Ufo propu engine, closed loop

[ltseung888]

Is it a Meaningful Economic Activity for China to:
7h.   Introduce the Super Silicon Valley Mentality to stimulate its Citizens?

One of the key elements in the super Silicon Valley Mentality is that everything is third class. The group in charge should improve it to second or first class. The new group in charge later should treat the thing as third class only and further improve it. This will keep an individual, an organization or a Nation progressing.

Let us use another example – The future of Hong Kong?

One of the biggest news in Hong Kong is that the Chief Executive Officer, Mr. Leung, is not seeking to serve another term. This comes as a surprise to most observers and citizens. Will a new Chief Executive of Hong Kong fix the problem?

The real problem in Hong Kong is the mentality – Government should provide minimum interference and maximum support. It was a legacy from the Colonial era of Laissez faire. Some joked that there is Dr. Do Little but the Hong Kong Government is even better – Dr. Do Nothing. It is very easy and natural for any government servant to avoid making mistakes. His career is secure. Salary and position will steadily increase if he does not make any major mistakes.


Take the case of trying to acquiring land to build affordable housing. There is still 40% land zoned as parks. Rezoning some of it will help greatly in the land problem. There were voices that - "don't even think about it". Some of the abandoned farmland that could be rezoned. There were objections from villagers that such land should be reserved for their children forever as agreed in the Colonial Era. Reclamation of land from shorelines received objections from Conservationists. The easiest path for the Government is to say – I tried but I do not want to upset any citizens. Let us wait for a better time (or a better Chief Executive who can negotiate and push through the issue). The result is the Dr. Do Nothing.

Take the case of political reform to allow one-person-one-vote to elect the Chief Executive. The proposed solution was for Beijing to screen the candidates first. This should theoretically pose no problem as the Chief Executive must "report" to Beijing. But the local political parties blocked it. The result is another Dr. Do Nothing.

Take the case of supporting the one-belt-one-road initiative. Hong Kong is in a good position as the default "International City" of China. But any real Government action will be seen as violation of the policy of minimum interference and maximum support.(The maximum support is lip service?)The result will be another Dr. Do Nothing.

Can the new Chief Executive make a difference? If he were pro-Beijing, he would have objections from the Democrats. If he were pro-Democrat, he might not be trusted by Beijing. There is no real political parties with agendas and organizational structures to do meaningful proposals. Almost all proposals will have to come from Civil Servants. It is easy to continue the policy of Dr. Do Nothing.

The young people cannot see the prospect of owning their home no matter how hard they work. Some observers say that youngsters should rent and save first. My own experience on renting in Hong Kong was – started at HK$24,000 per month, increased to HK$30,000 and then HK$35,000 every two years when the rental lease was up.The rent on divided apartment units went up even faster.A typical unit 6 years ago was rented out at HK$2,000.Now the same unit is over HK$5,000. It is impossible for the youngsters to rent and save. The Government can only act as Dr. Do Nothing. The youngsters can be incited to protest and riot to get out their frustrations easily.

One possible solution is for a Political Party to lay out Meaningful Five Year Plans and Organizational Structures (shadow cabinets) to support the Chief Executive. Can the Political Party advocate the tying of advancement of Civil Servants to their ability to increase the GDP or the wealth of citizens? This is not in sight yet. But Hong Kong has brilliant talents and well educated professionals...

[ltseung888]

Is it a Meaningful Economic Activity for China to:
7i.   Introduce the Super Silicon Valley Mentality to stimulate its Citizens?

Let us use another example – The future of Hong Kong(continued)?

One possible solution is for a Political Party to lay out Meaningful Five Year Plans and Organizational Structures (shadow cabinets) to support the Chief Executive. Can the Political Party advocate the tying of advancement of Civil Servants to their ability to increase the GDP or the wealth of citizens? This is not in sight yet. But Hong Kong has brilliant talents and well educated professionals...

A friend just gave me a challenge – laid out a five year plan to grow the GDP of Hong Kong at eight percent per year for the next ten years. Does Hong Kong have brilliant minds?

I shall try:



(1)  Hong Kong can jump on the one-belt-one-road bandwagon. There are many crowded cities in Asia wanting to have subways or MTR systems similar to Hong Kong. Hong Kong Government can work with Hong Kong Universities to do planning as student projects for such cities. These plans can be in cooperation with the various governments or their universities. The initial funding can come from the Hong Kong Government. There will be much publicity and Hong Kong Government can claim that it is changing from Dr. Do Nothing to Dr. Consulting.


