Prime Minister Wang Hao didn't feel good at this time, after all, he and Cai Jing had different political views, and they were incompatible, only to see that Cai Jing was favored in the current court, and his two sons were named and praised by the emperor, so he was even more jealous and bad in his heart, and tried to control his emotions, and after pondering for a while, he took the initiative to stand up and say: Your Majesty, just now Cai Taibao explained in detail the purchase system of the imperial court, and the lower officials want to briefly report on the buying system in the imperial court procurement and the current financial institutions of the imperial court.

For the prime minister Wang Huang is actually the earliest I was also very disgusted, since I was the prince, in front of the old man instigated, let the third child come out and compete with me for the crown prince, fortunately, under the activities of Liang Shicheng and others, the old man did not listen to Wang Huang, and then he slandered again, and Zhu Mian and others colluded to restart Huashigang, resulting in the persecution of the people in the southeast again, so that many people were ruined, and the people's grievances were boiling. In addition, Wang Hao embezzled nine-tenths of the money and goods offered in the southeast in the name of Huashigang, and only one-tenth of them were offered to the imperial court. And after communicating with him last time, I can understand his environment and difficulties to some extent, to be honest, many of them are the problems of the old man, who is a family member, and the ministers below are in order to compete for favor, and then there are factional disputes and greed for ink It is also somewhat understandable, after all, no one's ass is clean. After all, the current financial difficulties of the imperial court are also difficult, and they are facing a lot of reforms, which requires money everywhere, which is also spending money to buy peace, I hope he will seriously reflect on it in the future, change the past, and become a minister again, and contribute to the development and prosperity of my Great Song Dynasty.

After all, Wang Hao and Cai Jing often changed powers during the old man's reign, and it is indeed a good thing for me to listen to different opinions and opinions. Immediately, Wang Hao's spirit was like a chicken's blood, and he began to say loudly: There are generally two ways to purchase the consumption of the imperial court and the Beijing division, such as grain, cloth, office utensils, etc., one is that the relevant ministries of the imperial court directly purchase the consumer goods needed by the merchants, and the other is to call merchants to buy, that is, to contract the consumer goods that the imperial court needs to purchase to the merchants through bidding.

The introduction of the buy-and-flutter mechanism in the imperial court procurement can save procurement costs, because the principle of bidding in the imperial court procurement is different from the principle of the right to operate the auction shop. To put it simply, the auction management right is a free offer, and the highest price is obtained, and the contracted court procurement is also a free offer, but the lower price is obtained. The most recent example is about the construction of the city wall, and it costs more than 1 million new bricks, through the bidding from the buyers to the kilns, the kilns in the following two counties responded, and the cost is only about half of the normal market quotation. There are many examples, and the officials will not list them one by one. The next is the setting of financial institutions in the imperial court, which currently includes convenient money affairs, goods affairs, banknote buying offices (fields), arrival offices, regular closing positions (Qingmiao money), Shiyi Division (affairs), internal treasury and so on.

The City Yi Division was founded during the Xining Law Change, and has jurisdiction over the Beijing Division and the local city of Yi Affairs. Among them, there are three functions of the Jingshi City Yiwu, one of which is a large trading company of the government, which intervenes in the market when there is a major fluctuation in the price of substances in the market, so that its price can return to a normal level. The second is the issuance of bills of exchange, and the third is the following pawn office, which provides mortgage loans and guaranteed loans to merchants in all states, prefectures, and counties across the country. The annual interest rate is around 20%. This is mainly for industry and commerce, so the common people privately call it an industrial and commercial bank.

Originally, the pawn office was an institution responsible for the inventory and management of orphans' property, household property, ownerless goods, disputed property, stolen goods confiscated by the government, and household deposits. Because according to the legislation of the imperial court, the government has the responsibility to verify the property of orphans who have passed away, register them, store them in the inspection and school treasury for safekeeping, and regularly set aside a certain amount of the property in escrow and issue it to the orphans as living expenses, and when the orphans grow up, the government will return the property in escrow to them.

