Hard and soft policies and the future of Hong Kong

If is an intriguing historical coincidence that Hong Kong's transfer of sovereignty coincides with significant political developments in China and Taiwan. In Beijing, the ongoing succession contest is approaching its climax, This year and next, the power struggle will inevitably intensify. Meanwhile in Taipei, a democratically elected president has emerged, seeking Taiwan's international recognition. This has produced tension between Beijing, Taipei and Washington. Besides investigating the 'focal' issues of Hong Kong, it is worth contemplating how these developments in the wider context may or may not affect the stability and prosperity of the territory. The China factor, the Hong Kong factor and the international factor are all relevant to Hong Kong's future.