Joke on the second day of the Lunar New Year Can you increase your wealth by printing money?

Mondo Culture Updated on 2024-02-11

Today is the second day of the Lunar New Year! It is a custom in the north to worship the God of Wealth on the second day of the first lunar monthOn this day, whether it is a commercial store or an ordinary family, it is necessary to hold a sacrifice to the God of Wealth. Each family sacrifices to the God of Wealth brought on Chinese New Year's Eve. At noon on this day, you have to eat wontons, commonly known as it"Ingot soup"。Fish and mutton were used for sacrificial offerings. The big merchants of the old Beijing in ancient history all carried out large-scale sacrificial activities on this day, and the sacrifices were to be used"Five major offerings", i.e., whole pigs, whole sheep, whole chickens, whole ducks, red live carp, etc., in the hope of making a fortune. The historical custom in the south is to go back to one's mother's home: When the girl returns home, if there is a nephew at home, the aunt will give a red envelope, this ancient traditional custom, Chaoshan people call it "eating the sun and day" for the New Year, the New Year; It's not lively.

Straight to the point; watched Sima Nan's ninth issue of "Casting a Solid Safety Bottom Line", this time its attitude is not too tough; After all, heresies cannot stand up to the refutation of the truth; The common people used their professional knowledge and truth to press to the ground the anxiety that they wanted to sensationalize; Failure is natural, it is psychologically uncomfortable; wants to incite antagonism by exaggerating to hug a wave of fans; Earn a wave of traffic money; Failure to meet the target; It's revealed, can this psychology be comfortable? Ha ha.

But it still doesn't give up; Thinking that I'm such a big V as Sima Nan, I always have to find some scenes, right? Therefore, today it is not alarmist to say that "financial openness = selling the right to mint money, the right to adjust interest rates, and the right to reserve the treasury" (after all, it is refuted that this is a national sovereignty that cannot be given up; Now tell you about the "ugliness" of "financial capital"? The gist is, why bother? If you need money, it's all over by yourself?!

Obviously, it has no real understanding of the two basic concepts of economics and finance, money and finance.

There is also no understanding of the real "real" and "imaginary". So, there is such a shallow understanding.

1. Printing money is not virtual, but an inliquid reality. The resulting hyperinflation is always the atrophy of the real caused by the immobile reality.

Here is the first country to mention, called Zimbabwe; The state prints money as if it were not a fate, and the people cannot afford anything with bundles of money.

Someone else ridiculed:The Zimbabwean currency has given the underdog to the Underworld, and the banks of heaven and earth have been eclipsed.

Zimbabwe is known as the "bread basket of Africa", not only with fertile land, but also with very rich mineral resources. At the time of independence, the economy of southern Africa was second only to South Africa.

And because of its rich mineral resources and tourism resources, it has attracted a lot of aid from Europe and the United States. With the help of European and American countries, Zimbabwe soon became a relatively developed industrial country, and even many industrial products could be exported abroad.

At the beginning, Zimbabwe was ruled by white colonizers for a long time, and all the fertile land resources were occupied by whites, while the people of Zimbabwe could only be reduced to "working people".

So around the year 2000,Zimbabwe has implemented a "rapid land reform plan", which has taken back all the land it occupied.

However, the people of Zimbabwe lack experience in managing farms and the means of production, which has led to a devastating impact on agriculture. Zimbabwe, which originally had the "breadbasket of Africa", has also begun to rely on imports in terms of food.

And that's not all,The move also exposed Zimbabwe to Western sanctions. Britain first began to ban "aid" to Zimbabwe and freeze its overseas assets and ** arms.

Under the control of Western countries, the International Monetary Organization has also frozen loans to Zimbabwe, and even foreign exchange channels have been terminated, which directly puts Zimbabwe's economy in trouble.

In just a few decades, Zimbabwe has gone from prosperity to one of the least developed countries in the world.

Zimbabwe's total export revenue in 2022 was $7.4 billion, while China's total export revenue was 2397 trillion yuan,The gap is quite significant.

In order to solve Zimbabwe's economic problems, ** began to print a large amount of money, which caused even more serious inflation.

In the 80s of the last century, the exchange rate of the Zimbabwean dollar against the US dollar was 1:147, which means that in the 80s, the Zimbabwean dollar was worth more than the US dollar.

So, how did Zimbabwe get to it step by stepThe country with the worst currency depreciation in the worldWhat about it?

In order to cope with the decline in exports and the lack of demand, the continuous printing of money to try to solve this dilemma. But this will only lead to an increase in the face value of the Zimbabwean currency, and nothing else will solve the problem, and even the life of the people will become more and more difficult.

Zimbabwe** increased the denomination of banknotes from 100 million to 10 billion to 100 trillion. Everyone has become a "billionaire", but everyone can't afford to buy anything.

At the height of inflation, 100 trillion Zimbabwean dollars could buy 5 bottles of water in the morning and only 2 bottles in the afternoon.

By 2008,Inflation in Zimbabwe climbed straight to a peak of 231 million 00000%.In other words, the bread that used to be able to buy one for one dollar will cost 2 in 2008300 million yuan.

In such a case,Zimbabwean's savings have been depleted by hyperinflation, and the Zimbabwean currency has lost credibility among its own people.

In 2009, the Zimbabwean coin became the least valuable currency in the worldAs a result, the Zimbabwean currency was abandoned and traded in RMB and US dollars.

