Huangming

Chapter 409 Trade Relieves Disaster, Precious Paper Money Re-plans

Before the first light of dawn appeared on the horizon, the sleeping quarters of Kunning Palace were still pitch black.

at this time.

Zhu Youxiao quietly opened his eyes, turned his head to look at Zhang Yan beside him, and found that she was still fast asleep.

He was afraid of disturbing the Empress, so he gently brushed aside the brocade quilt wrapped around his wrist with his fingertips, moving even more lightly than usual. He even deliberately slowed his pace when he got up, and only breathed a sigh of relief when he lifted the curtain.

The palace maids waiting outside the palace had already prepared clothes. When they saw the emperor come out, they quickly and quietly stepped forward, offering him a warm handkerchief to wipe his face, and then handing him a black casual robe with a silver fox fur collar.

February mornings are still chilly, but this everyday garment, lined with soft cashmere, is very warm.

Zhu Youxiao let the palace maids dress and tie his clothes, but his gaze kept drifting towards the bedchamber. He only felt completely at ease when he heard Zhang Yan turn over and still sleep soundly.

"Prepare the carriage for the Qianqing Palace."

After washing up, Zhu Youxiao took the hand warmer handed to him by the eunuch, speaking in a very low voice.

"Slave, you obey!"

Kunning Palace and Qianqing Palace are separated by only one palace wall, and the distance between them is very short.

The imperial carriage, crafted from rosewood, was already waiting outside the palace, surrounded by light blue gauze curtains that could block the wind without obstructing the view.

Four eunuchs carried the imperial carriage steadily, their steps as light and slow as cats.

In a short while, they arrived at the Qianqing Palace and landed at the entrance of the East Warm Pavilion.

Zhu Youxiao alighted from the imperial carriage and entered the East Warm Pavilion.

now.

Inside the East Warm Pavilion, the palace lanterns were lit, their soft glow spilling onto the floor covered with a bright yellow velvet carpet.

The eunuchs from the Imperial Kitchen brought in breakfast: a bowl of thick millet porridge, a dish of crisp Liubiju pickles, and two small red bean buns—all the light flavors that Zhu Youxiao usually liked to eat.

He took the jade bowl, but without savoring it, he finished the porridge in a few gulps. He also only took one bite of the red bean bun before casually placing it on the table.

Last night I was preoccupied with the Dutch envoy's trade with Jiangnan, and now my mind is full of unfinished government affairs, so I have no time to enjoy breakfast.

"Bring up yesterday's secret report."

Zhu Youxiao leaned back in his chair, rubbed his temples, and gave instructions to Luo Sigong, the commander of the Embroidered Uniform Guard who was waiting beside him.

soon.

A stack of secret reports sealed in kraft paper was then brought up, the top one clearly stating "The Movements of the Dutch Envoy".

Zhu Youxiao opened the secret report and quickly scanned it.

"The Dutch envoy has already left Tianjin by ship? He's certainly in a hurry."

Zhu Youxiao's eyes flickered, and he instantly made a judgment.

The Dutch only ordered 50,000 bolts of raw silk this time, their attitude was perfunctory, and now they are in a hurry to return to port, which is certainly not just to report on trade matters.

They probably went back to discuss how to plunder passing Portuguese and Spanish caravans, or to set up defenses in the South China Sea, hoping to seize the Ming Dynasty's trade routes and reap the benefits.

"They're nothing but clowns."

Zhu Youxiao snorted lightly, his eyes full of disdain.

"When soldiers come, we will block them; when water comes, we will dam it. No matter how many tricks they have, they cannot escape the grasp of the Ming Dynasty."

"Once Mao Wenlong arrives in Beijing, I will definitely order the navy to strengthen patrols in the South China Sea, so that these barbarians will know that the trade routes of the Ming Dynasty are not something they can simply seize."

He set the secret report aside and picked up the second one, the cover of which read "The Movements of the Gentry in Jiangnan".

After reading only a few lines, Zhu Youxiao's originally relaxed brows furrowed tightly.

The secret report clearly stated that after the news of the trade opening reached Jiangnan, the gentry in the Suzhou and Hangzhou areas reacted strongly.

