Germany

The huge war reparations have drained the pockets of the German people, and now it is not only the ordinary people who are having a hard time, but even the Junker aristocracy.

Half of the industrial production was used to pay off debts, and the rest was exported for industrial raw materials, and in order to reduce foreign exchange consumption, the Weimar government had banned the use of luxury goods in the country.

Inflation has turned the mark into waste paper, many people's wealth has been swept away, 60% of the German people owe a lot of debts to the banks, and the bankers behind the scenes have become the only winners!

If it weren't for Ferdinand's increased food aid to Germany, the Weimar government would have collapsed long ago with food to feed the population.

The influx of aid also harmed the interests of one class, the land-based Junker aristocracy, whose rule in Weimar had already begun to be unstable.

At present, Germany's food deficit is more than 3 million tons, which means that after deducting Bulgaria's food aid, they still have to import at least 2 million tons of grain every year to be able to fill the domestic food gap.

The Junker aristocracy, the main producers of grain, did not want the government to continue to import grain, and they believed that as long as the domestic grain price increased a little, it would be able to mobilize everyone's enthusiasm for production and fill the domestic food gap.

Of course, the Weimar government could not have agreed, and it is estimated that no ruler would dare to agree, and if the import of grain was stopped, the German people would rebel!

The Germans surrendered in World War I because of the food problem, and as one of the leaders, the Weimar government also knew that there was one thing that had to be done, that is, to ensure the domestic food supply!

Compared with the instability of the German central government, the development of several major kingdoms in the country is actually better, taking the Kingdom of Bavaria as an example, they vigorously develop domestic agriculture, and the income of the people has not increased, but the standard of living is much higher than that of other regions!

There is no comparison, there is no harm, and the Weimar government, which has no experience in governing the locality, naturally loses.

Under the banner of freedom, the capitalists quickly grew larger and exerted more and more influence in the government.

Equally, they are increasingly oppressing the people at home.

It is clear to many people that there is no future for the development of industry in Germany at present, and that 50 percent of the industrial and commercial products will be used to pay war reparations.

How can capitalists who are not philanthropists do such stupid things? So they have set their sights on the financial field, compared to usury!

In this context, the conflict between the German central government and the major kingdoms also began to plan, and the Weimar government hoped that the kingdoms would recover better economically and be able to bear a larger proportion of debt, which was obviously not acceptable to the major kingdoms.

Now these kingdoms are not afraid of the central government, in order to bury nails in the interior of Germany, the French insisted on delegating all the four powers of the army, foreign affairs, finance, and personnel to the kingdoms.

In addition to the nominal unification, Germany is actually independent, and you can't expect one king after another to support a republic, right?

Especially in the past year, with the deterioration of the world economy and the spread of the Great Depression to the entire European continent, everyone's life is not easy, and Germany's industrial and commercial exports are not so easy.

Looking at the intelligence gathered from Germany, Ferdinand rubbed his forehead, European history had been changed beyond recognition by him.

Judging by the current situation, if the Great Depression continues, the foreign exchange obtained by the export of German artificial commercial goods will no longer be able to buy the industrial raw materials they need.

Then the default becomes the inevitable result, there are not enough industrial raw materials, what can they use to produce so many products to pay off the debt?

There is no money to import industrial raw materials, and naturally there is no money to import grain, even if there is a million tons of aid from Bulgaria every year, it is a drop in the bucket!

"Prime Minister, tell the Germans that we agree to give them a batch of grain on credit, but only according to the rules of business!"

Ferdinand made the final decision to continue exporting grain to Germany. After the end of the World War, Bulgaria was the largest grain exporter to Germany.

It was also a political business, and after the war, Germany was eager to improve relations with the great powers and get out of the diplomatic impasse, and Bulgaria wanted to get along with Germany in order to recruit talent, so the two sides hit it off.

Now the Germans certainly have no money to buy food, but the problem is in the short term. Bulgarian agricultural products can't find new buyers?

Therefore, knowing that it is difficult to receive money in the short term for exporting grain to Germany, Ferdinand still has to continue to do this business!

"Your Majesty, this is too indulgent to the Germans, there is a lot of foreign exchange flowing into Germany from Bulgaria every year, we didn't say anything, and now we dare to ......"

The problem of grain exports, Konstantin is naturally also clear. But the hundreds of thousands of Germans working in Bulgaria have to send back 700 million or 800 million leva to Germany every year, and this amount can basically offset grain exports.

