@@ INTRODUCTION Gambling activities have been legalized for more than 150 years in Macau. It is the nearest city for mainland Chinese to gamble. In 2002, Macao’s gaming industry was liberalized to trigger the progress of various economic sectors of Macao. Since then, investors from both local and overseas vigorously compete to build and run new casinos for the chance to cash in on mainland China’s passion for gambling and rising numbers of visitors. More than ten new big hotel properties were new added in the tiny gaming land. The gambling tables and slot machines have been increased by almost 10 times than those before 2002. Macau has taken the world’s No.1 gambling market position in 2007 by beating Las Vegas (CIMN, 2007). While the explosive development of gambling business was mostly beyond expectation and planning, such fast development has created concerns about the life quality of local residents. The purpose of the study is to provide a better understanding of local residents’ perceptions toward the impacts of gaming industry in Macau.