Chapter 998: Paper currency supply

"This, thank you sir. Although I personally don't have a good view of the security company. They are just a bunch of guys who take money to do things, but I still thank you, sir." Nine Lieutenant said helplessly.

"I personally think that the country still needs soldiers like us. Money is of little use to us. We fight for honor and for our duty. Not money. People in security companies do not have such a sense of honor. .They are not real soldiers." Second Lieutenant Nine said calmly.

"Although, in the army, my talents may be buried, but I think that I have done my best for the country. This is my honor, and this country will remember my honor." The ensign said.

"Nine Lieutenant." The lieutenant colonel stood up at this moment and said.

"What's the matter, sir." Lieutenant Nine said.

"You are a real soldier. You have a sense of honor as a soldier." The lieutenant colonel said, looking at the ensign.

As he said, the lieutenant colonel raised his right hand in salute.

"I salute you. Our Qin Army has soldiers like you, so we can become an invincible division. Thank you." The lieutenant colonel saluted.

"Pop." Lieutenant Nine saluted immediately at this time.

And his eyes are already very moist.

Then, Lieutenant Nine withdrew slowly.

The lieutenant colonel watched the soldier leave slowly. The Qin Army had soldiers like Jiubanhun who possessed military integrity and ensured that the vast territory of Qin State would not be invaded by any foreign race. The Qin State opened up its borders and expanded its territory. It was precisely this kind of soldiers in Qin that formed such a tiger-wolf division.

The fighting will of the Qin army continued the fighting will of the previous Qin army. It was the continuation of this kind of fighting will that Qin State had an inviolable reason for it. The existence of fighting will was invisible. But he still exists, and Shang Wen still can't understand what this fighting will is. However, most of the Qin's high-level officers, especially the soldiers, are soldiers who have been promoted from the lower-level officers. The existence of this fighting will very immediately.

"Recently. The Prime Minister is hitting our attention again. They hope that we can cut military expenditures and give up most of the military expenditures. I really don't understand. What exactly the Prime Minister wants to do. Is he satisfied if he asks Qin to lay down his weapons? "Wang Jian is very dissatisfied with Shang Wen's practice of using military expenditures to operate when he encounters economic problems.

But Shangwen had no way to avoid this problem. Qin needed funds everywhere. Qin State began to export a large amount of capital, Zhao State needed it, South Korea needed it, and Yan State also needed it. Military expenditures were the largest, and a large number of soldiers needed military pay. In Qin, the currency's liquidity is decreasing. Qin's financial newspapers have begun to notice this problem.

"Qin Guo currently has a strong investment enthusiasm, but we don't know exactly how much money the bank has? Can they meet our needs? We are worried." Qin Guo wrote in a small "Stock Exchange" newspaper. Although this report did not attract the attention of many people, a report before Shangwen has reminded Shangwen. Qin's economy is in danger. Moreover, the financial industry, especially the banking industry, is the first to be hit.

"Our Qin country’s currency, half and two banknotes, is no longer a pure Qin country’s paper currency. It is also in circulation in some places. For example, Handan in Zhao, Julu. In the cloud. Xinzheng in South Korea. Yan. Yandu, as well as eastern Liaoning and western Liaoning. In some parts of Chu State, although Qi State is unwilling to deal with Qin State. But they are using our banknotes for transactions. Our banknotes are very cheap and have credit. These They are all our investment weapons.” The report wrote.

With the export of Qin's capital, Qin's capital is no longer gold. It's a lot of Qin's banknotes. But Qin's paper currency circulation is very limited. The right to issue banknotes is concentrated in the hands of the Qin government. In particular, Shangwen is very clear about how many banknotes are issued each year. Qin's banknote factory has not printed new banknotes recently. To prevent inflation, Shangwen has been suppressing the circulation of Qin's banknotes. Because inflation has caused a lot of trouble. And it's difficult to deal with. It's very tricky.

In other words, Qin's currency has not increased much for a long time. However, the number of places where Qin State uses banknotes has greatly increased. Qin's half-two banknotes are no longer used by Qin's family, and are used in many countries and regions. Qin's foreign capital exports aggravated the instantaneous decline of Qin's domestic currency.

