1. Conference Objectives

The 2nd Annual Conference on Asia and the Global Economy in Vietnam in 2024 builds upon the success of the Annual Conference on China and the Global Economy organized by the Institute of China Economy (ICE), under HKU Business School, held for the first time in Hong Kong in May 2023.

The conference marks an important step in creating an international forum for discussing perspectives on important economic aspects, particularly in Asia, and the significance of this continent for global economic growth. Our goal is to attract the interest and participation of researchers, managers, and entrepreneurs, as well as experts from both domestic and international arenas, to explore new trends and important findings in the field of economics.

2. Conference Schedule and Venue

• Date: May 6th and 7th, 2024.

• Venue: The Reverie Saigon, 22-36 Nguyen Hue, Ben Nghe Ward, District 1, Ho Chi Minh City.

3. Conference Participants

The Hong Kong Business Association Vietnam (HKBAV) and HKU Business School are co-organizers with support from the Representative Office of The University of Hong Kong in Vietnam (HKU Vietnam) and the International University (IU) - National University Ho Chi Minh City.

The representatives of the organizing committee include:

• Professor Hongbin CAI - Chair of organizing committee, Dean, Chair of Economics, HKU Business School

• Professor Guojun HE - Professor of Economics and Management & Strategy, HKU Business School

• Professor Bingjing LI - Professor of Economics, HKU Business School

• Associate Professor Hongsong ZHANG - Associate Professor of Economics, HKU Business School

• Professor Xiaodong ZHU - Area Head of Economics, Professor of Economics, HKU Business School

• Madam Susanne Sun - the Charity Committee Members.

The keynote speakers at the conference are leading economists from top universities and economic research institutes worldwide. Additionally, the conference involves 60+ researchers , scholars, executives from leading domestic and international institutions.

4. Conference Content Brief

The 2nd Annual Conference on Asia and the Global Economy offered a deep dive into the transformative economic policies and innovations shaping Asia's integration into the global economy. Presenters and their presenting topics are as below: 

Key highlights of the presentations are: 

1. Economic Growth and Structural Transformation

Openness to Foreign Firms and Economic Development  

Research by Dr. Duc Nguyen highlighted significant productivity gains in Vietnam due to foreign direct investment (FDI), emphasizing the spillover effects to agriculture and services sectors. The research underscores the importance of maintaining open economic policies to sustain this growth trajectory.

Bottom-Up Approaches to Economic Reforms  

Binjing Li’s analysis of local governance and institutional reforms in China demonstrated how decentralized decision-making significantly contributed to regional economic performance and overall growth during China's reform period.

Impact of Industrial Policies on Entrepreneurship  

Ming Li's exploration of China's industrial policies revealed their differential impact on serial entrepreneurs, affecting decisions on entry, investment, and industry selection.

Corruption, trade liberalization and productivity

Le Quoc Thai’s study reveals that while trade liberalization in Vietnam generally boosts productivity, corruption can significantly diminish these benefits. The study highlights the importance of addressing corruption to maximize the positive impacts of trade policies.

2. Innovation and Learning Dynamics

Global Value Chain as a Catalyst for Innovation  

Swapnika Rachapalli discussed how buyer-seller interactions within the Global Value Chain foster innovation, particularly how export exposure leads to new product development in multi-product firms.

Learning by Doing in Industrial Sectors  

Shanjun Li’s study on the EV battery industry showcased how learning-by-doing, accelerated by government subsidies, significantly reduces production costs and enhances industry growth.

AI and Productivity

Yanwan Yi research on G7 countries highlights the significant impact of innovative capital on AI productivity, the positive influence of AI on labor efficiency, and capital savings through AI-driven improvements. 

The Great Firewall and Knowledge Diffusion 

Andrew Bernard and colleagues examine the impact of China's Great Firewall on the global diffusion of academic knowledge in economics, specifically focusing on how internet restrictions affect the citation of economic research about China or hosted on restricted platforms like Google Sites. 