Many people gathered privately, and there were even rumors that they wanted to join forces with silkworm farmers to sign silk purchase contracts in advance and monopolize the production of raw silk.

"These people are really bold."

Zhu Youxiao's voice turned cold.

How could Zhu Youxiao not know what these Jiangnan gentry who wanted to hang streetlights were thinking?
Previously, they could earn double or even triple the profit by smuggling raw silk and porcelain.

The imperial court now prohibits smuggling, only allowing them to sell raw silk to the Jiangnan Manufacturing Bureau, which then trades it with the Western barbarians. Although the price is higher than the market price, it is far less than the exorbitant profits from smuggling.

For these insatiable people, the shortfall they earn is like a piece of their flesh being cut off.

"I originally intended to leave them a way out, but I didn't expect them to turn around and threaten the court."

A hint of mockery flashed in Zhu Youxiao's eyes.

"The reason for ordering silk in advance is simply to prevent the court from fulfilling its orders with the Western barbarians. When the Western barbarians are dissatisfied, the court will be forced to relax smuggling restrictions so that they can make that ill-gotten money again."

Thinking of this, Zhu Youxiao's eyes turned completely cold, and a murderous aura gradually surged in his originally gentle gaze.

"What audacity! To obstruct the imperial court's trade is to be an enemy of the Ming Dynasty! How many heads do they have?"

After saying this, Zhu Youxiao looked at Luo Sigong and said sternly:
"By imperial decree, the eunuchs in charge of the Jiangnan garrison are to closely monitor the movements of those gentry. If anyone is found to be forcing silkworm farmers to sign contracts or hoarding raw silk, arrest them immediately and confiscate their property!"

"I want to see just how tough they are to dare oppose the imperial court!"

Commander Luo Sigong of the Embroidered Uniform Guard bowed and replied, "Your subject obeys! I will immediately send a messenger on horseback to the eunuch in charge of Nanjing!"

Zhu Youxiao nodded, but there was still a hint of worry in his eyes.

The gentry in Jiangnan are deeply entrenched and wield considerable power, requiring careful handling.

However, trade is a matter of great importance, concerning the fate of the Ming Dynasty.

If even these gentry cannot be controlled, the Dutch and Portuguese will look down on the Ming Dynasty even more in the future, and the stability of the coastal areas will be out of the question.

"Furthermore, have the Ministry of Revenue immediately take stock of the raw silk reserves of the Jiangnan Arsenal. If they are insufficient, transfer them from Sichuan and Huguang."

"We must not let this maritime trade fail, and we must not let those gentry's conspiracy succeed."

“This servant understands!” Wei Chao replied immediately.

After giving these instructions...

Zhu Youxiao turned around and looked at the map of the Ming Dynasty hanging to the side. He pressed his finger on the map and traced the place names marked "core area of ​​sericulture", but his brows did not relax.

He had just considered "suppressing the gentry of Jiangnan," but then he thought that while violence could establish authority, it would inevitably incite public resentment.

He wasn't afraid of the gentry causing trouble. After all, these people only cared about their own interests and were no match for the Beijing garrison in terms of fighting. If they dared to rebel, he could easily quell the rebellion by sending 10,000 Beijing garrison cavalry south.

But what he was really worried about was the hundreds of thousands of bolts of raw silk in the Western orders.

If the gentry of Jiangnan really monopolize silk, the imperial court will not be able to fulfill its orders, which will not only result in the loss of millions of taels of silver in revenue, but will also cause the Western barbarians to look down on the Ming Dynasty. In the future, the initiative in trade will likely be lost to others.

raw silk
At this stage, the imperial court really does rely on Jiangnan.

The source of raw silk is the tiny silkworm cocoon, which is the silk produced by silkworm farmers through their hard work.

The quantity of silkworm silk directly determines the output of raw silk, and thus whether or not orders from the Western barbarians can be fulfilled.

"Jiangnan is ultimately the core."

Zhu Youxiao sighed softly.

Suzhou's silk is famous for its "fineness, softness, and evenness," Songjiang's silkworm farmers can raise silkworms three times a year, and Huzhou's silk is exclusively supplied to the Imperial Weaving Bureau. The silk produced by these three regions accounted for more than 70% of the total output of the Ming Dynasty.

