Macau

== Economy ==
{{Main|Economy of Macau|Tourism in Macau|Gambling in Macau}}
[[File:Ruins of Saint Paul's.jpg|thumb|The [[Ruins of Saint Paul's]], a religious complex built in the 17th century, are now a popular tourist attraction.]]
[[File:东望洋灯塔 - Guia Lighthouse - 2016.06 - panoramio.jpg|thumb|Guia Lighthouse at [[Guia Fortress]] landmark, 19th century]]
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Macau has a [[capitalism|capitalist]] [[service economy]] largely based on [[casino]] gaming and tourism. It is the world's [[List of countries by GDP (nominal)|83rd-largest economy]], with a [[Gross domestic product#Nominal GDP and adjustments to GDP|nominal GDP]] of approximately MOP433&nbsp;billion (US$53.9&nbsp;billion).<ref name="IMFWEO.MO" /> Although Macau has one of the highest per capita GDPs, the territory also has a high level of [[Economic inequality|wealth disparity]].<ref name="ShengGuP7778" /> Macau's gambling industry is the largest in the world, generating over MOP195&nbsp;billion (US$24&nbsp;billion) in revenue and about seven times larger than that of [[Las Vegas]].<ref name="ShengGuP72" /> Macau's gambling revenue was $37&nbsp;billion in 2018.<ref name=wsj>{{cite news |title=Casino Boom in Asia Pressures Vegas Operators: Region's new revenues aim to draw gamblers beyond Macau, U.S. giants' longtime hub |author=Ese Erheriene |publisher=Wall Street Journal |date=7 May 2019 |page=B5}}</ref> Taxes from gambling revenues fund a robust welfare system and an annual cash payment to Macau's citizens.<ref name=":1" />{{Rp|page=204}}

The regional economy is heavily reliant on casino gaming.<ref name="ShengGuP72" /> The vast majority of government funding (79.6 per cent of total tax revenue) comes from gaming.<ref>{{harvnb|Monetary Authority Annual Report|2017|p=64}}.</ref> Local taxes on personal income, residential property, and retail sales range from non-existent to negligible.<ref name=":1">{{Cite book |last=Simpson |first=Tim |title=Betting on Macau: Casino Capitalism and China's Consumer Revolution |date=2023 |publisher=[[University of Minnesota Press]] |isbn=978-1-5179-0031-1 |series=Globalization and Community series |location=Minneapolis, MN}}</ref>{{Rp|page=16}} Gambling as a share of GDP peaked in 2013 at over 60 per cent,<ref name="ShengGuP72" /> and continues to account for 49.1 per cent of total economic output. The vast majority of casino patrons are tourists from mainland China, making up 68 per cent of all visitors.<ref>{{harvnb|Tourism Statistics|2017|p=61}}.</ref> Casino gaming is illegal in both the mainland and Hong Kong, giving Macau a legal monopoly on the industry in China.<ref name="ShengGuP72" /> Revenue from Chinese high rollers has been falling and was forecast to fall as much as 10% more in 2019. Economic uncertainty may account for some of the drop, but alternate Asian gambling venues do as well. For example, Chinese visitors to the Philippines more than doubled between 2015 and 2018, since the City of Dreams casino opened in Manila.<ref name=wsj/>

Casino gambling was legalised in 1962 and the gaming industry initially operated under a government-licensed monopoly granted to the [[Sociedade de Turismo e Diversões de Macau]]. This licence was renegotiated and renewed several times before ending in 2002 after 40 years.<ref>{{harvnb|Godinho|2014|p=4}}.</ref> The government then allowed open bidding for casino licences to attract foreign investors.<ref name="ShengGuP74">{{harvnb|Sheng|Gu|2018|p=74}}.</ref> Along with an easing of travel restrictions on mainland Chinese visitors, this triggered a period of rapid economic growth; from 1999 to 2016, Macau's [[gross domestic product]] multiplied by 7<ref name="ShengGuP72" /> and the unemployment rate dropped from 6.3 to 1.9 per cent.<ref name="ShengGuP76" /> The [[Sands Macao]], [[Wynn Macau]], [[MGM Macau]], and [[Venetian Macau]] were all opened during the first decade after liberalisation of casino concessions.<ref name="ShengGuP74" /> Casinos employ about 24 per cent of the total workforce in the region.<ref name="ShengGuP76" /> "Increased competition from casinos popping up across Asia to lure away Chinese high rollers and tourists" in Singapore, South Korea, Japan, Nepal, the Philippines, Australia, Vietnam and the Russian Far East led in 2019 to the lowest revenues in three years.<ref name= wsj/>

Export-oriented manufacturing previously contributed to a much larger share of economic output, peaking at 36.9 per cent of GDP in 1985<ref>{{harvnb|Sit|1991|p=68}}.</ref> and falling to less than 1 per cent in 2017.<ref>{{harvnb|Macao Industrial Structure|2017}}.</ref> The bulk of these exports were cotton textiles and apparel, but also included toys and electronics.<ref>{{harvnb|Sit|1991|pp=70–71}}.</ref> At the handover in 1999, manufacturing, financial services, construction and real estate, and gaming were the four largest sectors of the economy.<ref name="ShengGuP72" /> Macau's shift to an economic model entirely dependent on gaming caused concern over its overexposure to a single sector, prompting the regional government to attempt re-diversifying its economy.<ref>{{harvnb|Sheng|Gu|2018|pp=78–80}}.</ref>

The government traditionally had a non-interventionist role in the economy and taxes corporations at very low rates.<ref>{{harvnb|Sit|Cremer|Wong|1991|p=176}}.</ref> Post-handover administrations have generally been more involved in enhancing social welfare to counter the cyclical nature of the gaming industry.<ref>{{harvnb|Lo|2009|p=17}}.</ref> Economic growth has been attributed in large part to the high number of mainlander visits to Macau, and the central government exercises a role in guiding casino business growth through its control of the flow of tourists.<ref>{{harvnb|Lo|2009|pp=37–41}}.</ref><ref>{{harvnb|Sheng|Gu|2018|pp=75–76}}.</ref> The [[Mainland and Macau Closer Economic Partnership Arrangement|Closer Economic Partnership Arrangement]] formalised a policy of free trade between Macau and mainland China, with each jurisdiction pledging to remove remaining obstacles to trade and cross-boundary investment.<ref>
{{cite web |url=https://www.economia.gov.mo/en_US/web/public/pg_eetr_cepa_s |title=Mainland and Macao Closer Economic Partnership Arrangement (CEPA) Overview |publisher=Economic Bureau |access-date=12 February 2019 |archive-url=https://web.archive.org/web/20190213064312/https://www.economia.gov.mo/en_US/web/public/pg_eetr_cepa_s |archive-date=13 February 2019 |url-status=live}}
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Due to a lack of available land for farming, agriculture is not significant in the economy. Food is exclusively imported to Macau and almost all foreign goods are transshipped through Hong Kong.<ref>{{harvnb|Macau USDA Report|2018}}.</ref>