Chapter 393, Economic Reform and Development Plan

Chapter 393, Economic Reform and Development Plan

The alliance system has always been ignored by the outside world, but it is actually Gu Hang's trump card.

It is very suitable for rapid development from a rags-to-riches situation. Welfare benefits meet the needs of people at the bottom to improve their living standards and provide pathways for promotion. The centralized system can quickly carry out planned and large-scale rapid development in certain key areas according to the needs of the ruler.

And there is a very core point. These fruits of rapid development do not need to be shared with the public. Although people will be promoted under the rank system, it usually takes several years to advance to a higher level in a year, or even to D level. This brings about an increase in the cost of benefits and subsidies, which is in line with the rapid development of the productivity of the entire society. Income, there is a big difference.

The intermediate fruits of development were absorbed by the owners of collectivized production, that is, the alliance government.

This system has many advantages, but it also has disadvantages. For example, it doesn't matter if the alliance government takes the money. After all, in addition to paying imperial taxes and military construction, most of the wealth will be reinvested in social development and construction. Construction of infrastructure, more factories, expansion of production capacity...

The infrastructure updates, urban expansion, more and larger living spaces, more jobs, and more promotion opportunities that this brings will in turn improve people's quality of life.

But if the system becomes rigid, the fruits of development will fall into the hands of the bureaucracy, or lead to terrible waste due to wrong decisions and systemic corruption. If the people don’t have enough to eat and the government doesn’t have money for development, it’s going to be a big mess.

This is an issue that Gu Hang has always been wary of. The assessment department of the Administration Department will supervise. The Independent Commission Against Corruption, the Demon Hunter Organization, and the Alliance Internal Affairs Department under the Alliance Legal Center all have relevant supervisory authority and even supervise each other.

At present, the entire system of the alliance is running quite well, basically meeting Gu Hang's expectations.

This is reflected on the Raging Owl Star, the Black Arrow Star, and on Koroga.

Needless to say what the first two are like, on Koroga, the alliance reform is proceeding quite smoothly.

In the past year or so, Gu Hang's attention has certainly been on causing trouble for the Fachers family, but in fact, Koruga's reforms have never relaxed and have been advancing at a very rapid speed. .

When arriving at any reform zone, Gu Hang relied on the tens of thousands of loyal officials trained with gift points from Zhongsi Academy as the core, many new officials who urgently graduated from the academy, and officials transferred from the Raging Owl Star and the Black Arrow Star. , and officials from the former Koroga planetary government as assistance, they were able to quickly implement the alliance reform.

Once the supplies are in place and the ranks are fixed, many problems can be solved directly. There is no need to fight a security war and the troops can be transferred.

The Alliance was not in a hurry when it came to Koroga's reform. It just took it down hive by hive and block by block. Administrative officials cleared the way with supplies, provided jobs, carried out political reforms, and developed industries with tried and tested methods.

In areas that have not yet had time to promote reforms, propaganda can be used first. Just tell the truth about the good life and treatment enjoyed by people in other regions. Many places are eagerly waiting for this. When the policy is implemented, there will be very little resistance.

After gaining the support of the people at the bottom and having all the relevant publicity in place, the alliance has absolute force. The remaining people, forces, and inherent interest groups that may hinder the promotion of reform are all idiots. The war dog was wiped out casually.

But success in Koruga does not mean success in Faches. The situations in the two places are completely different. Farches is considered relatively developed, so copying it mechanically will not work.

But if the alliance system cannot be brought to Fachus Samsung, it will be very bad, which will directly affect the alliance's control over these three stars, and cannot fully integrate these three worlds into the alliance.

It's not impossible to rule like the empire does over most of the world, but it's fucked up.

The coalition government has obtained decades of production reports from the old coalition government. In the past twenty years, Faches Samsung has had almost no economic growth, maintaining a gross industrial and agricultural production value of about 26 billion per year.

From this perspective, the development degree of Faches Samsung is actually not 3, at most it is 2.6.

