Pioneering

The laws of economics will not become invalid just because Zhong Ming is in the world of Zoya, and the principles have something in common.

The economic development of the Kingdom of Yashai will inevitably bring about a series of problems.

For example, common problems such as the polarization of the rich and the poor, resource exploitation and environmental protection, employment and unemployment, corruption and injustice, etc., have all appeared in the new Yashai Kingdom.

Among them, the polarization between rich and poor has the most extensive and far-reaching influence.

"I can conjure up mountains of gold and silver with my divine power, and flatten green mountains and rivers, but I still can't change the mountains in people's hearts." ——A God of Wealth who issued super-money.

In the world of Zoya, there is such a fable among the nobles:

Once upon a time, a king was about to go on a long journey. Before leaving, he handed three servants a bag of gold coins each, and said: "You go to business, and come to see me when I come back."

After the king came back.

The first servant said: "Master, I have earned ten bags of gold coins from the bag you gave me." So the king rewarded him with 10 cities.

The second servant reported: "Master, I have earned five bags of gold coins from the bag you gave me." So the king rewarded him with five cities.

The third servant reported: "Master, I kept the bag of gold coins you gave me in my handkerchief. I was afraid of losing them, so I never took them out." So the king ordered the third servant's gold coins to be rewarded to the first servant. .

The king said: "Whatever is small, even what he has, will be taken away. What is too much, will be given to him, and the more the better."

The strong get stronger, and the weak get weaker.

The rich have nowhere to stand, and the poor have no place to stand.

This is the famous "Matthew Effect": Any individual, group or region that succeeds and progresses in a certain field (such as money, reputation, status, etc.) will have a cumulative advantage and have more opportunities achieve greater success and progress.

Exposes the prevalence of polarization.

In a market economy, the birth of the business cycle is closely related to the Matthew effect.

After the Kingdom of Asshai entered the industrial age, the improvement in production efficiency would lead to a small number of rich people accumulating wealth far faster than in the non-industrial age.

The speed of polarization between rich and poor will naturally far exceed that of the agricultural era.

In the past four years of rocket-like economic development in Yaxia, the rich are getting richer and occupying more and more resources.

But no matter how extravagant these people are and how much they consume, the number of people is very small after all, and it is difficult to support the huge demand corresponding to industrial production capacity.

The dividends of economic development shared by the poor and the weak are limited. In the high inflation of economic development, they are unable to accumulate any wealth, and their consumption capacity is seriously insufficient.

Ultimately sluggish consumption leads to—

Economic crisis of supply and demand imbalance.

And then lead to a series of paradoxical social phenomena.

Chaos and turmoil go hand in hand.

Is there a way to solve?

No.

desperate?
despair.

This is like the reincarnation of fate.

It is human nature to pursue wealth and desire for comparison. In a market economy, it is impossible to truly solve the problem of the gap between the rich and the poor, and it is even extremely difficult to alleviate it.

In the five years since the founding of Yaxia, the rate of polarization between rich and poor has surpassed that of any other country in Zhong Ming's memory.Even the 40 years of Blue Star Siris is far less rapid than that of Yaxia at this stage.

In the past four or five years, the rapid progress in productivity has brought about a rapid widening of the gap between the rich and the poor.

The first is the disparity between the rich and the poor caused by inflation.

Is there really someone who can turn stones into gold and can hold back not to issue more currency?
Although the currency issued by Zhong Mingchao is genuine gold and silver, it is actually just an ordinary equivalent in essence.

It's just that this equivalent is recognized by all human kingdoms in the Zoya continent, and can transfer a certain degree of inflation to the outside.

But it is undeniable that Yaxia has leaped from a feudal agricultural society to a productivity level close to the end of Bluestar's first industrial revolution, and inflation and monetary easing are quite severe.

Almost Zhong Ming will invest 1000 million to 2000 million more Yaxia gold dollars, resulting in a frighteningly high broad money supply M2.

Then there is the biggest killer that accelerates the polarization between the rich and the poor-real estate.

Especially after Zhong Ming hyped up the concept of "Wizard Tower".

Originally, Zhong Ming just planned to promote the concept of "Wizard Tower" among wizards, so as to harvest a handful of labor surplus from the group of wizards with the richest income and the largest surplus value they can provide.

For the concept of wizard tower, Zhong Ming sells materials (magic crystals, special metals, special minerals...), technologies (energy storage circles, defense circles, attack circles...), knowledge and manpower.

Zhong Ming doesn't bother to do such things as frying land.

For the primitive accumulation of capital, Zhong Ming can grab raw materials and markets, and dump them, but he will never play with land finance and self-exploitation.

