Q1: How the two ways of colonisation — settlement and extraction differ on their definition and

their final results?

A: Settlement colonization involves the permanent relocation of people from one country to
another, with the intention of establishing a new community and way of life. The primary goal is
to create a new society that is distinct from the colonizing country, with its own culture, laws,
and institutions. The final result is the creation of a new, independent nation that is self-
governing and sovereign.

Extraction colonization, on the other hand, involves the exploitation of a colony's natural
resources, such as minerals, oil, and timber, without any intention of establishing a permanent
settlement. The primary goal is to extract as much wealth as possible from the colony and send
it back to the colonizing country. The final result is the depletion of the colony's resources,
leaving it impoverished and often with little to show for the exploitation. The extraction of
resources can also lead to environmental degradation and the displacement of local
populations.

Q2: Why colonies of UK generally do better than that of France and Spain economically? (Has to
contain the perspective of education, decentralisation and free trade)

A: There are several reasons why colonies of the UK generally do better than those of France
and Spain economically. One reason is the emphasis on education in the British colonies. The
British believed that education was essential for the development of a modern economy, and
they invested heavily in education in their colonies. This emphasis on education helped to create
a highly skilled workforce, which was essential for economic growth.

Another reason is the British policy of decentralization. The British allowed their colonies to
have a greater degree of autonomy and self-government, which helped to foster local economic
development. This allowed the colonies to develop their own economic policies and institutions,
which were tailored to their specific needs and circumstances.

Finally, the British were strong advocates of free trade. They believed that trade should be
conducted without government intervention, and they encouraged their colonies to adopt free
trade policies. This helped to stimulate economic growth by increasing competition and
lowering prices.

In contrast, the French and Spanish colonies tended to be more centralized and authoritarian,
with less emphasis on education and a greater degree of government intervention in the
economy. This often led to economic stagnation and underdevelopment. Additionally, the
French and Spanish tended to be more protective of their domestic industries, which limited the
growth of international trade and hindered economic development.

Q3: Compared with civil law, why common law tends to have better development in financial
sectors?

A: Firstly, common law tends to place greater emphasis on individual rights and freedoms,
including property rights and the freedom to contract. This creates a more favorable
environment for businesses, which can enter into contracts and agreements with greater
confidence and security.

Secondly, common law tends to be more flexible and adaptable than civil law. Common law
evolves through the decisions of judges, who interpret and apply the law to new situations as
they arise. This allows the law to adapt to changing circumstances and to keep pace with
developments in the financial sector.

Thirdly, common law tends to place greater importance on precedent and the decisions of
higher courts. This creates a more predictable and stable legal environment, which is essential
for businesses operating in the financial sector. Businesses can rely on established legal
principles and precedents to guide their decisions and actions, rather than having to navigate an
uncertain and unpredictable legal landscape.

Overall, these factors combine to create a more favorable legal environment for businesses
operating in the financial sector under common law, which can lead to better development and
growth in the sector.

Q5: What is market power? How free market makes HK today? What HK gov’t did in the past to
achieve economic freedom?

A:

Q6: How the entrepot trade contributed to the industrialization in 1960s?

A:

Q7: Compare the difference and similarity between Hong Kong and the other three tigers?

A:

Q8: How labour, capital, entrepreneurship each contributed to the Hong Kong industriliazation?

A: