Perfection of Rebirth

Chapter 903 Mid-Year Meeting

Before the Guanghui Group's executive meeting officially opened, it stirred up a lot of troubles in the Tianchao economic circle.

In the past year, the subprime mortgage crisis has intensified, and gradually, the enterprises of Tianchao have also been affected.

In fact, since China joined the WTO in 2002, the troika of economic development has been investment, export and consumption.

In the first decade of the 21st century, exports were definitely the main engine of China's economic growth.The most important of these export-oriented foreign trade companies are the markets of developed countries led by the United States.

Now the United States and other developed countries are deeply affected by the subprime mortgage crisis, especially the Americans are most affected.Don't look at the United States as the world's most powerful country. In fact, ordinary people in the United States are not as rich as the Chinese people imagined.

Especially when it comes to deposits, the common people in the United States are even less wealthy.

When you have a stable job, there are no problems. No matter how many credit cards you use, you can still repay on time next month.But when the economic crisis comes, the first thing European and American companies do is to lay off employees, and often large-scale layoffs.

The spending power of these employees who lost their jobs basically fell from heaven to hell.Those who did not lose their jobs often had their incomes also affected.Even if the income is not affected, seeing so many people around them unemployed, their desire to consume will be greatly suppressed.

When the number of people consuming in the market decreases, the number of products needed will naturally decrease. Correspondingly, the life of the enterprises that produce these products will be even more difficult.

In this environment, as China's largest private enterprise, as China's most concerned high-tech enterprise, as China's most successful international company, it is only natural that Guanghui Group's mid-year executive meeting has attracted the attention of all parties. .

"I called everyone together today. I think everyone has some thoughts in their hearts, especially the executives of the major overseas companies of the group. They must have a deeper understanding of the turbulent and weird situation of the global economy in the past year."

Although the mid-year meeting of Guanghui Group attracted a lot of media attention, the meeting itself was not done in a low-key manner. Instead, it was held in the hotel conference room in Ningxi Film and Television City of Guanghui Film and Television without any special ceremony. .

In addition to the ministers of the headquarters of the Guanghui Group, the rest were basically the first and second leaders of the branches and overseas companies who attended the meeting.

"On May 5, Rato, the former chairman of the IMF, pointed out that the most difficult period of the credit crisis has passed; the ISM non-manufacturing index in the United States in April was 5, and the expected median value was 4, which is also at the highest level since December 52.0. It seems that this A round of crisis has come to an end. However, Greenspan, former chairman of the Federal Reserve, pointed out that it was too early to judge the credit crisis triggered by the collapse of the subprime mortgage market in May 49.1; will further worsen and harm the overall economy."

When Jiang Hui started to speak, he did not mention the specific situation of Guanghui Group, but talked about the international situation with the executives under him.

It is impossible for Guanghui Group to develop to its current scale without being affected by the international situation, and it is impossible not to care about the changes in policies and regulations of major countries.

As the world leader, the United States will continue to be the world leader in the foreseeable next 20 years, and the think tank at the headquarters of Korn Ferry Group has given the most attention.

As the "central bank" of the United States, the Federal Reserve is run by people who know the economy best in the world, and any public statements they make are worth pondering.

But it's funny, even unbelievable.

Such an influential institution is actually a private enterprise! ! !
Yes, you read that right.The Federal Reserve is a private company, not an agency of the U.S. government.This situation is quite special in major countries around the world.

The Federal Reserve is the central bank of the United States. Compared with the central banks of other countries, the Federal Reserve was born relatively late as the central bank of the United States.

Historically, the United States has tried many times to establish a central bank like the Federal Reserve, but failed because lawmakers and the president worried that the central bank would have too much power, or that the central bank would be kidnapped by a few interest groups.

This worry is mainly determined by the state shape of the United States.At the beginning of the founding of the United States, the United States was a loose organization composed of independent states in the form of a federation, and most of the administrative power was concentrated in the state governments rather than the federal government.

So the idea of ​​a federal agency like a central bank would alarm the states, who feared that the federal government would use it as a pretext to expand its own powers.

After the end of the American Revolutionary War, the first U.S. Secretary of the Treasury, Alexander Hamilton, proposed to Congress the establishment of a national bank.Mainly responsible for helping the US states issue bonds to gradually repay the debts accumulated during the Revolutionary War.

In addition, the bank can also help keep the deposits of the Treasury and handle other federal government financial revenues and expenditures.Hamilton's proposal met with strong opposition at the time.

Opponents mainly worry about these three aspects: first, such a national bank has more competitive advantages than other banks, which will result in its monopoly in private banking business; second, the bank exceeds the federal government's authority stipulated in the US Constitution ; Third, the establishment of a national bank will weaken the power of the state governments.

Although Hamilton successfully established such a bank, the First Bank of the United States, in Philadelphia in 1791 despite all opposition, Congress only approved the First Bank to operate for 20 years. After 20 years, Congressional approval is required for Bank One to continue to exist.

The First Bank of the United States is not a central bank in the modern sense, it is actually still a private commercial bank.Bank One, like other banks, takes deposits from savers and makes business loans.

In addition to being a private commercial bank, the First Bank also had a big flaw, that is, about 70% of its shares belonged to foreigners, mainly Europeans at that time.This makes many Americans worry that Bank One is a tool for European financial families to control the United States.So in 1811, after the 20-year operating period of the First Bank was up, Congress did not approve it to continue to exist, and the First Bank was forced to close.

In 1812, the Anglo-American war broke out again.In the absence of an effective central banking system and nationally unified financial markets, America's state banks were in disarray.In order to restore banking order and deal with war debts, the United States once again considered establishing a central bank similar to the First Bank. In 1816, voted by the U.S. Congress, President Madison signed a bill establishing the Second Bank of the United States.

Similar to the First Bank, the Second Bank is closer to a national commercial bank than a central bank in the modern sense.Likewise, Congress only granted Bank II a 20-year license.After the license expires, it must be approved by Congress to continue to exist.

In 1836, the Second Bank of the United States followed the mistakes of the First Bank and was forced to close.

In the more than 70 years since the Second Bank of the United States closed, the U.S. government has made no further attempts to create a central bank-like institution.During this period, financial markets in the United States experienced a great deal of laissez-faire development.

However, as the financial market continued to expand, the shortcomings of the laissez-faire banking system were increasingly exposed, and bank runs caused market collapses to occur frequently.

美国在1873年、1884年、1890年、1893年、1907年都发生过由于挤兑造成银行大规模倒闭的金融危机。尤其是在1893年的危机中，美国有超过500家银行相继倒闭，很多人的毕生积蓄可以说一夜之间付诸东流。

Frequent financial crises have made the public gradually realize that there are big problems in the free-flowing financial market.There has been growing support for the creation of an agency to properly regulate financial markets.

In 1913, the U.S. Congress finally reached a consensus and passed the Federal Reserve Act.President Wilson signed the bill, officially declaring the Federal Reserve.

Who owns the Fed has been a closely guarded topic for many years, and the Fed itself has always been vague.Like the Bank of England, the Fed keeps secrets about its shareholders.

However, it is conceivable that the major shareholders behind the Federal Reserve must be the major families and consortia in the United States.

These people are the real ruling class in America.

The Fed is so special, so Jiang Hui's speech also borrowed the words of the two former Fed chairmen to endorse himself and increase the credibility of what he said next.

Chapter 906: Big Hands
(End of this chapter)