Chapter 394: War suspicions, Chinese capital flight
readx; Because the population of the Chinese Empire has reached 600 million, and the quality of the people has generally improved, the national financial resources have also continued to develop, so that domestic consumption has become very strong. Pen | fun | pavilion www. biquge。 info
As far as electrical appliances are concerned, although the United States is more popular than the Chinese Empire in many electrical appliances, the Chinese Empire overwhelms the United States with its population, and the total sales of electrical appliances in the interior are still higher than those of the United States.
Moreover, the wealth of the Chinese Empire was the most equitable among the countries of the world, and although most of the wealth was seized by the East China Group, this wealth was used for its citizens.
In any country, there are some groups that have become rich first and some groups that have not yet become rich, and this has caused contradictions.
And this contradiction is also the driving force for the whole society to move forward, and the groups that have not become rich also want to be rich, so they will work hard.
If the gap between the rich and the poor within a country is so large that it cannot be overtaken, or if the poor groups see no hope of getting rich under cruel exploitation, then it will cause violent social contradictions.
At present, there are social contradictions in the Chinese Empire, but they are very minor, and they are very appropriate, and the people who have not yet become rich can see hope when they open their eyes, so they work hard towards this hope.
However, there are also disadvantages, too balanced wealth distribution is not sustainable, because the people have good welfare, and when they are rich to a certain extent, they feel that everyone is almost the same, and it doesn't matter whether they work or not, they can get by.
At this time, the Chinese Empire was able to develop rapidly because the infrastructure was still very weak, and the people were generally not wealthy before.
The main manifestation is that there is no house, no car, no appliances.
But the wealthy group has a house, and the other groups also have a house, so they work hard. When the wealthy group is the first to have a car, the other groups also have a car, so they work hard. When the wealthy group has a lot of electrical appliances, other groups also have a lot of appliances, so they work hard.
You have, I don't, that's the contradiction.
When there are houses, cars, and electrical appliances, and they are universally owned, how can new contradictions be created?
Let the people buy airplanes universally?
This seems unrealistic, after all, not all citizens need airplanes, just have a car, why buy an airplane? There is no real need for this.
At this time, the market is saturated, because the people have no need, they already have most of the necessities of life.
Therefore, at this time, it is necessary to deprive the people of their wealth and fight wars, and when there is an enemy, a very strong war potential can be exploded in this mode.
If you defeat the enemy, you will get the benefits.
When there is no enemy to fight, you can invest resources in the movement to transform nature, although a certain amount of resources is wasted, but after transforming nature, you can also get benefits.
At this time, the overdraft consumption development model of the Chinese Empire can be maintained as long as there is the support of domestic demand, but domestic demand cannot be strong forever, once there is no domestic demand support, it will cause a large backlog of products, and economic collapse is inevitable.
This is also why the political axes of later generations also followed the Yankees and shouted all day long to stimulate domestic demand, but the effect was obviously not very good, after all, the national conditions were different from those of the United States.
The economic development momentum of the United States in 1927 was not bad, but there was already a product squeeze in individual industries, but the scale was not large enough to shake the overall situation.
In the Chinese Empire, in 1927 there was almost no product squeeze, the domestic demand of the empire was very strong, and various industries were crazy about production.
Among them, the construction industry, automobile manufacturing industry, and electrical appliance manufacturing industry are the three pillar industries, and at the same time, it has driven the rapid development of petroleum industry, metallurgical industry, glass manufacturing industry, leather industry and other industries.
However, in some industries, it is still similar to before the stimulus economy, because there is so much domestic demand, and it is impossible for companies to produce like crazy without much increase in demand.
The empire has issued a set of policies for those industries that have product squeezes, that is, once this problem occurs in a certain industry, it will immediately impose mandatory restrictions on production of manufacturers in that industry.
This policy is mainly aimed at those industries that cannot enhance the war potential, and those industries that can enhance the war potential, the empire does not restrict, even if it squeezes a large number of products The empire does not care, and waits for a large number of bankruptcies in the industry.
During this period, the empire quickly improved its financial system, and the East China Group set up a large number of self-banks to make housing loans, while the East China Bank was hidden behind the scenes, although it also carried out a large amount of storage business, but did not lend to the outside world.
The end result of those sub-banks was to collapse in the Great Depression, and the assets were received in the name of these banks.
As for the question of depositors' money after the collapse of the bank, the empire created a special insurance bank to pay depositors' money.
In fact, these actions are just to package the East China Bank, so that the people will not point the finger at the East China Bank in the event of an economic depression.
