Chapter 513: I Want Both

After the economic crisis broke out, riots broke out in almost all the major cities in the East.

Liang Yao, who was far away in San Francisco's Tingtao Garden, could only learn about the situation in the East from telegrams and newspapers.

But from these boring texts, Liang Yao could still feel the strong smell of gunpowder and the helplessness of the Buchanan government.

Fortunately, the impact of this economic crisis on the West Coast was relatively limited. The West Coast did not experience riots like the East, and it still maintained normal order.

Also, the mainstream population in the West Coast is Chinese, who are relatively honest and easier to manage than the Yankees and Dixies in the East.

"Although the economic crisis has not had a fatal impact on California's economy, the situation in California's railway industry is not optimistic. There are 16 railway companies whose shares are traded on the San Francisco Stock Exchange. Except for the California Railway Company, whose stock price is strong and has fallen slightly, the remaining 15 railway companies have also fallen sharply.

The Railway Association submitted a petition to me, hoping that California can follow the example of Michigan, lend a hand and take over the railway companies. After all, the railway industry involves more than 50,000 jobs in the state."

At the high-level meeting of the California government, Minister of Industry Fell spoke first.

The railway crisis that broke out a month ago has now spread to the banking, agriculture, steel, machinery manufacturing, foreign trade and other industries, and has been officially defined by the federal government as an economic crisis, not just a railway industry crisis.

The states' responses to the crisis are also very different. Some have left it alone, some have taken over, and some have even continued to invest in the railway industry, hoping to raise the stock price of the railway companies again and stabilize the economy. The way the elites of this era deal with the economic crisis is so simple and unpretentious.

The San Francisco Stock Exchange, which the Chinese prefer to call the Jinshan Stock Exchange, was a spontaneously formed exchange in San Francisco in 1853.

Due to the distance between the West Coast and the East, and the inconvenient transportation, local banks could not meet the financing needs of investors. So California investors spontaneously established the San Francisco Stock Exchange in San Francisco to meet their investment needs.

If Wall Street is the barometer of the American economy, then the San Francisco Stock Exchange is the barometer of the California economy.

Governor Fremont took the petition from the Railway Association from Fair. The threatening wording of the petition made him dissatisfied. He snorted: "Is the Railway Association threatening the government? According to state law, the government has no obligation to do so."

"I don't think they have the guts yet, but the continuous decline in stock prices has caused them to speak without thinking." Secretary of State Gwen also frowned and said unhappily.

"But this is really a bit unreasonable. When the railway company's stock price soared, none of these investors thought of the state government. Now they expect the government to come out and clean up their mess."

"I agree with the views of the governor and the secretary of state. Mr. Speaker, what do you think?" Minister of Education Pierman looked at Liang Yao, who had not yet spoken.

There are many bigwigs here, and Pierman is just a soy sauce role. His influence is small, not to mention that what is being discussed now is economic issues, not education issues.

The major resolutions of California will ultimately depend on the attitudes of three people, that is, the West Coast Chinese consortium represented by Liang Yao, followed by the Northern State Consortium represented by the Boston Group, whose spokesperson is the former governor, Robinson, chairman of the Boston Group, and the Southern State Consortium represented by Fremont, whose spokesperson is the current governor Fremont.

As long as these three people can reach a consensus, the resolution can be passed. Of course, the Chinese consortium represented by Liang Yao has the greatest say.

Without Liang Yao's nod, even if the representatives of the southern and northern consortiums reach a consensus, it will be difficult to pass.

After all, the number of Chinese state legislators in the state assembly has already exceeded half.

"Thomas, Brother Wu, Strauss, how is the situation in Oregon and Liangzhou?" Liang Yao looked at the three and asked about the situation in Oregon and Liangzhou.

Although this was a high-level meeting in California, California still invited Oregon Governor Wu Yuanhua, Vice Governor Thomas, and Liangzhou Governor Strauss to attend.

After all, the economy of the entire West Coast is closely connected. With the deepening of development, the population of the two states is also increasing. Liang Yao cannot only focus on California, the locomotive, and ignore the existence of the two carriages of Oregon and Liangzhou, and ignore their voices.

Moreover, except for Thomas who was born in Oregon, Wu Yuanhua and Strauss all came from California, and they are also core members of the California consortium.

"It is similar to the situation in California. Except for the railway industry, the impact of this economic crisis on other industries is limited." Wu Yuanhua said.

"There are not many railroad companies in Oregon, only three, and these three companies also raised funds in the San Francisco Stock Exchange. After California implemented the approval system for railroad construction routes, Oregon followed suit."

"Liangzhou is a new state, and there is no decent railroad company in the state for the time being. Liangzhou's rail lines are currently managed by California Railroad and Ohio Railroad. As long as the problems in Canada and Ohio are solved, Liangzhou's railroad problems will naturally be solved." Strauss said.

Liang Yao nodded after understanding the situation in Oregon and Liangzhou and said: "My opinion is that I don't agree with the government taking over bankrupt and poorly managed railroad companies like Michigan."

"You mean to let it fend for itself?" Fair asked.

"We can't let it fend for itself either. After all, this involves more than 50,000 jobs. Moreover, we also need to stabilize the stock price of the railway company so that the people and outside investors can maintain confidence in California's economy." Liang Yao shook his head.

"I'm thinking of a solution that can stabilize the stock price of the railway company without letting the state government suffer losses."

In the morning, he met with representatives of Barings Bank and Bank of France. Representatives of the two banks were also probing him and asking him about the economic prospects of the West Coast region led by California.

At the same time, they also made it clear that in view of the poor economic performance of the United States, Barings Bank and Bank of France have reduced their investment in the eastern part of the United States. As for the West Coast region, the two banks are still observing and waiting, and have not yet made a final decision.

Barings Bank and Bank of France are both wealthy banks, and the amount of investment withdrawn from the East must be very considerable.

If nothing unexpected happens, this money will flow back to the European continent. After all, the current investment environment and business environment in Europe are much better than that in the United States.

Liang Yao did not expect to be able to absorb all the investment funds withdrawn from the East by European investors. California and the West Coast region did not have such a good appetite and digestion capacity, but Liang Yao still had the idea of ​​​​taking part of it.

The economic development of the entire West Coast region requires a continuous flow of money into the fuel tank as fuel to continue to maintain high economic growth.

Moreover, American investors and other European investors are more cunning than each other. If they hear that the Bank of Bahrain and the Bank of France not only did not withdraw their investments in the West Coast region, but increased their investments in the West Coast region, these people will also consider transferring their original investments in the East to the West.

If these investments can be absorbed, it will be a great benefit to the California economy.

At that time, there will be the economic depression in the East on one side and the stable and improving West Coast region on the other. The West Coast region will not worry about not being able to attract outstanding talents from the East to contribute to the construction of the West Coast region.

"A solution that can stabilize the stock price of the railway company? And not let the state government suffer losses?" Ge Wen pulled his thick beard on his chin a little frantically.

"Where in the world is there such a good thing that has the best of both worlds?"