Beiyang reactionaries

"Tell me."

Duan Xun looked at Wu Dingchang.

Wu Dingchang had dirty hands and feet when he was an official, so when the cabinet chose the Minister of Finance, he did not choose Wu Dingchang.

But Wu Dingchang is definitely an economic professional with strong abilities.After coming to Shanghai, Shanghai's economy has been revitalized, and the performance is quite good.

As long as he doesn't reach out indiscriminately in the future, Duan Xun still holds him in high regard.After all, what China lacks the most is professionals like Wu Dingchang.

"Prime Minister, since the government's land policy restricts land sales, land prices in first-tier cities have risen very fast. This is very detrimental to the development of the local economy."

"Oh? Tell me."

Duan Xun is very interested.

Duan Xun did not have the courage to nationalize the land, because he offended too many powerful factions.Whether in cities or in rural areas, those who have property, that is, those who control the land, are all local powerful factions.If Duan Xun really nationalizes the land, not to mention the bloodshed, even many of Duan Xun's subordinates will oppose it.Because many officials under Duan Xun came from such families.

However, Duan Xun could not win the land they now own, but Duan Xun used methods to limit their development.The cabinet had already issued an order to make all other lands state-owned.No private development is allowed.

Today's Chinese cities are very small, and many places on the periphery of the city have not yet been developed.Duan Xun stipulated that all these lands belong to the government, and no one is allowed to develop them privately, because they are all the property of the government.In recent years, local governments have also banned land sales.

In essence, it restricts the sale and purchase of land.

"Prime Minister, let me just talk about the situation in Shanghai. In recent years, the population has increased rapidly and the economy has developed rapidly, so there is a serious shortage of houses needed. The price of land has soared. At present, the price of one mu of land in Shanghai has exceeded three In addition, the rent of houses in Shanghai has increased several times. Some wealthy people in Shanghai who specialize in housing business do nothing every year. There is more than 200 million income from rent collection.”

"Rent collection? Not for sale?"

"Prime Minister, at present most of the houses in our country are rented out, and there are very few houses for sale."

"How to say."

"Since the end of the Qing Dynasty, the situation in our country was turbulent. After the Revolution of 23, there were frequent wars, so many people did not buy real estate. They were worried that one day the war would destroy those family businesses, and the loss of assets would be too great. This is one reason, and the other reason is the desire to buy houses. The procedures are too complicated, and the taxes on buying a house are too high. Now buying a house has deed tax, transfer fee, certificate fee, municipal funds, construction special donation, land insurance stamp fee, these taxes add up to [-]% of the house price Above. Therefore, the current high-income people in Shanghai generally just rent houses instead of buying houses. I have talked with those university professors in Shanghai, and they basically have the same thoughts. Of course, there is another reason. , Those who own houses are all local landlords. Although they are doing business now, they still think like landlords. Just like they rent out land in the countryside, they all like to hoard houses. They don't like to sell houses, they prefer to rent houses. "

"kindness."

Duan Xun nodded.

Duan Xun really didn't think about this.Duan Xun deals with big things every day, and in just a few years, he has been a little out of touch with reality.If I hadn't come down to take a look, I wouldn't know the current situation of China's urban real estate.

"go on."

"If we don't provide more housing in Shanghai, the rent will continue to rise. This is not good for the development of Shanghai, and it will even affect the development of many factories in Shanghai. Therefore, the expansion of Shanghai is a must. Prime Minister, you are worried about money, in fact We have great treasures in Shanghai."

"What treasure?"

"land."

In fact, when Wu Dingchang mentioned the real estate issue, Duan Xun already understood what Wu Dingchang meant.Shanghai's annual income is indeed very high.

The central government collects a large amount of taxes from Shanghai, but Shanghai also has a lot of taxes locally.In terms of current local governments in China, the Shanghai municipal government is quite wealthy.

But with this income, there is really no way to expand Shanghai.

"You want to sell the land?"

"Yes."

Wu Dingchang nodded, and then said on the map of Shanghai: "Prime Minister, look. The area we are planning to expand is this place, which is very large, with tens of thousands of acres of land. Land is wealth, and Shanghai folks now have a lot of funds. As long as we Let go of some land sales, so that a large amount of funds can be raised in a short period of time. As long as we sell a thousand acres of land, we can have an income of more than 3000 million. And without our development, we can use these lands to let private Capital goes in for development. We just need to control the implementation of the plan.”

"kindness."

Duan Xun was silent.

Real estate, this thing is really a sensitive thing.In the process of economic development, the development of real estate is inevitable.After all, with the development of cities, how can real estate not develop.Especially in a big city like Shanghai, where the population keeps concentrating, housing prices of course keep rising.Moreover, the development of real estate will drive a large number of industries to develop together.It is indeed good for promoting the economy.

Cement, wood, glass, furniture.

