WEEKS, CERTAINLY THAT IS THE
FOCUS NOW.
TODAY, THE ONGOING FOCUS WITH
THE CHAOS IN ON KONG WHERE
THOUSANDS OF PROTESTERS CLOSED
AIRPORT, CAUSING THOUSANDS OF
FLIGHTS TO BE CANCELED.
WE HAVE STEVE WHO SISSITS ON THE
CHINA U.S. COMMUNICATIONS.
HOW LONG DO YOU THINK THE
CHINESE AUTHORITIES WILL LEAVE
THAT SHUT?
>> I THINK THEY'RE LEAVING IN
THE HANDS OF THE HONG KONG
AUTHORITIES TO DECIDE WHAT TO
DO.
THEY'RE PUTTING PRESSURE SAYING
THIS CAN'T GO ON.
THE ECONOMIC CONSEQUENCES
CLOSING THE AIRPORT IS
CATASTROPHIC.
NOT JUST CATASTROPHIC IN THE
SHORT TERM, MISSING PLANS AND
MEETINGS, BUT LONG TERM, THINK
ABOUT THE MULTINATIONALS
HEADQUARTERED IN HONG KONG, ARE
THEY THINKING SHOULD THEY MOVE
TO SINGAPORE, MOVE TO TAIWAN,
MOVE TO TOKYO?
IT IS REALLY BOOED FOR HONG KONG
IN THE LONG TERM.
WHAT I HOPE THE DEMONSTRATORS
UNDERSTAND THAT THIS IS GOING TO
CAUSE HONG KONG TO DETERIORATE
IN THE LONG TERM.
DAVID: I HOPE WHAT CHINA
UNDERSTANDS, IF THEY GET, I
UNDERSTAND THERE ARE SOME PLO,
PLA FORCES NOW.
>> THEY ARE GARRISONED.
DAVID: PEOPLES LIBERATION ARMY
IN HONG KONG.
IF THEY REALLY BRING A FORCE OF
PLA ARMY TROOPS OVER INTO
HONG KONG AND DO THERE, WHAT
HAPPENED IN TIANAMEN I DON'T
THINK CHINA WOULD BE THE SAME
FOR DECADES.
>> NO.
I DON'T THINK THAT IS GOING TO
HAPPEN.
FOR STARTERS, THERE HAS BEEN A
LOT OF FAKE NEWS ABOUT THE PLA
MASSING TROOPS ON THE HONG KONG
BORDER.
IT IS, NUMBER ONE IT IS THE
POLICE, MINISTRY OF PUBLIC
SECURITY THAT HAVE EXERCISES IN
SHENZHEN, THE AREAS THAT BORDER
HONG KONG.
WHAT THEY'RE DOING SENDING A
MESSAGE TO THE DEMONSTRATORS WE
HAVE THIS CAPABILITY.
THEY ARE NOT, THEY ARE NOT
TALKING ABOUT USING IT AND I
WOULD BE SHOCKED IF THEY DID.
THE SITUATION WOULD HAVE TO
DETERIORATE IMMENSELY FOR CHINA
TO MAKE THAT DECISION.
FOR THE HONG KONG GOVERNMENT TO
INVITE THE PLA.
NOW THE PLA IS GARRISONED IN THE
OLD BRITISH --
DAVID: HOW MANY TROOPS ARE
THERE.
>> NOT MANY.
NOT MANY.
DAVID: COUPLE THOUSAND?
>> I THINK SO.
I DON'T KNOW THE EXACT NUMBER
OF.
DAVID: IF YOU'RE WRONG, GOD
FORBID, THE PLA COMES, IS THAT
THE END OF OUR RELATIONS WITH
CHINA FOR THE NEAR FUTURE.
>> I JUST DON'T THINK IT IS
GOING TO HAPPEN.
DAVID: YOU DON'T WANT TO GO
THERE?
>> I CAN'T IMAGINE IT T WOULD BE
SUCH A TERRIBLE DECISION BY THE
GOVERNMENT OF HONG KONG.
BY THE GOVERNMENT AND MAIN LAND.
THEY HAVE THE CAPABILITY TO DEAL
WITH THE DEMONSTRATORS.
WHAT THEY NEED TO BUILD IS A
CONSENSUS ON HOW THEY SHOULD GO
FORWARD.
DAVID: RIGHT.
>> WHICH BASICALLY IS GOING TO
BE, WITHDRAWN, THEY SAID THE
BILL IS DEAD.
CARRIE LAM THE ARGUMENT IS
WITHDRAWN OR DEAD.
WHAT IS REALLY THE DIFFERENCE?
THE CHIEF EXECUTIVE SHOULD SAY
IT IS WITHDRAWN.
THE OTHER IS, THEY NEED AN
INDEPENDENT TEAM TO KIND OF
EVALUATE WHAT HAPPENED WITH THE
POLICE.
DAVID: HARD TO FIND ANYBODY
THERE RIGHT NOW.