(2) The initial funding can cover studies, travels, conferences and computer modeling. Use students from Hong Kong and the other Universities to do the presentations as much as possible.  A competition with prize money can be set up. Focus on win-win. Citizens in both places will see that such a competition is worthwhile and their own youngsters are given the chance to shine. Use Internet forums and computer graphics well. Show the High-Tech image.


(3) Apply for real funding from AIIB (Asia Infrastructure Investment Bank) when ready. One success will lead to many others.


(4) Focus on the related projects such as shopping malls, residential apartments, hotels, cinemas etc. on top or close to the MTR stations. Hong Kong Government can put in the seed capital and raise additional funds from the Hong Kong Stock Market.


(5) The Hong Kong dollar is tied to the US dollar. If USA prints more money, Hong Kong should, in theory, increase its money supply proportionally. Hong Kong has large amount of currency reserve. Some of these can be used as the seed money in item 4. If there were losses, then print additional money. (That additional amount will be less than the theoretical proportional increase.)


(6) Expand the example to other fields including agriculture. There is little scope for agriculture in Hong Kong but the opportunities in Africa and other Nations along the one-belt-one-road are vast. Do not go for subsistence farming. Go for medium or large scale farming. Help many African Nations to become food secure with their resources of land and water. Use the best technology including the drip techniques from Israel etc. Use remote monitoring technology well. The students can see what is happening in the remote farms via drones and Internet.


(7) Calculate what 8% GDP growth is equivalent to. Check on the number of projects required to reach that number. This cannot be done in a few discussion sessions. It will require detailed data and analysis. Hong Kong students are bright enough to do such research. Hong Kong Government can provide the funding via a special "economic development board" rivalling that of Singapore.


Has Hong Kong got the brilliant minds? Is an eight percent GDP growth a possibility? Can Hong Kong politicians, government officials, citizens and academics come up with the above and solidify it into Five Year Plans? Can Hong Kong change its image from Dr. Do Nothing to Dr. Consulting?

[ltseung888]

Let us use another example – The future of Hong Kong(continued)?

One possible solution is for a Political Party to lay out Meaningful Five Year Plans and Organizational Structures (shadow cabinets) to support the Chief Executive. Can the Political Party advocate the tying of advancement of Civil Servants to their ability to increase the GDP or the wealth of citizens? This is not in sight yet. But Hong Kong has brilliant talents and well educated professionals...

A friend just gave me a challenge – laid out a five year plan to grow the GDP of Hong Kong at eight percent per year for the next ten years. Does Hong Kong have brilliant minds?

I shall try:

(1)  Hong Kong can jump on the one-belt-one-road bandwagon. There are many crowded cities in Asia wanting to have subways or MTR systems similar to Hong Kong. Hong Kong Government can work with Hong Kong Universities to do planning as student projects for such cities. These plans can be in cooperation with the various governments or their universities. The initial funding can come from the Hong Kong Government. There will be much publicity and Hong Kong Government can claim that it is changing from Dr. Do Nothing to Dr. Consulting.

(2) The initial funding can cover studies, travels, conferences and computer modeling. Use students from Hong Kong and the other Universities to do the presentations as much as possible.  A competition with prize money can be set up. Focus on win-win. Citizens in both places will see that such a competition is worthwhile and their own youngsters are given the chance to shine. Use Internet forums and computer graphics well. Show the High-Tech image.

(3) Apply for real funding from AIIB (Asia Infrastructure Investment Bank) when ready. One success will lead to many others.

(4) Focus on the related projects such as shopping malls, residential apartments, hotels, cinemas etc. on top or close to the MTR stations. Hong Kong Government can put in the seed capital and raise additional funds from the Hong Kong Stock Market.

(5) The Hong Kong dollar is tied to the US dollar. If USA prints more money, Hong Kong should, in theory, increase its money supply proportionally. Hong Kong has large amount of currency reserve. Some of these can be used as the seed money in item 4. If there were losses, then print additional money. (That additional amount will be less than the theoretical proportional increase.)

