On the other hand, the tourism industry generated about HK$61.5 billion turnover (Hong Kong Tourism Board, Tourism Fact Sheet - 2001) for receipts in 2000 and the expected taxable income for government is comparatively small. It is not commonly known that the horse racing industry plays a more significant role in the government annual income.

Our research shows that the horse racing turnover of many developed countries has dropped consistently during past few years. The betting turnover for the Hong Kong Jockey Club has reduced almost 16% since 1996. The impact of such a drop for other countries might not be as severe as for the Hong Kong government, since these countries' income from betting is a lot less compared to budget revenue as well as GDP. In addition, these governments also draw revenue from other types of gambling, such as sports gambling as well as casinos.