Severe Acute Respiratory Syndrome
(SARS) – a Case Study for Economics Students
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Since February 2003,
the World Health Organisation (WHO) has been receiving reports on severe acute
respiratory syndrome (also known as atypical pneumonia) from various parts of
the world, including Hong Kong. In Hong Kong, a number of health care workers
and members of the public have been affected.
Demands for surgical masks surge to a record high. Long queues could be seen outside dispensaries despite the sharp increase in mask prices. Within weeks, different types of masks become available in the market and prices have come down.
The MTRC, KCRC, KMB, Citybus Ltd and New World First Bus Services (Ltd) distributed free face masks to passengers at all stations/designated outlets on a first-come-first served basis. MTRC also gave out free antiseptic warm hand towels to passengers at Central and Jordan stations during evening peak hours on 14 & 15 April. Taxi, public light bus, ferry and non-franchised bus operators have also enlisted in the fight against SARS by pledging to provide a clean and safe environment for passengers.
The Education and Manpower Bureau (EMB)
announced on 27 March that all schools would suspend
classes for nine days from 29 March to prevent the spread of SARS on
school premises. This is later extended to 21 April.
Beginning in the afternoon of March 29,
all passengers arriving in Hong Kong are required to complete a health
declaration. On April 10, the Government announced the home
confinement requirement for people who had household contacts with patients
confirmed to be infected by the disease. They are required to confine
themselves to their homes for ten days and are not allowed to receive visitors
into their flats.
Grave
economic impact of the SARS outbreak can
be felt in many sectors. Retail sale is generally down and there is sharp
decline in the restaurant and entertainment businesses. Tourism-related
businesses are seriously affected. Foreign visitors cancel their trips to Hong
Kong, and local demand for overseas trips also declines. Airlines cut flights
due to the drop in passenger. Traffic and travel agencies suffer tremendously.
Investor outlook on the Hong Kong economy is reflected in plunging stock prices
market and property market performance.
It is anticipated that unemployment, deflation and fiscal deficit will
worsen in the months ahead. On 23 April 2003, the Chief Executive, Mr Tung Chee
Hwa, announced measures for relieving the impact of atypical pneumonia on the
economy.
Useful Websites:
· World Health Organization (http://www.who.int/en/)
· Department of Health (on atypical pneumonia) (http://www.info.gov.hk/dh/ap.htm)
· Hospital Authority (on atypical pneumonia) (http://www.ha.org.hk/sars/sars_index_e.php)
· Food and Environmental Hygiene Department (http://www.info.gov.hk/fehd/indexe.php)
· Education and Manpower Bureau (http://www.edb.gov.hk/index.asp)
· Hong Kong Tourism Board (http://webserv2.discoverhongkong.com/eng/index.jsp)
· Hong Kong Trade Development Council (http://www.tdctrade.com/)
· Consumer Council (http://www.consumer.org.hk/mainmenu/english/eindex.htm)
· Labour Department (http://www.info.gov.hk/labour/eng/home/index.htm)
· Trade and Industry Department (http://www.tid.gov.hk/eindex.php)
· Hong Kong International Airport (http://www.hkairport.com/eng/aboutus/index.php)