The passionate years starting from the college entrance examination
Chapter 529: Violating the Decision of the Ancestors
In 1999, the Federal Reserve was holding a meeting, and several bigwigs including the Morgan financial group were also in attendance.
The think tank put forward several proposals, including multiple economic strategies such as the dollar tide, and the target group is also very simple, that is, the world.
In fact, to be more precise, it is Todai!
"Your proposal is too radical. Such a large-scale money printing will only lead to two results. First, the hegemony of the US dollar will plummet. Second, inflation in North America will reach an unprecedented peak level. This will be a huge disaster for our entire country."
After listening to the words of Parker Merton, a big shot in the Federal Reserve, Anthony Messert, the elephant representative of the conservative faction, immediately retorted:
"Especially when the inflation rate reaches a peak, it will inevitably trigger a chain reaction, and by then the situation may be beyond our control."
"What's more, we are currently raising interest rates. The US dollar interest rate has reached 5.85 percent and will continue to soar. Are we going to stop raising interest rates?"
The so-called massive money printing is actually printing a large amount of money and using the money to purchase other people's assets, thereby stealing the fruits of other people's labor.
The US dollar interest rate hike has been going on for some time. According to the current situation, this round of interest rate hike cycle will most likely last for nearly two years.
But now, less than a year has passed, and the interest rate hike has been ended. Isn’t this a bit inconsistent with the laws of economics?
Or to be more precise, is it not in the interests of North America itself?
You know, the impact of the US dollar interest rate hike on the world is huge. One of them is that capital from all over the world will flow back to the North American banking system, causing the cost of funds in other countries to rise, which in turn leads to reduced investment and slower economic growth.
The second is that the capital flowing back to North America will cause severe impacts on other countries' stock, bond and other financial markets. At the same time, fluctuations in North American financial markets will further aggravate the volatility and instability of global financial markets.
Third, the risk of debt crisis in highly indebted countries increases, which is how the Asian financial crisis came about.
At that time, countries such as Siam, Garden City, Mindanao, Seoul Peninsula, Malay Peninsula, Sumatra, etc. were countries that were very dependent on large amounts of US dollar debt, as if borrowing US dollars did not cost any money.
When the US dollar raised interest rates, the debt crisis in countries such as Mindanao was immediately sounded. Under the impact of international financial capital such as the Quantum Fund, the fragile economies of Southeast Asian countries collapsed, allowing Soros and other Wall Street capital to easily reap profits.
Fourth, trade protectionism is intensifying!
Against the backdrop of the US dollar interest rate hike, especially when the rate hike continues and reaches a certain peak, such as 6, 7 or 8 percent, some countries can only take trade protection measures such as raising tariffs to cope with the economic pressure brought about by the interest rate hike.
As the millennium approached in 1999, the process of economic globalization had become a consensus around the world. The rise of regional trade protectionism was bound to undermine such a global trade order and economic globalization, which would be a huge harm to all countries.
Finally, an interest rate hike will lead to an appreciation of the US dollar, causing the prices of resources denominated in US dollars to fall relatively. This will deal a blow to the economies of some resource exporting countries and will also reduce global inflationary pressure.
The decline in global resource prices is a good thing for major resource importing countries like Tokyo. Of course, for regions like Tokyo that are too heavily dependent on a single external resource, raising interest rates is not a good thing for them.
After carefully counting the impacts of the US dollar interest rate hike, it seems that there is no impact on the University of Tokyo.
why?
Perhaps the first point may have some impact on the economy of the University of Tokyo. After all, capital is flowing back. The economy of the University of Tokyo does not have that much capital. The reduction in investment and the increase in capital costs will indeed have an impact.
However, Southeast University is known as an infrastructure maniac, and projects such as the Three Gorges Hydropower Station have indeed been completed, but that does not mean there are no other projects.
For example, the high-speed rail projects and highway projects that are still being implemented, the railways and highways that have been built across the country are almost close to the level of 2,020 years in the original time and space.