In May of the fourth year of Xining, Wu Anzhi (Wang Anshi's son-in-law), the official of the Kaifeng Prefecture inspection and school library, made a suggestion to the imperial court, saying that the property of orphans and children is stored in the treasury, which will only become less and less, and if it is invested in the capital market, it will be inexhaustible. Emperor Shenzong agreed to this suggestion, and from then on the inspection treasury obtained the legal authorization to use the property it managed on its behalf for lending.

The Jingshi inspection library was originally subordinate to Kaifeng Prefecture, and after getting involved in the lending business, the "inspection school library arrived at the office" was established, and from the fifth year of Xining (1072), it was under the jurisdiction of the Municipal Yi Division. That is to say, at this time, the dual leadership mechanism was implemented, and the Kaifeng Mansion and the City Yi Division were its bosses. In the ninth year of Xining, the financial business of the arrival office was completely under the management of the Municipal Easy Division, and was separated from the inspection and school library, so it was sometimes called "the market easy to arrive". As the name suggests, the main business of the firm is to provide mortgage loans, with an interest rate of roughly 20% per annum. At the same time, the pawn office also accepted deposits, and many government departments in Beijing at that time deposited public funds into the pawn office to earn interest.

The scale of operation of the city is far from being comparable to that of private pawnshops, from Beijing to prefectures and counties, and then to towns, there are business offices of pawnshops. According to an edict issued in the second year of Chongning, all counties with more than 10,000 households, or counties with no 10,000 households but located in important places, must set up arrival offices and appoint full-time officials to manage them.

Generally speaking, it is to concentrate the idle funds of the society (mainly the idle funds of the government departments) through interest-bearing deposits, and then convert a part of the idle funds into the commercial capital of merchants through developed lending outlets.

Changping was originally a grain reserve institution, but during the Xining Reform, the imperial court implemented the Qingmiao Law, using the reserves of Changping to provide small mortgages to farmers, stipulating that the annual interest rate should not exceed 20%, which was mainly for farmers and low-level handicraftsmen, so the people affectionately called it an agricultural money village.

In order to better adapt to the rapid development of economic and trade, to solve the problem of merchants to carry a large number of coins inconvenient, the imperial court in the Tang Dynasty after the introduction of the remittance business of the goods (money), merchants through the Jingshi goods remittance to the local commercial money, the number is quite huge, such as to the road three years (997), the goods absorbed by the merchants of the money is more than 1.7 million guan, the seven years of Dazhong Xiangfu, the people absorbed by the goods will be more than 2.6 million yuan, the five years of Tianxi (1021) is 2.8 million guan.

At the same time, in order to provide convenience for merchants, merchants can deposit money in the local state capital for goods, and they can also withdraw cash when they go to Beijing. The reason why the imperial court was keen to develop the government-run money business was not only because of the market demand for the development of long-distance trade and foreign exchange in other places, but also because of the need for the transfer of government finances, for example, to mobilize the taxes collected by local governments to the central government, or to allocate funds to local places that urgently needed money.

From a businessman's point of view, he paid money in Jingshi (or Liang Goods) and then went to the local place to withdraw money, which was equivalent to remitting a sum of money from Jingshi to the local government. From the government's point of view, the fact that the merchant paid money to the capital and withdrew it to the local government meant that the cash from the local treasury was transferred to the central government. These two processes happen synchronously. In addition, the development of government-run money exchange not only facilitated long-distance trade and settlement in other places for merchants, but also allowed the government to transfer local taxes to Beijing at a low cost.

Because the imperial court implemented the ban system (monopoly system), the government monopolized tea, salt, wine, alum, incense, rhino horn, ivory and other commodities, and merchants wanted to sell the above items, usually they first needed to go to Beijing Shiyu to pay cash or gold and silver, and received a banknote, which was equivalent to a certificate of commodity futures, and then went to the designated place to pick up the goods with the banknote. Sometimes the imperial court is financially tight, but also through the issuance of more banknotes to finance the imperial court, because of the more banknotes, and in fact there are not so many goods, so the people will retain too much money, such banknotes due to the goods can not be withdrawn, many people and the banknotes are resold to sell, because the banknotes have the background of the court, many businessmen will store and buy and sell the banknotes, in order to meet the shortage of goods in the coming year.

