Story 3: freedom


Hong Kong

Hong Kong is one of the most densely populated places on earth. It has great income differentials, but has seen a dramatic rise in average standards of living over the last two generations.  A relatively low proportion of Hong Kong employees pay salaries tax (limited to a maximum of 15%), which contributes about 15% of government revenue.  (There is no income tax as such.)  Contrary to what many believe, Hong Kong is not a model laissez-faire economy.  More than half the population lives in subsidized public housing; subsidized health, welfare and education services are supported by high public expenditure, and (outside the rural New Territories), there is no private ownership of land.  Land is held on leases the terms of which are fixed by the government.  The ratio of (mainly imported) full-time domestic servants to private housing units is at least 15%, and the servants' terms of service are governed by legislation which includes a required minimum wage, together with accommodation and air passages provided by the employer.  Nevertheless, commercial activity in general is lightly regulated (in spite of very recent tightening of rules governing "naked short-selling").  In spite of its dense population, there are many green areas which are unpopulated or underpopulated. Transport is effective, but is not administered by government (though it too is regulated). There are the railway, the underground Mass Transit Railway, the Public Light Transit system, a tram service, ferries, a variety of bus and maxicab services, and taxis.



The Taxi-Driver

I spoke to a taxi-driver in Hong Kong, who told me his budget. (This was in late 1995.) He rented the car for a 10/12 hour shift, by the day. He had to pay for the fuel. The fares paid by passengers were for him, after deducting fuel costs and rental. This gave him a modest living income, a bit above the median. But he typically worked every day (say 70/80 hours a week). On the other hand, he said to me that he was free. No contract bound him to go to work, or obey an employer. If he needed to go to hospital, or wanted to take his children for an outing, or go to the races, or a night-club, he could do so: he simply would not hire the car for that shift. Then he said to me: "if you can call that freedom !" 


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