4. Monetary policy
"Citizenship, oh, it is because of this power that the development of Rome is limited. Pen ~ Fun ~ Cabinet www.biquge.info I will grant citizenship to the people of Greece, Gaul, and Spain, and yet the voices of opposition are so annoying. ”
In early autumn, Caesar came out of the white nave of the Senate under a clear sky, and many of his policies were hampered, one of which was the granting of citizenship to people outside Italy. Caesar's original intention was to create a new Rome, a vast and hegemonic Rome, and the opposition of the old powers was like the cry of flies, filling Caesar's ears every day. At this time, Apis, who was already Caesar's right-hand man, had even been promoted by Caesar to the senate, and was also involved in the formulation and reform of these policies, and saw first-hand how the senators in the hall stubbornly resisted this proposal, and Octavian's plan to reorganize the senate had not yet been fully implemented, which also required a process. Caesar had to do many things himself, which inevitably made the giant feel irritated and tired.
"This matter should probably be put aside, if it's too much of a hindrance."
Apis reassured that Caesar's ideas were extremely avant-garde for the Romans of this era, and that every new trend of thought had to go through such a painful period before it was accepted by society. Perhaps the people of Rome never imagined that a few hundred years later, the Germanic people, whom they called barbarians, would infiltrate every corner of their lives, including legions......
"Well, there's something I want to ask you, Appis."
Caesar said, under the protection of the guards, and walked into Pompey's mansion, which had been Caesar's office since Pompey's death, because it was also in such a unique location, where you could just overlook the entire city of Rome, and you didn't have to worry about the dark Assassins going into the courtyard of the house, because the mansion was surrounded by a wide lawn and not even sheltered by trees.
"What's the matter?"
"Under the new order, the interest rate on the loan is more than you think is appropriate, I had conceived of twelve points (12 out of 100), but since Rome has not been stable lately, and the number of casualties caused by usury has been rising, perhaps we should lower this rate. But the rules can't be too low, otherwise, those aristocrats who live by lending money will make trouble again. ”
Financial Reform ...... Well, this is not a reform in general, but to stabilize the financial order, during the civil war, these private loans are not controlled, many wealthy knights and nobles lend to the poor and merchants in need of funds, the interest rate is very high, and when the other party is unable to repay, they will kidnap their families, sell his wife and daughter, and sell the borrower as slaves, etc., such a phenomenon exists for a short time and does not have great social harm, but if it exists for a long time, it will give rise to many thorny social problems, The assets of the commoners will accelerate the flow to the aristocratic class, and the commoners will work for a long time, but all the wealth will be obtained by the nobles, and over time, the flames of riots will become more and more existing, so Caesar cannot ignore this phenomenon. But as he himself said, imposing a fixed interest rate will only lead to the dissatisfaction of lenders, so it should not be too harsh.
By and large, the hardships of the road to reform are known only to those in charge.
"Six to seven points, Caesar, this is what the civilian population can afford, and we must remove the inflationary ...... since the outbreak of the civil war."
Appis replied, and at the same time, Caesar's face showed a look of bewilderment.
"Inflation?"
……
"It means that because of the civil war, prices in Rome have actually risen, and we now have a lot more money than we did two years ago, and under such standards, the interest rate is not accurate, and I mean that if you want to set the interest rate for lending, you must use the price standard of two years ago, and the price before the outbreak of the civil war shall prevail."
Appis shrugged his shoulders and replied. Caesar's lips showed a satisfied smile. Obviously, no matter how powerful a great man is, there are times when some details are overlooked.
"I've heard that you've recently been in the business of guaranteeing citizens, and that's how you measure their debts?"
Caesar then asked. Obviously, nothing can be hidden from him, and Appis also confirmed his original judgment at this time, before entering the circle of interests of the Julius family, any hoarding of wealth is meaningless, because one day, someone will ask for you. Unless you have enough allies in the Senate, which Appis apparently doesn't have, so becoming Seville's son-in-law makes a lot easier.
"Yes, the upper limit is that standard."
Appis replied respectfully and honestly.
"Okay, it's up to you to deal with this matter and find a way to silence the voices of those nobles."
……
Caesar's order on the spot left Apis a little speechless, but he still had to accept it. Although this task is somewhat daunting. There is also a hush money if necessary.
"By the way, Octavian suggested to me a few days ago that the unemployment rate of the current civilian population should be reduced through the construction of large public facilities, do you think this plan is feasible?"
From Caesar's entry into the hall to the present, there is not a moment when his thinking stops, he keeps throwing questions, and at this time, Apis can already feel that Caesar attaches great importance to his own advice when there are plans and suggestions for the construction of Rome, in other words, he has become Caesar's colleague, and Antony, Lepida, and Fabius are in the same position. And these people had already become candidates for various official positions in Rome in the coming year. I just don't know what kind of position Caesar will give to him.
"Well, if it were me, I would agree with this plan, but it should be implemented more carefully, after all, it involves the issuance of new coinage from the Mint, Rome has just recovered from the throes of the civil war, and at this moment, it is necessary to maintain the stability of prices, which is related to the lives of the common people, and cannot be hastily implemented. Therefore, to mint new money to pay the salaries of the common people, and to buy all kinds of goods, it is necessary to not let the amount of money increase exceed the socially acceptable range, three points per year, I think. Caesar, I mean first calculate the number of points that will fluctuate prices, then decide the amount of money to be added, and finally determine how many large public facilities can be built. ”
After Caesar asked, Apis blurted out his thoughts, which in later generations were government investment in basic economics, well, one of the three carriages of economic growth, and it involved inflation. Therefore, loose monetary policy must take into account that the level of price growth within a certain range cannot be too high, otherwise, it will have a destabilizing impact on society. The problem that Rome was facing at this time was that the unemployment rate of the people remained high, Octavian's proposal to increase public construction, and Apis's proposal was to first measure the inflation rate that could be brought about by loose monetary policy, and then use this figure to deduce the number of large public facilities that could be built at this time.