Modernization is defined as the movement of persons or groups along a cultural dimension from what is defined by the cultural norms as traditional toward what is defined by the same culture as modern. Those values defined in the local culture as traditionalism, those defined as modern constitute modernism. The study of psychological modernization is important because it is one of the master themes in psychological analysis of social change and is assumed important in the field of social psychology. Also modern values are treated as impetus and a pre-requisite for economic development, the more the people of the developing nations have it, the better. The study has a fourfold purpose. The first is to construct a valid and reliable traditional-modern instrument that particularly suits Macua's socio-cultural context. The second is to test whether the concept "modernity" is unidimensional or multi-dimensional. The third is to find out social correlates and sources of individual modernity. The fourth is to examine correlation between individual modernity and value system. Structured, self-administered questionnaire is designed for data collection. The questionnaire is composed of four parts. Part one is the independent variables which include education, sex, mass-media exposure, job-exposure and contact with outside culture and part four is the parental information of the respondents. Part two and three are the traditional-modern scale and the Rokeach value survey. The traditional-modern scale is constructed by the researcher himself. Reliability coefficience, using split-half method, for the scale is 0.81 and can be claimed as satisfactory. Also item-total modernity score are selected as valid items. A total of 51 items are selected to constitute to the final scale. The reasons to choose Rokeach value survey are also listed. Rokeach Value Survey is being verified as a short and easy to administer instrument, there is no assessment procedure effect, no order effect and with satisfactory test-retest reliability. After the construction of the questionnaire, a total of 695 Form four and Form five students from for secondary schools in Macau, using quota sampling method, are invited to fill in the questionnaires during classes. After the return of the questionnaires, data are coded and input into computer for data processing. Factor analysis, t-test. chi-square test and correlation coefficience are performed as statistical analysis. Result reveals that modernity is multi-dimensional and is factorially complex. Data also shows that tradition and modern values are not always om conflict and is not mutually exclusive. Data also demonstrate that education is not related to modernity level while female outscore 7.81 points higher than male in modernity scale. Regarding sources of modernity, data illustrates that only job-exposure is not correlated to modernity the number of newspaper read by the respondents and the frequent visit to Hong Kong are two sources of individual modernity . The study also finds out that individual modernity is correlated positively to some kinds of values such as an exciting life, wisdom, freedom, ambition and independent. It is also correlated negatively to other types of values such as family security, politeness and pleasure. Interpreting the result, the insignificant relationship between education and modernity may be due to the lack of significant others in school setting while female outscores male in modernity score is due to maturation effect. Also the types of values correlated positively to modernity are those which will facilitate personal achievement and career development and constrains to personal and career development. Three questions are being raised by the researcher in the study. The first is, if school can not play an significant role in modernizing student's value, whether it is worthwhile to invest more resource in education? Also in order to reactivate the modernizing function of education, the quest for re-education of the teaching profession is becoming important. Curriculum for re-education must not only emphasize on professional knowledge inputing but also training them the new ways of thinking, feeling and doing .Second, the significance of female outscoring male in modernity scale may be a symbol of risk to Macau's society. Traditionally, Chinese male are expected and trained to be more career oriented and most of the opportunities are opened and advantaged to them. The lower score if in case is not due to maturation effect may result in the changing of sex role and female will become more socially, politically and economically independent and the future development of Macau will depend very much on the female sector. The third question raised in the study is , sine traditional Chinese values may be regressive to modernization and other will progressive to economic development in Macau. Which types of values are progressive and which types are regressive should be examined in further studies. The study concluded by recommending that if time, finance , manpower and facilities are available, the traditional-modern instrument can be further refined. Also, one final philosophical question raised by the researcher in the conclusion is , if psychological change does not cope with structural and societial change or the vice-versa, what occurs?