LAUSR

This paper takes a close look at the urban governance and political culture of Macao, the world largest casino city. Macao has experienced spectacular economic growth since gaming liberalisation in 2002 and China's Free Individual Travel scheme launched in 2003. However, the booming gaming sector has crowded out other sectors of Macao. It has not only made the city's economy mono-structured and consequently extremely vulnerable to external shocks and fluctuations but also induced serious social divisions and political controversies within the local community. By tracing the root cause of the ongoing dilemma and crisis in the mode of governance, the dynamic relationships between formal and informal institutions, consensus politics and the social group culture are intensively discussed in a historical context. In fact, the sustainable development of the former Portuguese colony has largely been hindered by its residents' passive attitudes toward political communication, non-transparent urban governance, the absence of a middle class and the dominance of pro-establishment social groups.