The population growth rate is still increasing, especially after the launch of the lunar base project.
The launch of the lunar base project actually means that the habitable area of Todai will continue to increase.
Regardless of whether the moon will become a satellite planet of the University of Tokyo, the University of Tokyo already has the ability to occupy more land on the moon to boost the economic development of the University of Tokyo.
After the launch of the interstellar travel project, foreign capital did not leave Todai on a large scale, because they all wanted to board Todai's aircraft carrier.
The Rothschild family, the Morgan family, the Rockefeller family and other capital consortiums, on the one hand, tried every means to deal with Dongda and curb its development, and on the other hand, they took out funds and made heavy bets on Dongda.
This contradictory method is actually the so-called financial hedging, which is a very common investment behavior in the financial market.
Throughout history, there have been many such capital tycoons who like to bet on both sides to ensure that their interests will not be harmed.
Therefore, there is little capital outflow from the University of Tokyo, and the impact of the US dollar interest rate hike on the University of Tokyo can almost be said to be negligible.
After all, Tokyo is not a highly indebted country. On the contrary, the US dollar foreign exchange held by Tokyo has almost ranked first in the world.
Another thing is that although Dongda exports a lot of resources, it also imports a lot of resources.
Taking non-renewable energy such as oil as an example, Southeast University imports more than 480 million tons of oil from abroad every year, which is much more than the 70 million tons in the same period of the original time and space.
In fact, Todai’s own oil self-sufficiency rate is very high, but based on Todai’s own historical experience, it always tries to accumulate more items in case of emergency.
Just like grain, the granaries across the country have a total standard grain storage capacity of 700 million tons, simple storage capacity of 280 million tons, and a total edible oil tank capacity of 30 million tons.
There are many other data that are actually enough to show that Tokyo University’s ability to resist risks is indeed very strong.
Given all the above, if the impact of the US dollar interest rate hike on the University of Tokyo is not as expected, then changing the approach may be better.
Anthony Messert, the conservative representative of the Elephant, was criticized by others. After listening to other people's analysis, Anthony became autistic.
People are like this, always so narrow-minded without realizing it.
He thought he was in control of everything and had grasped the truth, but he didn't know that he was just a clown.
Of course, this matter is not over yet, and whether the US dollar interest rate hike will stop is still under discussion.
Because the US dollar interest rate hike was not aimed at the University of Tokyo, but at the euro.
At present, the euro has not been affected very seriously because all of this takes time.
But because the current Southeast University is developing so rapidly, so rapidly that George Walker and others are very scared, so they made a decision that goes against their ancestors.
Henry Caddis, a member of the Rothschild family, Lannister Morgan, the former head of the Morgan family, and David Rockefeller, the powerful president of Chase Manhattan Bank, all tried their best to participate in the interstellar travel project of the East University and go to the moon to have a look. These people are not ordinary people, their strength, status and power far exceed those of ordinary rich people, but such people have voted with their feet and made a decision that goes against their ancestors.
Doesn’t this trend speak volumes?
"But I still don't agree with massive money printing." Anthony Messert still insisted on his opinion and said in a tough attitude.
That's what conservatives are like, they're annoying!
At this time, the representative of the Morgan Consortium spoke:
"I think we can let go, but our hegemonic position must be maintained and we can't go too far."
“We have been doing this since the 1970s.”
According to the representative of the Morgan Consortium, money printing is possible, but it must be done under the condition that the dollar's hegemony does not decline too much, otherwise it would be nonsense.
First of all, a predetermined goal must be set, that is, how to complete the wealth harvest faster. Secondly, the important purpose of this massive money printing is actually to make the Tokyo University have no cards to play and must obey their requirements in North America.
To put it simply, capital giants such as the Morgan Foundation and the Rockefeller Foundation have set their sights on the aerospace technology of the University of Tokyo, and they also want to get involved.
