Sinzheng, South Korea.

"Prime Minister, I don't know if the Qin State has taken some measures against the Chu State's practice of issuing a large number of shares?" As an economics professor, Yang Pu thought it was necessary for him to make a certain contribution to South Korea's economic development, so he decided to visit Prime Minister Zhang Liang and put forward some of his economic views.

"This. Qinguo Bank only asked for interest rate cuts and RRR cuts, and we have already done so. The effect is not too good, and the market is still worried about the negative news of the issuance of a large number of shares in the Chu market. Zhang Liang said helplessly. Although the South Korean government has taken some measures to cut the reserve requirement ratio and interest rates in advance, the actual effect is not very obvious, and the market is still worried about the behavior of the Chu market.

"Hmm. If this is the case, is it possible to alleviate such a situation simply by increasing the liquidity of the market? Yang Pu asked.

"This. It should be the case, the current market funds are not very sufficient, especially after the current spring, there will be more and more construction activities, a large amount of funds began to enter the real economy, the development of the actual economy has occupied a large number of market funds, and the demand for funds will be more and more. However, if the stock market falls, it will also have a great impact on the real economy, after all, a large number of companies rely on selling stocks to relieve their financial constraints, and if the stock market falls on a large scale, companies will not get funds from the stock market, in that case, the situation will have a great impact on our Korean economy, and the situation is still very bad. Zhang Liang said.

"Hmm. If that's the case, I have a suggestion, I don't know if it's appropriate. Yang Pu said at this time.

"What advice? Mr. Professor. Zhang Haoqi asked.

"My idea is that at present, we rely on the Qin paper money system to maintain, but the paper money produced by the Qin paper money system has been severely restricted, and although we have also issued paper money in South Korea, the paper money is still linked to gold. In this way, in fact, the issuance of Korean banknotes is still difficult. Yang Pu said.

"In this way, it is very difficult to fund in the market. With the increase in the demand for funds by enterprises, the liquidity of funds has become smaller, and there are quite a few trading companies in South Korea that also need a large amount of capital to flow. For example, banks, trading companies, etc. Their way of money is not paper money, it may be gold, gold coins, etc. I wonder if we should restore the characteristics of metal money, that is, why don't we use these gold reserves to raise the price of gold by issuing metal money, which we currently hold in South Korea. In this way, the circulation of paper money and gold metal currency can greatly alleviate the demand for funds in the market. Yang Pu said.

"Issuing metal currency?" Zhang Haohao asked curiously.

"Yes, this is the only way to alleviate the current demand for funds in the market, but this will have a certain impact on paper money." Yang Pu said.

"There is a hedging process between metal money and paper money. This needs to be handled very well, which is a very mature idea. Yang Pu said.

"Mr. Professor, tell me what you think, or we can find a solution." Zhang Liang said at this time. Zhang Liang believes that the issuance of metal currency may be a good way, after all, metal currency and paper money are two different concepts, the current market needs a large amount of money to circulate, although paper money has many benefits, but this advantage is that they can issue more paper money, but this requires a certain amount of gold reserves to carry out, and at this time the use of metal currency, may not be very good circulation performance, the use of metal currency, may mean the impact of the paper money system that has been established with great difficulty, This has had a great impact on South Korea, and Zhang Liang has to consider this impact. After all, after such a thing happens, it means the disintegration of the paper money system.

"At present, we need a lot of money, but the South Korean government cannot blindly issue more banknotes, which will have a great impact on the Korean economy, especially the paper money system. This is not good for the lives of us Koreans. But we need money, what to do, we can issue two coexisting monetary systems, one is paper money, the other is metal money. The coexistence of the two systems is of great benefit to us. Because the two systems can provide us with ample funds to develop our own economy. Yang Pu said.

"We need money, and metal money can provide us with that much money. It's a great option. Yang Pu said.

"Hmm. I see what you mean. In other words, it may be that the current immaturity of our monetary system, especially the paper money system, makes it unlikely that we will issue more paper money to meet the demand in the market, because there is a certain relationship between gold reserves, but if we issue metal money, we can meet our such needs, and at the same time reduce the pressure on the paper money system, and the coexistence of the two systems is actually a very favorable situation for South Korea, right? Zhang Liang said.

"Yes, Prime Minister, that's basically what I think." Yang Pu said.

"Hmm. Very good. Zhang Liang nodded. The paper money system has many advantages, but the current situation is that metal money is in the process of transforming into a paper money system, and the Qin state may go very fast, they are converted to paper money through bonds, and metal money is withdrawn. However, this does not mean that metal money has withdrawn from the stage of history, on the contrary, in many places outside the Qin State, metal money is still used, so that the coexistence of paper money and metal money, such a situation may be unfavorable, because paper money can not expand its own influence, in this case, it is necessary to restore the use of some metal money. Because there is a large correlation between the two, in this case, the value of metal money exists. At the same time, the existence of two monetary systems can greatly meet the financial needs of various countries, which is a kind of colonial expansion. Zhang Liang began to ponder the benefits of the existence of the two monetary systems. This requires him to solve such a difficult problem in a very relational way. Is it a single system, or is it a combination of both? Zhang Liang thought about this question carefully.