>> POLICE REVIEW BOARDS, WHICH
WE HAVE IN THE UNITED STATES,
WHICH ARE INDEPENDENT OF THE
POLICE, SHOULD REVIEW WHAT HAS
GONE ON.
I THINK THAT IS A PATH FOR
COMPROMISE.
DAVID: STEVE, I WANT TO GET YOUR
IMPRESSION WHAT IS HAPPENING IN
RUSSIA.
NOT ONLY HONG KONG WHERE YOU
HAVE PRO-DEMOCRACY PROTESTS, YOU
SEE IT IN RUSSIA TOO.
THE DEMONSTRATIONS THERE ARE
FOCUSING ON VERY SIMILAR THINGS
ABOUT AN AUTOCRACY, CONTROLLING
THE WAY THEY RUN THEIR
GOVERNMENT.
NOT ENOUGH FREEDOM IN THE
PRIVATE SECTOR WHERE CERTAIN BIG
GUYS GET SWEETHEART DEALS.
BUT, NORMAL FOLKS DON'T.
WHAT DO YOU THINK OF THIS?
THE FACT THAT THEY ARE IN
RUSSIA, ALSO KIND OF PUSHING
THESE PRO-WESTERN VALUES?
>> I'M NOT RUSSIAN EXPERT BUT TO
ME THE CONTRAST IS STRIKING.
THE GENTLENESS WHICH THE
HONG KONG GOVERNMENT TREATS ITS
PROTESTERS VERSUS THE HARSHNESS
TREATS ITS PROTESTERS.
DAVID: I HAVE TO PUSH BACK A
LITTLE BIT.
I HAVE SEEN VIDEO OVER THE
WEEKEND OF VERY HARSH TREATMENT
OF PROTESTERS IN HONG KONG.
VERY HARSH TREATMENTS.
PEOPLE GETTING BLOODIED AS A
RESULT.
>> WHAT THE POLICE FORCE ARE
SAYING PEOPLE HAVE BEEN HURLING
PETROL BOMBS.
THEY HAVE BEEN HURLING BRICKS.
DAVID: YOU CAN SEE THE VIDEOS.
I WOULD NOT DEFEND SOME OF WHAT
THE POLICE FORCE IS DOING IN
HONG KONG.
>> I THINK WE SHOULD HAVE AN
INDEPENDENT BODY INVESTIGATE
WHETHER THERE HAS BEEN POLICE --
DAVID: WHO WOULD BE ON THAT
BODY?
>> YOU CAN FIND PEOPLE WHO ARE
INDEPENDENT.
THERE ARE CERTAINLY IS A HUGE
BOTH ACADEMIC AND NGO COMMUNITY
IN HONG KONG THAT IS PERFECTLY
WILLING TO KIND OF BE OBJECTIVE
IN OPINING WHAT HAS HAPPENED
HERE.
IF THERE HAS BEEN BRUTALITY, IF
THERE HAS BEEN UNAUTHORIZED USE
OF FORCE.
DAVID: NO QUESTION OF IF.
IT HAS HAPPENED.
THE ONLY QUESTION IF IT IS
WIDESPREAD AS SOME PEOPLE SAY IT
IS.
THEY HAVE TO COME TO A
CONCLUSION.
WHAT I'M HOPING AND PRAYING,
SOMEHOW THE TRADE NEGOTIATIONS
WE'RE A PART OF CAN INDUCE
BETTER BEHAVIOR ON THE PART OF
THE CHINESE AUTHORITIES.
DO YOU THINK THAT'S POSSIBLE?
>> TRADE NEGOTIATIONS
UNFORTUNATELY BECAUSE OF THE
FOUNDATIONAL MISTAKES IN OUR
APPROACH MAKE IT VERY DIFFICULT
FOR THE CHINESE TO COMPROMISE.
FOCUS ON THE BILATERAL TRADE
DEFICIT WHICH IS KIND OF A
VIOLATION OF THE PRINCIPLES OF
ECONOMICS 101.
THE BRANDING OF CHINA AS A
CURRENCY MANIPULATOR WHEN IN
FACT THEY HAVE BEEN TRYING TO
SUPPORT ITS CURRENCY MADE --
DAVID: A LOT OF ECONOMISTS AS
WELL AS ADMINISTRATION OFFICIALS
WOULD DIFFER WITH YOU.
>> I DON'T THINK SO.
I DON'T THINK SO.
DAVID: WE HAVE HAD THEM ON AIR.
>> I THINK THEY'RE MISS TATING
THE CASE THAT ECONOMISTS WHO
LOOK AT THIS FAIRLY WILL SAY THE
CHINESE HAVE SPENT TENS OF
BILLIONS OF DOLLARS PROPPING UP
THEIR CURRENCY.
IF YOU LOOK BACK 10-YEARS --
DAVID: THEY SPENT A LOT OF TIME
STEALING WHAT WE HAVE.
>> THAT IS NOT A TRADE
NEGOTIATION.
DAVID: IT SHOULD BE.
>> WE SHOULD BE MAKING
REPRESENTATION WITH RESPECT TO