3. Sustainable economic development

Transformative Social Protection Programs  

Professor Rema Hanna’s keynote on Indonesia's shift from in-kind assistance to digital voucher systems during the COVID-19 pandemic highlighted effective poverty alleviation through improved targeting and program delivery.

Fostering Sustainable economic development in Vietnam’s emerging regions 

The panel discussions bring together global scholars and Vietnam provincial leaders to share the vision for developing the economy sustainably. The talk gives different perspectives on Foreign Trade Agreements (FTAs) by comparing case studies of China, Vietnam and other Southeast Asian countries. 

Nguyen Tien Hung, in the Young Economist Session, analyzed the impact of flooding on property values in Thu Duc, revealing significant price drops for properties in flood-prone areas. This emphasizes the need for anti-flooding measures and improved urban planning development to mitigate the economic impacts on property values in flood-prone areas.

4. Cultural Influences and Economic Behavior

Enduring Impact of Cultural Values  

Melanie Meng Xue’s research provided insights into how deeply ingrained cultural values in China influence contemporary economic and social behaviors, affecting decision-making across regions.

Ethical Behavior Effect on Financial Decisions

Nguyen Manh Hiep identifies ethical and behavioral factors as significant determinants of strategic defaults, contrasting with traditional economic explanations. The research underscores the influence of ethical considerations on financial decisions, suggesting that strategic default is influenced more by ethical behavior than purely economic factors.

5. Key Policy Recommendation

1. Economic Integration & Innovation through Open Economic and Trade Policies:

Research by Duc Nguyen and Swapnika Rachapalli highlighted the significant impact of foreign direct investment (FDI) and global value chains on economic growth and innovation. Nguyen's findings on FDI in Vietnam showed how openness to foreign firms has spurred productivity in industrial sectors, while Rachapalli’s study revealed that global buyer-seller interactions facilitate product innovation and technological transfer. Policies that promote economic openness and support international trade can help in leveraging global partnerships to boost domestic industries, fostering an environment where businesses can thrive on both technological advancements and increased market access. However, Quoc Thai Le’s study also shows that corruption can diminish the productivity increase gained from trade liberalization. Therefore, economic stimulating policies need to be implemented in parallel with more robust institutions and governance strategies to control corruption.  

2. Strengthen Sustainable Development with Flexible and Digital Approaches:

Professor Rema Hanna’s presentation on Indonesia's transition to digital voucher systems demonstrated the effectiveness of adaptive and technologically integrated social protection programs. Such systems are crucial for responding rapidly and efficiently to socio-economic shocks. Policy recommendations include the implementation of dynamic social protection frameworks that utilize digital tools to improve targeting and delivery, ensuring that aid reaches those most in need swiftly and accurately. This approach not only enhances the direct impact of social assistance but also allows for real-time adjustments based on evolving economic conditions. 

Moreover, Nguyen Tien Hung’s research method incorporates topographic applications and real estate trading platforms to examine the property’s value facing flooding risk. This digital approach opens new suggestions for using digital tools to monitor and assess environmental impact on the economy. 

3. Support Entrepreneurial Growth with Focused Industrial Policies:

Ming Li's insights into the effects of industrial policies on serial entrepreneurs in China underscore the need for carefully designed policies that foster high-quality entrepreneurship. This involves creating a conducive environment for entrepreneurial ventures through supportive measures like R&D incentives, entry subsidies, and a regulatory framework that encourages innovation and cross-industry expansion. Additionally, Shanjun Li’s research on the EV battery industry suggests that learning-by-doing, facilitated by targeted government subsidies, can significantly lower production costs and enhance industry competitiveness. Policies should thus be tailored to not only attract entrepreneurs but also to support the scaling up of innovative, sustainable business practices across industries. A similar effect is proven in Yanwan Li’s research when innovative capital will positively impact AI productivity, entailing an increase in labor efficiency and capital savings. 

Using evidence from China, Vietnam, Indonesia and G7 countries, these policy recommendations are crafted to leverage the synergy between government interventions and market dynamics, aiming to foster a robust economic environment that supports innovation, entrepreneurship, and sustainable economic growth.