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Hot Issue:The 2014-15 Budget: Expenditure on Public

Healthcare

 

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Introduction A report released by the Working Group on Long-term Fiscal Planning revealed that the issues of ageing population and declining labour force would lead to a slowdown in economic growth and the public revenue of Hong Kong. At present, the three policy areas of education, health and social welfare constitute almost 60 percent of HK’s recurrent expenditure.

For public healthcare, the Government has commenced the construction, expansion and redevelopment of hospitals and implemented a number of major complementary projects to prepare for the community’s long long-term demand for healthcare services due to the ageing population. The 2014-15 Budget has also proposed a long-term strategy on public healthcare. It is suggested that individuals’ awareness of public hygiene should be enhanced in order to reduce the demand on public healthcare services.

In view that there is a rising trend of the number of young smokers around the world, studies by organizations including the World Health Organization (WHO) pointed out that increasing tobacco duty is an effective means of controlling smoking in order to lower the health risks of the public. Imposing tobacco duty could also help reduce direct medical expenses caused by smoking and second-hand smoking. In view of this, the Budget has also proposed to increase the tobacco duty rate.

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Questions for Enquiries

3. The Government intends to cultivate the public’s awareness of public hygiene so as to reduce the demand on public medical services. To achieve this long-term goal, what practical ways would you suggest?

1. Do you think that the proportion of recurrent government expenditure on education, health and social welfare is appropriate? Why?

2. Some people think that the rate of increase in tobacco duty as proposed in the Budget is too low to have any strong deterrent effect on the smokers. Do you agree? Why?

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Background

Background Question for Enquiry 1

HKSAR. (updated on 26 February, 2014). The 2014-15 Budget. Retrieved from http://www.budget.gov.hk/2014/eng/estimates.html

Food and Health Bureau, HKSAR. (Updated on 7 April, 2014). Health Expenditure. Retrieved from http://www.fhb.gov.hk/statistics/en/statistics/health_expenditure.htm

Press Releases, HKSAR. (26 February, 2014). Budget Speech by the Financial Secretary. Retrieved from http://www.info.gov.hk/gia/general/201402/26/P201402260322.htm

Information Services Department, HKSAR. (26 February, 2014). Spending to be reined in, revenues broadened. Retrieved from http://www.news.gov.hk/en/categories/finance/html/2014/02/20140226_105052.shtml?pickList=topstories

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Background South China Morning Post. (14 December, 2012). Hong Kong’s out-

of-pocket medical expenses set to double by 2020. Retrieved from http://www.scmp.com/business/article/1104776/hong-kongs-out-pocket-medical-expenses-set-double-2020

Information Services Department, HKSAR. (9 April, 2013). HK healthcare is a dual-track system. Retrieved from http://www.news.gov.hk/en/record/html/2013/04/20130409_190409.shtml

People’s Daily Online. (13 October, 2010). Hong Kong to increase public healthcare expenses. Retrieved from http://english.peopledaily.com.cn/90001/90776/90785/7165463.html Background Question for

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Background The Wall Street Journal. (n.d.). Healthcare options in Hong Kong.

Retrieved from http://guides.wsj.com/hong-kong/guide-to-hong-kong/health-care/

China Daily Hong Kong Edition. (16 January, 2014). We must plan ahead to preserve Hong Kong’s financial reserves. Retrieved from http://www.chinadaily.com.cn/hkedition/2014-01/16/content_17238328.htm

The Huffington Post. (25 September, 2009). Does Hong Kong have the world’s best healthcare system? Retrieved from http://www.huffingtonpost.com/nathan-lewis/does-hong-kong-have-the-w_b_299907.html

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1. Do you think that the proportion of recurrent government expenditure on education, health and social welfare is appropriate? Why? South China Morning Post. (6 May, 2014). Performance of health care

facilities needs to be optimised to meet demand. Retrieved from http://www.scmp.com/property/hong-kong-china/article/1502475/performance-health-care-facilities-needs-be-optimised-meet

School of Public Health, The University of Hong Kong. (n.d.). Hong Kong’s Health Spending – 1989 to 2033. Retrieved from http://www.ha.org.hk/haconvention/hac2006proceedings/doc/P2_2.pdf

Global Post. (1 October, 2013). 8 places that do health care better than the US. Retrieved from http://www.globalpost.com/dispatch/news/health/131001/global-health-care-systems-obamacare

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China Daily Asia. (27 February, 2014). John Tsang warms of looming budget deficit. Retrieved from http://www.chinadailyasia.com/news/2014-02/27/content_15121023.html

HSBC. (28 February, 2014). A mature budget for Hong Kong’s mature economy. Retrieved from http://www.hsbcnet.com/gbm/global-insights/insights/2014/a-mature-budget-for-hong-kongs-mature-economy.html

South China Morning Post. (19 May, 2014). Filibustering lawmakers say fiscal crisis is government bogeyman. Retrieved from http://www.scmp.com/news/hong-kong/article/1515023/filibustering-lawmakers-say-fiscal-crisis-government-bogeyman

1. Do you think that the proportion of recurrent government expenditure on education, health and social welfare is appropriate? Why?

