Chapter 227 Issuing Banknote
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[227] Issue money
Xi'an, Zuo Zongtang also learned the news that the revolutionary army annihilated the five-nation coalition forces in World War I. For days, he was overjoyed. Every pair of subordinates said, "The rejuvenation of China is just around the corner."
When Yao Fan sent a letter again, Zuo Zongtang finally promised to complete the handover of northwest defense with the West Road Army sent by Yao Fan as soon as possible, and hand over the military power to Beijing to meet with Yao Fan.
In his reply, Zuo Zongtang asked Yao Fan to make the new camp officials treat Sanxiang Jian'er kindly. "All those who are unbearable can be repatriated".
Seeing that the world was under control, Yao Fan began to promulgate a series of new laws, including marriage laws and education laws.
At this time, the central government has begun to take shape, and various later ministries and agencies have been established and enriched one by one. With the power of radio, the decrees have been transmitted to various administrative regions at an unprecedented high speed.
The central provisional government in Beijing is also planning a plan for the founding of the country. In the busy schedule, Yao Fan can't get out at all.
In the current interim government, the army is all Yao Fan's direct troops, and the first secretaries of local governments are also born in the army, and the grassroots government is composed of representatives of peasant associations and military cadres elected by the people.
After several rounds of screening, the officials of the old Manchu and Qing regime confirmed that there were no * bad deeds and there were not many left. These old officials like the big waves were mostly from the origin of Jinshi. They stood out from the imperial examination by relying on their extraordinary learning ability, and they could not be able to do anything, so they had to do nothing. Beijing officials with oil and water,
Among these people, those who are rich and promising, after receiving the accelerated training of the Central Party School currently located in the former Taixue official residence, were selected by Yao Fan to serve as a civilian in the central government organs at all levels, serve as a secretary for the leaders of various ministries and commissions, and deal with the drafting of increasing cases and documents. Consider.
Because the speed of starting his career is too fast, Yao Fan currently has few cadres in his hands, so he relies heavily on the hematopoietic function of the Central Party School. At the same time, Yao Fan set up the first modern university in China, still borrowed the Tsinghua Garden of the royal garden as the venue, named Tsinghua University, and appointed an emergency call from abroad. Rong Hong served as the principal.
As the first student to study in the United States in modern Chinese history, and one of the advocates and leaders of official students studying in the United States, Yao Fan thought it was most appropriate to order him to run a university.
At the central government financial work conference, Yao Fan calculated an account for the cadres from all walks of life: "China's current arable land area is about 1.2 billion mu. Spring wheat, winter wheat, corn, sorghum and other crops are planted in the north, and double-season rice is planted in the south. The annual grain output is estimated to be 360 billion catties. After the comprehensive land reform The government collected 15% of public grain, about 54 billion catties, roughly based on the wheat flour rate of 80% and rice rice rate of 65%, which can get about 36 billion catties of refined grain.
According to the average price of refined grain in previous years of 50, you can get 1.8 billion yuan, which is calculated at the high price of 2,000 yuan and one taels of silver, and the discount is about 900 million taels!"
After listening to Yao Fan's rough calculation, Wang Gui, the current Minister of Finance, said excitedly, "That's exactly what it has increased by about 18 times compared with the fiscal revenue of 40 to 50 million taels in the Qing Dynasty, even if it does not include industrial and commercial taxes and tariffs! Just a transformation of the national system can enhance the national strength so much, and the significance of the revolution is beyond doubt!"
Li Hongzhang, as the chairman of the Chinese People's Political Consultative Conference, was invited by Yao Fan to attend a financial work conference. Since he shaved his braids, he chose to comb his hair back into a big bag and always shine with osmanthus oil. Hearing that there is so much fiscal and tax income, he also praised: "This is the great power of the revolutionary government. If Shanghai tariffs are added, industrial and commercial taxes will be levied next, and the rest of the mineral tax will be donated, won't it add up to 1 billion taels! The national strength has increased 20 times, and there is no foreign affairs office in the country! China's great rejuvenation will start from Chairman Yao!"
Immediately, some cadres in the venue waved their fists excitedly and shouted: "H Long live Chairman Yao!" Long live the Chinese Party!"
For a while, the cheering slogans sounded, and more than a dozen cadres at the meeting applauded and nodded.
Yao Fan also applauded everyone's excitement for a while, and then motioned everyone to be quiet and calmly said, "According to the exchange of four taels of silver for one pound, this is 250 million pounds. Did you know that last year, Britain's fiscal revenue exceeded 100 million pounds, which was originally more than 400 million taels of silver, about ten times that of the Qing Dynasty. Now we have surpassed the UK in fiscal revenue through only one social system leap!
Now everyone knows why the Qing government can never defeat Britain. The Qing Dynasty is not a government in the modern sense at all. The continuation of that decadent system will only make the gap between China and the world's powerful countries wider and wider, and even be soon surpassed by a latecomer country like Japan. Japan Last year's fiscal revenue has been close to 30 million taels of silver. With the development of Japan's foreign affairs movement, industry and commerce took off quickly. For 20 years, he can easily surpass the Qing Dynasty. At that time, China is bound to encounter a disaster.
The cadres quietly listened to Yao Fan's speech. Even if they were so disapproving, they immediately gave up their thoughts. Now their worship of Yao Fan has reached the extreme, and there is no doubt about Yao Fan's words. In their eyes, Yao Fan is a great strategist and an unsurmountable divine welfare.
