Beiyang reactionaries

"Our reason?"

"Correct."

Duan Xun smiled.

After the 21st century, there is a saying that the things produced in China will become the price of cabbage, and the things China needs will be sky-high prices.As long as China can produce, those industrial products will soon become the price of cabbage.But what China needs, the price will skyrocket.

what is the reason?

Because China is too big.

Once China produces something, the volume is huge right away.The influx of so many products into the market will of course quickly depress the market price of the products.

But again, China is too big, so once China has demand for something, the demand will not be of the same order of magnitude as those small countries.So immediately there will be a shortage of supply, which will immediately raise the prices of these things.

The same is true now.

Of course China today cannot compare to China's economic status in the world in the 21st century.But now China is still a big country that cannot be ignored.In terms of population ratio, China's current population accounts for nearly one-third of the world's population.This population ratio alone shows how big China is.

Duan Xun already understood what Dai Kan meant.

During the Great Depression in history, the only big buyer in the world was the Soviet Union.During the Great Depression, 60% of the world's machinery and equipment exports were bought by the Soviet Union.For example, 90% of the machinery and equipment exported by the United Kingdom were purchased by the Soviet Union.The Soviet Union was the biggest buyer during the Great Depression, and many capitalists in Europe and the United States actually needed to "curry" the Soviet Union.

But not now.

China is also a big buyer, even bigger than the Soviet Union.Not to mention the gold reserves used by China are worth more than one billion US dollars.China's annual export volume alone is not comparable to that of the Soviet Union.

Don't look at the current world economic crisis, which has seriously hit China's exports.But even so, China's annual export volume can exceed 5 million U.S. dollars.Because China began to export food in exchange for a large amount of foreign exchange.What is the money for, most of it is used to buy machinery and equipment.

That is to say, in the second five-year plan, China's export volume will reach nearly 30 billion US dollars within five years.Adding in the use of gold reserves and loans from European and American countries, it is no problem for China to purchase machinery and equipment worth US$50 billion in the Second Five-Year Plan.This scale is far more powerful than the Soviet Union spent nearly 30 billion US dollars to purchase European and American machinery and equipment in history.

This is the real big buyer.

But when China also participated, it was not so easy for the Soviet Union to import machinery and equipment.It's not that there is no machinery and equipment, as long as there is money, European and American countries can provide a large amount of machinery and equipment you want.Because the current situation in European and American countries is overcapacity, there is no market for production.

The main problem is money.

The Soviet Union lacked funds, so it borrowed from European and American financial institutions and exported a large amount of grain regardless of the actual situation in the country.But the current situation is that the exports of the Soviet Union and China overlap too much, resulting in a sharp drop in export revenue, which has dropped by more than 70%.In addition, due to the participation of China, a big buyer, the prices of machinery and equipment exported from European and American countries have begun to stabilize, and some have even begun to rebound. As a result, many plans formulated by the Soviet Union could not be completed.

Some large projects suddenly faced a shortage of funds.The export income of the Soviet Union has plummeted, but the prices of machinery and equipment have begun to pick up. This has caused the Soviet Union to suffer from a serious shortage of funds.

"Release the news that our country wants loans, and let European and American financial institutions know."

"But so..."

Dai Kan hesitated, and said: "If we do this, we will compete with the Soviet Union for loans from European and American financial institutions. Originally, European and American financial institutions came to us for funds and hoped that we would borrow money. But once we take the initiative, then during the negotiation You can’t get much discount.”

"From the time we started contacting European and American financial institutions, the news will spread throughout the European and American financial circles. Since this is the case, we have made a bold announcement and have direct contact with those financial institutions. At the same time, we have told European and American countries that we can provide more orders. It will prevent the Soviet Union from financing smoothly, and even if it does, it will greatly increase their financing costs. If the Soviet Union is allowed to follow the current steps, they will soon be able to complete industrial construction and become an industrial power. This is not good for us."

In the prime minister's office meeting, Duan Xun didn't hide it, and directly expressed his point of view.

The strength of the Soviet Union is not good for China.Duan Xun is very willing to obstruct the construction of the Soviet Union.Suppress their exports first, and then suppress their financing channels.As long as their capital scale is suppressed, they will not be able to import a large amount of machinery and equipment as in history.As long as they cannot import a large amount of machinery and equipment as in history, the Soviet Union will not be able to complete the first five-year plan as in history.Many things are wrong step by step, slow step by step.

If the first five-year plan of the Soviet Union cannot be as strong as in history, it will also affect the second five-year plan.The Second World War will consume a lot of the strength of the Soviet Union.

This is good for China.

"it is good."

What is here is what determines the direction of China.Everyone understands what Duan Xun means. As China's neighbors, the Soviet Union and Japan are the most dangerous to China.