But it turns out that the market really has spontaneity.

After Zhong Ming harvested the labor surplus of the wizards through the wizard tower, the group of ghosts and spirits in the market quickly learned to look good.

Many businessmen are finding that with the rapid economic development of Yaxia, land prices are also rising at a corresponding speed that is still under control.

But Yaxia’s productivity has progressed too fast. Without the political and economic accumulation of the Renaissance, the Enlightenment, and the Magna Carta, and without the germination of capital for hundreds of years, it has reached the level on the eve of the second industrial revolution in one step.

As a result, the rate of increase in land prices was comparable to any profit-making industry in the Yaxia market except the banking industry. Whether it was the textile industry, printing industry, steel... or smuggling, none of them could be said to be more profitable than investing in real estate.

At first glance, there are indeed many profitable businesses during the economic upswing, but the competition and risks are also high.

Investing in real estate seems to be a sure thing.

As a result, businessmen rushed to throw the hot money they earned into investing in real estate.

What's more interesting is that when these speculators saw Zhong Ming's operation of hyping up the "Wizard Tower" to harvest high-net-worth crowd wizards in Yaxia, they learned how to speculate in real estate without a teacher.

……

In the process of these speculators speculating in real estate, the financial attributes of real estate continued to converge, and housing prices skyrocketed all the way.

During the period of the Principality of Yige, a real estate with an area of ​​two to three hundred square meters in the old city of Chang'an near the central castle was sold for only about 3000 gold coins.Due to the difference in currency content and casting level, there may be differences, but the overall price is similar.

Before the Northern Continent War, the price of an ordinary one-family building covering an area of ​​more than 5 square meters in Chang'an New City had risen to 8 to [-] Yaxia gold dollars.

The overall increase is close to 2000%.

Housing prices in other big cities have also experienced rapid inflation ranging from 500% to 1000%, and even small villages and towns have experienced increases of 30% to 120%.

Even though the land is not scarce, such a miracle has been created, even Zhong Ming is astonished.

The conscience of heaven and earth, Zhong Ming really did not raise the price of ordinary residential houses by raising the price of land transfer.

He likes someone to save face.

Zhong Ming did not follow the Keynesian theory and use administrative means to forcibly control housing prices.

Because, policy means and boundless public power itself destroy market confidence and the economy.

Power, is addictive!
On the premise that it can be solved by economic means, it is better to use economic means.

What's more, Zhong Ming also wanted to mow down a wave of these bastard speculators, so as to give some vigilant thoughts to the latecomers.

'Ma Madi, I'm not ashamed to use land finance, how dare you cut the leeks I cultivated?I haven't cut it yet, so you deserve it too? Zhong Ming was furious.

Under such terrible inflation, the extremely serious polarization between the rich and the poor was temporarily suppressed by Yaxia's more extreme development speed.

However, hidden dangers of imbalance between supply and demand in an overheated market are still rapidly brewing and accumulating.

As long as the economy continues to take off, problems will remain under the radar.

But... Unfortunately, development has a bottleneck.

After all, the technological progress and market share in Yaxia peaked before the war, and the economic development slowed down.

Worst of all, war is coming.

As we all know, real estate is real estate, real estate!
As soon as the cannon rang, Zhong Ming didn't have the audacity to hijack public resources such as real estate, education, medical care, and transportation for such a mere concept. The housing price bubble was nothing but rootless duckweed.

Where can I still bear it?
What's more, even if there is a policy binding, it is still a car with the arm of the mantis, and it is useless to fight the fire with the salary.

The uncertainty brought about by the war has increased, consumer confidence has weakened, capital flow has been blocked, and the most critical property may be destroyed.The above-mentioned negative conditions are enough to destroy the housing prices under any policy protection.

As a result, the demand in the real estate market has plummeted, and the supply has also been impacted. It is not surprising that housing prices have fallen in an avalanche.

Insolvency, years of hard work and even the wealth accumulated by generations will be wiped out in one day.

Withdrawal of payment, foreclosure, lack of rent and a large debt owed to the bank, under high leverage, this real estate speculator can be said to never recover.

In Chang'an City, a large number of speculators jumped into the Tai'an River outside the city like dumplings...

Especially when Wiserd's army entered the western provinces and once entered the central provinces, the house prices dropped so much that even my own mother didn't even know it.

Suicide real estate speculators looking for a good place on the shore without being disturbed need to queue up for self-knowledge!
The business of salvaging corpses once exploded, giving birth to a group of rich and wealthy corpse hunters...