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Information Services Department, HKSAR. (September, 2013). Hong Kong: The Facts – Social Welfare. Retrieved from http://www.gov.hk/en/about/abouthk/factsheets/docs/social_welfare.pdf

Information Services Department, HKSAR. (April, 2014). Hong Kong: The Facts – Education. Retrieved from http://www.gov.hk/en/about/abouthk/factsheets/docs/education.pdf

The Establishment Post. (22 May, 2014). Asia Education System in Tip-Top Form. Retrieved from http://www.establishmentpost.com/asias-education-system-tip-top-form/

Economic Times. (13 May, 2014). Singapore and Korea take the lead in new-look, QS University Rankings: Asia. Retrieved from http://english.peopledaily.com.cn/203691/8625145.html

1. Do you think that the proportion of recurrent government expenditure on education, health and social welfare is appropriate? Why?

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2. Some people think that the rate of increase in tobacco duty as proposed in the Budget is too low to have any strong deterrent effect on the smokers. Do you agree? Why?

South China Morning Post. (22 February, 2014). Budget increase in Hong Kong’s tobacco tax likely to be small. Retrieved from http://www.scmp.com/news/hong-kong/article/1432940/budget-increase-hong-kongs-tobacco-tax-likely-be-small

The Standard. (27 February, 2014). Cigarette tax increase not just revenue grab. Retrieved from http://www.thestandard.com.hk/news_detail.asp?we_cat=11&art_id=142952&sid=41678602&con_type=1&d_str=20140227&fc=4 Background

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Information Services Department, HKSAR. (26 February, 2014). Tobacco duty to rise. Retrieved from http://www.news.gov.hk/en/categories/health/html/2014/02/20140226_105009.shtml

China Daily Asia. (21 February, 2014). Focus HK: When the smoke clears. Retrieved from http://www.chinadailyasia.com/focus/2014-02/21/content_15119846.html

Hong Kong Council on Smoking and Health. (26 March, 2014). Big tax hike can reduce tobacco use by one-third and prevent 200 million premature deaths. Retrieved from http://www.cosh.org.hk/en/content/web.do?page=news20140326

2. Some people think that the rate of increase in tobacco duty as proposed in the Budget is too low to have any strong deterrent effect on the smokers. Do you agree? Why?

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Hong Kong Council on Smoking and Health. (26 February, 2014). COSH response to the tobacco control policies proposed by The Budget. Retrieved from http://www.cosh.org.hk/en/content/web.do?page=news20140226

Hong Kong Council on Smoking and Health. (20 February, 2014). Open Letter to Financial Secretary, HKSAR Government: Raising Tobacco Tax to Encourage Smoking Cessation and Prevent Youth Smoking. Retrieved from http://www.smokefree.hk/UserFiles/attachments/news/2014/Open_Letter_to_FS_Raising_Tobacco_Tax_Eng.pdf

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2. Some people think that the rate of increase in tobacco duty as proposed in the Budget is too low to have any strong deterrent effect on the smokers. Do you agree? Why?

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South China Morning Post. (5 March, 2013). Hong Kong may be forgetting lessons of Sars. Retrieved from http://www.scmp.com/news/hong-kong/article/1177262/hong-kong-may-be-forgetting-lessons-sars

World Health Organization. (5 May, 2014). SAVE LIVES: Clean Your Hands – WHO’s global annual campaign. Retrieved from http://www.who.int/gpsc/5may/en/

CNN. (3 May, 2014). Can SARS lessons prevent a

MERS virus outbreak? Retrieved from http://edition.cnn.com/2014/05/01/health/mers-virus-sars-lessons/

3. The Government intends to cultivate the public’s awareness of public hygiene so as to reduce the demand on public medical services. To achieve this long-term goal, what practical ways would you suggest?

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The Standard. (19 July, 2013). New alert as mosquitoes bite again in Tin Shui Wai. Retrieved from http://www.thestandard.com.hk/news_detail.asp?art_id=135703&con_type=1

Centre for Health Protection, Department of Health. (May 2014). Hand Hygiene Awareness Day 2014 – The importance of hand hygiene combating antimicrobial resistance (AMR). Retrieved from http://www.chp.gov.hk/files/pdf/cdw_v11_11.pdf

Public Opinion Programme, The University of Hong Kong. (December, 2012). Personal Hygiene awareness 10 years after SARS survey. Retrieved from http://hkupop.hku.hk/english/report/postSARS/content/bg.html

3. The Government intends to cultivate the public’s awareness of public hygiene so as to reduce the demand on public medical services. To achieve this long-term goal, what practical ways would you suggest?

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Press Releases, HKSAR. (30 May, 2012). LCQ 20:Demand for public medical services. Retrieved from http://www.info.gov.hk/gia/general/201205/30/P201205300373.htm

Hospital Authority. (2009). Helping People Stay Healthy. Retrieved from http://www.ha.org.hk/upload/publication_29/250.pdf

Hong Kong Business. (4 June, 2013). Optimizing healthcare assets and developments in Hong Kong. Retrieved from http://hongkongbusiness.hk/healthcare/commentary/reducing-operational-costs-assets-key-hong-kong-healthcares-success

3. The Government intends to cultivate the public’s awareness of public hygiene so as to reduce the demand on public medical services. To achieve this long-term goal, what practical ways would you suggest?

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