This course aims to provide students with a systematic understanding of the post-war development of the Hong Kong economy and the economic relationship between Hong Kong and the Pan-Pearl River Delta (PPRD), especially after China adopted its open-door policy and economic reform since 1978. Macroeconomic environment and policy issues of Hong Kong will be examined. Economic characteristics of the PPRD, competition and complementarities between Hong Kong and the PPRD will be studied. The prospect and strategy of closer economic cooperation between Hong Kong and the PPRD will be examined. It is expected that after attending this course students will understand more Hong Kong’s macroeconomic environment and its economic relationship with the PPRD upon which informed decision could be made in business and other areas.