Friedman on Hong Kong

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Like America a century ago, Hong Kong in the past few decades has been a haven for people who sought the freedom to make the most of their own abilities.

There are people who seek freedom. What kind of freedom? Freedom to do what? They seek freedom to use their abilities. They want to use their abilities to make their life better. They want to make the most of their abilities. People have abilities in science, in sports, in mathematics, in learning foreign languages. Some people have abilities in business. They understand the market, they are able to think ahead, to understand what people want, to organize production, buying and selling things. They seek freedom to make the most of their abilities.

A century ago, America was a haven for such people. It was a haven for people who sought to make the most of their abilities.

Like America a century ago, Hong Kong in the past few decades has been a haven for such people.

has been a haven In this lesson, Friedman uses the Present Perfect tenses often because he describes conditions that started some time ago and continue in the present.

haven a safe place, usually for ships, but also for people.

seek To look for, try to find. Irregular verb: seek, sought sought (compare think, bring)

make the most of X - use X to achieve the best result. ( Irregular verb: to make, made, made )

9.874 Many of them are refugees from countries that don't allow the economic and political freedom that is taken for granted in Hong Kong.

Many of them are refugees. Refugees from where? They are refugees from countries that don't allow freedom. What kind of freedom? Economic freedom and political freedom. In Hong Kong, people have economic and political freedom. People do not have to fight for it or even think about it. They assume it's there. It is taken for granted. Many countries don't allow the economic and political freedom that is taken for granted in Hong Kong.

refugees People who runs away from their country because they are not safe there (singular: refugee).

take X for granted Assume that X is normal and always present. (Irregular verb to take, took, taken)

20.5

Despite rapid population growth, despite the lack of natural resources, the standard of living is one of the highest in all of Asia.

Hong Kong has a high standard of living. It is one of the highest in all of Asia. (Today, in 2007, it is the highest in Asia and one of the highest in the world.)

Hong Kong's population has been growing rapidly. Hong Kong has rapid population growth. Hong Kong has no natural resources. Hong Kong lacks natural resources. Hong Kong has a high standard of living despite rapid population growth and despite the lack of natural resources.

despite In spite of, notwithstanding, contrary to what you expect

growth Noun form of the irregular verb to grow (grew, grown).

natural resources Substances and materials from nature that are valuable to a country’s economy.

standard of living How well (high standard of living) or how badly (low standard of living) a group of people live, especially how easy or difficult it is for them to get the goods and services they need.

highest Superlative of high

29 People work hard, but Hong Kong 's success is not based on the exploitation of workers: wages in Hong Kong have gone up fourfold since the War, and that's after allowing for inflation.

Exploitation means: people work hard but they are not paid well. They are not paid a fair wage. Hong Kong's success is not based on exploitation because workers are paid well.

Workers are paid wages. For instance, a worker in America can be paid the wage of $10 an hour. Wages in Hong Kong have been growing. They have been going up. They are four times more than they were right after the War (World War II). They have gone up fourfold since the War.

They have gone up even more than fourfold, but some of the increase is the result of inflation. They have gone up fourfold after correcting for, or allowing for, inflation.

work hard the word hard is both an adjective and an adverb, used with such verbs as work, study, play. The word hardly (= barely, scarcely) is NOT related to the adjective hard.(Contrast this with easy - easily and many such adjective - adverb pairs.)

is not based Passive form: They make cheap toys here. = Cheap toys are made here. This factory produces sophisticated automobiles = Sophisticated automobiles are produced by (or at) this factory.

wages have gone up since the War A common use of Present Perfect with a since phrase. (Irregular verb: to go up, went up, gone up)

after allowing for inflation = After we take inflation into consideration, after we allow for inflation.

43.5 The workers are free — free to work what hours they choose, free to move to other jobs if they wish. The market gives them that choice.
Workers can choose how many hours they work. They can move to other jobs if they wish (and if there are other jobs). They are free to do that. They have those choices. The market gives them those choices.

move to other jobs = Change jobs

choose (v) - choice (n) There are many such verb-noun pairs like that in English and other languages.

The market gives them that choice The noun choice comes from the verb choose (irregular verb: choose, chose, chosen) There are many such verb-noun pairs in English and other languages.

