On Christmas Eve, the new cabinet Kiichi Miyazawa summoned the major leaders of the neon financial community.

Discussions on measures to improve the bubble economy can only be said to be less than half the success.

Does the Cabinet of the Neon Government and the Ministry of Finance know that the bubble is bursting?

Of course, I know that even the spearhead who led the burst of the bubble was the Bank of Japan's Mie Yeyasu.

From the beginning of the year to the end of the year, the stock market fell twice in a row, which is a sign that the bubble is bursting.

However, in the face of the bursting of the bubble, opinions within the government are divided.

The Ministry of Finance, led by Haneda, believes that it is only the stock market that has been destroyed.

Although the neon property market has fallen a lot in the past two months, from the perspective of historical data, land prices are still at a high level.

Even the property tax, which was originally expected to be enacted in January, was decided by the Ministry of Finance to continue to implement as originally planned.

And the cabinet, no, to be precise, Kiichi Miyazawa himself.

He believes that the bursting of the neon economic bubble is not the focus, but the property market and land.

No one can predict how neon's land prices will move in the future, but Miyazawa firmly believes that falling too quickly will deal a fatal blow to the neon credit system.

And if the bank's non-performing loans continue to deteriorate, the property market will usher in a major collapse.

Now the turning point of the property market has appeared, so when the situation has not developed to the point of being out of control.

Only by addressing the root cause of the problem as soon as possible can neon move from the decline after the bubble burst to the recovery stage in time.

Yes, even if Kiichi Miyazawa is aware of the precarious situation of the property market and has made a series of efforts to achieve this.

But pessimistic he still believes that even if the bubble achieves a soft landing, neon will still enter a period of recession.

What I am doing now is just to shorten the recession period as much as possible and put Neon on the right track of recovery as soon as possible.

That's why there was this Christmas Eve meeting, and there were three resolutions, the first two of which were temporary emergency measures.

One is the special financing plan for the stock market, which is the last resort to ensure that the credit system does not collapse.

One is the compensation plan for securities companies, which is a response to a series of financial scandals in the outside world, which can be regarded as an explanation to the public.

In addition, compensation for industrial companies can also play a role in maintaining stability.

What Neon needs most now is stability, not GDP, industrial value-added and other data.

The last one, led by the government, is to support real estate companies, which is to solve the problem of potential non-performing loans of banks.

Unlike the other two resolutions, it is a long-term measure and the most fundamental solution to the problem.

A proprietary agency set up by the government takes over the land, which controls the amount and price of land listed for sale in the market.

To put it simply, the land is temporarily nationalized, and then the land will be gradually released over a period of several years or more than a decade.

In this way, although the price of the property market is falling, at least it is not a disorderly fall, not an avalanche-like fall.

However, the government alone will certainly not be able to solve the massive amount of funds of tens of trillions of yen and $300 billion.

That's why it is necessary for the major neon banks to work together to put the land next.

However, neither the banks, nor the financial sector, nor the Ministry of Finance approve of such a plan.

They believe that although the price of land has fallen, the real estate company is still making money.

If the real estate company is profitable, then the bank loan will not be bad.

Banks are safe and sound, so why invest huge sums of money to buy real estate companies?

Logically this is fine, but it only follows that the price of land does not collapse.

It can be said that both banks and the Ministry of Finance and other sectors are betting that the land price of neon will not plummet.

It's a pity that under such an idea, Miyazawa's action to invest state funds to save the property market was not realized after all.

This is Neon's last chance to save itself after the bubble bursts.

Now it has disappeared into a quiet night with many objections.

…

The Miyazawa Cabinet, which came to power at the end of the 90s, finally made a public response to the Hayama incident and a series of turmoil in the neon economy.

In the run-up to the press conference in Tokyo, Miyazawa had wanted to go his own way, publicly promising to invest in state relief money to save the neon economy.

However, his plan frightened his personal secretary Nakajima, so under urgent coordination, Nakajima secretly handed several notes to Miyazawa in succession.

This is the so-called "current operational policy" that the Ministry of Finance has come up with, and it has agreed to discuss the establishment of an exclusive institution.

But there is no mention of investing state funds, in other words, putting the problem on the shelf, leaving the problem for the future.

Because of the strong opposition of the surrounding personnel, Miyazawa himself was a little shaken at the last moment.

So in the face of reporters, he only came up with the first two resolutions, which are the so-called "business plan".

As for the idea of establishing an exclusive agency, it was reduced to only one sentence in the end.

"If necessary, we will not hesitate to invest in state funds for relief."

Relief what? Relief stock market or property market, Miyazawa did not say after all.

Because a series of compensatory measures were announced, as well as a determination to rescue the stock market.

The Nikkei, which has been hovering around 15,000 yen, has finally begun to slowly rise back to around 18,000.

However, the next move of the Ministry of Finance has once again caused controversy.

Previously, there was a double standard in the promise that the securities company would compensate the industrial company.

