Ho Wai-yee. / Thesis (M.Phil.)--Chinese University of Hong Kong, 2001. / Includes bibliographical references (leaves 52-53). / Abstracts in English and Chinese. / Abstract (English) --- p.i / Abstract (Chinese) --- p.ii / Acknowledgement --- p.iii / Table of contents --- p.iv / Chapter Chapter1 / Chapter 1.1 --- Introduction --- p.1 / Chapter 1.2 --- Literature Review --- p.4 / Chapter 1.3 --- Organization of the thesis --- p.8 / Chapter Chapter2 / Chapter 2.1 --- Introduction --- p.9 / Chapter 2.2 --- The Model --- p.9 / Chapter 2.3 --- Effects of government expenditure --- p.11 / Chapter 2.4 --- Summary / Chapter Chapter3 / Chapter 3.1 --- Introduction --- p.16 / Chapter 3.2 --- The Model --- p.16 / Chapter 3.3 --- The capital mobile case --- p.21 / Chapter 3.4 --- Summary --- p.25 / Chapter Chapter4 / Chapter 4.1 --- Introduction --- p.27 / Chapter 4.2 --- The Model --- p.27 / Chapter 4.3 --- Dynamics --- p.33 / Chapter 4.4 --- Current Account Balance --- p.35 / Chapter 4.5 --- Comparative Statics --- p.36 / Chapter 4.6 --- Welfare --- p.38 / Chapter 4.7 --- Summary --- p.41 / Chapter Chapter5 / Conclusion --- p.43 / Appendix --- p.46 / Reference --- p.52