Lin Che originally wanted to praise this kid for a few words.

Unexpectedly, this kid turned the topic to the emperor's ass again.

He directly gave Zhu Fan a brain breakdown.

Obviously speechless:

"If you kid can put the energy of not forgetting to shoot the sycophants of today's saint and focus on his homework, I'm afraid he will come up with the right answer yesterday."

Zhu Fan smiled and was ready to be scolded.

However, Lin Che didn't bother to waste his tongue on superfluous things at all.

Continuing with the question just now, I continued.

"The reason why commodity prices do not fluctuate much when the currency value is stable is mainly because of competition."

"Healthy competition can ensure the quality and price of commodities in a stable range."

"This truth, whether it is a businessman who buys and sells, or a businessman who runs a grocery store, can figure it out, as long as it is not a monopoly, the price of goods will not be too outrageous."

Zhu Fan listened as if he understood it.

I pondered for a while.

Zhu Fan carefully said his understanding.

"Sir, do you mean that there are two or three grocery stores on a street?"

"Then the goods in these stores are not only of good quality, but also relatively cheap."

"If there is only one grocery store on a street, then its goods have nothing to do with good quality and low price."

Lin Che nodded slightly.

Zhu Fan is sometimes stunned, and sometimes he is very smart, so he will draw inferences so quickly.

He took a sip of his fifty-year-old daughter red and said with a smile:

"Your example is good, if there is no competition in business, some black-hearted businessmen dare to sell brooms for a thousand yuan."

Zhu Fan was still immersed in the joy exaggerated by Lin Che.

As a result, when I heard the example given by my husband, I almost didn't catch my breath.

He said in disbelief:

"This merchant is not crazy, a thousand brooms, only a fool will buy them!"

looked at Zhu Zhang's ungrounded appearance.

Lin Che couldn't help but think of the various items in the capital that soared to sky-high prices when natural and man-made disasters broke out at the end of the Ming Dynasty.

A sneering smile tugged at the corner of his mouth, and he said:

"What if it's the salt that must be eaten, and the food that is needed in times of famine?"

"No matter how high the price is, there are always people who spend the last copper plate on their bodies in order to survive."

Zhu Fan's eyes widened.

He was puzzled:

"The salt industry is sold by the imperial court, how can it rise to a sky-high price?"

"As for stabilizing food prices, it is the responsibility of local officials."

"Let the price of food soar, aren't they afraid that the hungry people will be angry and rob the grain merchants, and directly raise the flag to rebel?"

No matter how decadent and backward the court was in the feudal era.

But most of them will implement policies to curb profiteers and reduce the cost of living for ordinary people.

This is not only for the sake of the people to live and work in peace and contentment, but also for the sake of the stability of the country.

After all, for thousands of years, there have been countless deeds of rebellion in China.

No matter which emperor is unwilling, the country that his ancestors have worked so hard to build.

Because of the short-sighted greed of profiteers, they fell into the hands of others.

"Collusion between officials and businessmen is nothing new in ancient times."

"Businessmen and corrupt officials who want money and don't want their lives have not been a minority since ancient times."

Lin Che took a sip of his daughter's red and responded to Zhu Zhang's question with a smile.

But then he changed his tone and said:

"But today we are not talking about corrupt officials and profiteers."

"But how to maintain the balance of the Ming economy, the first step is to maintain the healthy development of the commodity market."

"As you just said, the normal competition of businessmen, the initiative of the imperial court to intervene, and even the anger of the people to cut down profiteers are all one of the phenomena of market self-balancing."

Extreme business conditions could not be sustained for long in the feudal era.

After all.

If the price of official salt soars, there will inevitably be those who will be bold enough to take risks to sell salt.

And life-saving food.

If a small number of people can't afford it, they really can't make a splash.

However, the majority of those who cannot afford it are the majority, so the profiteers who raise the price of grain have to pay for their lives.

Zhu Fan looked dazed.

Some don't understand why big profiteers can also create market equilibrium.

He hurriedly asked Lin Che:

"Mr. Lin, if one grain store is smashed, other grain stores should be reluctant to sell it, or even close it directly, right?"

"As a result, food in the market will become even scarcer."

"If there is no intervention from the imperial court, how can the two families become even lower?"

"Because of the deterrent effect, of course!"

Lin Che smiled faintly and explained to Zhu Zhang:

"Once the hungry people are forced to kill people and steal food by the price of food."

"They will not just rob one store of food, but they will loot all the unscrupulous profiteers in the eyes of the people."

"Grain merchants who are far away, after it is clear that it will not work to close the door to avoid trouble, will definitely sell a batch of grain at a normal price in order to save their lives."

"As long as there are businessmen who are afraid of death, food prices will fall back to a normal range in the short term."

Zhu Fan had a surprised expression on his face.

Asked Lin Che again:

"Sir, if a kind person kills someone, I'm afraid it will be difficult to be an ordinary person again."

"Even if the price of food drops, they won't pay for it, right?"

"Throughout the ages, people who have enjoyed the convenience of zero-yuan purchases.

It is no longer possible to be honest and obedient to the people.

When there is no food, it is normal to carry a knife to the landlord or a grain merchant to 'borrow' some.

"So, food prices are only going to return to normal in the short term."

Lin Che moved his neck and said eloquently.

"Under violent means, the market equilibrium that occurs is not sustainable."

"To avoid similar situations, we should make corresponding regulations in advance and delineate the obligations of officials and businessmen."

In the feudal era, because there was no economics.

Therefore, the business behavior of businessmen is to instinctively follow the laws of the market.

It was up to the local officials to decide on a price that would appease the restless people.

Although this can ensure temporary stability, it will also allow merchants who lose money from other places to flee.

In the future, because of the scarcity of goods, it will cause even more chaos.

This happens from time to time, but there is no solution.

Zhu Fan heard it at this moment, and Lin Che had a plan to deal with it in advance.

Hurriedly bowed to him and said:

"Please also ask my husband to teach me the strategy of market balance."

"What are you doing with so many empty heads, pour me wine first!"

Lin Che pointed to his empty wine glass and motioned to Zhu Fan not to engage in these vain etiquette.

Wait until Zhu Fan poured him full of wine.

Lin Che said slowly:

"If you want to ensure market balance, you must first ensure the vitality of the market."

"The most basic and most important thing is to put an end to corrupt officials, corrupt businessmen, and no ruffians to collect protection money."

"In this way, we can ensure that a business can be maintained normally."

(End of chapter)