But now these places are controlled by gentry. If they really hoard silk in advance, the court will be like a skilled cook without rice to cook.

but
Besides the Jiangnan region, the north is not incapable of producing silk.

Qingzhou and Yanzhou in Shandong have always been important centers for silkworm breeding in the north. In particular, the tussah silkworms of Qingzhou feed on oak leaves and do not require large-scale artificial planting of mulberry trees like silkworms. Oak trees can be found everywhere in the mountains of Shandong. They are cold-resistant and drought-resistant and can even survive the cold winter.

In the surrounding areas of Shangqiu and Kaifeng in eastern Henan, some farmers also raise silkworms. The Guanzhong Plain in Shaanxi Province, with its mild climate, is suitable for growing mulberry trees. Although the silk produced is not as fine as that from the Jiangnan region, it is still usable.

But when he thought of the limitations of northern silk, Zhu Youxiao frowned again.

The silkworms in the north are mostly tussah silkworms, which are larger than the mulberry silkworms in the south. Their silk fibers are also coarser and more resilient, and the "Lu silk" woven from them is thick and durable, suitable for making tents for military supplies, winter clothes for soldiers, or coarse cloth clothes worn by people in the north.

However, the Westerners wanted fine raw silk to weave light and thin silk fabrics, and tussah silk obviously did not meet their requirements.

As for silkworms in the north, they are only raised on a small scale in the vicinity of Linqing in Shandong and Kaifeng in Henan.

The frost-free period in the north is too short, only 180 to 220 days a year, so silkworms can only be raised for one or two seasons at most, while in the south they can be raised for three to four seasons.

Not to mention that the winters in the north are cold and the springs are windy, so mulberry trees sprout late and the growing season for mulberry leaves is a month shorter than in the south. If there is a drought in the summer, the production of mulberry leaves will be reduced, and the silkworms will run out of food. The yield is far less than that in the south.

More importantly, there is a technological gap.

Sericulture in the Jiangnan region has a history of over a thousand years. From selecting seeds and feeding leaves to boiling cocoons and reeling silk, silkworm farmers have a standardized process.

For example, when selecting silkworm eggs, one should choose "white-bellied silkworms"; when feeding them leaves, one should "pick tender mulberry leaves in the morning and pick mature mulberry leaves at noon"; and when reeling silk, one should "use light hands and even force." These are all experiences passed down from our ancestors.

However, silkworm farming in the north is mostly done by individual farmers, with each household raising only a few dozen sheets of silkworm eggs. There are no unified technical standards or professional silk reeling craftsmen, so the raw silk produced is either uneven in thickness or has a dull luster, which does not meet the requirements of the Westerners at all.

"It would be best to subdue the Jiangnan region; otherwise, we'll have to let the North expand its production."

Zhu Youxiao muttered to himself.

Officials from Shandong and Henan had previously submitted memorials stating that there was a lot of wasteland in the area suitable for mulberry cultivation. They suggested that if farmers could be encouraged to switch from rice paddies to mulberry orchards, and if silkworm farmers from the south could be sent to teach the techniques, it might increase the production of raw silk in the north.

But as soon as the thought popped into his head, he hesitated.

The idea of ​​"converting rice paddies to mulberry fields" sounds simple, but it's easy for things to go wrong when it's actually implemented.

If lower-level officials, for the sake of political achievements, force farmers to convert rice paddies into mulberry fields without compensation, or collude with landlords to seize fertile land, it will surely arouse public resentment.

Not to mention that people in the north mainly eat rice. After switching to mulberry trees, grain production will decrease. If there is a year of disaster, people will run out of food, which may cause even greater chaos.

We learned a lesson about this during the Jiajing era.

In Jiangnan, there was an attempt to "convert rice paddies into mulberry fields." However, local officials colluded with gentry to forcibly buy farmers' rice fields at low prices, causing many families to be ruined and even triggering a popular uprising.

The situation in the north is more complicated than in the south. The people there are already poor, and if it is not handled properly, it may lead to a repeat of the past.

"This can't be rushed." Zhu Youxiao leaned back in his chair and rubbed his throbbing temples.