54.5 You can be sure that somebody somewhere is willing to pay for these cheap plastic toys. Otherwise they simply wouldn't be made.
These workers are making cheap plastic toys. You can be sure that somebody somewhere wants these toys and is willing to pay for them. If nobody wanted them, if nobody were willing to pay for them, they wouldn't be made.

otherwise If things are / were different; if the situation is / were different.. If it rains, we'll stay home, otherwise we'll go for a walk. Somebody must have been smoking here; otherwise, why would it smell of cigarette smoke.

63.7

Competition from places like South Korea and Taiwan has made cheap products less profitable.

South Korea and Taiwan also make cheap products like these plastic toys. They compete with Hong Kong. Wages in South Korea and Taiwan are lower than in Hong Kong. They can sell products cheaper (at lower prices) and still make a profit. To compete, Hong Kong businessmen also have to sell at lower prices. Cheap products have become even cheaper. This has made cheap products less profitable. They are now less profitable than they were before.

less profitable A negative comparative: less profitable, the least profitable. Competition has made cheap products less profitable. Wheat was one of the least profitable crops for farmers to grow in this climate.

74.6 So Hong Kong businessmen have been adapting.
Because of competition, Hong Kong businessmen have been changing what they do. They have been adapting to the new situation of competition from South Korea and Taiwan.
have been adapting Present Perfect Progressive This verb tense stresses that an action which began in the past continues into the present. I've been working here since I was 21.= I started working here when I was 21 and I'm still working here now.
80.4 They've been developing more sophisticated products and new technology that can match anything in the West or East, and their employees have been developing new skills.
Instead of cheap simple products, they have been developing more sophisticated products. Sophisticated products require new technology. New technology in Hong Kong is as good as anything in the East (Asia) or in the West (Europe and North America). Hong Kong technology can match technology anywhere. In order to use such technology, the workers (employees) need new skills. They have been developing new skills.

they've been developing Another Present Perfect Progressive.

more sophisticated Comparative form of adjective: sophisticated, more sophisticated, most sophisticated. One-syllable adjectives add -er and -est to form their comparative and superlative: high, higher, the highest. Most words with two or more syllables insert more/the most or less/the least before the adjective: popular, more/less popular, the most/the least popular. Important exception: two-syllable adjectives ending in "y": early, earlier, earliest; pretty, prettier, prettiest.

X matches Y Here, X is as good as Y, X is no worse than Y; Y is not better than X Match can also mean "to be similar or the same": These shoes match. (= They are a pair.) This scarf matches your shoes. (= It is the same color as your shoes.)

96

Nobody says anything in this segment. Even Dr. Friedman is silent.

A busy street is a street with many people and much activity in it.

speak Irregular verb: to speak spoke spoken
100.4 It's the ordinary people of Hong Kong who benefit from all this effort and enterprise.
Some people may think that such busy streets are only for rich people and tourists. No, says Dr. Friedman, it's the ordinary people who benefit from all this activity. Businessmen benefit.= It's the businessmen who benefit. Ordinary people benefit. = It's the ordinary people who benefit. Hong Kong benefits.= It's Hong Kong that benefits.
It's the ordinary people who This construction is used for emphasis and contrast. John has the fastest car is a simple statement; It's John who has the fastest car emphasizes the fact that John, not Mary or anybody else, has the fastest car.
107.2

This thriving, bustling, dynamic city, has been made possible by the free market — indeed the freest market in the world. The free market enables people to go into any industry that they want; to trade with whomever they want; to buy in the cheapest market around the world; to sell in the dearest around the world. But — most important of all — if they fail, they bear the cost. If they succeed, they get the benefit and it's that atmosphere of incentive that has induced them to work, to adjust, to save, to produce a miracle.

The free market has made this city possible. It is the free market that made it possible. It's been made possible by the free market. Friedman thinks that Hong Kong is the freest market in the world.

To enable something is to make something possible. To enable people to do something is to create conditions in which people can do it.

To go into an industry is to start working in that industry or start a business in that industry. You can start your business career by first going into textiles, then into silks, then into carpets and Persian rugs.

A cheap market is where products cost little and are sold cheaply. An expensive, or "dear," market is where products cost much and are sold at high prices. The dearest market is the most expensive market.

