TNAG-1267-FCO40-1616-Economic-situation-in-Hong-Kong-1983 — Page 330

Introduction

1.1

This

CHAPTER 1: OVERALL VIEW

report

provides

additional

analyses of the

economy in 1982, which were not possible earlier because certain statistics for the whole year

for the whole year were not available when

the 1982 Economic Background was written. It also assesses

subsequent economic developments in the first quarter of 1983.

Exports and domestic demand

1.2

Domestic exports began to recover slightly in the first quarter of 1983, with a growth rate. of 2% in real terms compared with the first quarter of 1982 (paragraph 2.1). The

trend of declining growth rates in real terms of domestic

exports has been reversed at the turn of the year. The volume of orders held by manufacturers improved slowly, but gradually

during the first quarter (paragraph 5.3) and there are

definite indications that

that two of Hong Kong's major markets, the United States and the Federal Republic of Germany, are on

the path of economic recovery. To many manufacturers, the

export prospects are now brighter (paragraph 5.4).

1.3

However, reflecting the weak domestic demand,

goods and of consumer goods first quarter of 1983 compared

retained imports of capital declined in real terms in the

with the first quarter of 1982 (paragraph 2.7).

The demand for and supply of domestic resources

1.4

For 1982 as a whole, the supply of labour grew at a

slightly more rapid rate than the demand for labour. Both the

unemployment rate and the underemployment rate rose. These

trends continued into 1983. However, because

changes in

1

/unemployment ...

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