Chapter 1549: We Need to Talk
The impact of the downward oil price on the economy is manifold. In particular, oil is the currency in which it is traded.
While international oil prices have been falling, the dollar has begun to appreciate. The appreciation of a currency normally means that the currency is strong and the economic situation is good. So for most countries, that's a good thing.
But for the Eagle Country, this is a matter that has to be said 10,000 times.
Why?
Not why, because the Eagle Country is the richest and poorest country in the world, and it is said to be rich because of its strong economic strength, with the largest and most sophisticated economic system on the Blue Star, with an annual GDP of more than 10 trillion yuan and a per capita GDP that ranks among the top 10 in the world. But it is poor because this country is the most indebted country in the world.
However, this poverty is not objectively derogatory.
It is true that the Eagle Country is the first power, but the power is not omnipotent, especially in this era of playing with other people's money.
For example, if a real estate developer has 100 million yuan in cash and wants to build a building, the total cost is expected to be 500 million, and he needs to borrow 400 million yuan from the bank. The bank has already collected the savings of ordinary people with an annual interest of 5%, and then lent them to real estate developers at an interest rate of 12%.
The real estate developer only needs to borrow for 3 years, and the entire building can be sold to earn 400 million, in addition to the capital of 500 million.
This account can be calculated as 4-4 * 36% = real estate developers net profit of 256 million.
In this way, it is very clear that real estate developers use 100 million as the capital and earn 256 million in three years through financial operations, with an average of double the profit a year.
So don't think that it is a shame to owe debts, in this era of crazy pursuit of money, it is the uncle who owes the debt, and it is the grandson who asks for the debt.
So the Eagle Nation government is happy to borrow money, especially from some competitors.
This money can be used to boost the country's economy, or it can be relied on by artificially controlling the depreciation of the national currency, or by forcing the creditor country's currency to appreciate.
As another example, if the Eagle Country owes you $10,000 last year, the $10,000 can buy 10,000 catties of rice. This year, they depreciated the currency by 10%, so now the $10,000 can only buy 9,000 catties of rice, plus interest, and at most 9,500 catties of rice.
In fact, almost all countries that have the ability to play regulation are the same, currency depreciation, ordinary people deposit in the bank, plus interest will not keep your money at its original value, it will only depreciate.
The rich are accustomed to borrowing money from the poor, because the longer they borrow, the less valuable the money becomes, but the real estate and real estate owned by the rich are rising every year.
This is the principle of financial operation.
Therefore, according to the current international situation, the two things that the Eagle State hopes for most are the depreciation of the US dollar or the appreciation of the RMB.
Unfortunately, the situation facing Trempo is completely reversed.
The decline in international crude oil prices is extremely beneficial to developing countries like China, which need large quantities of crude oil as a raw material for production. The cost of oil production in China is high, the oil fields in the west are generally very deep and difficult to exploit, and the oil fields in the interior are shallow but have little oil, and the only good place is the northeast, but after years of exploitation, the stock has been stretched. Therefore, a large amount of crude oil in China still needs to be imported.
Now that the price has dropped, the domestic production cost will naturally be lowered. Originally, in this case, the currency should have appreciated, but under the internal control of the central bank, it was maintained.
The Eagle Country is a little miserable.
Although Eagle Nation imports crude oil, it is a private company that operates these businesses. Moreover, most of these private companies, such as K-Industries, own oil fields and oil wells overseas with the influence of the Eagle State government.
In the case of such direct control of resources, it is a loss as a whole.
But losing money is not the most depressing, what is depressing is that, like China, in the face of lower prices for production materials, the dollar ,...... appreciation,
What is even more tragic is that China has nearly $3 trillion in Eagle State bonds in its hands...... This one appreciation and one immovation, directly made the Eagle Country have hundreds of billions of dollars of debt,
But the impact doesn't stop there.
This fluctuation in the value of the currency has had a huge impact on all aspects of trade between the two countries.
Private speculation is even more unavoidable. After the depreciation of the dollar, a large number of people began to buy dollars frantically, and this part of the people saw the trend of international oil prices, and began to actively operate to make a big fuss about the difference between the value of the dollar and the yuan.
On the other hand, although we are now in a period of trade friction, the exchange between the two major countries cannot be prohibited.
The appreciation of the US dollar is relative to the depreciation of the renminbi. And depreciation, in favor of export enterprises!
What do export enterprises earn? It is the dollar! And the dollar is appreciating, so the actual profits are also rising. In this form, the impact of the punitive tariffs issued by the Eagle State is invisible...... Lightened!
And with the continuous appreciation of the dollar, it is getting lighter and lighter!
It is foreseeable that if the price of crude oil cannot be stabilized and the dollar continues to appreciate, then several punitive tariffs, including the 526 list, will play a useless role.
The Telampo Special Office was already overcrowded.
The National Economic Council, a few key parliamentarians, the International Policy Task Force, and economists from several universities or organizations gathered together to salivate under the heated debate, making the whole office as noisy as a wet market.
Terambo sat in his seat with a gloomy face, looking at the people with red faces and thick necks arguing endlessly, and his heart was tormented.
He would never have imagined that things would happen like this. I can't imagine that a Zhengxin Group, which is as small as an ant compared to the Eagle Country, will cause such a big trouble and cause such a far-reaching influence!
Just as he was losing his mind, his personal phone rang at an inopportune time. Seeing the name on the caller ID, Terambo had another headache.
"Kaga. ”
"In the past week, K-Industries has lost more than $3 billion, and the losses are growing. Terambo, I don't have anything to say to you right now. My friend, I called you before and made it clear to you the seriousness of the matter and how to solve it, but unfortunately you took my words as a deaf ear. Now, my friend, you are no longer my comrade-in-arms. ”
Trempo understood that the deepest anger was hidden beneath the other party's calm voice, and he also understood the impact and consequences of this anger on himself.
In such an eventful season, he could no longer afford to lose any power that could be co-opted.
His face slowly turned red, and his fists clenched tightly.
Obviously, it's doing quite a bit of determination.
After a long while, he finally lowered his head, "Kahe, I'll take care of this." ”
Putting down the phone, he looked at the people in the room again.
"Stop!" he exclaimed, "stop all that nonsense! Organize an outing, we'll ...... Need to ...... with the Chinese side Let's talk about ......."
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