The green paper on constitutional reform has a subtle warning that Hong Kong might risk being turned into a welfare state if universal suffrage is introduced, say legal experts. In contrast to Article 45 of the Basic Law, which only stipulated the 'actual situation' of Hong Kong and that the principle of 'gradual and orderly progress' should be observed before universal suffrage can be introduced, they noted that two extra principles were highlighted - 'meeting the interests of different sectors of society' and 'facilitating the development of the capitalist economy'. The business sector has long expressed concern that if Legco were dominated by advocates of labour and grassroots rights, or the chief executive adopted populist policies when universal suffrage is introduced, a severe blow would be dealt to business. Associate professor Simon Young Ngai-man, a constitutional law expert at the University of Hong Kong, questioned why the principle of the capitalist economy was highlighted. 'It seems to show their fear that Hong Kong might become a social democracy or social welfare state.' While noting that the two extra principles might be an attempt to stress the importance of functional constituencies in addressing the interests of different sectors, he warned against retaining the trade-based constituencies as it contravened the principle of universal suffrage. Civic Party legislator Audrey Eu Yuet-mee criticised the government for making 'hidden negative connotations' on universal suffrage when it highlighted the need to facilitate capitalism. She said both extra principles were absent from the National People's Congress Standing Committee's 2004 reinterpretation of the Basic Law. Liberal Party legislator Jeffrey Lam Kin-fung, who represents the Commercial (First) sector, conceded that some from the financial and industrial sectors had expressed concern that those who were keen on giving 'handouts' might dominate. Mr Lam said that a consensus from sectors should be reached before functional constituencies were abolished. A spokesman for the Constitutional and Mainland Affairs Bureau said the four principles derived from a remark made by the former director of the Basic Law Drafting Committee, Ji Pengfei, in 1990, as well as Basic Law articles 45 and 68. They are also the conclusion the Commission on Strategic Development reached, he said.