recognition of Taiwan as a separate political entity by
other countries; upgrading Taiwan's defence forces (US
defence sales: the Netherlands has only recently been
allowed to reinstate Ambassadorial relations, after the
sale of submarines to Taiwan); support for the Taiwan
independence movement.
CHANGES IN CHINA: GENERAL POINTS
7.
What relevance do the current economic, political and
social changes in China have to "one country, two
systems and the future of Hong Kong"? Since China is to
remain socialist and Hong Kong to remain capitalist,
should changes in either system affect the other, before
or after 1997? And remember that Hong Kong's future in
many contexts must be Hong Kong from April 1985 not just
the Hong Kong SAR from July 1997.
8.
Hong Kong has always been affected in some measure
by major changes in China and in China's relations with
the outside world (1911 Revolution, 1949 Revolution,
Korean War, Vietnam War, Cultural Revolution). But HK
has been considerably insulated by operating different
systems. The salient differences have varied over time.
Elements have been: common law legal system, colonial
status, free port, no exchange control regulations,
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