In Hong Kong, when people succeed, or do well in business, they get rewards. They receive benefit for their work. Everywhere in Hong Kong, people feel that it's possible to get benefits if you work, adjust, or adapt to changing conditions and save money. Since people feel this way, there is an "atmosphere of incentive." People believe they will be rewarded for working hard and running businesses well. That atmosphere of incentive is what induces, or causes, people to work so hard.

has been made possible Another example of a passive (see 29 above) and the Present Perfect Progressive (see 0 above)

freest, cheapest, dearest, most frequent superlative forms of adjectives

freer, cheaper, dearer, more frequent comparative forms of adjectives

in the dearest market The word dear can mean "expensive" in British English. Most Americans use dear only to mean "lovely" She is a dear child. In addressing a person, it can mean warm feeling (My dear) but in correspondence it is simply a polite formula: (Dear Sir or Madam, Dear Mr. Jones, Dear Customer).

It's that atmosphere of incentive that has induced them to work. The atmosphere of incentive, more than anything else, has induced them to work.

bear the cost = To be responsible for the cost, to have to pay the cost.

It's that atmosphere of incentive that has induced them to work. = The atmosphere of incentive, more than anything else, has induced them to work. (See It's the ordinary people who 100 above.)

153.4 This miracle hasn't been achieved by government action — by someone sitting in one of those tall buildings and telling people what to do. It's been achieved by allowing the market to work.

Hong Kong is an economic miracle. Some people think that economic miracles can happen only if the government does something to enable the miracle. In order to achieve a miracle, says Friedman, the government doesn't have to tell people to do anything. Many economists do not agree with Friedman. They believe that governments have to set economic policies. But Friedman thinks that markets work best when the government does not interfere. Friedman believes in a free market.

This miracle hasn't been achieved ... It's been achieved More examples of Present Perfect Passive.

It's been achieved by allowing the market to work. The miracle has been achieved because the market has been allowed to work. The word allowing is a Gerund. It acts as a noun (follows a preposition) and a verb (is followed by a direct object).

by . . . sitting . . . telling . . . . by allowing All examples of Gerund phrases.

165.4

Walk down any street in Hong Kong and you will see the impersonal forces of the market in operation.

If you walk down any street in Hong Kong, you will the market working, you will see the forces of the market in operation. Market forces are impersonal; no single person keeps them in operation.
Walk down any street and you will see... Another way of saying "If you go down any street, you will see..." This way is more lively and conversational..

179.6 Mr. Chung makes metal containers. Nobody has ordered him to. He does it because he has found that he can do better for himself that way than by making anything else. But if demand for metal containers went down, or somebody found a way of making them cheaper, Mr. Chung would soon get that message.

Nobody has ordered Mr. Chung to make metal containers. He makes good money making and selling metal containers. He does well for himself by making metal containers. He can do better for himself by making metal containers than by making anything else.

Many people want to buy metal containers. Metal containers are in demand. There is demand for metal containers. Demand for metal containers is high. If it goes down, Mr. Chung will know because nobody will buy his metal containers. This is what it means when we say the the demand has gone down. If the demand goes down, Mr. Chung will get the message. Low demand is a message from the market. If the demand went down, Mr. Chung would soon get that message.

If the demand went down, Mr. Chung would soon get that message. The form went does not mean past tense; it means that we are talking about something that may happen but has not yet happened. We are talking about a contrary-to-fact condition. In the main clause we use the auxiliary verb would: If demand went down, Mr. Cheng would get than message. For the verb to be, the correct form for contrary-to-fact conditions is were, even if the subject is singular. If Jane were here, she would help us. If the demand were low, Mr. Chung wouldn't be making metal containers. Many people would use was in that sentence, but were is considered more correct.

by making anything else Another Gerund phrase.

199

A few doors away, Mr. Yu's firm has been making traditional Cantonese wedding gowns for 42 years. But the demand for these elaborate garments is falling. The firm has already gotten that message and is now looking for another product.

Wedding gowns are a kind of garment. Other kinds of garments are shirts, pants, jackets, and coats. Demand for elaborate wedding gowns has been going down fast. It has been falling. Mr.Yu's firm has gotten the message from the market. It is looking for another product.