On one hand, there was the pressure of orders from the Western barbarians; on the other hand, there was the risk of expanding production in the north; and on yet another hand, there was the obstruction from the gentry in the south. These three factors intertwined, leaving him at a loss for what to do.

He picked up the teacup on the table, took a sip of hot tea, and tried to calm himself down.

Perhaps we could first send officials from the Ministry of Revenue to Shandong and Henan to conduct on-site investigations, to see which areas are suitable for mulberry cultivation, which farmers are willing to switch to this method, and then formulate detailed compensation policies.

For example, farmers who grow mulberry trees can be exempted from taxes for three years, and the imperial court also provides mulberry seedlings and technical support.

At the same time, we should strengthen control over the gentry in Jiangnan to prevent them from hoarding silk.

However, all of this takes time, and the merchant ships of the Western Barbarians probably won't be able to wait much longer.

Zhu Youxiao gazed at the rising sun outside the window, silently calculating in his mind:

In any case, the issue of raw silk must be resolved, as it concerns not only millions of taels of silver but also the very foundation of the Ming Dynasty's maritime trade.

If we can't even handle this small matter, how will we be able to compete with the Dutch at sea in the future?
How can we get Ming Dynasty merchant ships to travel all over the world?

Thoughts turn.

Zhu Youxiao opened the last secret report, and his tense shoulders finally relaxed.

Mao Wenlong and the Tianjin Navy returned to Tianjin yesterday.

This means that the defense of the South China Sea now has a backbone, and the Dutch covetousness and the safety of trade routes can finally be entrusted to someone.

He gently placed the secret report aside, and the anxiety he felt due to the gentry in Jiangnan dissipated considerably.

"Your Majesty, it is time for the morning court session."

Just then, Wei Chao whispered a reminder.

He held a bright yellow court robe in his hands, embroidered with the twelve symbols, its black trim gleaming in the morning light.

Zhu Youxiao nodded and stood up, letting the palace maids help him change into his court robes, fasten his jade belt, and then accept the pearl crown handed to him by the eunuch.

After everything was settled, he stepped out of the East Warm Pavilion and rode in the imperial carriage to the palace gate to attend court.

now.

Outside the Huangji Gate.

The civil and military officials were already lined up according to their ranks, their court boots treading silently yet solemnly on the white marble steps.

Above the Huangji Gate, sandalwood incense burns in the incense burner, and wisps of smoke rise and slowly spread around the dragon-patterned caisson ceiling on the roof.

Zhu Youxiao sat on the dragon throne, his gaze sweeping over the officials below. Only after they had all performed their grand salutes did he slowly speak:
"At the morning court session today, there are several matters to be discussed, among which is the trade issue."

Previously, trade agreements were reached with Portugal, Spain, and the Netherlands, with the three countries jointly ordering 350,000 bolts of raw silk, as well as a quantity of porcelain and tea.

It seems the gentry of Jiangnan intend to hoard silk, which may cause delays in fulfilling orders. Someone needs to take the lead in handling this matter.

As soon as the words fell, the hall fell into silence.

The ministers looked at each other.

Everyone knows that the gentry in Jiangnan are deeply entrenched, especially in the raw silk trade, which is mostly controlled by relatives and friends of Jiangnan officials. Dealing with this matter is tantamount to offending the gentry in Jiangnan.

This is a thankless and arduous task.

Many people subconsciously looked at Ye Xianggao, who was standing at the front of the civil officials.

If this is to be accomplished, only Ye Xianggao can do it.

Although the leader of the Donglin Party was over sixty years old, he still stood tall and straight, holding an ivory tablet with a calm expression.

Zhu Youxiao's gaze also fell on Ye Xianggao.

"Lord Ye, you are a leader in the literary world. Most of the officials in the prefectures and counties of Jiangnan are your students and former subordinates. It is most appropriate to entrust this matter to you."

Ye Xianggao had anticipated this, and upon hearing the emperor's name called, he did not refuse.

He stepped forward, held his scepter, bowed deeply, and said in a steady and powerful voice, "This old minister obeys the decree."

