Chapter 774 Political Isolation
On June 18, 1883, due to the impact of the economic crisis, the United States of America announced its withdrawal from the free trade system and implemented tariff barriers.
Before Britain and Austria could react and take action, on June 20, 1883, the French government also announced its withdrawal from the free trade system.
Affected by this, the free trade system painstakingly managed by Britain and Austria suddenly became precarious.
France is different from the United States, the latter has limited influence, even if it withdraws from the free trade system, it has little impact, but France is different.
As one of the three major countries in the world, the impact of the French government's withdrawal from the circle is undoubtedly huge.
After receiving the news, the Vienna government was naturally furious, and only less than half of the harvest was harvested. The leeks ran away so quickly, it was really...
Reinhard Haldegen, Minister of the Economy: "The Vienna stock market plunged 5.4 percent and the London stock market plunged 7.3 percent due to the withdrawal of the two countries from the free trade system.
The industries engaged in import and export trade were hit the hardest, generally falling by more than 15%. Overnight, the Austrian stock market evaporated 310 million Aegis and the British stock market evaporated 520 million Aegis.
Financial fluctuations are bound to affect the real industry. Things happened too suddenly, and domestic companies were not prepared.
Many companies that do trade with the two countries are preparing to lay off workers and cut production capacity to deal with the shock.
France is our third largest trading country, and the total import and export trade in the first half of this year reached 64.58 million Aegis. Due to the impact of tariff barriers, this figure may be reduced by two-fifths in the second half of the year.
The United States of America is our seventh largest trading nation, with a total trade volume of 10.76 million Aegis in the first half of this year, and it may drop by a third in the second half.
The withdrawal of the two countries from the free trade system has brought little impact to us, but the trouble is that it has caused market panic.
If other countries follow suit, panic will be further amplified, and it may even induce a stock market crash again.
The Ministry of Economy recommended immediate countermeasures to deter other countries and avoid the collapse of the free trade system. "
With the establishment of the free trade system, the capitalist world economy has become more and more closely linked, and the world economy has become involved in the whole body.
Trade protection is contagious. When everyone adopts trade barriers, Britain and Austria, the two major import and export countries, will become the biggest victims.
Countermeasures are necessary, but how to counteract becomes a problem.
Foreign Secretary Weisenberg: "It's a big problem, but the British should be more anxious than us.
When the United States and France withdraw from the free trade system, they lose at least three times as much as we do.
Apart from raising tariffs on both countries, the Ministry of Foreign Affairs does not recommend taking too many measures. It is better to wait for the London government to take action before we follow up. "
Are you cowardly?
the answer is negative!
International politics is the most realistic, and pays attention to equal pay. Can't take the money for eating cabbage and go to the heart of eating pork?
More importantly, in addition to tit-for-tat raising tariffs, Austria really can't help them.
After rubbing his forehead, Franz made a decision: "Stop the dumping strategy first, and if it goes on like this, it will cause public anger. If the French want trade protection, let them go!
International competition also has advantages and disadvantages. It seems that the French economy has been impacted, but in recent years, France's scientific and technological progress has been obvious to all.
If it continues, our technical first-mover advantage will soon be wiped out. They want to play behind closed doors, so let them do it.
The next task for the Foreign Office is to isolate them politically and make them an outlier that European countries are wary of. "
This is both self-comfort and fact. In the international competition, in order to survive, French companies are forced to initiate technological innovation and have made breakthroughs in many fields.
This is impossible in the age of trade barriers. The pros and cons are hard to generalize, but the French retreat has been very helpful in promoting political isolation.
Countries are similar to people. When everyone is in a circle, and you are alone outside the circle, you will naturally receive strange looks from others.
If someone provokes it again, it will be isolated, even hostile.
It's easy to say that you don't care about other people's eyes. If you really do, you will slowly find out: as if the whole world is against you.
...
London
As the biggest beneficiary of the free trade system and the biggest victim of the French withdrawal, the British government naturally cannot ignore this happening.
Economic Secretary Cornell Borchers said sullenly: "The actions of the French and the Yankees have dealt another blow to our newly recovered economy.
The most terrifying thing is that they have shaken the free trade system. If there is no way to eliminate the impact, more countries will withdraw because of their interests in the future. "
The United Kingdom was the first country to start free trade. In order to show sincerity to the outside world, for a long time, they implemented free trade unilaterally with the outside world.
Of course, that was based on Britain's strong industrial system. Before Fao completed its industrialization, Britain had more industry than the rest of the world combined.
Even if trade is opened up, everyone can only sell food and industrial raw materials to them. As for industrial and commercial products, they cannot be sold here at all.
What appears to be a fair competition is actually no competition at all. Can
It can be said that before the Second Revolution, British industry and commerce had no rivals of sufficient weight in the world.
Foreign Secretary George proposed: "We can pull Austria together to impose trade sanctions on France and the United States.
The collapse of the free trade system will damage not only us, but also Austria. The Vienna government should not refuse. "
Chancellor of the Exchequer Xiaoji Childers shook his head: "Unless the Royal Navy can block all ports in France and the United States, I don't think the trade embargo will have any real effect.
Of course, we can block their goods from entering Britain. However, there is really no technical difficulty in changing a product label, and we can hardly identify it.
I can guarantee that the embargo will have no effect other than a reduction in government revenue. "
No way, the integrity of the capitalists cannot stand the test. There is no way to supervise from the source, and everyone will know what the result will be if they think about it.
"What is the reaction of the Vienna government?" Prime Minister Gladstone asked
Foreign Minister George shrugged: "Their response was very passive, except for the tit-for-tat increase in import tariffs on the two countries, the Austrians were silent.
It seems that the energy of the Vienna government is all focused on the great cause of destroying the Ottoman Empire, and it is not very interested in the withdrawal of the United States and France from the free trade system. "
"Destroy the Ottomans" is another trouble. Without the buffer of the Ottoman Empire, the pressure on Britain in Persia will increase greatly.
Hearing the bad news, Gladstone's brows furrowed even tighter. After looking at the map, he said helplessly: "To restart the Anglo-Austrian negotiation, we need the Austrians to guarantee the safety of Persia.
As for the two unruly guys, the United States and France, first write down this account, and then have the opportunity to settle with them slowly.
The Ministry of Economy can formulate countermeasures in addition to the embargo, and can cooperate with the Austrians when necessary.
The Ministry of Foreign Affairs continues to do a good job of stabilizing other countries, and we must ensure the stability of the free trade system. "
Since the demise of the Ottoman Empire cannot be prevented, it can only take the second place and ensure the security of the Persian region first.
Not long ago, Britain and Austria had discussed this issue, but the issue was put on hold for the time being due to the lack of agreement on their interests.
It can't be delayed now, and it will be even more unfavorable for Britain to negotiate after the fall of the Ottoman Empire.
By contrast, the childish United States and the ambitious France are secondary issues.