The War Court and Lap Pillow, Austria's Mandate of Heaven

Chapter 1615 The French Investment Fever

Paris Stock Exchange, France.

With the official listing of the railway company connecting Paris to Le Havre (a port in northern France), the Paris Stock Exchange has listed eighteen railway companies in less than two years.

This pace was even more frenzied than when the Orleans monarchy decided to build railways on a massive scale. According to the design at this time, the density of the future French railway network would undoubtedly exceed that of the German region.

Compared to the stagnation of railways in Britain and the steady progress of the Austrian Empire, railway stocks in France were unusually frenzied.

"Daily trading volume has exceeded ten million francs, and steel prices are also rising due to the influence of railways."

Baron Moussari, France's new finance minister, said this as if taking credit for his achievements.

Napoleon III nodded in satisfaction; all his lobbying efforts had paid off, and the railway was finally about to take off.

The Perel brothers' Crédit Movables and the Rothschild family were among those involved in his New France plan. In addition, the French were very patriotic, and after Napoleon III said that building railways was for the sake of the motherland, the French went crazy and spent money.

The railway company's madness was just one flashpoint in Napoleon III's economic policies. Under a multi-pronged approach to reform, the French economy had already shown significant improvement, with strong domestic demand, a strong willingness to invest, and a nation that was hardworking, creative, and patriotic. There was no better nation than this.

"All railway and steel companies are reporting booming business; money is responding to your reforms with the loudest songs."

The new French Finance Minister, Baron Moussari, kept flattering him. Although Napoleon III knew that the other party was just flattering him, he couldn't help but feel a surge of pride. He walked to the window, where the straight avenue outside was pleasing to the eye, and it was also his doing.

Several years of peace allowed France to recover much of its strength, especially the recapture of several colonies, which boosted national morale.

Although France suffered a setback with Lyon silk, its overall income continued to increase.

A sound wave came from afar, but it was neither the sound of church bells nor the drumbeats of an army; it was the huge buzz of a stock exchange listing a company.

The number of companies in France is growing rapidly, and wealth is accumulating quickly. Especially since Britain has been unable to escape the shadow of the economic crisis, and capital never lies dormant, it naturally chooses France.

From 1849 to 1853, British investment in France quadrupled, while investment in Britain itself experienced a year-on-year decline.

This is also the key to the rapid economic take-off of France in a short period of time. Napoleon III returned to his seat, his expression returned to normal, and he leaned forward slightly with his hands on the table.

"The Austrian Empire is eyeing us covetously, three rebel groups are preparing to make their move, the Russians are looking at us askance, and the British seem to be our friends, but let's not forget who brought us a century of humiliation in the Hundred Years' War!"

France cannot lead Europe with just an army and bayonets. But it is absolutely essential; we must not be complacent about our current achievements.

That's not enough! We must be able to deliver our guns to any location across the country!

"Yes, Your Majesty. We will do our best!"

Baron Mossari wiped his sweat as he spoke, unsure whether it was due to the heat or because he was frightened.

After much hesitation, Baron Mossari finally spoke.

"But Your Majesty, I must remind you of something. While the collapse of the British economy is somewhat related to investment in real estate, the real culprit that triggered the chain reaction was the overheated railway sector and the fact that railway revenues were not meeting expectations."

Baron Moussari was a banker and economist who, although recommended by a powerful interest group, prioritized the interests of France. Napoleon III, having encountered many economists over the years, was well aware of the lessons learned from the British experience.

"You are the French Minister of Finance. Your task is not to be a prophet, but to safeguard the interests of France."

Railways are the lifeblood of a nation, while the common people, clerks, minor nobles, and greedy bankers and speculators are merely the necessary fuel for the nation's progress.

do you understand? "

Napoleon III was clearly aware of the bubble, but he was prepared to make all of France, and even the foreign investors, bear the cost together.

"Yes, Your Majesty."

Baron Moussari's forehead was covered in even more sweat, but he still admired Napoleon III. After all, it was not unusual to make the public bear the burden of the bubble, but Napoleon III made the domestic conglomerates and foreign investors bear it together.

This will not only face domestic resistance, but will also ruin public goodwill, just like the Americans did.

Of course, the benefits and value of railways are undeniable, and Baron Mossari had visited various European countries many times, so he had a full understanding of the power of railways.

Putting aside other factors, if France's railway network is completed, the economic cycle of many industries in France will be shortened to one-sixth or even one-tenth of its original length, which is remarkably efficient.

Napoleon III's words were frightening, but he could not possibly betray the forces that supported his rise to power; what he had just done was merely to express his determination.

Before the bubble burst, Napoleon III would make sure his side got out as safely as possible. Not only did he know this, but almost the entire upper class knew it was just a bubble.

However, almost no one would refuse what is presented to them; it's just a matter of who ends up in the game of musical chairs.

British investors, too, are not foolish enough to believe that the British railway boom will trigger an economic crisis, while the French railway boom will not.

The reason why French investment is so popular is mainly because the Austrian Empire's departure tax is too outrageous. Unless you plan to become an Austrian citizen, no one will invest in the Austrian Empire.

Influenced by the Austrian Empire, countries in the German region generally erected financial walls. While these walls reduced investment from other countries, they were beneficial for stabilizing the regional economy.

Of course, as an ally of the German Confederation, the Austrian Empire had plenty of ways to evade departure taxes.

The booming French capital market was indeed beyond Franz's expectations; he could only marvel at the French people's solid financial foundation.

However, Napoleon III's large-scale construction projects were a good thing for Franz, as they greatly reduced the likelihood of France entering the war.

The French people do not have unlimited energy; if they want to focus on construction, they are unlikely to have enough energy to train an army for war.

At least the French budget wouldn't allow it; the money they used for construction couldn't be used for war.

Although the Austrian Empire might also be operating on two fronts, this inevitably brings to mind Franz's monetary reforms. Even if war broke out, the Austrian Empire would have the support of the German Confederation as its rear base.

Of course, Franz would welcome anyone who wanted to take over this important rear area. After all, even ants can kill an elephant if there are many of them, let alone a whole bunch of countries.