The firm has already gotten that message. The adverb already is often used with Perfect tenses, Present, Past of Future.

216.7 The market tells producers not only what to produce, but how best to produce it through another set of prices — the cost of materials, the wages of labor, and so on.
The market sends producers messages using prices. A price is a message from the market. Using prices, the market tells producers what products to produce: produce those products that you can sell at a profit. The market also tells the producers about the best way to produce those products. It tells them how best to produce those products. The market send this message using another set of prices: the cost of materials and the wages you need to pay for labor.

Not only what to produce but how best to produce it This is called a paired construction. The word also is often added: not only what to produce but also how best to produce it.

227.1 For example, if these workers could earn more doing something else, Mr. Ho would soon find a way to mechanize his picture frame production.
These workers are making picture frames. If they could earn more doing something else, Mr.Ho would have to pay them more in order to keep them. This would make his profits smaller. This would make his business less profitable or not profitable at all. If Mr.Ho could not pay his workers more while making a profit, he would find a way to mechanize their work.

If these workers could earn more doing something else, Mr. Ho would soon find a way to mechanize his production. Another example of contrary-to-fact condition.

mechanize Do something with a machine that used to be done by hand.. Sewing in factories is now mostly mechanized.

239

Inside this Chinese medicine shop, a market transaction's going on. The customer's confidence that this painful-looking ordeal will help him doesn't rest on any official certification of the bone doctor's qualifications - it comes from experience, his own or his friends. In his turn, the doctor treats him not because he has been ordered to, but because he gets paid.

This is a Chinese medicine shop. We see a market transaction. The owner of the shop is selling his time and skill. The customer is paying for them because he believes that he will get help. He has confidence that he will get help. This confidence is not based on official certification. The government has nothing to do with this confidence. It's the market that creates this confidence. If the doctor couldn't find people who have confidence in him, he would have to do something else.

transaction Commercial interaction between two people or companies, a business deal.

he has been ordered to Another example of the Present Perfect Passive

gets paid Get plus a Past Participle is a variation of the passive, especially common in conversation. Because he is paid = Because he gets paid. He was killed in the war.= He got killed in the war. She was promoted to a better-paying position. = She got promoted to a better-paying position.

not because . . . but because Common way to deny one explanation and propose another.

264 The transaction is voluntary so both parties must expect to benefit or it will not take place.
Nobody told these two people to have their market transaction. The transaction is voluntary. Both parties expect to benefit from it. If they didn't expect to benefit from it, it would not take place.

voluntary Freely chosen, not forced.

take place = Occur, happen. (Irregular verb: to take, took, taken)

Exercises for F11-Hong Kong

Grammar topics

Expressions

to make the most of to take for granted to move to another job to bear the cost not because . . . but because to take place

Vocabulary

haven, despite, population growth, natural resources, standard of living, exploitation, fourfold, competition, profitable, adapt, adjust, transaction, cost, benefit, incentive, voluntary

Exercise 1

Present Perfect Progressive tense and adverb phrases of time with the word since

In this exercise, you are given two sentences. One sentence describes a present condition, the other gives the time when this condition started. Combine the two sentences into one using a time adverb with since. Note that you can combine since and before or after, as in "since before the Great Depression." Also note that the since clause can come at the beginning of the sentence (followed by a comma) or at the end (with no additional punctuation).

Given: All American workers work an eight-hour day. This started in 1938.
Answer: Since 1938, all American workers have been working an eight-hour day. (or All American workers have been working an eight-hour day since 1938.)

  • I study 40 hours a week. This started last year.
  • Since last year, I have been studying 40 hours a week. (or I've been studying 40 hours a week since last year.)
  • The demand for traditional wedding gowns is going down. This started in 1998.
  • The demand for traditional wedding gowns has been going down since 1998.
  • Hong Kong 's standard of living is going up. This started after the War.
  • Hong Kong's standard of living has been going up since the War (or since after the War),
  • Profits increased fourfold. This started in 2006.
  • Profits have been increasing fourfold since 2006.
  • Losses increased threefold. This started in 2007.
  • Losses have been increasing threefold since 2007.
  • Their standard of living fell. This started in 2000.
  • Their standard of living has been falling since 2000.