Bulgaria did not say anything about such an inflow of capital into Germany every year, and now that the German government has declared that it cannot afford to pay for their grain, Konstantin is naturally not satisfied!

"It's really not too cheap for the Germans, then set the interest rate higher, for example, three cents per month is very suitable for them, anyway, they don't have a choice now, I don't believe anyone else is willing to give them food on credit!" Ferdinand said coldly

How is it possible not to be angry?

Now Bulgaria and Germany have taken what they need, Bulgaria has received talents from Germany, which has accelerated the pace of national development, and the Germans have also received Bulgarian grain to feed the people at home.

The trade between the two sides was also balanced, and the Germans obtained money from the export of labor, and then imported Bulgarian grain, which flowed back to Bulgaria again.

Now Bulgaria still needs these Germans to work hard, and it is not necessary for both sides to completely tear their faces, but in business, it is not too much to collect usury, right?

These have nothing to do with the Bulgarian government, the capitalists are so black, if you want to pay on credit, it is a high late fee, love it or not!

The Germans don't want it, it's a big deal to help the Russians, and then find an opportunity to retaliate and go back, the current Germans can't be tough!

Listening to Ferdinand's words, Konstantin did not continue to dwell on this issue, if the Germans dared to bear a late fee of three percent per month, then everything would be negotiable.

"Your Majesty, what about the problems of the Italians?" Konstantin asked

Speaking of Italy, Ferdinand could only smile bitterly, if the Germans are likely to repay their debts in the future, then the Italians have already begun to repay their debts.

It's not that their government doesn't work hard, but they really can't afford it! If there is anything that can be sold, it is estimated that the Italian government will take it out and sell it!

From the signing of the Treaty of Versailles to the present, the Italian government has done everything to pay off its debts. Industrial and commercial goods, this is not competitive with the Germans; Agricultural products are not enough for their own use, and human resources are not needed by everyone!

No, there are still labor teams organized by the Italian government in Bulgaria, which simply organize criminals and send them to work as coolies to earn money.

There is also the vigorous development of the service industry, of course, this is not organized by the government, but the capitalists have learned from Japan's advanced experience. Well, they're still a bit disciplined, at least not forced.

It's just that they combine sales with it, using this special channel to promote Italian luxury goods to European countries!

Of course, these can't let the Italian government take the blame, it's really the domestic economic recession, and they have to bear huge debts, and many people are forced to embark on this road for the sake of life!

"Well, tell the Italians that if you want to forgive your debts, go and talk to the British consortium, and we've taken out all the claims, as long as they agree!" Ferdinand said indifferently

"Your Majesty, the Italians also asked for a moratorium on the payment of reparations, and they will not continue to perform until their economy recovers, and we have an agreement with the consortium to be responsible for collecting the payment!" Konstantin reminded

Ferdinand laughed and said, "That's right, we promised to collect money, and we also ensured that the Italians would not be able to repay their debts!"

However, it takes the Italians a hundred years to pay it off, and as long as they don't give them less late fees, it's not a bad debt, right? The consortium asks us to collect money, so let's go with other countries! ”

Konstantin was shocked, he didn't expect Ferdinand to get away with the idea of fooling around, but now the Italians really don't have money, and they really can't do anything to them!

"Your Majesty, the Great Depression in Europe has affected our export industry, and if nothing else, exports to the European continent will fall by twenty percent this year!

The government has decided to transform the enterprise and change the export to domestic sales, and now that the economic crisis in Italy has broken out, we plan to dig up a group of talents in the past, and their designers are still very good, but they are too lazy! Konstantin continued

Ferdinand nodded, and then said: "Let's do it, we have just started a ten-year plan, and the market contained in it is huge, if you count the supporting industries, the number of jobs created will probably exceed five million."

The domestic human resources market may be difficult to provide, and when necessary, you can set your sights on European countries and look for cheap labor! ”

For the current German and Italian governments, Ferdinand is a little speechless, although the cards in his hand are rotten, but he can't play randomly!

The domestic economic crisis is so severe, they still maintain a high-welfare social system, but these benefits are not available to most people, and they are not well funded, and they are occupied by a small group of privileged classes.

This expenditure alone accounts for 23 percent of Germany's fiscal revenue and 27 percent of Italy's fiscal revenue.

That's it, the economic situation is not good, and the government must also find a way to take active countermeasures, at least to crack down on the domestic capitalists and let the people breathe, but nothing has been done!

Encountering such two strange governments, it is no wonder that the future generations have been able to develop, but until now, their shadows have not appeared in this plane, is it affected by the butterfly effect?

……