execution of judgments of law courts in the two territories; the problems in the conflict of laws between the two territories and the position of Hong Kong in private international law; the ques- tion as to whether Chinese state-owned corpora- tions should enjoy immunity from judicial process in Hong Kong, etc.

(d) To promote further and better co-ordination and co- operation between the two separate systems of China and Hong Kong, both the Central and HKSAR Governments should send their respective delegations to form a Joint Commission on political consultation and economic co-operation, whereby the two Govern- ment can on a more equal footing and with mutual trust and respect, endeavour to sort out any major problems affacting both parties and to arrive at a mutual understanding and a common view, if pos- sible, on the solution of these problems. The Com- mission should also promote long term co-ordination between the two territories on the basis of mutual benefit and co-operation in economic and cultural matters, and others related to sports, technology, education, etc.

(5) The internal political system of the SAR of Hong Kong: (a) Being a special administrative region with a high degree of autonomy, the leadership's office-holders and their mandate should basically come from the local people. The political system for the home rule of Hong Kong should in principle be an open, demo- cratic and representative system with a leadership

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accountable to the people.

(b) In view of the special background of Hong Kong, it is highly controversial as to what form of demo- cratic system should be the most appropriate. Should Hong Kong adopt a simple system of full democracy (that is, a one-man one-vote system of election)? Or should Hong Kong adopt a mixed system of democratic election, for instance, by constituencies being delineated according to geo- graphical divisions, occupational sectors, educational standard, age, designated or staturory electoral colleges? Shoud the legislative organ of Hong Kong be constituted by one chamber or should it be a bicameral system? Should the chief executive of Hong Kong be directly elected or indirectly elected? (c) The Basic Law should clearly define "Hong Kong citizenship", and should include such matters as the conditions to be fulfilled before obtaining Hong Kong citizenship, the relationship between Hong Kong citizens (as a type of Chinese citizen) and ordinary Chinese Citizens, the possibility of any person of foreign nationality or Chinese nation- ality to obtain Hong Kong citizenship, the differ- ences in rights and obligations between Hong Kong citizens and other local residents.

(d) The right of Hong Kong citizens to participate in local politics should also carefully be considred. We can classify Hong Kong citizens into four separate categories:

(i) Hong Kong citizens

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