In addition, similar to the degree of the degree of the government, it is also a way of financing when the imperial court is financially tight, the degree is the identity of monks, nuns, Taoist priests, and the monks who have the degree issued by the government are the legal monks. Because the monks had the economic privilege of exempting or reducing taxes, the market value was naturally high, and whenever the imperial court needed money, it often printed a batch of empty names (degrees without registering the names of monks) to cover the fiscal deficit. Sometimes, the imperial court also used the degree to pay the merchants for the purchase of daily necessities, and the merchants then took it to the market to sell the degree, so that the degree had its monetary function because of its high value.

All in all, one of the financial functions of the company is to issue negotiable securities such as salt banknotes, tea quotations, alum quotations, incense medicine banknotes, rhino elephant quotations, and empty name degrees, as well as the payment of bills such as convenience money and exchange quotations, and the issuance of paper money and Jiaozi.

In addition, the inner treasury is the strategic reserve of the imperial court, and the daily use of the royal family is taken from the inner treasury, but this part of the expenditure only accounts for a small proportion, and the more important expenditure of the inner treasury is used for the public affairs of the country, including sponsoring military expenditures, sponsoring imperial court procurement, sponsoring national welfare, sponsoring official enterprises, etc., and the inner treasury also holds the right to issue copper coins and currency of the imperial court. The issuing agency of banknotes and negotiable securities is the goods department, and the issuing agency of copper coins is the inner treasury, and the newly minted copper coins of each coin supervisor throughout the country must be nominally deposited in the inner treasury (in fact, of course, all the copper coins of the coin coin supervisors cannot be transported to Beijing, but nominally the right to issue them belongs to the inner treasury), and then the inner treasury is allocated to the financial department (household department) for use. In addition, the Inner Treasury was also in charge of the reserves of gold and silver, and the gold and silver obtained by the government from the pit and metallurgical profits, the gold and silver collected by the merchants and the merchants, and the gold and silver supplied by the local government were all deposited in the Inner Treasury. After obtaining the metal currency (mainly copper coins) allocated by the Inner Treasury of the Household Department, the copper coins were put on the market through the imperial court procurement, salary distribution, disaster relief, etc., and distributed them all over the world. After several rounds of circulation, a part of the copper coins flowed back to the imperial court through government taxes, state monopolies, and market purchases. These copper coins that have been reflowed back should also be sealed in a certain proportion and withdrawn from circulation. From a fiscal point of view, this is reserves, and from a financial point of view, this is a control of money flows to stabilize inflation. Due to the very developed monetary economy and the prosperous commodity economy in China, this market prosperity was largely created by the imperial court through the currency cycle of putting money into the return of money. In the monetary cycle, the treasury undoubtedly acts as a central hub.

In this way, a closed loop of finance has been completely formed, if the imperial court issues too much paper money, there is a depreciation situation, the goods will be issued tea quotations, salt banknotes, empty names and other securities to recover the excess paper money in the market, so as to maintain the stability of the currency market, there will be no serious depreciation and inflation, and if the goods issued by the tea quotation and so on too much, it will also cause the depreciation of the tea quotation, and then the internal treasury will use the reserve to recover the tea quotation, etc., in order to maintain its market stability. The emperor is above the analysis of the current financial institutions and functions of the imperial court.

In surprise Wang Huang can explain the complex and boring financial concept so easy to understand, but also proud of the Song Dynasty has such an advanced financial system, with these foundations in the Great Song Dynasty is not male is really difficult, thinking of this, my heart is overjoyed, and I affirmed to the following Wang Huang: Prime Minister Wang has worked hard, this is much more transparent than the inner servant to explain to me, today I have gained a lot, and at the same time, I have also worked hard for you Aiqing. In view of the current financial constraints of the imperial court, I hope that all of you will go back and think carefully about how to further reform the economy under the existing financial system, so as to make the economy of the Great Song Dynasty develop better, healthier and more stable. As the ebb-tide of the attendants sounded, all the ministers saluted and came out in turn.