No matter whether Dongda agrees or not, just do it first.
If we seize the weaknesses of the University of Tokyo and attack them with all our might, we will eventually achieve our goal.
Although they have also sent a lot of spies, and used propaganda channels such as the Internet to deceive people, and their younger brothers such as Mindanao and Seoul Peninsula will also cause trouble, they have many such means.
But there are very few methods that can really kill someone with one blow.
That's why Anthony Messert, Parker Merton, Brian White and others gathered here to discuss the matter.
The Morgan Consortium representative’s meaning was very clear, but he did not propose any specific measures, which was equivalent to nonsense.
Why do you say that?
First of all, we need to figure out why these people dare to go against the world and openly discuss printing a large amount of US dollar cash?
North America has actually run out of tricks and they don't have many tricks left, so they have to resort to this last resort.
Since the early 1970s, when North America withdrew from the Bretton Woods system and announced that the dollar would no longer be pegged to gold, it has been on the path of printing large quantities of dollars and has never looked back.
You should know that before this, the US dollar was tied to gold and was also called US dollars.
But from then on, there were too many US dollar cash, or base currency, on the market, so it was no longer called US dollars, but US dollars.
However, the Bretton Woods system was signed in July 1944, and by the early 1970s, the world had become accustomed to the US dollar as a trusted global trading currency and Swift as an international trading platform.
Swift is actually a bit like the Taobao platform on the Internet. Everyone trusts this kind of third-party software, so they dare to place orders to buy things on the Internet.
For many other countries, the Swift international trading system is trustworthy to each other, so they will continue to use this old method. Otherwise, the global trade order will collapse.
Therefore, it is really hateful that North America has come up with such a vicious trick that will wipe out the country's future generations.
They quit the group at every turn, and I really want to beat up North America, but North America is hateful.
After the U.S. dollar was broken from its ties to gold, North America turned around and pointed at organizations like OPEC and said that oil transactions must be settled in U.S. dollars.
Do they dare not abide by such trade rules?
dare not!
Since the 1970s, the Middle East has become even more chaotic.
Why do dark organizations such as the Christmas Family, the Dark Night King, the Black Bear, and the Poison Dragon have endless missions all over the world?
It's because of the things they did in North America. After all, there is a saying that goes, 'Whether the Middle East is in chaos or not depends entirely on the eagles!'
There is some truth in what he said!
It is also because of this that the US dollar has entered a cycle of massive money printing since then.
As of now, the global base currency of US dollar is about 1.5 trillion US dollars, but in 1970, the base currency of US dollar was only 100 billion US dollars, and in 1959, this figure was only 41.7 billion US dollars.
It is not difficult to find from these data that in the short period of less than 30 years from the 1970s to 1999, the US dollar increased by 1.4 trillion US dollars.
In other words, the growth of these assets is actually based on North America's plunder of global wealth.
Why did the wealth of the Morgan family, the Rockefeller family, the Rothschild family and other financial groups grow so rapidly? Because they could print as many US dollars as they wanted.
Printing six billion US dollars is equivalent to waste paper for the big capitalists in North America, and the cost is almost zero.
But they can use these 6 billion US dollars to buy the Longyuan spacecraft of the University of Tokyo, or the skyscraper of the University of Tokyo, etc.
However, these US dollar cash, which is equivalent to waste paper, needs to be paid by six billion people around the world because their wealth was plundered in this way.
Because the US dollar is the global currency, all trade in the world cannot be separated from the US dollar. In these transactions, the US dollar, which was originally waste paper, becomes real money after the transaction is completed.
Once high inflation or other problems occur in North America, the Federal Reserve can still control it by raising or lowering interest rates, or even using war to plunder global wealth.
Therefore, the reason why Anthony Messert, Brian White, Parker Merton and others are discussing the issue of massive money printing is based on these basic logics.
But how to release water and how much water should be released is really a big problem. (End of this chapter)
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