The crown prince's knowledge reserve is very rich, otherwise he would not have come up with this kind of routine of guaranteeing railway bonds and issuing paper money, which is obviously the same trick that the financier John Law played in France back then.

After the death of Louis XIV, he left France with hundreds of millions of debts, and his successors reduced the gold content of gold coins and recoined the currency to exploit the people, but they were never able to reduce the debt. At this time, John Law, a banker from Scotland in England, told the French that he would be able to help the French government pay off its debts as long as he was allowed to issue paper money. The French government, which was in a hurry to go to the hospital, agreed, authorizing him to set up a bank.

John Law first founded a Mississippi company, claiming that the company owned countless gold and silver in the Americas. Lloyd's Register Bank was then established to issue banknotes. The Mississippi Company then issued shares, but stipulated that the company's shares could only be purchased with French government bonds, and the French government's debt was quickly absorbed. But in reality, the debt did not disappear, but became the stock of the Mississippi company.

Why do the French believe in the stock of a company located in the Americas? Because John Law promised to pay dividends of up to 200 livres per year for each 500 livres of shares, if the shareholders wanted to sell the shares, as long as the holding period exceeded half a year, the company could redeem them at par value, and the 500 livres of shares at that time were sold at 160 livres. For investors, as long as they invest 160 livres, buy a stock with a face value of 500 livres, and redeem it after half a year, they can make a solid profit of 340 livres. If you hold the shares for more than one year, there is also a dividend of 200 livres per year.

Since John Law's company and bank had government guarantees, the French were convinced that it was not a hoax, and under the huge usury stimulus, the French's IQ dropped sharply, believing in pie-in-the-sky good things. As a result, the whole people speculated in stocks, and they took out real money to buy government bonds, so that the government not only paid off the old debts, but also had to print and distribute a large number of new debts at the request of the people. The French government, which was accustomed to being lavish, naturally agreed, and issued bonds with all its might, and the government, when it had money, held John Law as a savior.

John Law's bank, on the other hand, printed a lot of paper money, because it was necessary to buy bonds. Such a routine of exchanging bonds for stocks, paper money for bonds, and gold for paper money has taken away all the gold and silver of the French. In half a year, John Law printed 1 billion livres of banknotes and swept away 1 billion livres of gold.

But it was obvious that John Law could not pay investors twice the dividends, but when it came time to buy, everyone found that John Law could not come up with the money to buy back, and as a result, the bonds plummeted by ninety and a half, and the paper money became waste paper, and the French government put all the fault on John Law, confiscated all his property, and expelled him from France, as for the loss of French investors, the French government did not intend to admit it, and those bad debts in the era of Louis XIV evaporated in the stock speculation boom of the national carnival, That is why the credit of the French government is always sparse.

John Law failed, and the crown prince also failed, both of them came up with a set of tricks that ordinary people couldn't understand, first set up a company, guarantee the company's future profits, and then issue paper money, but unfortunately once investors were not optimistic about the company's profits, paper money also lost credit.

Seeing that everything can't be played anymore, the paper money guaranteed by the bonds of the railway company has dropped to one-tenth of the face value, and the people are full of complaints, thinking that this is the treasure money of the Ming Dynasty and the trick of the government to loot the people, which makes the crown prince very stressed.

As a result, the Bank had no choice but to meet the bank's request to grant the exclusive right to issue banknotes in the Americas to the bank, and the bank promised to recycle all old railroad banknotes. At the same time, to help issue a 10 million gold bonds, the public bank will charge a fixed commission of three points, as for how low the interest rate can be obtained from the Chinese market, it depends on the investment in the prospect of the railway company. However, the public bank assesses that the interest rate can only be auctioned at 7%.

The bond issuance between the public bank and the government of the Great Zhou Dynasty is like this, with the government to charge a fixed commission, and then the public bank first pays in paper money, and then the public bank auctions and distributes the bonds of the relevant face value in the bond market. Due to the good credit of the Great Zhou court, it was rare to have an interest rate of more than 3 percent, which made the crown prince angry and felt that the public bank was humiliating him.

Sure enough, the bonds auctioned by the public bank in Guangzhou were not auctioned off by various investors, including financial institutions such as Qianzhuang, until the average was raised to 8 percent, and the auction method was to auction at a reduced price in the bond market according to the Dutch style, and the auction was carried out at a price of 10,000 taels. Those who participated in the auction were all investors. After these big investors get the bonds, most of them are distributed, which is the secondary market.

But these crown princes could not take care of it, and after receiving funds from the public bank, the railway continued to be built smoothly. In the past, the banknotes issued with railway bonds as collateral were gradually recovered by the public bank according to the par price and exchanged for public bank banknotes. Of course, the bonds of the railway bank were also handed over to the public bank as revenge for the public bank's redemption of these banknotes.