Yao Fan moistened his throat and continued: "With the sudden increase of government revenue by 20 times, the direct investment of the central government is bound to increase sharply, but the amount of silver in China has not changed at all. The circulation of money is bound to be extremely tight. The domestic price of silver will definitely skyrocket, and the price of grain is bound to be large. If it falls, farmers' interests will be seriously damaged, and there may be large-scale deflation in the market. If our market is open, then this extreme deflation is simply a big purchase for overseas capital.
This situation is intolerable for economic work!
Comrades, currency is the embodiment of social wealth, and whether it is the gold standard or the silver standard currency issuance system, it is a means to protect the wealth of big capitalists and an exploitation of the working people who create wealth. Gold and silver are in the hands of capitalists and bankers. The more wealth workers create, the more valuable the money linked to gold and silver is, which is a disguised plunder of the labor of the proletariat.
At present, the currency circulating in China is still silver, and China is not the main origin of silver, so we can't put enough silver according to social needs. We can only import it from abroad. Since the middle of this century, the Western world has given up the silver standard and switched to the gold standard one by one. They have enough Silver, but they will never easily flow to China and contribute to China's solution to the problem of deflation. As a precious metal, silver has always been a hedging reserve for Western millionaires and bankers. Once they find deflation in China, it will only make them decide to control the price of silver in their hands to seek more from China. Many benefits."
After Yao Fan finished speaking, everyone suddenly realized and thought about Yao Fan's speech. Those who attended the meeting were the backbone of Yao Fan's current financial work, and none of them were stupid. In addition, they had studied various economics and accounting pamphlets issued by Yao Fan. Yao Fan's words were so simple and clear that they immediately understood.
He Wannian, Minister of Trade, nodded: "The central government previously issued silver dollars to regulate the use of silver. Through processing, 26 grams of silver was replaced by a tael of silver, which can increase the circulation of money."
Yao Fan said: "This method is not a long-term solution. Although it can relieve the pressure of currency shortage in a short period of time to a certain extent, this method has no fundamental solution to our lack of silver and is not a long-term solution."
Li Hongzhang said, "What do you think the chairman should do to solve this... deflation? If silver prices really skyrocket, then cheap rice will hurt farmers, which is really unfavorable to the people. If the people don't have money, it will be more difficult to sell industrial products.
Yao Fan said, "That's right, so I decided to issue money."
Li Hongzhang felt awe of his heart and said urgently, "Is money?!"
Li Hongzhang has always felt that Yao Fan deliberately wanted to mess up the Qing Dynasty through Li Jingshu's method of issuing money.
Li Hongzhang once carefully thought about issuing money and felt that it was a corruption. Only when the national finance is unsustainable and eager to fill the hole can he use it bravely. If the country's issuance of banknotes becomes the norm, the country can earn interest as long as it deposits * in the bank. Even if it recovers * in the coming year, it will make net interest. The more money you issue, the more you earn. It is simply the first corruption to quench thirst and harm the people by drinking poison.
Yao Fan nodded and said, "It is the issuance of banknotes. We set up a state-owned central bank with the silver in our hands as a reserve and issue *, which is called RMB. The value of one yuan corresponds to one or two pieces of silver, and exchange * for silver in the market. The more silver reserves we have, the more * we will issue.
At the same time, we take the government's fiscal revenue next year as collateral. For example, we estimate that next year's fiscal revenue will be 1 billion taels of silver, that is, 1 billion yuan. Then we will issue a 700 million yuan of treasury bond to the central bank on the basis of integrating inflation and discount, 70% of next year's fiscal revenue as collateral. The central bank And it can issue 700 million yuan.
Part of the 700 million yuan issued by the central bank is paid to the Ministry of Finance as a source of central investment and government operating funds, and the other part is lent by the central bank to state-owned commercial banks to promote private investment.
In this way, we have completed the great project of holding the pricing power of currency in the hands of the country. Western banking groups will not be able to manipulate the trade of silver and gold with China to manipulate the circulation of silver and gold in the Chinese market to control the value of China's currency.
From now on, China can be economically independent and get rid of any foreign financial risks in the world.
And by adjusting the currency circulation, we can effectively control inflation and prevent bad events such as rice hurting farmers in the market. And can the country also use credit instruments as leverage to obtain more disposable funds and invest on a larger scale?
As for the length of our treasury bonds, of course, we should also compare the industry construction and profit cycle invested by the state to prevent national investment from losing money.
Because our country is a socialist country, and the central bank and state-owned commercial banks belong to the state-owned assets of the people, the interest income obtained by the central bank and major banks are also the income of the state finance. This money can be controlled by the state, and it is very easy to destroy, so it can effectively reach the currency. Control.
As for the anti-counterfeiting of *, we are setting up special paper factories and printing factories to ensure that no one can imitate fakes. As for the cost of printing banknotes, I have to say that it is lower than the silver dollar manufactured by the mint.
The cadres at the meeting took notes, and their worship of Yao Fan was even more in their hearts.
Li Hongzhang was stunned when he heard it. He felt that it was broad and profound, and there must be many ways. For a moment, he admired Yao Fan more.
"Chairman Tianzong Wizard, if it can really realize the management and control of money in this way, this policy is comparable to the unified weights and measures of the First Emperor!"