The Fourth Financial Crisis

Through Han Fulai and Su Cheng's explanations, Yang Lu finally figured out the whole story.

As the economic problems in Kyushu intensified, the Cultivation Chamber of Commerce responsible for maintaining the normal operation of the Cultivation World has experienced serious financial problems, and has even gradually threatened the normal operation of the entire Cultivation Society supply chain.

However, what is difficult is only the cultivation chamber of commerce and the low-level cultivators, not some wealthy capitalists.

Plutocratic oligarchs like the Han family and the Su family across Kyushu hold a large amount of Lingshi coins in cash, but it is certainly impossible for them to use their private wealth to fill the holes of the chamber of commerce and the sect.

Facing the gloom of the impending financial crisis, their idea is not to equalize the wealth and the poor, but to find ways to distribute the money in their pockets to ordinary people and down-and-out cultivators, attracting the poor to work harder for the cultivating capitalists, and also Or give personal money to chambers of commerce and sects to resolve financial crises, and instead work hard to find a safe haven and store your property in a safe place.

After all, in the eyes of cultivating capitalists, our own money has been saved by generations of hard work, so why should we distribute it to the poor? If you open a charity hall for them and keep them from starving to death, you can gain merit!

Due to the profit-seeking nature of capital, cultivating capitalists will never consider the damage that a financial crisis will cause to the entire society. What they consider is always the safest place to invest the little capital they have.

Although Zhongzhou has the largest economic aggregate in Kyushu, it is not safe for capital.

Lin Jianxing, the current leader of the Wuliang Sword Sect, has little knowledge of economic principles and often forcibly interferes with the market. For example, in order to support the war on the outlying islands, he requisitioned all the official roads around Haiya City to transport military supplies for no reason. This approach seems efficient. It was quite high, but it caused serious losses to Haiya City's normal trade.

Although the Haiya Department finally made up for this loss by making a fortune from the outlying island war through various corrupt means, Lin Jianxing's behavior of casually trampling on the rules still aroused the high vigilance of Cultivation Capital.

What capital values ​​most is the expectation of future profits from assets, and the future profit expectations of assets need to be guaranteed by rules. Therefore, what capital fears most is the destruction of existing game rules by those in power. In order to win the war on the outlying islands as soon as possible, Lin Jianxing could temporarily requisition the official roads of Haiya City built by private capital without any reason. If a financial crisis really breaks out in Zhongzhou in the future, who can guarantee that Lin Jianxing will not resort to extreme measures to divide the land from local tyrants?

So after Li Qingyang's death, Cultivation Capital began to vote with their feet to leave Zhongzhou.

In the final analysis, this is not a question of who is right or wrong between Lin Jianxing and Xiuzhen Capital. The world generally operates rationally. From the perspective of either party, everyone acts in accordance with their own interests.

In Lin Jianxing's view, he tramples on the rules of the game to achieve his own political goals, and Cultivation Capital votes with his feet to protect himself. Everyone is maximizing their own interests. However, this is often the rule of social operation. When everyone in society When members maximize their own interests, they usually drag the entire society into the abyss.

Truly great leaders are excellent legislators, not monstrous decision-makers. They are often able to unify personal interests and collective interests to the greatest extent through mechanism design, allowing organizations, countries, and civilizations to explode into astonishing consequences. Energy, without the existence of a system that can coordinate individual interests and collective interests, no matter how wise or powerful a leader is, he is doomed to fail.

The most brilliant rule-maker in the current Jiuzhou cultivation world is undoubtedly Tian Daxiao, the contemporary head of the Shenhuo Sect, the overlord of the Fire Cloud State.

Compared with Lin Jianxing's disregard for rules, Tian Daxiao understands very well what capital needs most. The economic reforms he promotes are almost all centered around protecting private property rights, directly poking at the pain points of Xiuzhen Capital, and he has tried every means. Create conditions for the return of overseas capital, and even be willing to withstand pressure from all parties and actively accept criminals and black money from other major states.

Because Tian Daxiao has the aura of "Governor Lu Yang's registered disciple" and "Stock God", he is naturally able to win the trust of capital, and Huoyunzhou has quickly become a safe haven for Kyushu Cultivation Capital.

As a large amount of capital poured into Huoyun State, the asset prices of Huoyun State began to continue to rise. As the large number of assets on hand continued to appreciate, the resources that the Shenhuo Sect could leverage also increased. As the strength of the Shenhuo Sect continues to increase, Tian Daxiao will be able to use the resources at hand to inject vitality into the Huoyun State economy and enhance social stability.

Cultivation capital is all about profit. If the economy of Huoyun State is booming, it will in turn attract more capital inflows, causing the asset prices of Huoyun State to continue to rise, which will in turn make the Shenhuo Sect stronger...

This is Tian Daxiao’s conspiracy:

By continuously making the pie bigger, the distribution problem within Huoyun State can be alleviated.

As a student of President Lu, Tian Daxiao's methods are undoubtedly very powerful. From the perspective of system design, attracting capital through the protection of property rights is also a strategic idea.

However, the problem is that the economic development of the cultivation world has long been stagnant. The bigger cake in Huoyun State is actually the smaller cake in the other eight major states. By attracting a large amount of overseas capital to Huoyun State, he has promoted Huoyun State. The state's economic prosperity has actually launched an invisible financial war, which has also deepened the economic and financial crisis of other major states.

Faced with Tian Daxiao's conspiracy, Lin Jianxing didn't even understand it, not to mention trying to figure it out!

And precisely because he saw through Tian Daxiao's conspiracy, Yang Lu had full confidence in Huoyun State's infrastructure assets.

Not only that, as long as the general trend of asset appreciation in Huoyun State gradually takes shape and enters a self-virtuous cycle, the dominance of Kyushu's economy will inevitably shift from Zhongzhou to Huoyun State. By that time, the most powerful people in the cultivation world of Kyushu will Capitalist Tian Daxiao would not have a problem even if he wanted to build another Lingshi Reserve Bank.

Facing the impending financial crisis, this is the solution given by Tian Daxiao!

Although Tian Daxiao's skill pattern is very amazing, in Yang Lu's view, he has not actually solved the most fundamental distribution problem in the cultivation world. Instead, he has built a Noah's Ark of cultivation capital in Huoyun State. The method of sucking blood to maintain the economic prosperity of Huoyun State is undoubtedly unsustainable.

As long as the inherent imbalance of distribution in the world of cultivation is not resolved, there will always be a day when the Jiuzhou cultivation world will be sucked dry by Huoyun State. By then, whose blood can Huoyun State absorb to make its own cake bigger?

Of course, this is all a long, long time later.

As Keynes said -

In the long run, we are all dead.

U.S. imperialism on earth has harvested global capital for hundreds of years by relying on the advantages of a system that highly protects private property rights, and it is still as stable as a mountain until now.

If Tian Daxiao can really use Huoyun State as a base, establish a highland belonging to cultivation capital, and transform the other eight states into colonies of Huoyun State capital, this new pattern may not last longer than Ye Lun and Bo The monetary system created by three generations of masters of economics, Nan Ke and Lu Yang, was even shorter.

In a sense, this should be the fifth-generation cultivation currency system planned by Tian Daxiao!