If the Bank of East China had gone to collect its debts during the Great Depression, its reputation would have been greatly affected.
And a large number of banks that do not know who opened them to collect debts, the people will not be able to contact the East China Bank, and then it will be enough to control public opinion, and the Yankees can bear this black pot.
After all, not everyone understands the economy, and the vast majority of the people do not understand the operation process of the bank, as long as the mainstream public opinion is controlled, even if there are people who know and people around them, but the effect is not great.
But there will come a time when most of the people will know, just as the "Occupy Wall Street" mass demonstrations appeared in the United States in later generations.
In the twenty-first century, there are more than a million awakened groups around the world, and the international capitalists in the United States are no longer so comfortable suppressing facts and truth.
And in the first half of the twentieth century, people in any country were actually very fooled, and few people knew about the operation of the bank. China has never experienced such a Great Depression before, so the people generally do not understand it, and not one in 10,000 people knows about it.
Xia Jun asked Huadong Bank to set up a large number of foreskin sub-banks to lend money, mainly in order not to set himself on fire.
After all, he is the head of the empire and the sole owner of the East China Group, once the people find out that most of the wealth of the entire country has been taken away by the East China Bank, it will inevitably affect his point income.
Therefore, Xia Jun should avoid setting himself on fire.
If the economy is not done well, it will be infamy.
…… In 1928, the Chinese Empire intensified its investigation of the U.S. economy, and the total assets invested by the Chinese Empire in the United States by this time had reached nearly one billion dollars.
In 1928, the top brass of the Chinese Empire knew that the U.S. economy would not last long, because in 1928 a large number of industries with commodity squeezes emerged in the United States.
The fact that commodities cannot be squeezed and sold shows that domestic demand in the United States is coming to an end.
Once there is no support from domestic demand, the investment boom will not be able to support, and the stock prices of the US stock market have reached a certain level, and the bubble is already very large.
If the U.S. economy collapses, the three billion dollars invested by the Chinese empire will depreciate rapidly, and may be worth a billion dollars, but less than 100 million after the Great Depression.
At the same time, the total assets of the Chinese Empire's overseas investments have reached nearly $3.5 billion.
The collapse of the US economy will quickly spread to most of the capitalist countries in the world.
The 3.5 billion overseas assets of the Chinese Empire must be considered.
These assets are sold, and it is easy to get them back after the war. And many assets will inevitably be seized in wartime.
According to the original history, the American economy collapsed in October 1929, but now that history has changed, who knows if the collapse will not be sooner.
Therefore, for the sake of insurance, the Chinese Empire began to gradually sell overseas assets from the beginning of 1928.
At this time, the economies of the United States, Britain, France and Germany were in a good state, and the United States was the most prosperous.
The value of these industries sold by the Chinese Empire was very high at this time.
For example, China's KFC in the United States swept the whole United States and was the most profitable restaurant chain in the United States during the boom period.
In other words, in 30 years, I will be able to take back the brand and buy these stores back.
Some, such as mines and land, are sold directly.
The Huaxia Society began to operate, and those Chinese operators who made a living overseas also began to sell their own industries, returning home with money.
As a group of Chinese took the lead in withdrawing funds to return to China, other Chinese began to speculate whether war was about to break out, and also followed with the evacuation of funds to return to China.
At this time, the U.S. economy was booming, and these assets were easy to sell, and the price was relatively high.
In order to cope with the impending Great Depression, the Chinese Empire included all the industries that were purely profitable in the list of sales, and was ready to sell all the overseas assets on the list in the first half of 1929 and withdraw the funds back to China.
Chinese capital has been withdrawn from various countries, Britain and the United States and other countries have attached great importance to it, and several political axes have also speculated about the intentions of the Chinese Empire.
Evacuating capital is generally an act done before a war is launched.
Combined with the Chinese Empire's plan to build a navy by 1930 that could rival the British and Americans, it does look like a war.
As for the flight of Chinese capital, Britain and the United States cannot stop it.
After all, this is normal business practice, and the United States also has some capital presence in China.
With the first batch of Chinese to withdraw capital and return to China, Chinese around the world have also sold their overseas assets, withdrawn funds, and then returned to their homeland.
At present, the Chinese Empire has set off an unprecedented investment boom, which is also a major reason for attracting overseas Chinese to simply withdraw capital and return to China.
In addition to Australia, Chinese people from other regions have left for China.
The Chinese in Australia are firmly rooted in Australia.
Many of the Chinese Empire's assets in Australia have not been sold, especially those mines, which are still being mined normally, and the ore is being shipped to China normally.
(To be continued)