cern

In this context, I wish to refer to the continuing expressed by Miss

Miss Dunn over

definition of public

sector expenditure. We have found that, given the growing significance of statutory authorities in the overall equation, the development of our views on Government's relationship with these statutory authorities is an essential precursor to

to considering

I do not, any changes to our consolidated account definition.

As

are, quite

however, wish

wish to hold out much hope for a single definition of

public expenditure.

I said last

there year, legitimately, different aspects of the public sector

need to

measure.

is

a

What I think We

clearer understanding

that we

will be able to achieve,

of the make-up

however, statistics and the context in which they are to be used.

of the

Sir, I turn now to comments on the more specific aspects of expenditure

My colleagues

in proposals

the Budget.

have

responded to comments on individual services, but there are some matters that I would like to cover myself.

p/s cin

=

A number of Members echoed my concern about the growth scin the size

the size of the civil service. Mr. David Li stressed adverse effects that a rapidly expanding civil service could have on the economy. I share Members' worries, though as I said in my Budget speech, the rate of growth expected in the short- term is probably unavoidable. I fully accept that we cannot and

25 not disregard our annual growth target of 2 for

2018 too

manner.

bat must

long. we must, however, ensure that the necessary services are provided, and moreover in the most cost-effective Despite the somewhat depressing forecast contained in the Medium

Range Forecast for the

is my 1987-88 year.s

to 1991-92, it

intention to return to a more modest growth by 1990-91

(2).

(2)

1988 Budget Speech, Appendix A.

9

/24.

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