THURSDAY, MARCH 20, 1975.
|
UNOFFICIAL CALLS FOR JOINT GOVERNMENT/PRIVATE VENTURES
TO CREATE MORE JOBS
******
THE GOVERNMENT WAS TODAY URGED TO ENCOURAGE AND WORK TOGETHER WITH PRIVATE INVESTORS TO CREATE MORE INDUSTRIAL AND BUILDING PROJECTS WHICH, THE HON. JAMES WU SAID, WOULD GO A LONG WAY TO EASE THE CURRENT UNEMPLOYMENT SITUATION.
SPEAKING ON THE SECOND DAY OF THE BUDGET DEBATE, MR. WU EXPRESSED GRAVE CONCERN OVER THE DETERIORATING SITUATION OF UNEMPLOYMENT IN OUR MIDST AT THE MOMENT.+
HE ESTIMATED THAT ABOUT 100,000 TO 150,000 OR OVER 10 PERCENT OF THE TOTAL WORKING POPULATION WERE OUT OF A JOB AT PRESENT. +THE IMMEDIATE PROSPECT COULD EVEN DE DIMMER WITH THE LARGE NUMBER OF SCHOOL-LEAVERS, POST-SECONDARY AND UNIVERSITY GRADUATES AND REDUCED GOVERNMENT RECRUITMENT.+
ALTHOUGH THE LOCAL POPULATION MUCH PREFERRED TO FEED BY THEIR OWN EFFORTS THAN TO LIVE ON RELIEF. MR. WU SAID THERE APPEARED TO BE NO GOVERNMENT AGENCY WHICH JOINTLY OR SEPARATELY ACTED AT THE MOMENT TO PROVIDE DECISIVE AND IMMEDIATE MEASURES TO ALLEVIATE OR MODERATE THIS PROBLEM OF GREAT URGENCY.
HE SHARED THE FEELING OF A CONTEMPORARY ECONOMIST THAT FISCAL BUDGETARY POLICIES DEALING WITH TAXES AND PUBLIC EXPENDITURE, IN CO-OPERATION WITH STABLISING MONETARY POLICIES, SHOULD AIM AT A HIGH EMPLOYMENT AND GROWING ECONOMY, BUT ONE WITHOUT DEMAND-PULL INFLATION, AND HELP PROVIDE A FAVOURABLE ENVIRONMENT WITHIN WHICH THE PEOPLE COULD HAVE THE WIDEST OPPORTUNITY FOR ACHIEVEMENT.
ON THE INDUSTRIAL AND MANUFACTURING SCENE, MR. WU SAID HONG KONG HAD DEVELOPED MAINLY LIGHT INDUSTRIES ON HIGH RISE FACTORIES.
IF NO GREAT REDUCTION WAS MADE IN THE PROPOSED PRICE OR RENT FOR THE INDUSTRIAL ESTATES FOR LAND INTENSIVE INDUSTRIES, +1 CAN SEE LITTLE INDUCEMENT WITH LAND COSTING FIVE TO TEN TIMES AS HIGH COMPARED TO NEIGHBOURING COUNTRIES, AND AT A TIME WHEN OVERSEAS MANUFACTURERS GENERALLY HAVE EXCESS CAPACITY AS A RESULT OF REDUCED DEMAND.+
MR. WU CRITCISED THE ABSENCE IN HONG KONG OF A CENTRAL, INDUSTRIAL DEVELOPMENT OR EXPORT-IMPORT BANK+ WITHOUT WHICH, HE SAID, MANY INDUSTRIALISTS HAD STILL TO PAY INTERESTS AS HIGH AS FOUR TO SIX PER CENT ABOVE THE PRIME RATE OR SIX TO EIGHT PER CENT ABOVE THE SAVINGS RATE FOR MONEY TO FINANCE THEIR INVENTORIES AND EXPORTS.
!
:
/HE WENT