Chapter 270: The East African Model

"Also, the migration is still mainly in the inland province of Matabele, so we can't change the general direction, especially in the east, which is still too much compared to other regions."

Ernst said that in fact, the population of the eastern region is not very large, even excluding the arid areas of Somalia and Kenya, the eastern part has nearly 2 million square kilometers of land, and the population of the eastern part is less than 20 million, which is very thin.

"Matabele province is an industrial province, so the demand for industrial workers is quite strong, but Matabele province is located in the landlock, the population is relatively small, and now the immigration market is sluggish, so the government should play a subjective role in the distribution of work, and try to achieve the radiation spread of the population of East Africa from the east to the interior and other regions."

Big government is more convenient in this regard, the East African government controls the country's resources, and uses these resource advantages to dispatch its citizens, which is very similar to the Soviet Union in the previous life, setting up jobs in Siberia, and going if you don't want to.

Matabele Province, as a key industrial and agricultural province in East Africa, also has the most employment opportunities, so there are many jobs.

The only disadvantage of Matabele Province is that the traffic is a hard injury, although the railway passes through Matabele Province, but the cost of the railway is higher than that of water transport, and the overall development of inland waterway shipping in East Africa has congenital deficiencies, which can not be changed through manpower and policy, but the development of lake shipping is very prosperous, the shipping development of the Great Lake (Lake Victoria), Lake Solon (Lake Tanganyika), Lake Malawi, and Lake Turkana are all good.

When it comes to railways in East Africa, only 1,500 kilometers have been built this year, mainly because the East African government has done too much this year, so the development funds for the railway sector are not as good as before.

However, Ernst thinks this is a good thing, the East African Railway, like the navy, was built in a very short time by throwing money at it, and this kind of practice of eating fat in one bite is unsustainable.

As a late-developing country, East Africa actually has quite limited funds, but because East Africa is vast and has a population of nearly 50 million (including blacks), its current fiscal revenue is also very considerable, at least more abundant than most countries in the world.

This is also the reason why Ernst is very restrained, a large number of state-owned enterprises established in East Africa, not just to make money, and the royal enterprises, that is, the private enterprises of the Hohenzollern family, are no different from the vast majority of countries in the world, for the purpose of profit, although sometimes to help East Africa, but the accounts are also calculated separately.

In recent years, Ernst has focused a lot of energy on East Africa, so the development of the Hexingen Consortium has also focused on stability, but the Hexingen Consortium has developed to the upper limit that the enterprise can reach, and it is not too much to describe it as a million-dollar worker.

At present, the main role of the Heixingen Foundation is still the investment and control channel, and it is the connection point of technology, capital, talent and market in East Africa and Germany.

Especially at the technical level, East Africa has not encountered technical barriers so far, and the Heixingen Foundation has played a great role, because the Heixingen Foundation has a large number of patents.

Now the development of East Africa, high-end industries are not easy to enter, or in the low-end industries, of course, some emerging industries in East Africa are also in advance layout, especially the power and automobile industries that Ernst is optimistic about.

However, the automobile industry has not yet appeared, and ERNST has only allowed Heixingen Energy Power Company to continue to make technological breakthroughs and accumulate experience.

Of course, if it is possible, Ernst will definitely want to start the electricity and automobile industries at the same time, but only if the funds are sufficient, and now East Africa does not have this condition, and there are too many places to spend money, so Ernst can only focus on improving the infrastructure conditions in East Africa first.

"If you want to get rich, build roads first, have fewer children and more trees." This is the development experience of the Far East in the previous life, so ERNST also continues this practice, and ERNST believes that if the supporting services are done well, the development of the automotive industry in East Africa will be smoother in the future.

As for when the East African automotive industry will be launched, Ernst decided to wait until the truck technology is relatively mature to promote it in East Africa, and as for the car, it will still build a factory in Europe.

Trucks and tractors, for the like, have been a great help in increasing productivity, while automobiles were all luxuries when they first appeared, with less prominent practical functions and more for the rich and powerful.

Therefore, if you start to develop automobiles in East Africa, Ernst thinks it is not very cost-effective, but it is not one-size-fits-all, and East Africa can promote the automobile industry on a small scale, mainly to meet the needs of the government and foreign trade.

Of course, Ernst also has a small abacus here, that is, "brand", Ernst has experience in the previous life, so he attaches great importance to the brand effect, although East Africa will not vigorously develop the automobile industry for the time being, but also to stand on the position of the pit first.

Just imagine, when it comes to the 21st century, the "century-old car" brand, it feels like the style and temperament will be sublimated, and the car is a commodity that is easy to compare, and the common people and the rich are consuming, so now East Africa does not focus all its energy on the automobile industry, but also to make a name for itself.

So Ernst thought that by then, the world's first commercial car would have to be assembled in East Africa and win the title of the world's first.

As for the test car, the Heixingen consortium has long made it in Europe, but it is still working hard to improve performance, reduce costs, and directly occupy the market when it is launched, and at the same time directly open the gap with future competitors.

In addition to these reasons, East Africa is not suitable for the promotion of commercial automobiles, the current economic system of East Africa is a semi-planned economy, and the planned economy is sometimes relatively slow to respond to changes in market demand, which is not conducive to the upgrading and development of the automobile industry.

As for the development of the automobile industry in Europe, there is no problem at all, but the money is made by the Heixingen consortium.

As for East Africa, it is mainly about improving productivity, so many investments do not take into account the cost issue and make do with it first, and now this development model is still very suitable for East Africa.

In fact, East Africa is similar to the weakened version of the Soviet Union, and the Soviet model has significant advantages in the development of heavy industry, which East Africa also deeply understands, and does not have to wait for the third scientific and technological revolution to avoid problems with this model.

One of the major differences between the economic models of East Africa and the Soviet Union is that East Africa attaches great importance to import and export trade, and it is a complementary economic development model that complements each other's strengths.

This is also in the 19th century, and in the 19th century, there was no so-called bipolar pattern and one superpower and many powers, but a diversified world pattern that the Far Eastern Empire had been pursuing in the early days.

Therefore, East Africa does not need to stand in line, it can move between various forces, and there is no need to worry about being hung on a tree, for example, although Japan is targeted by East Africa, he can choose to cooperate with Britain and the United States, and Tsarist Russia can also move between Britain, the United States, Germany and Austria.

The same is true of East Africa, but East Africa is strategically cooperating with the Far Eastern Empire, although the Far Eastern Empire has many shortcomings, but it is large in size and has many advantages, so the countries of the world are hungry for the fat of the Far Eastern Empire.

It's just that East Africa can put down its body, or it is more willing to exchange sincerity for sincerity, and has achieved an advantage in the Far Eastern Empire that other powers do not have, after all, standing and kneeling to ask for food, and people with a discerning eye know that if they choose the former, countries that cooperate with East Africa must feel more comfortable than other countries.

This is also a shortcoming of the East African economic system, which is very similar to that of the Soviet Union, except that Ernst does not have the habit of throwing money around, and the East Africa cannot lose a penny of money, and the brothers must also settle accounts, even if the relationship between East Africa and Germany and Austria is so close.

And the Soviet Union did not understand this truth, and later those countries that split from the Soviet Union or the Soviet bloc, basically there were few countries that said good things about the Soviet Union, but did the Soviet Union really not pay? On the contrary, the Soviet Union's contribution to its allies and allies was enormous.

(End of chapter)