Although there are many cooperations between China and the Soviet Union and between China and Japan, we still need to be on guard against them, and we still need to avoid stumbling blocks.Everyone understood what Duan Xun wanted.

542

After confirming the First Five-Year Plan to suppress the Soviet Union, everyone discussed how to proceed.And also discussed some issues of Sino-Soviet relations.

The Soviet Union is a problem that China cannot avoid.

It is really because there are too many historical grievances and grievances between China and the Soviet Union, and the border line is too long.Although the Soviet Union's strength in the Far East is insufficient, logistics is also relatively difficult.But as long as the Soviet Union is willing, there is no problem in deploying millions of troops in the Far East.With the strength of the Soviet Union, tanks and aircraft can be deployed in the Far East, which poses too great a threat to northern China.Therefore, how to deal with the issue with the Soviet Union must be carefully considered for China.

Moreover, there are too many problems left over from history between China and the Soviet Union.

It cannot be resolved.

"Prime Minister, the Ministry of Commerce recently gave a suggestion to the Economic and Development Commission. They hope that our country can continue to open up some cities, make more cities commercial cities, and allow more cities to directly accept foreign investment."

"Be specific."

After discussing the Sino-Soviet issue, Liang Huankui, head of the daily affairs of the Economic Development Commission, reported on behalf of the Economic Development Commission.Of course, the topics that can be discussed in the Prime Minister's Office Meeting are basically approved by the Development Committee, or are hotly debated by the Development Committee.

Proposals that have been rejected by the Economic and Development Committee, or some simple things are impossible to discuss in the Prime Minister's Office.

"This crisis has hit European and American countries hard, causing their industrial output to drop sharply, and their economies have been hit hard. At present, European and American countries are very inactive in investment due to the economic crisis. However, this does not mean that European and American countries have no money, but the current The situation is hibernating a lot of cash and not being able to find investment targets."

Duan Xun nodded.

Duan Xun had already received a report on this as early as the last meeting.Financial institutions in European and American countries have money in their hands, but they are pessimistic about the current European and American economies.Therefore, they couldn't find good lending projects or investment projects for a while, so they focused on China and the Soviet Union.

Very active in contact with China and the Soviet Union.

It is hoped that China and the Soviet Union can lend money.

The industrial countries in Europe and the United States have accumulated a lot of wealth over the past few hundred years.Not an economic crisis.It's just that the economic situation is not good now, so all the money is kept in their arms.In times of economic crisis, whoever has a lot of cash will be able to survive.

"Since a lot of funds are not flowing at present, our country should actively guide this part of the funds into our country. Prime Minister, government loans and government investment are one aspect, and the activation of the private economy is another aspect. Let more cities become commercial cities, Letting go of more foreign direct investment in cities will allow many foreign businessmen with capital to invest in our country. Once more foreign capital can be attracted, it will not only supplement our country's foreign exchange shortage, but also bring investment to the local area and contribute to the local economy. Bring projects. And if these foreign businessmen invest directly, they will directly bring their technical teams from European and American countries, and they will also be able to develop my country's industrial technology from the side."

Great opening to attract investment.

Duan Xun understood what the Ministry of Commerce meant.The Ministry of Commerce hopes that China will be more open, especially in the economy.At present, China's trading cities are limited.

Although it includes most of the big cities, the scale of Chinese cities has expanded rapidly in recent years.It used to be a small city with a population of more than 20.However, with the growth of the urban population in recent years, cities with a population of more than [-] are everywhere.At present, China's urbanization has reached about [-]%.That is to say, China's urban population has exceeded [-] million.

Moreover, with the development of transportation, some cities in transportation hub areas have begun to follow suit and quickly become regional cargo distribution centers, driving the development of surrounding areas.

There are more and more cities like this.

At present, in terms of local positioning in China, rural areas are basically not within the scope of the market.Because most of China's rural areas do not have much purchasing power at present, that is, they are at the stage of being able to solve food and clothing.The government's positioning for the countryside is also very simple, that is, food production.As long as grain production can be completed and enough public grain can be delivered, the economic government in rural areas will not interfere much.

China's current market is mainly urban.

Because with the development of the city, many places need investment.However, because the government funds are invested in large projects, although the currency is flooding, the private sector still lacks funds.

Especially those cities that are in urgent need of development are in great need of investment.

Therefore, the Ministry of Commerce hopes to expand opening up and introduce foreign capital.Allow foreign businessmen to invest directly in cities that are in urgent need of funds.In this way, with the funds of foreign businessmen, those cities that lack funds can be greatly supplemented.Can quickly promote the development of the city.If we say that during the Opium War, Chinese cities passively became trading cities.Well, as China slowly integrates into the world, the Chinese government is now taking the initiative to open cities to become commercial cities.

Except this is foreign exchange.