GBP Chapter 483 Is a cash shortage a good thing?
Chapter 483 Is a cash shortage a good thing?
Yang Shaofeng has been a bit annoyed with Emperor Zhu lately.
The main reason is that Zhu Chongba, this old man, has become less and less distant lately.
As a father-in-law, it's one thing if he doesn't know to offer some gold coins.
The problem is, you old man, you just stay in Dengzhou Prefecture every day, is that reasonable?
This is outrageous.
You're the emperor of the Ming Dynasty, so you should be treated like a beast of burden in the capital.
If you're really bored and have nothing better to do, you could also go and catch a few corrupt officials to make scarecrow figurines.
Instead of staying in his own territory and going out for a stroll like an old farmer when he has nothing to do.
Now it's even more outrageous. This old man wants me to give him advice, but he's unwilling to offer me the Little Dragon Ball as a bribe.
Is this how a father-in-law should act?
Yang Shaofeng was displeased. After thinking for a moment, he cupped his hands and said, "In my opinion, the money shortage is nothing more than some scoundrels who eat the rice and then curse the pot when they put it down, smuggling paper money and coins out of the country."
"The way to deal with these kinds of people is naturally to arrest those who should be arrested and kill those who should be killed."
"Including those rebellions, these people may also be involved."
Emperor Zhu glanced at Yang Shaofeng and sneered, "Stop talking nonsense with us."
Are you asking how to deal with these people?
"We're asking how to solve the cash shortage."
After pondering for a while, Emperor Zhu added, "If you have any good ideas, please tell me quickly. Only after we have dealt with all those people can their relatives be sent to Dengzhou Prefecture to do hard labor."
Is there hard labor?
Since there is hard labor, it doesn't matter whether there is a Little Dragon Group or not.
In the end, it is still my father-in-law who knows what I, his son-in-law, think and is anxious about what I, his son-in-law, am anxious about.
Thinking of this, Yang Shaofeng cupped his hands towards Emperor Zhu and replied, "Your Excellency, I believe this is a good thing."
Emperor Zhu blinked, hummed in agreement, and said, "Tell me about it."
Yang Shaofeng said, "Reduce the minting of Tongbao coins and print more Baochao coins."
“Reducing the minting of Tongbao coins can decrease the outflow of copper coins, and the saved copper can be used in other places.”
"By printing more paper money, we can use those people to exchange for more gold and silver from overseas."
Upon hearing this, Emperor Zhu couldn't help but glance at Yang Shaofeng in surprise.
That scoundrel once wrote a memorial to the throne, in which he wrote down some important points about the precious paper.
For example, the relationship between reserves and the issuance of new paper money.
For example, consider the relationship between denomination size and circulation rate.
It may still be lacking in many details.
However, in terms of the overall direction, even Li Shanchang and Liu Bowen could not find any fault with it.
It can be said that the issuance and operation of the precious paper were based on that memorial.
Based on this, the issuance of paper money was always backed by the gold, silver and copper coin reserves in the national treasury.
If it weren't for this reason, Biao'er could have simply had more paper money issued, instead of sending Wang Qiong to Dengzhou Prefecture again.
Thinking of this, Emperor Zhu simply snorted and said, "Directly issue more paper money? What about the reserve requirements and the problem of bank runs?"
Yang Shaofeng said, "Issue more directly, based on the amount of banknotes that are missing from the market."
"In addition, we will issue an extra amount of paper money for each vassal state."
"Put it out in the open and let them exchange it for real money."
"As for the part that was missing before..."
Yang Shaofeng sneered and said, "With the border market here, no matter how much they've taken before, they'll all have to swallow it back in the end."
Upon hearing Yang Shaofeng's words, Emperor Zhu immediately became interested.
Emperor Zhu looked at Yang Shaofeng and asked, "Tell me in detail?"
Yang Shaofeng chuckled and said, "The reason those people smuggle paper money and coins abroad is simply because the various vassal states need paper money and coins."
"From His Highness's letter, it can be seen that the greatest demand is for paper money, while copper coins are ranked second."
“Those who smuggle paper money and coins abroad must add a portion of profit to the original face value of the paper money and coins.”
"However, the additional paper money and coins issued to each vassal state can be exchanged at face value."
"In this way, those people will have no market for their paper money and coins."
Emperor Zhu hummed in agreement, and after careful consideration, asked, "Then tell me, why are the various vassal states hoarding paper money and coins? It seems they have no other use for them besides using them at the border markets?"
Yang Shaofeng curled his lip and said, "Suppose that the Koreans... the Gao Bang want to buy 10 million catties of grain from Champa, it would cost 70,000 taels of silver according to the market value."
"That's equivalent to over four thousand catties of silver."
"It would be better if we used a boat, as it could fit everything in one boat."
"But what if... Korea doesn't have that much silver?"
"Or rather, is Champa willing to acknowledge the value of the money from Korea?"
"vice versa."
"Champa is unwilling to acknowledge Goryeo's money, and Goryeo may not acknowledge Champa's money either. Siam may not want Burma's money, and Burma may not like Ryukyu's money."
"If we use other goods, how to price them and how to transport them will be new problems."
“If we use paper money for settlement, these problems can be easily solved.”
"Therefore, they need a settlement currency that everyone can trust."
"But now the Ming Dynasty is promoting paper money, and the use of gold and silver is not allowed in the border markets."
"That's why they hoarded paper money and Hongwu Tongbao coins."
At this point, a smirk appeared on Yang Shaofeng's face: "Of course, another reason is that they want to bypass the border market and conduct trade privately."
"After all, the pricing power at the border markets is in the hands of the Ming Dynasty."
“These barbarians must also want to make more money on the side.”
After all, no one is a fool.
Although no one dares to truly abandon the border markets, no one would complain about having too much money.
For merchants and even envoys from various vassal states, border trade was a must, as it was a task assigned by the Ming Dynasty.
Trade outside of designated trading areas is driven by instinct, a desire to make money for oneself.
The tragic thing is that even though the merchants and envoys of these vassal states knew that the paper money was essentially just a piece of paper, they had no choice but to accept it.
Because the Ming Dynasty recognized the monetary nature of paper money, paper money was essentially money.
In contrast, there are gold and silver.
No matter how much gold and silver are hard currency, their use is prohibited in the Ming Dynasty's border markets, so hoarding more gold and silver is of no use.
This gameplay is actually quite similar to Knife Fun.
Why is Dao Le associated with gold, to the point that it's called "American Dollar"?
Because the US was indeed quite powerful back then.
As the United States' power begins to decline, Dao Le's status in the martial arts world will naturally be affected.
However, Dongda University has once again pulled off a move of issuing debt in the west to the east.
This could lead to a rather absurd scenario: one day in the future, the United States might no longer exist, but the "Drug Club" and "American Debt" would still be operating normally with the support of the University of Tokyo.
Therefore, as long as the Ming Dynasty has not shown any obvious signs of decline, these vassal states will desperately try to hoard banknotes.