40

WEDNESDAY, MARCH 3, 1993

WOULD

THAT AMOUNT LEAD TO

ONE-THIRD QUESTION:

OF THE CAPITAL EXPENDITURE BY 1996-97 SO HOW COME YOU GOT TO THE CONCLUSION THAT IT IS ABOUT RIGHT?

-

FS:

THEY DON'T

ACTUALLY

DO IS,

I

ADVERSELY AFFECT

MAKE

A JUDGMENT

RESERVES.

IF YOU LOOK AT PAST SURPLUSES OR PAST RESERVES, I QUESTION. WHAT ACTUALLY GIVE YOU THE ANSWER TO THE MIGHT TOT-UP THINGS WHICH

HAPPEN WHICH WOULD HAVE TO REVENUE OR EXPENDITURE, AND THEN YOU JUST

IN KEEP AS TO HOW MUCH OF THAT YOU WANT IT IS GOING TO GO UP AND DOWN.

ΤΟ

YOUR

QUESTION:

WHAT ARE THE KIND OF EVENTS THAT YOU'VE GOT

IN

MIND?

FS:

MFN,

QUESTION:

LOWER THE PROBLEM ON MFN, OTHER REASONS, WOULD BE THE OBVIOUS ONES.

WOULD THE CHINESE GOVERNMENT BE MORE HAPPY

GROWTH, FOR

IF

YOU LEAVE MORE MONEY?

I HAVE NO IDEA, I FIND IT QUITE PERHAPS YOU SHOULD ASK THE CHINESE GOVERNMENT.

DIFFICULT

TO

KONG

FS:

ANSWER THAT QUESTION.

QUESTION:

MR MACLEOD, FINANCIAL SECRETARIES IN HONG HAVE A REPUTATION FOR UNDER-FORECASTING THEIR BUDGET SURPLUS

FS:

QUESTION:

CORRECT.

IS THERE

A DELIBERATE POLICY FOR CONSERVATISM OR ARE YOU GUYS JUST VERY BAD AT FORECASTING?

J

WE

FS:

WELL YOU KNOW, IT IS TRUE, IF YOU LOOK BACK

EXPENDITURE TEND TO UNDERESTIMATE REVENUE AND PROBABLY OVERESTIMATE

YOU IT DEPENDS WHETHER

ARE IN AN THOUGH IT DOESN'T ALWAYS HAPPEN.

OUR UP-SWING OF THE ECONOMY OR A DOWN-SWING. BUT I THINK IT 15 TRUE NATURE IS, PARTICULARLY ON REVENUE, TO BE A LITTLE CONSERVATIVE. YOU TOOK, SAY, PROPERTY REVENUE - ACTUALLY, I DEFY ANY OF YOU TO IT RIGHT FOR NEXT YEAR; OR STAMP-DUTY, I DEFY ANY OF YOU TO RIGHT SO GIVEN THAT, ONE TENDS TO BE A LITTLE CONSERVATIVE.

-

QUESTION:

GET

QUESTION.

IF

GET

IT

I

OF

CALCULATORS,

ACTUALLY, IT IS KIND OF THE SAME JUST WANTED TO ASK, SO WHAT DO YOU PLAN TO DO TO REDUCE THE MARGIN ARE YOU GOING TO BUY MORE COMPUTERS, BUY MORE ERROR? ARE YOU GOING TO FIRE A FEW PEOPLE?

I'M ON THE

OF

THEY

TO A

FS;

IT HAS NOTHING TO DO WITH CALCULATION

SORRY

BECAUSE IT WOULD BE VERY EASY TO SOLVE IF IT WAS. PUBLIC WORKS SIDE, YES, YOUR ANSWER IS CLOSE TO PART OF THE ANSWER YOUR QUESTION, I THINK THAT ONE THING WE HAVE DISCOVERED IS THAT NEED A VERY MUCH BETTER INFORMATION SYSTEM, SO THAT THEY CAN REACT

BUT THERE IS UNDER-SPENDING MUCH MORE QUICKLY, AND DEAL WITH IT. LOT MORE, WHICH IS IN THE SPEECH, TO TRY AND DEAL WITH THE EXPENDITURE AGO, COULD SIDE. ON THE REVENUE SIDE, I DON'T THINK ANYONE, A YEAR HAVE FORECAST WHAT THE TURNOVER IN THE STOCK MARKET WAS GOING TO FOR EXAMPLE. OF COURSE IT IS NOT THE LEVEL OF THE STOCK MARKET MATTERS BUT THE TURNOVER. SO THAT IS QUITE DIFFICULT.

BE,

THAT

/QUESTION:

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