XN000022-1987-11-04 — Page 30

WEDNESDAY, NOVEMBER 4, 1987

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AS THIS MIGHT HELP TO RELIEVE THE

MARRIED WOMEN

WORKING COSTS

HE SAW A STRONG CASE FOR SEPARATE TAXATION FOR

LABOUR SHORTAGE. A INVOLVE HIGH ADMINISTRATIVE

SHOULD BE SERIOUSLY

ALLOWANCE COMPLICATE CONSIDERED.

WOULD NEITHER

THE SIMPLE

TAX STRUCTURE AND

WIFE NOR

THAT THE AND HE SYSTEM To

ON THE MANAGEMENT OF PUBLIC FINANCE, MR POON AGREED GOVERNMENT SHOULD PLAY THE ROLE OF A "PRUDENT HOUSEKEEPER" WELCOMED THE INTRODUCTION OF THE RESOURCE ALLOCATION IMPROVE THE GOVERNMENT'S LONG-TERM FINANCIAL PLANNING.

THE

SPEECH HAD QUALITY OF

SUMMING UP, MR POON SAID THE GOVERNOR'S POLICY PROVIDED A CLEAR PICTURE OF FURTHER IMPROVEMENT IN LIFE AND IN PROVIDING BETTER FACILITIES FOR EVERYONE.

HK NEEDS TO DIVERSIFY EXPORT MARKETS

FUTURE PROSPECTS FOR HONG KONG EXPORTERS WILL DEPEND ON THEIR ABILITY TO FURTHER DIVERSIFY MARKETS AS THE PROPENSITY OF THE UNITED STATES, HONG KONG'S MAJOR MARKET, TO IMPORT MAY BE CONSTRAINED, DR THE HON KIM CHAM SAID TODAY (WEDNESDAY).

DR CHAM MADE THIS COMMENT WHEN SPEAKING ABOUT ECONOMIC RELATIONS BETWEEN HONG HONG AND THE UNITED STATES DURING THE POLICY DEBATE IN THE LEGISLATIVE COUNCIL.

HE SAID MANY PEOPLE ATTRIBUTED THE PRESENT WORLD ECONOMIC DIFFICULTIES TO THE UNITED STATES' SIZEABLE BUDGETARY AND TRADE DEFICITS. BUT THERE WAS UNCERTAINTY WHETHER NARROWING THE BUDGETARY DEFICITS OF THE U.S. WOULD, IN EFFECT, ACHIEVE A STATE OF WORLD ECONOMIC STABILITY.

REDUCING THE DEFICITS MIGHT WELL LEAD TO A MORE STABLE U.S. DOLLAR BUT IT MIGHT NOT NECESSARILY CONSTITUTE AN IMPETUS FOR FURTHER GROWTH OF THE U.S. ECONOMY, DR CHAM SAID.

GROWTH OF THE U.S. ECONOMY WILL TEND TO AFFECT GROWTH OF THE

"IF THAT IS THE CASE, THE REMAIN LIMITED. THIS, IN TURN, WILL WORLD ECONOMY AT LARGE, HE SAID.

"INASMUCH AS THE HONG KONG DOLLAR IS PEGGED TO THE U.S. DOLLAR, THE HONG KONG ECONOMY MAY REAP SOME BENEFITS,

"THE CRUX OF THE PROBLEM IS THAT THE PROPENSITY OF THE U.9. IMPORT MAY THUS BE CONSTRAINED. HONG KONG, WITH ONE-THIRD OF EXPORTS GOING TO THE U.S., WILL BE SUBJECTED TO THIS CONSTRAINT.

TO

ITS

"THEREFORE, THE .......

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