It's no wonder that the Faches family reacted greatly to the fact that the development of the three planets under their command was adjusted to level 3. Although at first glance, it may not seem as scary as a fine of billion, but this incident will be a disaster for thousands of years.

For the empire, although it stands to reason that when judging the development of a planet, a dynamic balance strategy should be adopted. If the development level of a planet is high, it is no problem to collect more taxes; if the country encounters difficulties, it should collect less and lower the development level. , which is also a matter of course.

However, although this mechanism exists, it is actually useless. If you increase the development level, the district government will verify and report it and the process will go through quickly. Basically, the district has the final say; however, if you want to lower it, it will be too difficult. After the star area is determined, you can go straight up to the center of the empire, and every level in the middle can be defeated by you.

Lowering the level will bring countless benefits and reduce taxes. No one at all levels of government wants to bear such a responsibility.

Basically, it cannot be approved unless the situation is really special.

The 0.4 development rate that Fachus Samsung lost will have to be carried on its back forever in the future - unless it really develops.

The Faches family was originally on Samsung, and the annual tax they could receive was actually around 20 billion. In addition to the billion paid in taxes, there is only a little over million left every year, and life is enjoyable.

But if it rises to three billion, it will become unbearable.

If Gu Hang does not copy the alliance system and continues to use the old coalition government system, it will be a fool's errand.

After all, after Gu Hang got the Faches Three Stars, he would have to put another 200 million into it every year?

This is unacceptable.

Gu Hang has no complaints or regrets about his contribution to local development. Investment is for greater returns in the future.

But this money is purely an overpayment of taxes, so I definitely won’t do it.

Increasing taxes and vicious harvesting are not impossible, but they will definitely have a great negative impact on local social production.

Only by copying the alliance system can the original shackles be broken and surplus value better collected.

At the same time, only by implementing an alliance system can the black technologies in Gu Hang's hands be used.

To this end, he and his political officials have been conducting research for more than a month with local data in Faches. By now, the officials of the coalition government headed by Ossena who came to take over Faches Samsung have already had a preliminary strategy.

It was Oceana herself who reported this strategy to him.

The first one is to reform finance first, outlaw the currency issued by the original Faches regime and only circulated in Faches Samsung, and replace it with the currency issued by the alliance.

In the next two years, the original currency of Faqis can still be used, but the subsequent issuance will be mainly alliance currency, a dual-track system; Faqis people can also transfer the old currency they originally held at the same exchange rate within these two years. The currency is exchanged for new currency.

On this basis, the second step is to invest in the construction of state-owned factories. On the one hand, it is to build new factories and provide more jobs; on the other hand, it is to nationalize the industries originally held under the concept of 'Fatches Family'.

The old government of Farches did not directly control the enterprise. But the direct and collateral lines of the Faches family own a lot of industries and wealth. Gu Hang would definitely not be polite to these.

With these two foundations in place, direct reform of people's livelihood is involved.

Workers, technical experts, clerks, and government employees working in state-owned factories will receive ranks and receive subsidies according to the corresponding ranks. Some of the benefits originally attributed to this rank will be canceled and converted into currency based on the local price on the planet Faches, and included in the allowance. Most of the benefits that have been canceled are in-kind benefits, including food supply, daily necessities supply, and entertainment supply; but medical benefits, education benefits, and housing security benefits are retained.

Hospitals and educational institutions that have been nationalized will be open to all people with ranks free of charge. They will enjoy different levels of medical education benefits according to their different ranks. People of different ranks will also have different basic housing conditions, which the government will guarantee.

People working in these newly invested alliance factories, as well as government employees who have sworn allegiance to the alliance government, will have relatively high grades at the beginning. This is to ensure that their living standards are not lower than in the past; however, Numbers are limited to avoid taking on too much financial pressure. Only high-tech personnel in factories, important management positions, and important employees in the government will have clear ranks.

Normal workers and employees will maintain their past salary levels and be paid according to their wages, but without ranks, there will be no corresponding housing, medical, and education benefits.

Then, increase the cost of education, medical care, and housing to make the rank more desirable.

