THURSDAY, OCTOBER 23, 1980
16
HIGH RENTS AND SPECULATION MAY UPSET ECONOMY
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THE IMBALANCE IN THE DEVELOPMENT OF HONG KONG'S ECONOMY, SUCH AS SOARING COMMERCIAL RENTS AND FRENZIED PROPERTY MARKET SPECULATIONS, MAY UPSET AND EVENTUALLY PUT A BRAKE ON OUR NORMAL ECONOMIC GROWTH, DR THE HON HENRY HU WARNED.
SPEAKING IN THE LEGISLATIVE COUNCIL TODAY, DR HU NOTED THAT IN RECENT MONTHS, THE GOVERNMENT HAD NOT TAKEN SUFFICIENT CARE OF THE MANUFACTURING INDUSTRIES IN RELATION TO THAT OF THE REAL ESTATE SECTOR.
THIS IS A MAJOR ASPECT OF THE IMBALANCES IN OUR ECONOMY, HE STRESSED.
ALTHOUGH HE AGREED THAT IT IS NOT THE GOVERNMENT'S JOB TO INTERVENE DIRECTLY IN A FREE-ENTERPRISE ECONOMY LIKE HONG KONG, HE FELT THAT IT SHOULD PROVIDE AND MAINTAIN THE MACRO- ECONOMIC AND SOCIAL CONDITIONS OF ECONOMIC GROWTH.
+THE COST OF LAND IS A MAJOR DETERMINANT OF INDUSTRY'S ABILITY TO COMPETE INTERNATIONALLY AND TO ATTRACT NEW INVESTMENT, AND HENCE TO GENERATE NEW EMPLOYMENT.
+ IT ALSO HAS A DIRECT AND IMPORTANT BEARING ON PEOPLE'S LIVING STANDARD, HE SAID.
TO MAINTAIN SOCIAL AND ECONOMIC EQUILIBRIUM, DR HU SUGGESTED THAT MORE PUBLIC HOUSING SHOULD BE BUILT TO SATISFY THE NEEDS OF THE WORKING CLASS.
THE GOVERNMENT SHOULD ALSO EMBARK ON BIG CAPITAL PROJECTS WHICH WOULD NOT ONLY HELP REDUCE UNEMPLOYMENT, BUT WOULD ALSO PROVIDE A BASIS FOR ENHANCING HONG KONG'S IMPORTANCE AND BARGAINING POWER IN INTERNATIONAL TERMS.
ON PUBLIC HOUSING, DR HU THOUGHT THE PRODUCTION OF 35 000 UNITS A YEAR MAY NOT BE SUFFICIENT TO MEET THE DEMAND AS MANY PEOPLE HAVE TO WAIT FOR A LONG TIME BEFORE THEY COULD GET A UNIT.
HE CONSIDERED PUBLIC HOUSING AN ESSENTIAL SOCIAL SERVICE AND AN INDISPENSABLE SOCIAL STABILIZER IN HONG KONG.
+ IN ORDER TO REDUCE THE PRODUCTION TIME AND COST, WE MAY HAVE TO BUILD UNIFIED HOUSING UNITS TO OFFER TO THE GENERAL PUBLIC.+
AS PART OF ITS EFFORTS TO IMPROVE THE QUALITY OF LIFE OF HONG KONG PEOPLE, DR HU URGED THE GOVERNMENT TO LOOK AFTER THE POLICE FORCE AND THE FIRE SERVICES WHICH HE SAID +ARE DOING AN EXCELLENT JOB+.
THEIR STANDARDS