Chapter 816
Deflation, simply put, is that there is less money in the market.

Contrary to inflation, inflation means that there is more money in the market, so it brings the consequence that the money is worthless.

It stands to reason that deflation makes money worth more, which should be a good thing. Everyone wants their money to be more valuable and to be able to buy more things.

But here lies the problem. When the money is valuable, the seller will lose money, and the same thing can only be sold at a much lower price than before.

And everyone wants to save money in their hands, just thinking about saving more and more so that they can buy more things in the future.But the problem is that everyone thinks this way. No one buys the things on the market right now, and the money is held dead in their hands and not circulated. Over time, it will cause serious damage to the economy.

If it is harmful, deflation is more harmful than inflation.

This point, both Li Qingman and the equation are very clear.

The reason why Wan Guocheng did not mint copper coins on a large scale before this was not unwillingness.

In fact, all rulers want their country to have more and more money, and the people are also happy to see more and more money. Mild inflation is very common.

As for why Wanguocheng didn't put in more copper coins before, it was mainly because there was no gold as a support.

For every copper coin issued by Wan Guocheng, Equation, as the consul, is responsible for it.

If one day everyone holds the copper coins in their hands and finds the equation to run, but the equation does not have the corresponding gold in their hands, then everything before will collapse in an instant.

Of course, this is just the most extreme example, usually it will not happen.

……

The smelter, Li Qingman and Fang Fang found Lu Fengmei.

Why came to the smelter, of course, was to talk to Lu Fengmei about minting coins.

"How many times have we minted copper coins?" Li Qingman asked.

"Three times, 1 for the first time, [-] for the second time, and [-] for the third time." Lu Fengmei replied.

Every time a smelter mints copper coins, there are records, and how many coins are minted for the first time, these must be recorded.

Instead of going door-to-door to find out how many copper coins are currently on the market, the best way is to come to the smelter and get the answer.

Fang Fang grinned slightly, and said: "At present, more and more people use our copper coins, even including some small towns and small countries in the eastern sea area. It seems that 3 copper coins are not enough."

As a high school teacher, although Lu Fengmei teaches chemistry, she also understands other things. I heard him worried: "There is no doubt that it is deflation, but if we want to issue new coins, do we have enough cards in our hands?" ?”

"some."

"According to the ratio of copper coins to gold coins of one hundred to one, our current strength can issue 17 coins."

"That means we now have [-] gold coins?!"

Lu Fengmei's jaw almost dropped to the floor in shock. He didn't know exactly how much he earned from the business with Roger. He only knew that Fang Fang had sold the mummified shark corpses to Roger. He didn't expect these ugly corpses to be so valuable.

Li Qingman said: "According to the current market demand, I think another [-] copper coins can be issued at one time."

Lu Fengmei said with a smile: "You have the hole cards in your hands, I'm not casting them casually here."

According to the ratio of gold coins to copper coins, that is to say, the total number of copper coins that can be issued by Wanguocheng is currently 17.

Li Qingman said that she would add [-] copper coins, but in fact, she still left a lot for herself. She was worried that too many coins flooding into the market at once would ease the contraction but bring about expansion, so the money cannot be sold all at once. Let it all out, and you have to let it out slowly with a long stream of water.

At the end, Lu Fengmei said with a smile: "Now the smelter has to work overtime again, so I have to fight for overtime wages for my workers."

Li Qingman promised: "The management of the smelter belongs to you, and you can decide these things yourself."

……

To solve the current economic problems in Wan Guo City, we still have to split our heads.

The first is to solve deflation. At this point, Li Qingman has ordered Lu Fengmei to make more copper coins, and then slowly put these copper coins into the market, and the problem will naturally be solved by then.

Then there is the situation of the lime mine in Pisces Island. To find out what is going on in Pisces Island, you have to go to Pisces Island in person.

This time Li Qingman insisted on going by himself, and Fang Fang stayed in Wanguo City to preside over the overall situation.

Along with Li Qingman are Zhenzhu who took her son to relax, and Lianna who kept everyone safe.

The weather on the sea has been very good recently, the blue sky is as clean as washing, the sea is blue and clear, and the sailing boats ride the wind and waves, galloping on the sea.

In the cabin, the three women chatted casually, and from time to time they would let out a string of silver bell-like laughter.

Xiao Zhiming is also there, Pearl will give the baby to Li Qingman and Lianna to hug, and they both seem nervous when holding the baby.

Li Qingman will tease this cute little guy, by the way, "It really looks like his father."

Lianna was even more nervous, she didn't know how to hold the baby at all, and she was afraid that she might hurt the baby if she held her wrongly, even when teasing Xiao Zhiming, she seemed so unfamiliar.In the end, instead of amusing Xiao Zhiming, it made him cry.

Seeing Lianna's rare embarrassment, Li Qingman and Pearl laughed at the same time.

"He doesn't seem to like me, so give him back to you."

"You're just too nervous."

Pearl took Xiao Zhiming, and after coaxing him a few times, the little guy calmed down.

Li Qingman looked at Lianna with a smile, and said, "I've never seen you helpless, probably only children can make you like this."

Liana's cheeks were slightly red, and she said with some embarrassment: "I'm really not good at this."

In fact, Pearl is not much older than Lianna, and younger than Li Qingman, probably because she has become a mother, so she now has a trace of maternal love in her face, and she smiled softly: "Li It is normal that Anna is not good at raising children, because she is a child herself."

"I'm not……"

Leanna blushed.

The trip was very pleasant. After two hours of sailing, the sailboat came to Beas Island.

The three jumped from the boat to the shore, and several fellow islanders pushed the boat into the woods on the shore.

Seeing the arrival of the people from Wan Guo City, someone from Pisces Island immediately stepped forward to greet them.

Those islanders thought they were just people who came to collect lime, but unexpectedly they saw Li Qingman. They were frightened and rushed to notify the civil affairs officer of Pisces Island.

After a while, the civil affairs officer stumbled and led the people to the beach, and bowed to Li Qingman in salute.

(End of this chapter)

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