Exercise 2

Present Perfect Progressive with since clauses.

This exercise is like Exercise 1 except that the second sentence gives the event that started the condition. (Here the since clause is almost always at the end of the sentence.)

Given: John studies ten minutes a day. It started when he got a high grade on the last test.
Answer: John has been studying ten minutes a day since he got a high grade on the last test.

  • Wages in Hong Kong are going up. This started when the workers began demanding higher pay.
  • Wages in Hong Kong have been going up since the workers began demanding higher pay.
  • Oil prices are going up. This started when India and China started using more oil.
  • Oil prices have been going up since India and China started using more oil.
  • Mr. Yu is looking for a new product. This started when competition from Taiwan made his business less profitable.
  • Mr. Yu has been looking for a new product since competition from Taiwan made his business less profitable.
  • Mr. Yu's brother is looking for a new business opportunity. This started when his standard of living fell.
  • Mr. Yu's brother has been looking for a new business opportunity since his standard of living fell.
  • Ms. Wong is looking for a traditional wedding gown. This started when she decided to get married.
  • Ms. Wong has been looking for a traditional wedding gown since she decided to get married.

Exercise 3

Adverbs of time for and over with Progressive, Perfect, and Perfect Progressive tenses

Add the adverbs of time for or over and make two sentences: (1) from the Progressive to the Perfect Progressive and (2) from the Progressive to the Perfect. Note that the second set of sentences have almost the same meaning; although the Present Perfect Progressive emphasizes that the action is continuous and ongoing.

Given: Unemployment is increasing. Six months.
Answers (1):
For the last six months, unemployment has been increasing. OR
Over the last six months, unemployment has been increasing.
Answers (2):
For the last six months, unemployment has increased. OR
Over the last six months, unemployment has increased.

Exercise 4

Simple Past, Present Perfect. Time expressions with in, ago, since, and over. Be careful to use the correct forms of the irregular verbs introduced in this Unit.

Make sentences from the phrases below, making the verb (1) Simple Past and then (2) Present Perfect. Note that in and since are used if the time expression marks a starting point, and ago and over the if it expresses length of time.

Given: 1930, many businessmen, lose their money
Answers (1) In 1930, many businessmen lost their money. (Simple Past)
Answers (2) Since 1930, many businessmen have lost their money. (Present Perfect)

Given: 50 years ago, many banks fail
Answers (1) Fifty years ago, many banks failed. (Simple Past)
Answers (2) Over the last 50 years, many banks have failed. (Present Perfect)

  • 1950, many political refugees, come to Hong Kong
  • 1) In 1950, many political refugees came to Hong Kong.
  • 2) Since 1950, many political refugees have come to Hong Kong.
  • economic freedom, increase, in 1990
  • 1) Economic freedom increased in 1990.
  • 2) Economic freedom has increased since 1990
  • The population, decrease, five years ago
  • 1) The population decreased five years ago.
  • 2) The population has decreased over (or for) the last five years.
  • Thirty years ago, economists like Friedman, write about Hong Kong.
  • 1) Thirty years ago, economists like Friedman wrote about Hong Kong.
  • 2) Over (or For) the last 30 years, economists like Friedman have written about Hong Kong.
  • Sixty years ago, many Chinese people, choose to live in Hong Kong.
  • 1) Sixty years ago, many Chinese people chose to live in Hong Kong.
  • 2) Over (or For) the 60 years, many Chinese people have chosen to live in Hong Kong.
  • One hundred years ago, many Chinese people, seek, better lives in Hong Kong.
  • 1) One hundred years ago, many Chinese people sought better lives in Hong Kong.
  • 2) For (or Over) the past 100 years, many Chinese people have sought better lives in Hong Kong.

Exercise 5

Gerund phrases with by

Given: The city solved its housing problem. It built a lot of affordable apartments.
Answer: The city solved its housing problem by building a lot of affordable apartments.

