Chapter 288 Transfer Crisis
After the economic crisis broke out, the mines planted by Franz blew up, and unfinished projects emerged in an endless stream, and the Vienna government cleaned up the mess everywhere.
No way, the economic crisis is too destructive. As the first global economic crisis, this crisis can be much more serious than previous economic crises.
In 1857 alone, there were more than 5,000 bankrupt companies in the United States, and the stock market was directly cut in half. In some industries with severe overcapacity, the stock price plummeted by 90%.
European countries are not much better, but the economic crisis hits later, and governments have time to respond.
It is a pity that there is no government intervention in the economy in this era. Everyone is waiting for the crisis to break out, and losses are naturally inevitable.
Affected by the economic crisis, the capital chain of many capitalists has been broken. No money in his pocket, even if he is not reconciled, he can only reluctantly cut the flesh.
The investment in the early stage was considered as a charity, and the performance bond was directly lost.
Government projects are unfinished, this is only a small problem, anyway, these projects are not burning eyebrows, and the construction at night will not kill people.
Moreover, the powerful capitalists still gritted their teeth and persevered. The more you invest, the more reluctant you are to give up. In itself, these projects are still high-quality projects.
This perseverance is crucial to the turbulent Austrian economy. It has directly allowed many companies in the related industrial chain to survive and avoided the continued deterioration of the economy.
Prime Minister Felix said in a deep voice: "Your Majesty, so far, there have been 1,800 bankruptcy companies in China, and 2,000 companies are on the verge of bankruptcy, including the five major railway companies.
The stock market fell by 42% directly, among which railway stocks fell the most. Affected by the US railroad bubble, many investors lost confidence in the railway, and the market value evaporated by 72%.
The textile, manufacturing, financial, and steel industries all suffered heavy losses. Affected by the economic crisis, even the export of agricultural products shrank by a quarter.
Compared with the same period last year, the industrial output value has dropped by nearly 30%, and it is still in a state of continuous decline.
The number of unemployed people in China has reached more than 980,000, and it will be a matter of time before it exceeds one million. If the economic situation does not improve, the situation will continue to deteriorate. "
All walks of life are affected by the economic crisis, and companies go bankrupt on a large scale. Franz doesn't care at all. These are all expected.
How can the wild economic development model have no sequelae? If it weren't for the war in the Near East, which allowed Austria to seize the market of Britain and France in the Russian Empire, the economic crisis would have broken out long ago.
The crisis in Austria began when the postwar economy was in transition.
If it weren't for the opening of overseas colonies, the reform of the gold standard system, the influx of gold in the colonies that brought a lot of currency, and the government's increased infrastructure construction, then this economic crisis would not have started in the United States, but in Austria.
All other problems can be solved slowly, but the unemployment problem is imminent and must be solved immediately, otherwise it will cause very serious social problems.
Franz thought for a while and said: "According to the original plan, the government took over the unfinished construction project and let the workers resume work first.
At the same time, the government has interviewed railway companies that have suspended construction, either they will find a way to solve the funding problem and resume construction immediately; or accept the government's investment as a stake, in short, they must resume construction as soon as possible.
The Colonial Ministry should also act as soon as possible. The economic crisis is the best opportunity to organize immigration. Not only Austria, but the entire German region is your scope of work.
Find a way to encourage bankrupt people to immigrate to the colony. At this time, Americans are also in economic crisis, and no one is rushing to immigrate with you.
Order the colonial government to speed up and expand to Nigeria and Congo. I authorize them to organize civil armed forces to fight and expand our sphere of influence as soon as possible. "
As long as these projects resume normal construction, the relevant upstream and downstream enterprises will survive, and most of the domestic unemployment problem will be solved.
In this era, the industry is actually relatively single, and the surrounding industries of these projects already include most of the country's industries.
Franz swallowed unfinished infrastructure construction projects, because these projects could not find a successor and had to be taken over by the government to continue construction.
The railway company was not eaten in one bite. In addition to the high market value of the railway company and the high cost of acquisition, a more important reason is that the railway company is trading at a loss.
