Inequality and Poverty in Hong Kong (2019)

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Questions and Answers

What factor significantly contributes to the working poor in Hong Kong?

Government subsidies for housing

High wages in manufacturing jobs

Flexible employment opportunities (correct)

Universal basic income

How does social frustration relate to inequality in Hong Kong?

It reduces perceptions of fairness.

It leads to increased social mobility.

It decreases public protests.

It may result in social movements. (correct)

Which form of poverty is characterized by identity and social efficacy?

Subjective poverty (correct)

Relative poverty

Objective poverty

Absolute poverty

What is a potential consequence of living in poverty in Hong Kong?

Deprivation Signup and view all the answers

What concept relates to perceptions of fairness and social equality?

Social justice Signup and view all the answers

What can exacerbate the lack of opportunities for young people in Hong Kong?

Polarization in the service sector Signup and view all the answers

Which factors intersect to influence poverty dynamics in Hong Kong?

Gender, ethnicity, age Signup and view all the answers

What role does foreign direct investment (FDI) play in Hong Kong's economic situation?

Promotes deindustrialization Signup and view all the answers

What characterizes the East Asian welfare model, particularly in Hong Kong?

Social policy is subordinate to economic policy. Signup and view all the answers

Which factors complicate poverty alleviation strategies in Hong Kong according to the provided content?

Neglect of the working poor and social exclusion. Signup and view all the answers

What was a significant government action introduced in 1999 regarding social services in Hong Kong?

Introduction of the Lump Sum Grant System. Signup and view all the answers

What was the government's stance on poverty in Hong Kong up until 2013?

They emphasized a 'culture of poverty' to minimize social expenses. Signup and view all the answers

What demographic is significantly affected by the Comprehensive Social Security Assistance in Hong Kong?

Elders. Signup and view all the answers

What misconception about welfare does the government promote in relation to societal values?

Dependency culture diminishes individual initiative. Signup and view all the answers

Which phrase captures the relationship between the state, market, and family in the East Asian welfare model?

Overriding growth objectives. Signup and view all the answers

Which aspect of education is viewed as a potential solution for social mobility among the poor in Hong Kong?

Promotion of universal education. Signup and view all the answers

What is the poverty line defined by the Commission on Poverty in Hong Kong for relative poverty?

50% of the median monthly household income Signup and view all the answers

What was the population poverty rate in Hong Kong pre-intervention in 2019?

21.4% Signup and view all the answers

How many poor households were recorded in Hong Kong post-intervention in 2019?

0.287 million Signup and view all the answers

Which ideology primarily influenced Hong Kong's limited state capacity regarding welfare?

Small government ideology Signup and view all the answers

What effect does the welfare model in Hong Kong rely upon to boost government revenue?

High economic growth rate Signup and view all the answers

Which of the following statements reflects the welfare model ideology in Hong Kong?

Self-reliance is emphasized over state dependency. Signup and view all the answers

Who were considered the informal caregivers in Hong Kong's welfare model?

Family members Signup and view all the answers

What was a significant feature of the welfare state in Hong Kong since the 1970s?

Economic non-interventionism was promoted. Signup and view all the answers

Study Notes

Inequality's consequences include poverty and social unrest.

Defining Poverty (Hong Kong, 2019)

The Commission on Poverty uses a relative poverty measure.
The poverty line is set at 50% of the median monthly household income before policy interventions (taxation and social welfare transfers).
Median CSSA income is HKD2,455.
Poverty lines vary by household size, ranging from 4,500forsinglepeopleto4,500 for single people to 4,500forsinglepeopleto23,000 for 6+ person households. (These figures are from 2019 data).

Poverty Rates (Hong Kong, 2019)

Post-intervention: 9.2% poverty rate, with 0.287 million poor households out of 0.642 million people.
Pre-intervention: 21.4% poverty rate, with 0.649 million poor households out of 1.491 million people. (These figures are theoretical pre-intervention estimates.)

Poverty Lines by Household Size (2009-2019)

Charts show poverty lines changed over time, varying by household size. The amounts increased over the 2009-2019 period.

Welfare Model of Hong Kong (Recap)

Hong Kong's welfare model historically has been strongly influenced by the colonial past and a need for social stability, which has led to a paradox.
A strong state role in funding services (e.g., healthcare, education, housing since the 1950s).
This has been contrasted with a limited state capacity due to a 'small government' ideology.
Hong Kong's welfare system is residual (more focused on individual and family support).
It is highly institutionalized but differs from others concerning financial conservatism, low tax rates, and non-interventionism in the economy.

Welfare Model of Hong Kong (Recap) - Continued

Economic growth is crucial for funding welfare programs (trickle-down effect).
Emphasis on self-reliance over government support is a key feature.
Family, rather than the state, often plays a leading role in 'informal care'.

Productivist Welfare Capitalism (lan Holliday)

Hong Kong's welfare model fits a 'facilitative' subtype, prioritizing economic policy over social policy.
Social rights are minimal and linked to productive activity.
Stratification effects in the job market are meant to encourage productivity.
State-market-family relationship is prioritized toward economic growth.
Private and public sectors work together.

Post-1997 Poverty Policy Issues

Excessive focus on promoting economic development and human capital.
Hope that universal education would empower the poor, but university admission rates were still low.
Poverty policy frequently neglected the problems of the working poor and social exclusion.

How Welfare Model Impacts Poverty in Hong Kong (Micro Level)

No official poverty line until 2013.
The government frequently frames poverty as a cultural (dependency) issue to control expenses.
The government emphasizes family and individual responsibility as main solutions to poverty.
Government assistance (Social Security Assistance) doesn't reach all eligible elders. (Only 57% apply for benefits).

Explaining Poverty in HK (Macro Level)

Globalization, foreign direct investment (FDI) and de-industrialization have led to poverty.
The polarized service sector, working poverty (including flexible employment, part-time, and informal work) and lack of sufficient income for basic needs, such as food, contributes to the problem.

Possible Impacts of Living in Poverty in Hong Kong

Poverty leads to deprivation.
Social exclusion.
Lack of social capital, subjective poverty (identity and efficacy), intersection of poverty and other factors like gender, ethnicity, and age.

What are the ramifications of social inequality in terms of social mobilization, social movements, and social unrest? (Are they short-term or long-term?

Social frustration is a key factor. Perceptions of fairness (both social and individual) are linked to a desire for upward social mobility, among other factors.
Unequal conditions are potentially related to youth frustration (higher rates exist in HK and Taiwan than in Macao).
People with high frustration and unfairness views are more motivated to engage in political action.

H.D. 1 - Inequality Matters (HK-Taiwan Comparisons)

Taiwan and Hong Kong inequality levels measured through Gini coefficients.
Perceived income inequality in Taiwan is higher than in Hong Kong.
Trend in income inequality is an influencing factor more frequently than the actual increase in inequality.

Social movements are embedded in existing institutional environments.
Their growth is partly constrained or facilitated by political opportunity structures.
Social movements interact with and can reshape the political environment.

Changes in Political Opportunity Structure (1970s-2009)

1970s - 1997: increasing accessible political environment for social movements.
1997-2009: decrease in accessible avenues for social movements. This was because there was not much change in governance.

The conclusion points to a relationship between social inequality and social/political movements.

Summarizes the changing political opportunities and correlates with social inequality in Hong Kong.

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Description

Explore the social and political consequences of inequality, particularly in the context of poverty in Hong Kong. This quiz covers the relative poverty measurements, poverty rates before and after interventions, and the variations in poverty lines over time and by household size. Test your knowledge on these critical issues affecting society today.