Stellaris: Earth Alliance

Chapter 285 The Economic Crisis Breaks Out
On the other side, after a few days of crazy stock price gains and losses, the stock market is slowly returning to normal after the initial shock.

However, before a more exciting news arrived, Qin Xu had already asked 550w to withdraw all funds from the stock market, and finally made a huge fortune.

His large withdrawal of funds suddenly caused shocks in the stock market.

But the power of Portman's people and businesses is the absolute main force after all, and they gritted their teeth and ate up all this part.

Most investors still cannot change their habit of chasing the rise rather than the fall. When the stock rises again, they feel that it will continue to rise endlessly. No one feels that they will be the last one to take over.

Under normal circumstances, triggering a violent stock market turmoil and dampening the confidence of all investors would be the biggest impact of this incident.

But that is without the influence of other things. In fact, the consequences of the explosion of the space station are serious and terrifying.

This incident severely damaged the confidence of Portman's domestic and foreign capital, and some problems that had been lurking under the water were also exposed.

The first thing that exploded was Portman's real estate business.

When investors feel less confident about the future economic situation, they tend not to continue investing.

The overheated economy was suddenly put on the brakes, and the result was bound to be a downturn.

Although the Portman administration immediately started printing money and distributed the printed money to major banks in the country.

Then, various ultra-low interest rate loans are provided to increase people's willingness to invest.

However, this time the real estate bubble was too big and burst immediately. This small trick could not prevent the financial crisis from happening.

Originally, Portman was a model of advanced consumption by the whole people. In this case, everyone has a huge amount of money on hand, and the money is obtained by overdrafting their wages for the next 100 years.

It’s natural to have so much money on hand, and spend it lavishly.

As the saying goes, giving money to everyone is equivalent to giving no money to everyone.

You have taken a fancy to the house in this location, and so have I.

This is the only house in this location.

Buying it back and reselling it to hang it out is another bunch of people robbing it.

With repeated price increases, the house was sold to the sky.

When the price rises sharply, the first thought of everyone who buys is not to live in it, but to resell it at a higher price.

In the tulip crisis in the Netherlands, an ordinary tulip can be sold to a sky-high price.

And a set of real estate, which is very expensive in itself, has directly skyrocketed under this set of operations.

Once a house hits the sky-high, the prices of other houses will follow suit.

When the trend of price increases has taken shape and will continue to increase in the foreseeable future, a large amount of money from society will pour in.

And because the people of Portman have 100 years of salary overpayment, they already have a huge demand for investment, and real estate speculation is much more intense.

But things that are falsely high are only falsely high after all.

When you buy a house not for living in but for speculation, when the demand for speculation disappears and people's willingness to invest decreases, the price will fall quickly.

With the collapse of real estate, a series of CDO collateralized debt obligations and CDS loan default insurance formed around real estate have also exploded.

A lot of people who originally owned a lot of real estate, when the price of real estate is high, Locke Infinity Bank will mark it green.

And when real estate prices went down and no one bought them even if they were priced at 1 yuan, those people who were originally rated as billionaires by banks were immediately marked red as their fixed assets shrank.On the other hand, people's desire to consume has decreased, and companies have begun to lay off employees when they cannot make money. Once they are laid off, more people will be marked red by banks.

Soon, the debt default rate of major banks reached a peak.

What this means is clear to everyone.

But before this game of drumming and passing flowers is over, no one thinks that they will be the last one to take over.

But to everyone's surprise, after the huge financial crisis broke out, there was no large-scale riot in the entire Portman society.

The reason is simple. Before the financial crisis broke out, Portman's Congress had already cleverly transformed internal conflicts into external conflicts.

With the start of the war, people gradually became less concerned about their own lives and were quite ready to go to war, so it was appropriate to tighten their belts and live a life of their own.

And Portman, who controlled all the media, vented all the people's resentment about the economic crisis on mankind.

It was humanity's terrorist attack that caused Portman's economic crisis. It was humanity that caused the people to be in dire straits, and it had nothing to do with the government.

Many people whose families have been devastated by the economic crisis have pointed their fingers at humans instead of the Portman administration.

This is one of the reasons why the entire Portman community is now more united than ever before.

As for Rockeffield, Rockeffield Bank suffered heavy losses in this financial crisis.

But all this is predictable, after all, they have known for a long time that the Washington Space Station will be attacked.

Then the money lost by the bank will be earned back hundreds of times during the war.

A large number of orders from Portman flew to the Rockefey Group, and Rockefey actually monopolized the entire Portman military industry.

For military equipment, they can raise prices however they want.

This time Portman's order came in a hurry and he had to make a huge profit.

The big men in Congress also know very well that this money is the country's money and has nothing to do with them.

With a little hint from Rockefeller Group, a large number of high-priced orders floated to Rockefeller Military Industrial Group like snowflakes.

Expand the army, expand the army, expand the army again.

Of course, this small army is enough to deal with humans, but everyone knows the relationship between humans and Field, so no amount of military expansion can be excessive.

But this time, it was Ives who made the great contribution.

He has previously used many disgraceful means to get Congress to pass many bills on robots.

At this moment, it just came in handy. The robot originally set could not be higher than the ratio of the regular army.

Now that this proportion limit has been lifted, robots can be added to the army without an upper limit.

A large army composed entirely of robots marched toward the human border.

At the same time, various media outlets controlled by Portman in human territory also began to exert their efforts.

Criticize mankind's terrorist acts and demand that mankind immediately hand over 7800 million people, including the president, to face justice.

As long as it is handed over, Portman will not invade.And if they don't hand it over, Portman's war on terror against humanity will officially begin.

(End of this chapter)