The role of 2373 silver coins
"Dawan's matter has been handled relatively well. As long as the Qin State resolves the rebellion in Dawan and restores order, it will be fine. Meng Yi said this to Shang Wen at once.
"Hmm. Just leave those things to the police. Shang Wen said to Meng Yi.
"Police force?" Meng Yi asked.
"Yes, the king has agreed that Dawan will set up a police force of comparable size to maintain law and order, and they just need to stabilize the situation. The riots produced a large number of Dawan refugees, and these police had to relocate these refugees to the new Dawan country, so that we could solve the problem of labor shortage. In addition, the new Dawan area has to mine a large amount of minerals, and it is in urgent need of a variety of labor. So the matter has been decided. Shang Wen said to Meng Yi.
"Hmm. So much best. Meng Yi nodded after hearing this.
"However, in this case, we have a big problem." Shang Wen shook his head and said to Meng Yi a little not very optimistically.
"What's the matter?" Meng Yi asked.
"Is it a summit thing?" Meng Yi asked.
"Yes." Shang Wen said.
"The economic problem is far more difficult than we thought." Shang Wen said.
"You also know very well that we are in the current situation, the countries are finally at peace, the war is basically far away from the continent, but the countries are in a state of ruin, all countries are in urgent need of development, and development requires a lot of money. But at present, I am afraid that the funds of our Qin State will not be able to meet the needs of various countries. Shang Wen said.
"Whether it is a loan, or investment, the demand for funds is very large, in addition to the countries, there is also the Qin State, must, Dawan, the construction side needs a lot of capital investment, those minerals are impossible to complete without capital investment, in addition to the transportation of railways. These situations can only be accomplished if they are effectively improved. Shang Wen said.
"Hmm." Meng Yi frowned.
"It's a big problem. As far as the Qin family's funds are concerned, it is indeed difficult to meet such needs. Meng Yi said.
"And there are many places where there is a need for funds, and we seem to have no solution other than indiscriminate issuance of banknotes." Meng Yi then said to Shang Wen.
"It is very unfavorable for us to issue paper money, you know, if you send paper money indiscriminately, it will cause a great disaster, and you are personally opposed to the consequences of this disaster, and I am also vigilant about doing so." Shang Wen said.
"However, Qinguo Wenyang Bank has provided a good solution, and this way is to adopt cooperation, or investment between banks, loans and other methods to solve the problem." Shang Wen said.
"Tell me about it." Meng Yi said to Shang Wen.
"Here's how they did it." Shang Wen said.
"The first thing they have to do is to get banks to be set up in various places, such as local, national banks, state banks, and so on." Shang Wen said.
"And then through the national bank or the state bank to solve the financial problems in various places." Shang Wen said.
"Those national banks, state banks need to spend a certain amount of activity to revitalize their economic vitality, for example, to revitalize assets, etc., they need to enter through land, gold, and other fixed assets as equity capital, and Qinguo Bank can participate in it, so that they can revitalize assets. In such a situation, the entry of our funds can be appropriately expanded. Shang Wen explained the approach of Wenyang Bank.
"That's a good idea." Meng Yi said.
"I think it will work." Meng Yi continued.
"You know, we also lack funds, if it is all up to us to enter the field of funds, I am afraid that ten Qin States will not be enough. But if we can work together to drive all countries and revitalize the funds in various places, we don't have to worry about the lack of funds. You know, if we invest one dollar, it may drive their ten dollars of capital linkage, and with such linkage, our funds will live. As long as we have the money to flow, we don't have much of a problem. Meng Yi said to Shang Wen.
"Yes, that's true, and I'm well aware of that when I think about it." Shang Wen said.
"So, I agree with their proposal, but I think we should also get more money from another source, such as gold." Shang Wen said.
"If the Qin government adopts the method of buying gold reserves, I don't think this problem is very big. Because the exchange of gold for paper money can increase the circulation of funds in various countries. Shang Wen said.
"It's just that I'm worried that countries don't have so much gold." Meng Yi said to Shang Wen worriedly.
"Although the increase in gold reserves is very large, after a certain period of time, gold will decline by a certain degree, and if the gold in the hands of various countries is exchanged, I am afraid it will not be so simple." Meng Yi said.
"Unless another way can be found that can increase quickly. You know, the demand for money will only increase in the future. Meng Yi said to Shang Wen.
"That's right. That's right. Shang Wen began to think. Or at the beginning, Shang Wen was wrong. The Qin state only unilaterally increased its gold reserves, but ignored another important currency in history, silver coins, which were naturally currency. In fact, silver is still an important metal currency, but it was consciously diluted in the Warring States Period, when there was more gold. Or they focus too much on the monetary value of gold and ignore the role of silver.
The Qin state popularized paper money on a large scale and quickly, although the largest unit of gold was somewhat adapted to the development of various countries. But such a unit as gold is not suitable, because it is equivalent to a unit of one hundred and a half taels. The role of half taels is often overlooked when calculating. And the purchasing power of half a tael in the hands of ordinary people is quite large. In this way, the unit of gold is too large, which has certain drawbacks for society, but this drawback has not been exposed.
The existence of silver coins is, to some extent, a currency that replaces this currency, or a currency in an intermediate transition zone between the two currencies. Metal money has a lot of value and requires a large amount of paper money to mark a considerable symbol, whereas paper money has a considerable purchasing power and gold coins need a lot at once. There is an imbalance between these two needs, and if there are silver coins, it may be able to counteract this situation at all.
This may be the role of silver coins in history, but Shang Wen is too focused on gold to directly ignore the role of silver coins, and it seems that history can no longer bypass the role of silver coins.