However, if the real estate income is too high, there will be many problems for the industrialization that Duan Xun wants to promote.If a large amount of money enters real estate, it will affect industrial development.

This is not what Duan Xun wants.

But it's really the fastest way to raise money right now.Duan Xun was a little hesitant.Shanghai definitely needs a big construction, but where the money will come from is indeed a big problem.

"Prime Minister, I am against such an approach."

When Duan Xun didn't know what to do, Wang Boqun suddenly spoke.

"What do you think, Mayor Wang?"

"Prime Minister, I don't think Shanghai can develop like this. The example of Hartung, a wealthy Jewish man just mentioned by Mayor Wu, is a very bad example."

"How to say?"

"Hatung, a wealthy Jewish man, prospered during the Sino-French war. He is indeed a very shrewd businessman who can accurately predict the fluctuation of real estate prices. Therefore, he quickly purchased large tracts of land and houses in these years , and then do not buy and sell houses. Instead, they rent out all the houses and live on rent collection every year. I have counted the properties of this Shanghai real estate tycoon. He owns about 450 mu of land in Shanghai and 812 buildings in the city , 544 housing buildings, 24 office buildings, 4 hotels and restaurants, and 3 warehouses. What does he do after collecting the rent? Use the money to continue to buy houses and continue to rent them out. At present, there are about [-] real estate companies in Shanghai. They all follow this model. When they get stronger and stronger, the rent will get higher and higher. This model, apart from allowing them to continue to earn money, is not beneficial to economic development.”

Wu Dingchang frowned.

He was very angry about Wang Boqun's opposition to him.If Duan Xun was not here, he would have scolded Wang Boqun long ago.Wang Boqun didn't care about Wu Dingchang's thoughts, and continued: "Prime Minister, there is still a big problem. At present, the housing prices in Shanghai are getting higher and higher, the rent is getting higher and higher, and the population is also increasing. But the surrounding situation Very bad. At present, in many surrounding counties and villages, a large amount of funds have flowed into Shanghai, but the counties and villages have begun to slump. Not only the counties and villages have begun to decline, but even some surrounding cities are losing funds and people. If we Blindly expanding Shanghai, especially for land sales, we did have the funds for a while. But what about later? It is still impossible to solve the current Shanghai population’s demand for housing, and it is impossible to solve the situation of Shanghai’s high housing prices and rents. Can we just continue to sell land to raise funds and continue to expand Shanghai? At that time, the money will only flow into the pockets of people like Hartung, and it will not be of any benefit to Shanghai’s own development. If the land is auctioned, they will continue to rent it out after building houses on the land. In this way, don’t people all over Shanghai have to pay rent to make money for them?”

"Mayor Wu, I don't need empty words, I want to read the information."

"Prime Minister, here is a report on the situation in the surrounding countryside. Here are some data provided by the local Agricultural Bank."

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"so serious?"

Duan Xun took Wang Boqun's materials and read them carefully.

The situation in the countryside around Shanghai is indeed serious.The report of the Agricultural Bank of China is even more serious.Because there are many farmers in the countryside around Shanghai, and there are many farmers in the Yangtze River Delta region.

They mortgaged the land to the Agricultural Bank, and after getting a loan from the bank, they didn't want the land immediately.He took the money and ran to Shanghai.This situation is not one or two, but many.

Even some landlords began to bring money to Shanghai.

This is different from what Duan Xun thought.Duan Xun has no money to redeem private land across the country.Duan Xun's idea is to keep suppressing the price of grain, so that the rural areas can only do the function of producing grain.Duan Xun doesn't want the farmers not to want the land, and then run to the big cities after dumping the land.In this way, the food security of the country is even more dangerous.

And those lands were given to the bank, so what can the bank do.When and what month will the agricultural products produced by those lands be able to pay off the bank's money.If the bank has too much land in its hands, there will be a lot of bad debts.

This is different from what Duan Xun originally thought.

What Duan Xun originally thought was to give loans to farmers, so that those self-cultivating farmers and small and medium-sized landlords could not afford to pay back the money.Because Duan Xun suppressed the price of grain too much, he couldn't afford to pay back the money just by farming.At that time, they will slowly control the land, let these small and medium-sized landlords and self-cultivating farmers go bankrupt, and finally become "tenant farmers" of government land.

But they didn't let them throw the land directly to the bank.

"Prime Minister, the issue of income."

Wang Boqun said, "Let's start with these ordinary farmers. Their income from farming for a year is very low, that is, they can barely make ends meet. But they come to a big city like Shanghai to sell anything or work for others. , including pulling rickshaws and working as porters, their annual income is many times that of farming. For them, farming is useless all year round. So they abandon the land left by their ancestors and come to Shanghai to earn money. I get this After the first report, I have also contacted other places, and this situation is very obvious around major cities. Many rural areas around major cities are in danger of collapse if this continues.”