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Administration in a small capitalist state: The Hong Kong experience
Authors:Ian Scott
Abstract:This article is primarily concerned with the functions of bureaucracy in a minimal state and with how those functions might change in response to economic growth. It is predicated on the assumption that bureaucracy is necessary for economic growth even in those countries which seek to achieve such growth through the relatively free operation of the economy within the rubric of a capitalist state. Hong Kong is a case in point. Although it has often been taken as the epitome of the benefits which can be derived from keeping government out of the economy, the bureaucracy has in fact played a critical role in support of economic development. Aside from the functions which must be performed by any state, such as the maintenance of law and order, the administration of justice, and the provision of public works, three features of Hong Kong bureaucratic practice appear to have been important in the definition of the bureaucracy's tasks in the economic growth process. These are ‘value for money’ and the constant need to justify government expenditure; effective line implementation; and the ability to manage crises. If these constitute minimal essential requirements for such governments, they may provide useful criteria which small or micro-states, following capital growth models but not yet experiencing rapid economic development, can apply in assessing the capabilities of their own bureaucracies.
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