Chapter 828: The Alliance Will Also Cut Leeks

Chapter 828: The Alliance Will Also Cut Leeks
During the dark side expedition, Gu Hang also has to work hard within the alliance, naturally in order to keep the alliance as stable as possible and maintain a strong momentum of development.

Only when there is internal stability and the economy can still grow rapidly in wartime - especially the rapid growth of the military industry, can the alliance continue to persevere in the dark expedition in the future, which will be of unknown length.

At the same time, the Alliance government is doing its best to digest the newly conquered areas, especially the eastern part of the Magre Universe that was captured by the Alliance in the early stages of the Dark Side Expedition.

So far, it has been quite effective.

The underlying tone of the Alliance has never changed: they are a monster that has grown from a single planet to its current state in less than a hundred years.

In the not-so-long life of the alliance, the thing they are most familiar with is: expansion!

The Alliance has had thousands of times of expansion and occupation of planets. They fully understand what should be done after taking over a planet in order to quickly digest the entire planet.

First publicize the righteous reputation and establish legitimacy.

Relying on the alliance's strong military strength as a foundation, during a short period of martial law, the planet's armed forces were incorporated and a defense force system that obeyed the alliance was rebuilt.

Providing security and survival guarantees to the middle and lower classes, and winning over the civilians to serve their own ends;
The old elite class is required to fully integrate into the alliance system and provide good integration treatment, but the means of production must belong to the alliance and they can only enjoy profits at most. Those who oppose and resist will be strongly suppressed.

With legitimacy, means of production, local troops that obey the alliance, and supportive people, we have the foundation for doing well.

The alliance has been institutionalized and industrial production has been normalized. At this point, it is already able to provide blood transfusions for the alliance's expedition.

Of course, the Alliance also has to collect taxes, but the Alliance does not think highly of the Empire's conventional imperial tax model. The crude 10% of the total output value as tax is not only very ugly, but in fact, it does not make much money and it also makes people angry.

The Union collects relatively little tax. For civilian enterprises, there are some low-tax value-added taxes and corporate income taxes; for the general public, there are some consumption taxes, and direct income taxes are relatively small.

The main source of income for the alliance is the production value of these state-owned enterprises built after directly controlling the absolute majority of the means of production. In other words, the alliance officials directly act as the owners of the enterprises, and all the profits earned naturally belong to the alliance.

But it is not easy to implement this. The alliance needs to invest a lot to rebuild the planet's construction system. And, within the alliance system, there must be enough managers to run this system.

At this stage, the alliance will introduce some market factors. The output value and profits of state-owned enterprises will not be directly taken away by the alliance, but will be put into the hands of the enterprises themselves. The way the alliance reaps the benefits is to make some adjustments based on the standard pricing according to the different conditions in each region.

For industries that are just starting up or recovering, the alliance will increase the standard priced order acquisition figures, and some increases can even reach 100%, in order to enable the industry to develop rapidly.

In addition to the Alliance's initial investment in rebuilding the planet, the Alliance officially led the integration of existing industries, taking into account local conditions, the surrounding trade environment and the overall needs of the Alliance, and focused on developing some pillar industries.

All of these together basically constitute the Alliance's overall support policy for newly recovered planets.

With these three measures, a world that was previously in turmoil can often quickly get back on track. At least there will be basic social order, productivity will be restored, and people will be able to see hope for a better life in the future.

But the duration of this support is usually not too long, half a year, a year, or at most two years.

At that time, the alliance's investment will be reduced, and the order price for the enterprise will be converted to standard pricing.

At this point, the Alliance still hadn't made a profit. Purchasing goods at standard prices would definitely not make money. At best, they could earn a little value-added tax, corporate income tax, and personal consumption tax, and these revenues were basically used to purchase the output of the planet, and the Alliance Center even had to pay some money.

But as long as we get to this point, we can basically say that this planet is no longer a burden to the Alliance and is on the right track.

Of course, there are also some who fail to reach the standard status after experiencing the support policy. In that case, the Union government will initiate the accountability procedure to find out the reason.

Often, the planet's governor will be punished.

Whether it was due to inadequate management, production recovery not meeting expectations, insufficient public support, a resurgence of local dignitaries, and resistance to the Alliance's rule, or continued riots within the planet, which had not settled down, or military threats...

In short, no matter what the problem is, the consul cannot escape. Then, because of specific problems, he will go to the civil affairs department, the financial department, the production department, and the military to make trouble.

Unless the performance does not meet expectations due to objective changes in the overall environment outside the planet, the responsibility cannot be avoided.

In this system, the planetary governors of the Alliance and the planetary governors of the Empire are somewhat similar. They both hold great power and are fully responsible. But the difference is that in the Empire, as long as you pay the Empire's taxes, that's it. But in the Alliance, the assessment is too detailed. If there are any problems, they will be found out and you will be held accountable.

Being in the Alliance is not a comfortable thing. Although the internal power struggle is far from being as naked, cruel, and fierce as in the imperial political arena, the "business pressure" is much greater than in the imperial political arena.

Everything else is empty talk. The real purpose is whether the essential work is done well. Without "performance" as the foundation, other means are useless. You will be directly rejected when you are promoted. If you don't reject it, the Ministry of Internal Affairs will not take it lightly when it comes to investigate.

And when a world can last for three to five years under normal circumstances, it will move on to the next stage: the alliance will start to reap the profits.

For Planet products, the purchase price starts to be reduced from the standard price, ranging from 1% to 60%.

The profits from this are all profits. Adding the taxes collected, the resources that the Alliance can collect from a planet in a relatively good condition are often much more than the 10% of the imperial tax.

To achieve this situation, the local industries on the planet must do everything they can to improve their own standards. They must develop their advantageous industries well, so that the alliance can still make a certain profit on the basis of the price reduction.

(End of this chapter)