In the crown prince's view, the nature has not changed, but the railway bank, which was previously a large creditor of the railway company, has become a public bank of goods, and as a result, when the railway company is a creditor, stocks, bonds, and banknotes are unreliable, and when the public bank is a creditor, all this is not a problem, which makes him feel angry. But that's the heart of business: credit!

In fact, the public banks are not willing to be the big creditors of the railways, and the bonds they have taken on will still be auctioned back at home in the right century.

As they came and went, the bank actually paid no cost to itself, and even earned a good commission, and as a result, it received the right to issue banknotes in the Americas. Or that reason: credit!

In fact, the reason why the public bank was willing to intervene, in addition to collecting the right to issue paper money, was also because it was explained by the domestic head office, which was entrusted to the emperor.

After Zhou Lang learned about the financial tricks played by the crown prince in the Americas, he immediately understood that this trick would definitely go bankrupt, not because the railway company was unreliable, but because it was difficult for commercial investors to wait for a railway that could only be built in ten years to get a return. This means that this trick of issuing new debts and paying off old debts must be rolled over for ten years.

Whether it is a poor railway company, or the government of the Americas, there is no credit that allows investors to not see returns for ten years, and the Dutch East India Company can not pay dividends for decades in history, which is based on the mature business culture of the Netherlands, and the company is profitable every year.

Therefore, Zhou Langcai greeted Wu Bingjian, the chief treasurer of the public bank, and asked him to solve the problem of the railway company without hurting the crown prince's face. Zhou Lang is optimistic about this railway, if the construction of railways in the United States is not profitable, I am afraid it will be difficult to make a profit in other parts of the world. Because the American government has granted too many benefits to the railway company, the 60 kilometers of land assets on both sides of the railway, once the railway is completed, will be worth a fortune, not to mention the mining rights, although the Rocky Mountains are difficult to travel, but there are many mines, it is difficult to ensure that there will be no large minerals on both sides of the railway.

As a result, the shopkeeper of the American branch of the public bank came forward to resolve the crisis of the crown prince, and neither the general manager of the public bank nor Zhou Lang expressed their position, as if they did not know about it.

Zhou Lang took care of the crown prince's face so much, of course, he was afraid of causing psychological obstacles to his young son, young people hurt their face, and they were easy to go to extremes, if it was a small family, then it would be fine, but he was the crown prince, the destined successor of the emperor, the resources in his hands were too huge, and he went to extremes, which would bring unpredictable consequences to society and the country.

Zhou Lang is so careful to protect his son, and he is not doting on the child, although this is his eldest son, the first son he gave birth to in the second year of the New Year. But Zhou Lang's education of his son is very strict, and the reason why he looks at this son differently is not out of emotion, but out of practical considerations.

Because the power of the relatives behind this son is too strong!

is so powerful that as soon as he was born, Zhou Lang didn't think about it, so he directly named him Zhou Jitong, making it clear that he wanted him to inherit the throne, and he was directly canonized as the crown prince at the age of three.

How strong is the power of the relatives behind the crown prince? Zhou Lang couldn't figure it out himself. These foreign relatives also appeared out of his unexpectedness. These relatives are not how strong Chen Sanmei's family is, Chen Sanmei's elder brother has let Zhou Lang rush to the Americas to be an overseas emperor, and those relatives in China are naturally even more unpopular.

But there are no close relatives, but there are a large group of relatives of righteous relatives. This is the largest family business that Chen Sanmei has earned for her son, and it is the more than 300,000 orphans that Chen Sanmei has adopted over the years.

Back then, Zhou Lang couldn't bear to watch the war displace the lonely and displaced, and began to establish the Sergeant Charity Hall in Taiwan, who would have thought that these teenagers who came out of the Military Charity Hall would become the mainstay of the Great Zhou Mansion!

Since serving as a soldier has never been a serious profession in China, and the concept of a good man not being a soldier is deeply rooted, it was difficult to find a scholar with a relatively high level of knowledge to serve as a soldier in the early years. Many of the first batch of orphans in Taiwan were children of landlords' families that Chen Zhouquan had attacked, and many of them had already opened Mongolia and were at least literate. These seven or eight-year-olds, or even eleven or twelve-year-olds, were soon placed in technical positions in the government and the army after a few years of schooling.

Because Zhou Lang was difficult to get the recognition of the local reading elite in the early stage, until he robbed the Old Summer Palace, he almost relied on these orphan students in the early stage, and the result was that these people gradually grew into backbones and formed a powerful force of relatives.