  • After World War II, Hong Kong solved its economic problem. It let in refugees.
  • After World War II, Hong Kong solved its economic problem by letting in refugees.
  • The government of Hong Kong encouraged business. It promoted free trade.
  • The government of Hong Kong encouraged business by promoting free trade.
  • The government of Hong Kong promoted education. It built schools.
  • The government of Hong Kong promoted education by building schools.
  • Mr. Yu's business will solve its problem. It will find a new product.
  • Mr. Yu's business will solve its problem by finding a new product.
  • The students will improve their chances of getting a good job. They will study English.
  • The students will improve their chances of getting a good job by studying English.
  • Their standard of living fell. This started in 2000.
  • Their standard of living has been falling since 2000.

Exercise 6

Passives

Change the sentences below into passives using either to be or (more conversational) to get. Be careful to use the correct tenses and the word by to indicate a person or thing doing the action.

Given: The British occupied Hong Kong in 1841.
Answer: Hong Kong was occupied (or got occupied) by the British in 1841.

  • The University of Chicago hired Milton Friedman to teach economics in 1946.
  • Milton Friedman was hired (or got hired) by the University of Chicago to teach economics in 1946.
  • Many liberal economists criticize Friedman's ideas today.
  • Friedman's ideas are criticized (or get criticized) by many liberal economists today.
  • The University of Chicago Press published Friedman's first major book, Freedom and Capitalism, in 1962.
  • Friedman's first major book, Freedom and Capitalism, was published (or got published) by the University of Chicago Press in 1962.
  • President Ronald Reagan awarded the Presidential Medal of Freedom to Friedman in 1988
  • Friedman was awarded (or got awarded) the Presidential Medal of Freedom by President Ronald Reagan in 1988.

Exercise 7

Passives

Make sentences from the phrases below, using the passive with
to be or the (more conversational) passive with to get. Give the tense indicated in brackets, and be careful to use by when the person or thing doing the action is mentioned.

Given: bill, pay, on time [Past]
Answer: The bill was paid on time OR
Answer: The bill got paid on time.

  • wedding dress, finish, before the wedding [Future]
  • The wedding dress will be (or, is going to be) finished before the wedding.
  • Mr. Chang, never, treat, a traditional doctor [Present Perfect]
  • Mr. Chang has never been treated by a traditional doctor.
  • Right now, Mr. Wu's store, rob, a gang of criminals! [Present Progressive]
  • Right now Mr. Wu's store is being (or, is getting) robbed by a gang of criminals! .
  • The problem, solve, the government [Future]
  • The problem will be (or, is going to be) solved by the government.
  • Those trees, plant, Mrs. Ching [Past]
  • Those trees were planted by Mrs. Ching.

Exercise 8

Contrary-to-fact conditionals

Change the first sentence (a Present/Future conditional) into a contrary-to-fact conditional.

Given: If the demand goes down, Mr. Cheng will soon get that message.
Answer: If the demand went down, Mr. Cheng would soon get that message.

  • If Hong Kong doesn't have economic freedom, it will not be a rich city.
  • If Hong Kong didn't have economic freedom, it would not be a rich city.
  • If the standard of living improves, many businesses will be better off.
  • If the standard of living improved, many businesses would be better off.
  • If Mr. Huang's daughter studies in England, she will get a good job.
  • If Mr. Huang's daughter studied in England, she would get a good job.
  • If the government doesn't take care of people, they will have to take care of themselves.
  • If the government didn't take care of people, they would have to take care of themselves.
  • If you go down any street in Hong Kong, you will see commercial activity.
  • If you went down any street in Hong Kong, you would see commercial activity.

Exercise 9

Contrary-to-fact conditionals with to be

Given: I'm not rich, but I'd (= I would) like to buy an expensive car.
Answer: If I were rich, I'd buy an expensive car. OR

Given: George is so stupid. He will never get into a university.
Answer: If George weren't so stupid, he would get into a university.

  • I'm not American. I don't know a lot about baseball.
  • If I were American, I'd know a lot about baseball.
  • James is so lazy. He doesn't make any money.
  • If James weren't so lazy, he'd (= he would) make money.
  • It's so hot today. I'm not going to the market.
  • If it weren't so hot today, I'd go to the market.
  • There is a lot of competition in Hong Kong. Businesses do well there.
  • If there weren't a lot of (or so much) competition in Hong Kong, businesses wouldn't do (so) well there.
  • Those workers are paid well. It's not exploitation.
  • If those workers weren't paid well, it would be exploitation.