintains this system?

Apart from responding to social needs, identify one other major objective of public finance management in Hong Kong mentioned in the curriculum.

Explain two objectives of public finance in Hong Kong, from the government's perspective.

According to the curriculum, what is one legal obligation that residents of Hong Kong have towards the HKSAR's public finance system?

Hong Kong is well-known for its simple and low tax system. This fiscal approach is designed to attract investment and drive economic development.

(a) Identify two characteristics of Hong Kong's tax system that make it 'simple and low' as mentioned in the curriculum. (2 points)
(b) Name one example of a direct tax and one example of an indirect tax found in Hong Kong. (2 points)

The HKSAR Government acts as the manager of public resources, balancing revenue collection with social development needs.

(a) Identify two primary objectives of public finance in Hong Kong that aim to improve the overall well-being of society. (2 points)

(b) Article 107 of the Basic Law provides specific guidelines for managing public finance. Explain the relationship between government expenditure growth and the Gross Domestic Product (\(GDP\)) growth rate under this article. (1 point)

(c) Hong Kong is known for its simple and low tax system. Explain how this system helps drive economic development, and identify one constraint it places on the government when facing a sudden increase in social welfare needs. (2 points)