As he rose, his gaze swept over his colleagues below the steps, and he slowly added:

"Trading with the Western barbarians is not a first for our dynasty. There was an example of opening the sea at Yuegang during the Longqing era. Now Your Majesty only trades goods, does not allow the Western barbarians to stay, and does not cede an inch of land. This is already a prudent move."

"The national treasury is empty now. Liaodong needs military pay, and the South China Sea needs warships. The silver obtained from trade can solve the immediate crisis."

Although the gentry of Jiangnan are driven by profit, they also understand the greater good of the nation. This old minister is willing to write a letter and send someone to Jiangnan to explain the advantages and disadvantages, which will surely persuade them to cooperate with the court and complete the order.

Upon hearing this, Zhu Youxiao's lips curled up slightly.

Ye Xianggao was indeed astute. He wanted more than just fulfilling the order; he wanted to use Ye Xianggao's status to ease the tension between the imperial court and the gentry of Jiangnan, thus avoiding armed conflict.

If Ye Xianggao could use his influence to persuade the gentry to give up hoarding silk and obediently sell the raw silk to the Jiangnan Manufacturing Bureau, then everyone would be happy.

However, if Ye Xianggao couldn't control the situation and the gentry remained stubborn, then he would have no choice but to resort to drastic measures, sending the Beijing garrison south to purge those officials who colluded with the gentry.

"With Grand Secretary Ye's words, I am relieved."

Zhu Youxiao's tone softened.

"If letters fail to achieve the desired result, Grand Secretary Ye may travel to Jiangnan with my secret decree. If obstruction is encountered, he may act as he sees fit. If necessary, he may mobilize the troops of the Jiangnan garrison to assist in the handling of the situation."

Ye Xianggao's heart skipped a beat, and he quickly bowed: "This old minister thanks Your Majesty for your trust, and will certainly not fail in my mission."

He knew what the emperor meant.

If he fails to handle the situation properly, the subsequent "thunderous measures" will be ruthless, and the stability of Jiangnan, even his reputation and the emperor's trust in him, could be destroyed.

Afterwards, Zhu Youxiao resolved a few more matters during the morning court session, and it was already noon.

Zhu Youxiao was decisive and efficient, so he naturally wouldn't have bothered to say "a few more words" and immediately adjourned the court session.

but.

Zhu Youxiao had just returned from the Hall of Supreme Harmony. He hadn't even changed out of his dragon robe yet. He loosened his jade belt and then ordered his men to summon Fang Congzhe, Ye Xianggao, Li Ruhua, and Li Changgeng for questioning.

soon.

The four then entered the East Warm Pavilion to pay their respects to the Emperor.

"Your Majesty, we respectfully wish you eternal peace and good health!"

Zhu Youxiao's gaze swept over the four people bowing below the steps, and he raised his hand and said:
"Gentlemen, please excuse the formalities and offer us seats and tea."

Upon hearing this, the eunuchs quickly brought over four round-backed chairs covered with brocade cushions and served hot tea.

After the four men thanked him and sat down, Zhu Youxiao slowly began to speak:
"I have summoned you here today for no other reason than the matter of 'tax reform,' which I have mentioned many times before."

"Currently, the Ming Dynasty uses silver as its currency and taxes are also based on silver, which seems convenient. But if one day silver becomes scarce, wouldn't the tax base of our Great Ming Dynasty collapse?"

After he finished speaking, there was a brief silence in the warm pavilion.

Fang Congzhe spoke first, setting down his teacup, his voice tinged with doubt:

"Your Majesty is overly worried."

Now that trade has been opened, Western merchant ships are arriving carrying silver, and the canal transport system in Jiangnan can also transport silver to the capital. Furthermore, although there is a lot of silver hidden among the people, it is also in circulation. How could silver suddenly be scarce?

As a veteran official who had served three dynasties, Fang Congzhe had never considered the potential danger of "silver depletion".

Especially after trade was established.

This time, the Western barbarians sent two million taels of silver. With so much silver coming in every year, how could the Ming Dynasty lack silver?

Upon hearing this, Zhu Youxiao gently shook his head, tapped his fingertips on the imperial desk, and glanced at the four people:

"Grand Secretary Fang only knows one side of the story, not the other."

