ABSTRACT
This chapter reviews the province's growth and its progress toward a mixed economy under these conditions. It examines the Guangdong-Hong Kong relationship in the province's growth process. Moreover, in Guangdong, in conjunction with the state system, a newly formed structure of nonstate production-an independent triple system of agricultural and industrial production is discovered, but all connected to Hong Kong. In order to sustain the impressive growth and to produce the institutional transformation that would facilitate the movement toward a mixed economy, Guangdong's own production has gone through fundamental structural adjustment. The absolute statistics, therefore, can be misleading, but the table can be used as a reference to indicate the trend of population movement between Guangdong and Hong Kong. The traditional surplus rural labor solution by emigration, which had partially served Guangdong, was restricted and the province had to find another way to provide new employment opportunities.