(6) Expand the example to other fields including agriculture. There is little scope for agriculture in Hong Kong but the opportunities in Africa and other Nations along the one-belt-one-road are vast. Do not go for subsistence farming. Go for medium or large scale farming. Help many African Nations to become food secure with their resources of land and water. Use the best technology including the drip techniques from Israel etc. Use remote monitoring technology well. The students can see what is happening in the remote farms via drones and Internet.

(7) Calculate what 8% GDP growth is equivalent to. Check on the number of projects required to reach that number. This cannot be done in a few discussion sessions. It will require detailed data and analysis. Hong Kong students are bright enough to do such research. Hong Kong Government can provide the funding via a special "economic development board" rivalling that of Singapore.

Has Hong Kong got the brilliant minds? Is an eight percent GDP growth a possibility? Can Hong Kong politicians, government officials, citizens and academics come up with the above and solidify it into Five Year Plans? Can Hong Kong change its image from Dr. Do Nothing to Dr. Consulting?

One comment:

Why subway? Can all North-South traffic be on second floor level?  East-West traffic can be on third level. Will that be cheaper, save on lighting and easier to maintain?

Are Hong Kong people innovative and can think outside-the-box?

[ltseung888]

One comment:

Why subway? Can all North-South traffic be on second floor level?  East-West traffic can be on third level. Will that be cheaper, save on lighting and easier to maintain?

Are Hong Kong people innovative and can think outside-the-box?

Improvement:

North-South traffic on second floor level.  Third level for human transit. Forth level for East-West traffic.  There will be no unnecessary blocking on second and forth floor.  Use third floor to avoid blocking.  No traffic jams due to intersection.  Heavy load can still use ground level.  No need for cars in New Cities.  No pollution and no traffic jams for humans.  May need short walks to final destinations.  Short exercise is healthy.  Store owners will be happy with the human traffic...


*** Student project that may revolutionise the World.  Can Hong Kong youngsters rise to the challenge?

[ltseung888]

Is it a Meaningful Economic Activity for China to:
7j.   Introduce the Super Silicon Valley Mentality to stimulate its Citizens?

Let us use another example – The Return on Investment.

One comment on the One-Belt-One-Road Initiative was – the initiative will fail as it violates the cardinal principle of Return on Investment. When an Investor puts money into any project, he seeks a return. The best is short-term. But building a road and not collecting tolls is like throwing money into the ocean. Many of the Infrastructure Projects have no concrete financial returns to the investor. Thus there is no incentive for the investor.

This reminds me of the discussion I had with the relative of a Chinese Official in the early 1980s. He was saying that China was poor and needed to borrow money to build a highway. I raised the argument that China should learn the technology of building the highway and print money to build the highway.

Technology is more important than money. Money can be printed. If a Government does not increase its money supply, its citizens will not get wealthier as a whole. With no new money supply, one person getting richer will mean another getting poorer. The highway will be an asset for China. It will facilitate travelling. The process of construction will create jobs and Meaningful Economic Activities.

This simple argument is the foundation stone for the many infrastructure projects in China. Technology, technology and technology. Then build, build and build. Citizens will get better trained. Citizens will see and benefit from the infrastructures. Many will get wealthier directly from the printed thin-air money. There is no need to borrow foreign money. (A small amount may be needed if foreign equipment and talent are required).

Then the counter-argument came. When a Nation runs out of good infrastructure projects, any continuation will be white elephant projects. It is better to stop the construction. Japan was an example. It built many roads going nowhere. China came out with this brilliant one-belt-one-road strategy. Build good infrastructure projects in other Nations. It will be a win for China as it can continue to develop and improve on infrastructure technology. It will be a win for the other Nation as it has a useful infrastructure to help it get richer. Money can be printed appropriately. If it is printed by an International Organization such as the Asian Infrastructure Investment Bank, so much the better.

Forget about the private investor in the infrastructure project itself. Invite his participation in the related money making projects such as shopping malls, hotels, restaurants, residential buildings etc. Those will have good return on investment. Thus Government action is needed to fund the non-money making (or very low return on investment) projects. If a Developing Nation acquires or catches up with technology, technology and technology, capital is not a problem. China is offering to help with both the technology and capital. It is NOT a donation. China wins with more jobs and more technology development opportunities for its talents. China wins with more friends and builds a stronger reputation.

The cardinal economic principle of Return on Investment needs to be updated...