"Now that the Western barbarian countries are at war at sea, the number of merchant ships coming and going to the Ming Dynasty will only decrease, and the silver earned from trade will probably only last for a few years."

More importantly, our Great Ming Dynasty produces almost no silver!

During the Tianqi era, the annual silver production in the Ming Dynasty was about 12 taels. Once there was no silver import, a silver shortage would soon occur.

The emperor's words were like a pebble, stirring up waves in the hearts of the four.

Seeing the thoughtful expressions on everyone's faces, Zhu Youxiao continued:

"The silver on the market was either brought from the Western barbarians in the early years or passed down from generation to generation among the people."

If the supply of silver from the Western barbarians were to cease in the future, and the silver hoarded by the people continued to accumulate, the silver on the market would only become increasingly scarce.

By then, the amount of grain that one tael of silver can buy will double. The grain that the people earn from growing one acre of land will not be enough to pay their taxes. Are they supposed to sell their children?
The Single Whip Technique is excellent, but without silver, it's all just empty talk!

The four of them frowned simultaneously and exchanged glances.

They had only thought about how to collect taxes and how to cut costs, but never considered the hidden dangers of "currency itself".

Ye Xianggao pondered for a moment, then slowly said:
"Your Majesty is absolutely right, but..."

This shortage of silver is not a matter of a day or two; is there a way to deal with it?

As the Minister of Revenue, Li Changgeng was extremely pragmatic, and immediately stood up to ask:

"Does Your Majesty intend to reform the tax system? For example, to reinstate 'taxes in kind,' requiring people to pay in grain or cloth instead of silver?"

This was the most direct solution he could think of.

However, he was also aware of the drawbacks of taxation in kind.

Physical transportation was inconvenient and resulted in significant losses, making accounting by the Ministry of Revenue even more troublesome.

Moreover, taxes in kind further encourage corruption.

Zhu Youxiao shook his head, his gaze growing increasingly profound. He stared at the four of them and said, word by word:

"Taxes in kind are not a long-term solution."

"I have summoned you here today to ask: Is it truly possible to reissue the 'Great Ming Treasure Notes'?"

"Da Ming Bao Chao?"

As soon as those four words were spoken, the warm pavilion fell into a deathly silence.

Fang Congzhe's hand holding the teacup froze in mid-air, Ye Xianggao's brows furrowed even more, Li Ruhua's face turned slightly pale, and Li Changgeng was completely stunned.

That thing, wasn't it already considered "waste paper"?

Emperor Taizu Zhu Yuanzhang once promoted the Great Ming Treasure Notes, but due to excessive issuance, the Treasure Notes depreciated sharply. By the Wanli era, the people had long refused to use them, and shops and people paid taxes only accepted silver.

Nowadays, the banknotes are either gathering dust in the warehouse or being used by children to make kites. Who would recognize them?
Li Changgeng was the first to react, and immediately bowed, saying, "Your Majesty, you mustn't!"

He said urgently, "The Ming Dynasty's paper money has long lost its credibility among the people. They only recognize silver, not paper money."

Moreover, these paper notes are extremely easy to counterfeit. In the past, unscrupulous merchants privately printed them, disrupting the market. If they were reissued, it would likely cause even greater chaos!

Fang Congzhe also recovered from his daze, put down his teacup, and spoke with a hint of earnestness:

"What Minister Li said is absolutely right."

The problem with paper money was that it had no capital. It was not backed by silver or grain, but relied entirely on the credit of the imperial court. However, the court had over-issued it in the early years, and the credit had long been exhausted.

If we were to reissue the silver now, the people would certainly not accept it, and merchants would resist it even more. In the end, not only would we not get any silver, but we would also further fuel public discontent with the court.

"Your Majesty's intentions are clear to us. Your Majesty wants to replace silver with paper money to avoid the problem of silver shortage."

However, this matter is too difficult and requires a gradual approach; it cannot be accomplished overnight.

For example, it could start with official use, allowing government officials to settle transactions using paper money, and then gradually extend it to the general public, while strictly controlling the issuance volume and cracking down on counterfeiting...

Even so, it would still require several years, or even more than a decade, of effort, and the risks are extremely high.