In the future, the way for normal private enterprises to be nationalized will be opened. The original managers will remain in office and become state-owned factory managers with alliance ranks. The specific rank will be determined according to the scale and income of the original enterprise; after it is state-owned, the corresponding workers and employees will also receive Rank.

All state-owned enterprises will be supported by the alliance government. Mainly in terms of technology and product procurement. There is absolutely no need to worry about selling things produced by state-owned enterprises. As long as they meet the requirements under the inspection of the relevant quality supervision departments, then all products will be handed over to the state for imperial tax payment, welfare distribution, market sales, and interstellar Trade export...

For non-state-owned enterprises, government procurement is not completely absent, but if state-owned enterprises are given priority, they may be affected.

But in terms of market sales, it will not be affected - if the price and quality cannot beat state-owned factories, then it is your own problem.

Oceana's entire strategy is essentially a dual-track system, adding state-owned industries to Faches' original economic foundation. By bundling benefits, it is ensured that "established" personnel such as state-owned factories and government employees will have benefits that are no worse than in the past, or even better, in a high-welfare, high-stability environment.

At the same time, it limits the upward paths for people and companies outside the system.

This is to drive the private sector into the system.

But the core difference is that the alliance’s system is open to the public and businesses. Especially for the public, almost all comers are welcome. The alliance welcomes those who have the ability to join state-owned enterprises, government agencies, medicine, public education and other industries; those who have no ability, but as long as they are willing to work, can now have a salary that is not worse than that of private enterprises; the alliance has clear expansion plans in the future The plan prepared by the system will eventually include all people in the rank system.

However, for business owners, the conditions are much more stringent. He was originally the boss, and all the surplus value of the employees was in his hands. According to his own ability, if he did well, he would make a fortune; if he did poorly, he would go bankrupt. But now, if you choose to convert into a state-owned enterprise, although the rank of the enterprise owner will be set relatively high, there is still a big gap compared with the previous period when all the income was owned by yourself.

Moreover, although it is said that you are retained, you can stay and be promoted if you do well; if you do not do well, if the output cannot increase, the efficiency cannot increase, and the things cannot be sold well, then you may be demoted or transferred to another position. In other companies, you can work as a low-level employee; if you commit corruption or make serious mistakes, you will have to go to jail or even be shot.

But not to transfer to state ownership?

Then you are waiting to be squeezed to death by state-owned enterprises, and then you will have nothing, not even a rank.

Unless there is something really awesome, under a series of problems such as taxation, marketing, lack of government procurement, and the need to offer high wages to offset the welfare advantages of state-owned industries in order to retain talents, leading to rising costs... this can still be guaranteed. Very good results, then you are awesome and deserve to make money.

The ultimate goal is to hope that under these reforms, Faches Samsung will make a gentle transition to a normal and ideal alliance system environment: a situation in which the state-owned economy is the main body and the private economy is the supplement.

Of course, these series of reforms have made a lot of noise.

But in terms of implementation, there are steps.

All policies will not be rolled out at once, but will be reformed gradually. First promote nationalization in important areas, such as energy, mining, smelting, military industry, heavy industry, etc., and then other areas slowly.

"...We estimate that after the corresponding policies are introduced, our public expenditures will increase significantly. After the reform begins, the total tax revenue of Faqis Samsung will continue to decrease, but plus the profits of state-owned enterprises minus expenditures , it is expected to provide an income of no less than 25 billion in the first year, and increase by 5% year by year. After five years, Fachus can be self-sufficient, no longer needing subsidies from the alliance government, completing imperial taxes, and starting to generate a surplus."

Oceana carefully recounted their estimates and summary, and gave her five-year economic reform and development plan in accordance with the requirements of China Airlines.

Gu Hang listened very carefully.

This is essentially to spend money first, and on the premise of ensuring people's livelihood and existing productivity, he will bear more losses, moderately implement the alliance system, and finally achieve the results he wants.

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Going on a business trip for a week starting tomorrow...

(End of this chapter)