Banks are not good houses, bankers are not good deeds, and of course they cannot tolerate the arrogance of speculators. For this reason, at the National Financial Work Conference, many bankers united to petition the central bank, hoping that the central bank would adjust the official gold-silver ratio in a timely manner and block the arbitrage space for speculators.

Roland understood the bankers' indignation, but he also explicitly rejected the request to adjust the gold and silver ratio in front of everyone. There are two main reasons, first of all, the 1:10 ratio of gold and silver has long become a tradition that the public is accustomed to, and the sudden adjustment of the price comparison is tantamount to announcing to the public that gold is depreciating, which will inevitably cause panic among the people, and as a result, it will inevitably attract more people to join the ranks of selling gold and running on silver, which will not only fail to maintain the stability of the gold and silver ratio, but will cause wider financial turmoil. Although the currency is neutral in the long run, and gold and silver coins will one day automatically return to a reasonable ratio, this turmoil is bound to cause a lot of unnecessary losses and cause heavy damage to the national economy. Secondly, under the current standard system, gold and silver are destined to be a pair of irreconcilable contradictions, the official price comparison will always lag behind the market price, as long as gold and silver are parallel to the market, there must be arbitrage space, today the gold and silver price is changed to 1:9, if tomorrow silver suddenly depreciates, is it necessary to adjust the price ratio to 1:11? When will it be a head after such a tossing and turning? Can the central bank still have a stable life?

Bankers advocated adjusting the price of gold and silver, just like adding more water to the noodles and adding more water to the noodles, which can only treat the symptoms but not the root cause, and it is not a long-term solution after all, and there is only one way to completely solve the contradiction between the pricing of gold and silver - to expel one of them from the market and permanently abolish its monetary status from the law.

That's what Roland thinks and is doing. But he did not say it explicitly at the financial work conference, but only hinted to the commercial bankers attending the meeting, asking them to hold on a little longer, and in a month at most, the crisis of silver outflow would be alleviated.

"You follow the baton of the central bank, although you may feel at a loss now by opening the door to satisfy those speculators who arbitrage silver, but I am here to assure you that in a month at most, you will come to the bitter end, and earn back all the current losses with interest, as for those speculators who pretend to be smart......" Roland sneered, with murderous anger in his eyes, "I will teach them how to write the word 'regret'." ”

Roland's words echoed in the venue, as if one stone stirred up a thousand waves, which immediately made the participants excited, and automatically made up the hints of His Royal Highness the Prince into "Follow Lao Tzu, you can't suffer"!

Since the founding of the Far East, all the bankers here have witnessed the development and growth of the central bank from scratch. During this period, there were also people who tried to challenge the authority of the central bank because of their wealth and wealth, but they were all hit hard without exception and ended up in disgrace.

In view of the ironclad lessons of history, all the financial tycoons present were full of confidence in the central bank, and at the ensuing discussion, none of them spoke against the tone and expressed their loyalty to Roland at the risk of huge losses.

Theoretically speaking, the central bank and commercial banks are not a subordinate relationship, the central bank can give each other policy advice and supervision, but has no right to meddle in the specific operation of commercial banks, the implementation of the central financial and monetary policy depends on whether the commercial banks are willing to cooperate, Roland has a clear understanding of this. Holding a financial work conference is like mobilizing before the war, and only by uniting as one can we win the war.

The meeting was a success. Before the meeting, Roland thanked everyone for their support of the central bank's work as usual, and concluded with this sentence: "Time will tell." ”

Time will tell?

What does that mean exactly?

The bankers who attended the meeting all guessed in their minds what Roland meant. The mystery of finance lies in the word "intertemporal", and there are no fools who are qualified to sit in this conference hall, and the financial tycoons soon reached a tacit consensus.

At the end of the meeting, it was late at night on March 7, and the bankers were physically tired but extremely excited, and as soon as they left the venue, they took out the "magic guide intercom" one after another, and informed their bank managers to cancel the restrictions on the exchange of silver coins, adjust the short-term loan term to one month, and add two clauses to the loan contract: the loan must be repaid in gold after maturity; Prepayment is subject to a service charge.

Of course, the bigwigs knew how speculators played, and emphasizing the use of gold coins to repay loans seemed to be a recipe for the snake, but their intuition told them that a violent storm was brewing in the dark, and the only way to cross the storm belt safely was to follow closely behind His Royal Highness the Prince.

The day after the end of the financial work conference, the front page of the "Motherland Daily" published an article entitled "The Fatal Hidden Danger of the Monetary System," pointing out the dangerous signs of the imbalance between gold and silver in the Far East today, and analyzing in detail the various consequences caused by fluctuations in the price of gold and silver and the potential harm to the national economy.

In this sensational article, the author uses concise and rigorous mathematical tools to demonstrate that there is a fatal hidden danger in the "double standard" monetary system: the inability of the gold-silver exchange to maintain long-term stability in the real environment, which will bring unpredictable risks to economic activity, and in order to eliminate volatility, the double standard system must be abolished, and either gold or silver can be chosen.

Gold obviously has a higher credit profile than silver, but the author acknowledges that abolishing silver thalers outright is not a safe bet. For example, now that the government has announced that silver thalers are out of circulation, silver coins must be exchanged for gold or copper coins at banks, but a person has only 9 silver thalers, which is not enough to exchange for even 1 gold thaler, and it would be too cumbersome to exchange them for copper thalers. The prevalence of such a situation will inevitably lead to errors in the exchange process and boiling public resentment.

In addition, nearly 200 million silver thalers were withdrawn from circulation at once, and the vacant liquidity could only be filled by gold and copper coins, and the gold and copper coins that have been issued in the Far East obviously cannot make up for this huge gap, not to mention that there may not be enough gold and copper in the treasury for the issuance of new coins, even if the reserves are abundant, coinage will also require a lot of time and cost, during this period there is a serious shortage of domestic currency, and for the national economy, the negative impact of deflation is even more terrible than inflation.