Declining since Britain gave Hong Kong to China?!?!?!?!?!??!?!? Hong Kong's economy has been doing well since it adopted a non-interventionist policy where the government is not allowed to interfere with commerce and industry , but will build highways, roads and schools. I don't the government should not be involved absolutely in the economy, I just think the Government should have a small role in the economy in comparison to the role of the free market in the economy.Hong Kong was special, because trade to China flowed through it. After UK gave it back to China, all that was lost. Hong Kong is a declining city. But this isn't about running a few million people in a special privileged location. It's about running nations populated by several hundred million, geographically spanning thousands of miles, having ethnic colorfulness, strong economical diversity and a strong political divide, which they get from their breast milk.