"Moreover, the gentry in Jiangnan are already dissatisfied with trade. If paper money is reissued, they will definitely take the opportunity to incite the people, saying that the court is 'forcibly pushing out worthless paper,' which may trigger a popular uprising!"

The four of them spoke one after another, each sentence saying "it's not feasible," and the atmosphere in the warm pavilion gradually became heavy.

Zhu Youxiao sat behind his desk, listening quietly without offering any rebuttal.

He had already anticipated this outcome.

The loss of credibility of the Ming Dynasty's paper money was not caused overnight, and the difficulty of reissuing it is far more complex than simply "counterfeiting" and "the people's refusal to accept it."

But the thought in his mind was not dispelled.

"I know that it will be difficult to reissue the precious paper money. The difficulty lies in restoring the lost credibility, prohibiting counterfeiting, and gaining the people's acceptance."

But if we don't try because it's difficult, and the Western barbarians cut off the silver supply and the people's silver hoardings dry up, are we, the Great Ming, just going to watch our tax base collapse, our people be displaced, and sit idly by and wait for our demise?

As soon as he finished speaking, he reached out and took a booklet from the drawer of his desk.

It was bound with thick cotton paper, and the cover was not gilded. The four characters "A Brief Explanation of Finance" were written in neat small regular script. The edges of the pages still had a faint smell of ink, so it was obviously written not long ago.

He gently tossed the booklet aside, his gaze sweeping over the four men: "I have recently compiled some thoughts on 'money and goods,' which you gentlemen may wish to take a look at."

The eunuch quickly stepped forward and handed the booklet to Fang Congzhe with both hands.

The Grand Secretary, who was over sixty years old, still had a hint of doubt on his face when he took the booklet.

With Your Majesty so busy with state affairs, how could you possibly have time to ponder matters of "money and goods"?
He looked down and turned to the first page, where the first thing he saw was the eight characters: "The foundation of paper money lies in trust, not paper." The characters were written with vigorous strokes, their power penetrating the paper.

Fang Congzhe became increasingly alarmed as he read, and his fingers unconsciously slowed down the speed at which he turned the pages.

What's written in the booklet isn't "money and goods ideas," but clearly a set of "financial methods" I've never heard of before:
The text begins by stating that paper money is not "a tree without roots," but requires silver and grain from the imperial treasury as "reserve funds." For every string of paper money issued, three to five qian of silver are deposited to ensure that the people know that the paper money can be exchanged for real goods at any time, rather than being worthless paper.

He then mentioned the establishment of "banks," suggesting that "the Great Ming Official Bank" could be set up in the capital, Jiangnan, Sichuan, Shaanxi, and other places.

Ordinary people could deposit silver into banks and exchange it for "deposit slips," and they could also withdraw silver from banks in other places using deposit slips. This not only facilitated business travel but also allowed the silver scattered among the people to be gathered together as a credit support for paper money.

If you want to gather silver from the people, you can also offer some interest.

This booklet even mentions "anti-counterfeiting techniques".

The banknotes were printed on special watermarked paper with anti-counterfeiting patterns and stamped with seals that only the Banknote Bureau and the Ministry of Revenue could control. At the same time, those who printed them privately were severely punished, their homes were confiscated and they were exiled, as a warning to others.

"This...this was written by His Majesty himself?"

Fang Congzhe looked up, his eyes filled with disbelief.

These ideas, far surpassing the Ming Dynasty's millennia-long understanding of currency, gave him a sense of sudden enlightenment, leaving him feeling dizzy and overwhelmed.

Zhu Youxiao nodded slightly:
"In my early years, I dabbled in some monetary matters, such as the Jiaozi of the Song Dynasty, which was similar to the Baochao. Recently, I have compiled this booklet based on the actual situation of my Great Ming Dynasty."

Although I am not a finance expert, I know that the key to paper money is not the value of the paper, but the 'credit' behind it.

As long as the imperial court can uphold its promise that "paper money can be exchanged for silver, used for taxation, and for shopping," and as long as the people can believe that holding paper money is just as secure as holding silver, why worry about its failure to be implemented?

By this time, the booklet had been passed on to Ye Xianggao.

The pragmatic group counselor held the booklet, his brow gradually relaxing from its initial furrow.

