Chapter 990 Finance and Expansion
In today's world, no one understands the role of financial hegemony more deeply than Li Fushou. It is a weapon that is more terrifying than aircraft, tanks and battleships. It can easily destroy a country's original social and economic order, plunder huge social wealth, bring down the government, paralyze social life, and decades of economic achievements are all lost.
As the war is about to face, the currency values of major countries in the world will fluctuate significantly, which is the best opportunity to promote Jinyang.
At the right time
The Ocean Empire will introduce the "Golden Ocean Purchase Act", which will be paid by the Jinyang to purchase materials from the Ocean Empire or the Pacific Security Alliance. All pounds, francs, marks, rubles, and yen are not easy to use.
The reason is ready-made to protect the legitimate rights and interests of merchants in the Ocean Empire and avoid exchange losses caused by violent currency activities.
Today's era
The pound, franc, gold and US dollar values are all pegged to gold, which is the so-called "gold standard". Among them, the pound values are the most strong. After a period of 60 years, there was no inflation and its purchasing power was amazing.
The francs and the US dollar are much inferior. After the war fails, they will always face a certain degree of downward fluctuation, judging by the ratio of gold and US dollars.
Before the Wool War, the exchange rate of 1 gold ocean to 2.5 US dollars was maintained, but after the war, it was 1:3 or even 1:3.2. Many American banks closed the channel for US dollars to gold, and had to declare bankruptcy under the surging residents' runs, which further exacerbated the weakness of the US dollar and severely damaged the credibility of the US dollar.
Say a thousand words
The government issued paper money with credibility and gold as guarantees. In order to raise a large amount of funds at the critical moment of the war crisis, the easiest way is to overprint money. Not only did the United States do this, but the Ocean Empire did this.
It is natural to say that if you win, there will be large amounts of war compensation, and the government can slowly recover excess liquidity. The crisis will naturally disappear invisibly under the jubilation of the whole country.
It would be a terrible loss. Both customs and finance are under strict supervision. Not only do they have to pay huge amounts of war compensation, but they also have to deal with the major problems of loss of currency reputation and excessive market liquidity. The exchange rate naturally falls, and this is the case in the United States.
Fortunately, the United States has been the world's number one economic power for many years, with a profound foundation, strong economic resilience, and excellent industrial and agricultural strength. It has endured the financial crisis after the war, which did not lead to the complete collapse of the US dollar. It maintained its exchange rate of 1:3 after the economic recovery.
If you change to a backward agricultural country, your currency value has long dropped so much that it is not even as good as waste paper.
So is it possible for the United States to compensate the victorious country by over-issuing currency?
This concern is completely unnecessary, because no matter in any war compensation contract, there is a purchasing power standard, which is the case with the francs and the US dollar, and only silver is not necessary because it is itself a precious metal and has strong monetary attributes.
The benefits of vigorously promoting "Jinyang" as a hard currency for international trade will not be revealed in 10 years, 20 years or even 30 to 40 years later. This is a long-term financial strategy and requires persistent efforts.
According to the current size of the Ocean Empire in international trade, under ideal conditions, if all of them are settled by Jinyang, it can account for about 12 to 13% of the world's total trade volume, of which 2 to 3% are contributed by the countries of the Pacific Security Alliance, and the Ocean Empire alone accounts for about 10% of the share.
The second important task is expansion, with the goal of New Zealand and Sumadara.
Needless to say, New Zealand is a fruit that has almost fallen into ripe and can be taken away by waiting for the right time and merged into the territory of the Ocean Empire.
Now is not a good time, and you have to wait, but this does not prevent you from doing your work in advance, such as further strengthening infiltration and controlling upper-class people, immigrating in batches in a planned and purposeful manner, and carrying out ideological preheating publicity, etc.
Once Europe starts to fight, the British Empire will inevitably be a global mobilization. Canada, New Zealand, South Africa, India, Sri Lanka cannot escape. In the arrogance of the British and distrust of the colonial indigenous people, the recruitment of white soldiers must be the first time the war.
With New Zealand's current small physique, 3 to 4 infantry divisions were recruited to basically kill all the young people in one go. As for how many people can come back after the war, it's an unknown number?
Li Fushou has been targeting Sumadara Island for decades. During the First East Indies War, due to his lack of strength and lack of ability to digest such a huge territory, he has been delayed to this day.
The strength and territory of the Ocean Empire are very different from those 30 years ago. According to statistics at the end of last year, the total population has reached 88.97 million, which has increased by more than 10 million people compared with three years ago. Two-thirds of them are the newborn population in the empire and one-third are immigrants.
The average age of the entire empire is 26.1 years old, and the age structure is very young.
The average annual natural birth population reaches 3.267 million, the average annual natural death population is 635,500, and the average annual net population growth reaches 2.631,500. Together with the million immigrants inflows each year, the net population growth target of 3.8 million to 4 million people can basically reach the net population growth target of 3.8 million to 4 million.
The total population of the Ocean Empire is almost the same as that of the United States before the Wool War, and it almost broke through the 90 million population mark.