Now, the Chang'an contract is signed, the war is over, the territory has been greatly increased, and the markets of other countries have been forcibly pried open... Favorable conditions follow one after another, and all walks of life recover quickly and move towards a broader world.

It's just that these greedy speculators can't see this day.

After the speculators went bankrupt, Zhong Ming arranged for a newly established real estate leasing company under the name of the royal family to purchase the real estate that was foreclosed at a very low price.

Many front-line military upstarts have also joined the game of real estate speculation, and it is not easy for banks to ask their owners for debts while they are on the front line.

So after the new military aristocrats returned to China, the real estate market was also picking up under the economic recovery, and the house was still in their hands.

So apart from their nominal wealth shrinking, they lost money, but they had territory and rewards, and they were still within the acceptable range.

The vast majority of homebuyers for self-occupation have suffered a certain impact, but they have not increased their leverage too much, the war has not been dragged on for too long, the economy has recovered rapidly, and they have not fallen into the misery of speculators the point.

The tragedy of the speculators' ruined homes not only severely alerted the greedy and insufficient, but also destroyed most of the bubbles accumulated in the domestic market of Yaxia in the past four years, greatly reducing the gap between the rich and the poor and stimulating the vitality of the market.

It's a win-win.

But this is not enough.

Zhong Ming, who suffered from real estate in Bluestar, hated the house and black, and decided to settle the accounts properly.

Debts can never be repaid by death, but it is clearly stated in the Yaxia National Bank loan.

These speculators still owe a huge debt to the bank!

Of course, the bank's bad debts have been diluted by the dual effects of Zhong Ming's power to turn stones into gold and the benefits of the victorious countries, and they have entered the scope of resolvability.

But in name they did owe Zhong Ming a large debt.

How happy they were laughing at real estate speculators in the past, but now Zhong Ming is going to make them cry so ugly after they die.

Back then, you secretly cut the leeks that I carefully cultivated, right? Wait!
Coincidentally, Zhong Ming discovered Mirant, a potential lich, a race that is especially good at necromancy.

Isn't this God's will?
Hiring Mirante as a special debt collector of Yaxia National Bank will also allow this lonely little girl to get a valuable job, which will bring her the realization of the value of life and spiritual sustenance...

Presumably, those dead real estate speculators will also be relieved by this!
Zhong Ming also asked how Mirante was transformed into a Lich. Unfortunately, the confused Miss Lich did not give a clear answer.

According to Mirante, a Weizede soldier broke into her home, robbed her, murdered her father, and raped her in front of her mother. She resisted desperately and bit the soldier.

The soldier who tried his best but failed to succeed became enraged, hacked her and her mother to death, set fire to her and walked away.

She felt that she was already dead, and her consciousness in the ignorance and chaos felt the attraction of another world, and then suddenly her soul returned to her body, and she became a lich inexplicably.

She was lucky enough to have a second life. The hatred of exterminating the family inspired the potential of this lich body. Relying on the resentment of the corpses of a village of dead people as the foundation, she relied on the inherited memory and killing in her blood to absorb the soul. Power feedback, snowballing to become stronger.

The night before Zhong Ming found her, Mirante, who had slaughtered more than [-] Wiserd knights and acquired many high-quality souls, was promoted to the late stage of the second order.

Such a speed of promotion made countless people feel ashamed.

If Mirante hadn't told Zhong Ming that her power was rapidly promoted with the absorption of souls, and her consciousness tended to lose herself, Zhong Ming would have wanted to form a Lich Mage Corps.

Although he didn't understand the reason for her transformation, Zhong Ming was still confident that he could hold back.

After several days of persuasion, patient enlightenment, and the promise to help her find a solution to the loss of consciousness, plus Zhong Ming, who is the ruler of Assia, bowed down to apologize, Mirant finally took the job.

"Miss Mirant, liches don't need food and are not afraid of severe cold. It's great, but there must be some sense of ritual in life, right?"

"You are such a beautiful person, eh, Lich, is it appropriate to be dressed in such shabby clothes?"

"Everyone has the love of beauty!"

"You can barely be regarded as a strong person on the mainland now. Is it suitable to live in such a broken cave?"

"..."

Zhong Ming spent a lot of effort, and finally aroused Milante's desire as a human being, and agreed to go to Chang'an City to start a trial job.

"Anyway, it's not time to make a move for the time being. It's good to make some money first and help the compatriots in my hometown."

Just like that, Miss Lich followed Zhong Ming on the road to Chang'an City.

And the real estate speculators who sighed in the underworld and finally got their soul home, rejoiced for their rest, but didn't know what kind of fate they were about to usher in.

All the gifts of fate are secretly priced. (end of this chapter)