In fact, many parts of the Qin State require a large amount of money. Newly expanded states require large amounts of currency. With the help of banks to circulate, Qin's currency quickly flowed to these places where currency was most needed.

But in reality, these currencies are still not enough. Because, in terms of currency usage. Currency needs to increase every month, but Qin has been in a static state. Such currency growth can easily lead Qin into a disaster of currency shortage.

However, the bank solved these problems on its own. Qin State issued a large number of government war bonds and government infrastructure bonds. These bonds are the same as before Qin State issued banknotes. Regained the function of currency. As a result, in some marginal areas of the Qin State, these bonds circulated together with government banknotes. This caused great chaos in Qin's currency circulation again.

These chaos were not enough to cause the disaster in Qin State.

The most frightening thing is that Qin's bank, the banking industry that controls Qin's financial lifeline, lacks funds. Banks in the Guanzhong area have already mobilized a large amount of funds to Zhao and South Korea, which have become the two hottest investment locations in Qin. Qin's already tense currency reserves were all taken away in one fell swoop. Qin's domestic bank reserves are already less than 20%. This is a very dangerous signal. If someone releases the news at this time, those who are worried about the money in their bank. You know, the people who save money in Qin are the working class. They are the backbone of Qin. A large amount of their livelihood comes from their salaries and bank interest. For them, investment is far from that big. The rise of.

In addition to these. Within the Qin State, one cannot blindly increase the amount of money at will. Because if Qin State arbitrarily increases the money supply, then a scene of disaster will happen soon. The banks where the workers deposit money in the Qin State will greatly depreciate. Their original practice of keeping money has become a devaluation place for them. Then the government's credit will be greatly wiped out, and at the same time, although the supply of money is satisfied. However, the working class of Qin State will be greatly impacted, which will lead to great internal conflicts in Qin State.

However, if the money supply is not increased, then Qin's banking industry will have no funds to use. Then in the end it will cause the biggest problem. If the bank has no funds to return to those depositors, then a run will happen. Banks will go bankrupt on a large scale, and banks will be threatened with bankruptcy, they will order loans to urge them, and the factory owners will not have the funds to repay them. In one fell swoop, all the problems would be magnified indefinitely. Obviously this trouble is far greater than the former.

The former is still a social problem. The latter not only causes social problems, but also causes economic problems as a whole. Everything about Qin State is extremely close to the bank, which leads to Qin State's problems with the bank. Cause yourself to fall into a huge disaster.

Therefore, facing these problems, Shang Wen thought of a solution, that is, from military expenditure. He did not take measures to increase the money supply by drawing a large amount of funds into the market. He believed that by doing so, he was undoubtedly depriving the working class of wealth in secret. For such an approach, he is obviously unwilling to use it.

Therefore, he adopted a very peculiar financial approach to solve this problem. Obviously, this method is very peculiar.

This method peculiarly hurt many people. At least, it was the army that suffered the most. The army is very dissatisfied with this. But Shangwen is unwilling to let the working class suffer greater losses, which would cause a huge wave of strikes. That social problem is more difficult to deal with.

Although Shangwen adopted such a peculiar method, the essential problem has not been solved. The most difficult thing is still the declining money supply of Qin State. This requires Qin State to start large-scale printing of banknote printing machines to solve the problem. , But the premise of printing is that Qin’s gold reserves must reach a certain level. Although Qin’s gold can be traded and there does not seem to be much direct relationship between the two, in fact, the two have been decoupled. Shang Wen did this deliberately because he knew that the amount of gold was far from meeting Qin's rapidly growing currency demand. So he decoupled paper money from gold from the beginning. Gold and banknotes are mixed together, just to suppress the excessive proliferation of banknotes. According to King Qin’s character, banknotes will suddenly inflate, and eventually banknotes will be worthless and eventually withdraw from the stage of history. This is not what Shang Wen wants to see. Paper money needs to play the biggest role. Rather than withdraw from the stage of history.

But he didn't have any good ideas to increase Qin's money supply. This was the most fundamental and terrible place. Shang Wen was obviously wrong in thinking. Then, the measures taken later are wrong. Although these errors were not fatal, they were enough to cause great trouble to Qin. At the very least, it is a major financial trouble.

But Shang Wen didn't know anything about it. After all, she was not an economic expert, he was just a weapon expert.