Unfortunately, after the United States suffered a crushing defeat, it was dismembered into six countries, with a land area of 1/4 (the statistics do not include Alaska, because this part of the territory was sold voluntarily by the Americans and was not forcibly dismembered by foreign forces). The population size decreased by 1/3, and the total economic output permanently decreased by one third, which can be said to be a heavy price.
Looking back at Sumadara Island, its geographical location is extremely important. The Strait of Malacca, which must be guarded by the Eurasian Grand Channel, is an important geographical barrier that separates Southeast Asia and South Asia, and is also a very strategically important place.
If it is placed in the hands of a small country, it will not show any excellence.
If it is placed in the hands of regional powers, it would be amazing. The geographical location of the Ottoman Empire guards the Bosphorus between the Eurasian Channel. It is a gateway to the warm Mediterranean Sea and an iron chain locked on the neck of the Tsarist Russian Empire's navy.
After hundreds of years of history, the Tsarist Russian Empire and its subsequent inheritance have not been able to break this iron chain. They have always been locked firmly in the Black Sea and cannot become a character across the ocean. This is the power of the strait.
Some people say, didn’t the Red Navy once scattered across the world?
That was just a peaceful period. Out of awe of the world's powers, the countries that guarded this important maritime transportation route did not block the strait.
If during the war, before occupying the territory of the Ottoman Empire around the Bosphorus, neither the Tsarist Russia nor the Red Navy dared to take risks with its own fleet, it would be purely a search for death.
Even though it is as powerful as the British Empire, it is also bloody here in World War 1, which is a story later.
In summary
If New Zealand only meets Li Fushou's personal wish to monopolize Oceania, then Sumadara is a major power strategy related to the post-war pattern, which is of great significance.
As long as the island is occupied and the Strait of Malacca is controlled, strong enemies from far away from the Indian Ocean cannot threaten the empire and its surrounding territories. These include Borneo, Luzon Island, Shangri-La Island and Australia, all under the wings of security.
Strategically speaking
Once the world's powers occupy the island, they can embrace the entire Southeast Asian region in their arms and ask for it. When they are not satisfied, all trade channels will be blocked in minutes. Whether it is the Pacific channel east to North and South America, the Far East channel north to the North, and the Eurasian channel west to the West are all under control, which is equivalent to grasping the economic lifeline of Southeast Asian countries, which is amazing.
once Upon a time
The large flat-topped ship of the Rabbit Kingdom passed through the Bosphorus and was once seized due to navigation safety issues. Anyway, all kinds of eggs were picked and could not pass without permission, which could explain this issue vividly.
The Aceh War, which lasted from 1873 to the present, has been intermittent for 41 years. The Dutch colonists could not deal with the local indigenous people at great cost, and seemed a little discouraged.
Due to the influence of decades of war, hundreds of industries on the island have declined and agricultural production has been desolate. The Dutch burned crops on a large scale, implemented cruel killing and encirclement policies. Coupled with the harsh living environment and medical conditions, the population of Sumadala has dropped from the original 6 million to more than 2.3 million, a decrease of more than half.
So, you can harvest it with more effort.
In today's international turmoil, Li Fushou sets his important goals on finance and expansion, which is a cautious decision he has made for a long time. Anyway, it won't take long to take Europeans to fight to death, and no one can care about Asian affairs.
I want to tell a joke here; when a senior executive of Fusang answered the Emperor's inquiry, he once said that he occupied the Shenzhou Continent for three months, but in fact the war lasted for more than ten years.
Today's Germans also have such mysterious confidence. If the "Schliffen Plan" is implemented smoothly, the war will end in three months.
The plan formulated by former German Army Chief of Staff Schliffen, facing the two powerful enemies of France and Russia, is to put it bluntly a time difference.
The core combat concept of this plan is to take advantage of the shortcomings of the Russian army's poor mobilization and assembly ability after the outbreak of the war. It takes 6 to 8 weeks to form a more threatening heavy army group and fight a time difference.
The German army was the first to concentrate its efforts on the Western Front to defeat the French, and then turned around and dealt with the Russians. This is probably what Qi meant.
Unlike the original historical time and space, the German army is now equipped with up to 640 imported tank armored vehicles, as well as about the same number of homemade tank armored vehicles. The armored attack capabilities are already higher than those of the Ocean Empire Expeditionary Force during the "Wool War", which makes the Germans full of confidence.
The problem is that Britain and France are not good at it. While armored vehicles erupted in land wars, Britain and France have successively invested a lot of resources to research and develop their own armored tank technology and achieved considerable achievements.
Take France as an example only;
Drawing on the experience of using advanced armored tanks in the Ocean Empire, more than 10 types of tank armored vehicles have been developed, and legal cruiser tanks, cavalry tanks and reconnaissance tanks have been successively equipped with, with a total of more than 700 vehicles and a strong follow-up production capacity.
Britain lags a lot in this regard, but it also has its own armored tanks, but it is only funded by the Royal Navy to research. The Minister of the Navy Churchill made great contributions to this. It was the British tank he advocated and allocated funds to develop. The representative Mark One, Two and Three were successively equipped with troops, and the total production volume has reached more than 220 vehicles.
Therefore, the French are not as weak as they imagined, and the British are the same.
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Chapter completed!