"Your Majesty's suggestion to 'use silver as a reserve' has indeed resolved the deadlock of 'the precious paper having no capital'!"

In his early years, Emperor Taizu promoted the issuance of paper money, but due to a lack of silver and grain to support it, he over-issued and devalued it.

If for every string of paper money issued, five qian of silver were deposited in the official treasury, and the people could redeem it at any time, they would naturally no longer regard the paper money as worthless!

"And there's this 'official bank'!"

"Nowadays, the gentry in Jiangnan complain that banknotes cannot be used to transfer money throughout the country. If the court were to establish official banks, from Liaodong in the north to Guangzhou in the south, people could exchange banknotes for silver. This would not only facilitate trade but also bring the scattered silver in the private sector under the control of the court."

"Then when we issue more paper money, we'll have enough silver to back us up!"

And
Ye Xianggao saw the benefits of the Great Ming Treasure Note.

That is creating something from nothing.

If the imperial court has five qian of silver, it can issue one tael of silver in paper money.

It's like having so much wealth appear out of thin air.

Your Majesty's idea is truly ingenious!

Li Ruhua was the last to look at the booklet. He was the most cautious by nature, but even he had a sudden inspiration when he turned to the section on "anti-counterfeiting techniques":
"The 'watermarked paper' and 'special seal' that Your Majesty mentioned are more reliable than the 'sealing wax seal' of earlier years!"

If we could produce paper that only the Imperial Household Department could control, and severely punish counterfeiters, the threat of privately printed banknotes could be greatly reduced!

After the four finished reading the booklet and sat back down, the "discomfort" on their faces had long been replaced by shock.

At this point, the attitudes of the four people also changed.

Fang Congzhe's tone held a hint of admiration:

"This old minister is foolish. He only knew the drawbacks of paper money, but he did not know that paper money could have such a 'living way'!"
Although Your Majesty's ideas are unheard of, they are all reasonable.

As long as the word 'credit' is upheld, reissuing the precious paper money is not entirely impossible!

"I second the proposal!"

Ye Xianggao quickly stood up, his eyes gleaming with a pragmatic light.

"His Majesty's booklet is like pointing out a new path for the currency of our Great Ming Dynasty!"
However, the raising of these 'reserve funds,' the establishment of the 'official bank,' and the manufacture of 'watermarked paper' all require careful planning and should not be rushed.

Li Changgeng stepped forward and said, "As the Minister of Revenue, I am willing to take the lead in setting up the first official bank in the capital as a trial. Once it is running smoothly, we can gradually expand it to Jiangnan, Sichuan and Shaanxi!"

At this moment, he had long since abandoned his previous hesitation and was now preoccupied with how to put the ideas in the booklet into practice.

Zhu Youxiao looked at the changes in the four people and finally a smile appeared on his lips.

Although this booklet could not immediately solve all the problems, it broke the ministers' preconceived notion that "paper money is useless and cannot be used," thus opening a crack for currency reform.

He raised his hand, gesturing for the four to stand up:
"Gentlemen."

This booklet is only a general outline; the specific implementation details will require you to discuss them carefully, taking into account the Ministry of Revenue's accounts and the actual local conditions.

"I'm giving you a month to thoroughly discuss this. What I want isn't a conclusion about 'feasibility,' but rather a plan on 'how to make it feasible.'"

Where do the reserves come from?
In which locations were the official silver banks first established?
How is the face value of the paper money determined?

How should counterfeiting be severely punished?

Every step must be thoroughly considered; there can be no oversight.

"I will obey your orders!"

The four responded in unison.

Zhu Youxiao felt somewhat pleased with himself for having persuaded the four men.

If the Ming Dynasty paper money could be implemented, even with a reserve of five qian, the imperial court would still have double the wealth out of thin air.

In this way, whether it was the war in Liaodong, or Sichuan and Jiangnan, or the many national policies such as Zhu Youxiao's allowance for honest officials, they would have the confidence to carry them out.

This person!
You can only stand tall when you have money.

The same applies to being an emperor.

What kind of emperor is he if he has no money?
ps:
8400 big chapters!

I feel completely drained after doing 10,000 orders a day for several days in a row.
(End of this chapter)