Since the Vienna government authorized a series of lines to the railway company, the "money path" of the railway company has not been so bright.
The shrewd consortiums retreated as early as the first time the US economic crisis broke out, and now they are trapped by speculators who are one step behind.
Naturally, Franz could not help them out, knowing that in the next ten years, the railway company will not see profit. This kind of long-term project is not backed by anyone, and the financial pressure is too great just relying on the investment of the Vienna government.
If possible, he would rather have private capital complete the railways of the new Holy Roman Empire than the compromised public-private partnership.
Relying on a series of capital operations, Austria has added more than 14,800 kilometers of railways in less than ten years, and the total railway mileage of the entire New Holy Roman Empire has exceeded 20,000 kilometers.
If it is invested by the government, it is estimated that the Vienna government cannot even complete half of the project. This is the power of money, and the poor Vienna government cannot afford such a large project.
Even now, the
The government of Yemen is also unable to afford such a huge investment. The infrastructure construction that is being carried out now is all carried out with debt.
This directly makes Austria the fourth largest debtor country in the world after Britain, France and the United States. In the next few decades, the Vienna government will work hard to repay the debt.
War is the best way to transfer the crisis, but unfortunately the African continent is a little far away, otherwise Franz would not mind taking a few indigenous kingdoms to survive this economic crisis.
However, Shi Dang's expansion is still necessary, not to mention the plundering of wealth, at least the land for resettling the immigrants must be snapped up.
The German region is overpopulated, not for a day or two. The Austrian region is still relatively good. Hundreds of thousands of immigrants have been sent to the Balkans and tens of thousands to the colonies. The population pressure is not too great.
Other regions in Germany are different. Every time the economic crisis breaks out and unemployment appears, it is the time of large immigration.
This time, the United States is also in an economic crisis. It is estimated that they just want to immigrate at this time, and people will not welcome them.
Josip Jelacic replied: "Your Majesty, our Colonial Ministry has drawn up an immigration plan, and in order to attract immigrants from the German region, we have proposed two ways of immigration:
First, accepting government employment, immigrants go to colonies to open up farms, and the government arranges specific locations. All immigration expenses are borne by the government, and they do not need to worry about work.
Of course, this requires signing a five-year labor contract. I gave a salary 20% higher than the local salary, and the government provided a free family visit during the period.
Second, free immigrants, who choose to settle in any of our colonial strongholds, the government will subsidize half of the cost of the ticket. "
Franz nodded, this was the best condition the Vienna government could offer. The main purpose of opening up these farms and plantations is to retain and reward those who have made meritorious deeds.
After all, the local land is limited, even if it is a titled noble, most of it is only a title in name. Many lands are owned, and it is impossible to take out a reward.
Then take colonial land as a fief, it is inevitable. Not everyone has a family background, and if they are authorized a piece of land, they will be able to develop it.
Commoners or heroes from declining nobles have limited net worth, and they do not have the ability to develop fiefs in the past, so it is also a good choice to use the developed farms or plantations as fiefs.
If you develop it yourself, you may get a fief of several hundred square kilometers, or even thousands of square kilometers, and if you get a ready-made farm, it will only be dozens of hectares, or a few hundred hectares of territory.
There is no such thing as a loss or an advantage, and land reclamation also requires investment. On this issue, Franz will not be hard-pressed.
The plantations that were first established in the Guinean colony can now be seen paying off. After all, growing grain, cotton, and peanuts, these one-year crops are still very effective.
After the output, the Vienna government carried out a big propaganda, claiming to open up the second home of the new Holy Roman Empire, emphasizing the fertile land of Africa.
Many people's perception of the African colony has changed, the concept of the poisonous continent has been diluted, and richness has entered everyone's mind.
This is not a lie. The African continent really has a lot of fertile soil. Currently, the colonies opened up by Austria are relatively wealthy, and the climatic conditions are also livable places suitable for human survival.
Now mobilizing people to immigrate can not only develop overseas colonies, but also solve the domestic unemployment problem and transfer the economic crisis.