On the last day of the end of the 90s, Nippon Commerce suddenly broke out a compensation list led by the Ministry of Finance.

Without exception, all of them are registered as Toyota, Nissan, NTT, Mitsubishi Heavy Industries, Sumitomo Electric and other super-first-class companies.

In other words, the compensation of 120 billion yen is only for large companies, and small companies do not appear on the list at all.

Such a blatant double-standard practice not only collectively condemned small enterprises, but also critics of the time also violently sprayed the Ministry of Finance.

However, in the face of criticism from the outside world, the Ministry of Finance simply pretended to be dead and did not reply to anything.

Such an arrogant and irresponsible approach further exacerbates the public's distrust of it.

…

On January 1, time entered 91 years.

This day is not only the New Year, but also the day when the property tax is officially implemented.

The year-end holidays are supposed to be a time to celebrate the New Year, but the skies in Tokyo are clouded.

People in the metropolis, especially those who have more than one property to their name, are watching the trend of house prices after the new year.

finally survived the New Year's holiday, and on January 4, the doors of major intermediaries were crowded with people.

Everyone is here to sell their houses, and if you don't sell them in taxes of several million yen a year, the income of ordinary families in a year will be in vain.

This is only the choice of the people, and those real estate companies have also begun to sell en masse.

Most of the plots that began to decline sharply were located in Chuo-ku, Minato-ku, and Chiyoda Ward.

Because this is a prime location in the whole of Tokyo, most institutions buy land here for speculation.

Even in the past, the frequency of land transactions in these areas is much higher than in other regions.

So on January 4 alone, land prices in the core area fell by 6%.

But is that the end of it? The market is blindly followed, and the market is panicked.

When the property market is flooded with a large number of land listed for sale, a plunge is almost doomed.

It fell by 13% in January, and the recovery of the property market that the people were looking forward to did not come.

It fell by 18% in February, and the recovery of the property market that the people were looking forward to still did not come.

20% in March and 29% in April

In just a few months, neon land prices have returned to around '87.

It seems that land prices are still at a high level compared to 85 years ago.

However, in the three or four years from '87 to '90, the asset returns brought by the two-fold or three-fold increase of land were all lost.

What's more, many families, real estate companies, and institutions took over the land during the craziest period of 88 to 90.

Now that the price of land is back in '87, they are saddled with loans that are more than double the value of the land.

…

May, Akasaka, Toranomon Building.

As the busiest part of Minato, Toranomon Tower is also a landmark here.

However, just like the prosperity of Minato, the rooftop of Toranomon Building is also very lively today.

"Squeak~" The iron door on the rooftop, which is not often opened, ushered in a guest again.

Matsui, who was in a gloomy mood, had just stepped onto the rooftop when he was stunned by the sight in front of him.

"Hey, you're going to have to line up if you're late."

A middle-aged man who ripped off his suit and didn't know where to throw his tie looked at the newcomer on the rooftop with a cigarette in his hand.

"Huh?" Matsui glanced at the rooftop, and he hadn't reacted until now, how could there be so many people on the roof of the building that was usually inaccessible.

"Hey, talk about you." The middle-aged man's voice came from afar again.

"Me?" Matsui pointed to himself uncertainly.

"Come here," the middle-aged man beckoned to him with his hand holding a cigarette.

Matsui, who was strange in his heart, didn't want to pay attention to him at first, but when he thought about it, it didn't seem to matter.

With a smile in his heart, Matsui walked over seemingly calmly.

"Which company?" The middle-aged man stepped on the edge of the roof with one foot, his arms and knees, as if he were an old friend.

"Xiuhe Real Estate" faced this middle-aged man for some reason, and Matsui's originally nervous mood unconsciously relaxed.

"Xiuhe," the middle-aged man sighed inexplicably.

"You guys are going to fall miserably this time, I heard that several pieces of land in the port area were just acquired in the middle of last year?"

"Hay" Matsui replied, and he couldn't help but sigh.

In the middle of last year, it was the time when land prices were at their highest.

Who would have thought that in just one year, the popular plot that was previously robbed by everyone.

Not only have prices been cut in half, but no one is paying attention.

"Your president, where's that guy on the mountain?" The middle-aged man seemed to know Hidewa very well, and he naturally inquired about the president of this real estate.

Hearing the other party mention his president, Matsui suddenly fell silent.

His gaze unconsciously moved away from the middle-aged man, and instead looked at the streets of the port area a few hundred meters below him.

"It's already going down." The middle-aged man nodded in dismay.

"It's too much for this guy to even ask me to take the lead in this kind of thing."

The indignant middle-aged man threw the short cigarette butt on the ground and crushed it with his foot.

"Senpai, you..." Matsui's words were not finished.

Suddenly, another man in a suit not far away shouted loudly, and then jumped down without looking back.

Matsui stared at the place where the man had just disappeared, a little at a loss.

The figure was gone, but the shouts seemed to echo in the air, knocking on Matsui's chest.

(End of chapter)