At that time, 1 US dollar could be exchanged for 3.5 billion Zimbabwean dollars, and to be honest, the paper money burned on the Qingming Festival did not dare to be so much.

But this trick does work, tooThe use of foreign currency as a currency in circulation has indeed curbed inflation in Zimbabwe. Coupled with China's aid to Zimbabwe, Zimbabwe's economy is finally seeing growth.

2. What is the monetary relationship? Money is the balance between goods and coins; The total amount of consumption and demand determines the quantity of money, not the quantity of money determines consumption and demand, and there are enough goods to carry so much money; There is enough ** traffic to carry enough goods.

Can printing money solve the lack of money? Dry prints? Doesn't that depreciate? To depreciate it is to take wool at the whole people of this society; Blood drawn. Look at Zimbabwe, the most obvious example of what kind of panic effect can be.

Some irresponsible or ignorant people of economics and finance will always accuse the "United States of throwing money" in fact, why did the United States and Europe do it successfully this time? Although inflation has risen, it has been suppressed by raising interest rates; Successfully avoided a decline in mass consumption? Because of its precise understanding of the relationship between "goods" and "currency"; Monetary learning is perfect; Is it a joke that Bernanke can win the Nobel Prize in Economics?

The United States and Europe are throwing money on the basis of the abundant total amount of "goods" and the abundant and penetrating exchange channels.

What is Goods? Is the goods all the goods that can be delivered? Is the asset a commodity? Are financial assets commodities?

From Sima Nan's mouth, what does the ridicule of financial capital that he likes to talk about for so many periods: "Karma gold for silver"? It shows that it knows nothing about financial capital; Is it just a straw bale?

Take ignorance as character; Ignorance is terrible.

It turns out that financial capital is also "goods"; It is possible to exchange without hindrance. Whether you agree with it or not, it is the current and future understanding of financial capital in countries around the world.

Financial capital has greatly promoted the development of the real economyThe United States completed industrialization at an unimaginable pace, and mega-corporations like Carnegie Steel appeared. The United States immediately replaced Britain as the world's number one economic power.

In 1939, World War II broke out, which required a lot of money, and the issuance of treasury bonds and treasury bills gave investment banks a lease of life.

After the war, industrialization and urbanization began in the United States, and underwriting and M&A business continued to flow. The accumulation of social wealth has given birth to a large number of commons, and pension has also begun to enter. As the amount of money grows, institutional investors put forward more requirements for risk-return and portfolios. Investment banks began to issue financial derivatives.

By the late '60s, the fast-growing middle class's demand for owner-occupied properties drove mortgages. The two largest mortgage institutions, Fannie Mae and Freddie Mac, need more means of financing.

As a result, bankers devised a financial derivative that uses the interest on residential mortgages to pay off bondholders. It has directly led to the dual prosperity of the real estate and bond markets.

Soon, any bonds, projects, accounts receivable, and even royalty income will be able to be financed in the form of **.

The premise of financial capital serving entities must be profit-making; If it does not make a profit, financial capital is not established. The money of finance capital comes from the broad masses of the people; In fact, it is a form of gathering sand into a tower; Sima Nan's generation, due to narrow-minded psychology and ignorance of economics and finance; There is a tendency to "financial public welfare"; Isn't that a joke? Please Sima Nan sell your small house and family trust in the United States, and give us a public welfare with your net worth of hundreds of millions and "pseudo-patriotic traffic money" with an annual income of 10 million? If you don't do it yourself, who can? The world is bustling for profit, and the world is bustling for profit.

The existence and establishment of financial capital lies in the fact that it must be profitable. If you don't make a profit, you can't exist. Money can't be gathered, what can we talk about serving the real economy?

If you want to gather money, you must be profitable; Advantageous projects. The greater the profit and the smaller the risk, the more funds will be gathered; This is the basic law of the survival of financial capital. It will form an automatic adjustment of social resources for an efficient and favorable allocation of resources。It also plays a pricing function. The intervention of financial capital in the project provides capital investment for the project and activates productivity; employment is formed; Employment forms income, and income completes consumption; The growth of consumption needs to provide huge profits for the original projects, which again stimulates the expansion of investment and multi-project expansion of projects; This is the context of the real economy of financial services as a whole.

This is the most basic core function; Those who are unfounded and worried, such as Sima Nan and the sour "scholars" behind it, see their speeches, and I am so happy. Is this a fool? How can financial capital be gathered without making money? How to turn? To serve the real economy, the basic attributes of finance cannot be erased, otherwise it will not be established。If it is not established, without financial capital, social and economic development will stagnate or even regress; This is the iron law of economics.

So please Sima Nan and his ilk, don't do economic anti-intellectual behavior.

Third, let's talk about the current situation of the opening up of the financial market. From 2019, the company and the company will be liberalized; To this day; China's largest ** companies and market share are still central enterprises and state-controlled large companies; For example, the first CITIC**, China Securities Construction Investment, CICC, etc.; Why that? Because of the limitations. You are not allowed to invest in financial products overseas; The country's financial opening policy is still to attract foreign investment; The purpose of opening is to bring in; What kind of "financial products and products" are you playing? It is the financial products and commodities established by China, and the financial capital of our country is transferred. Playing in this circle, foreign capital finds a big opportunity to make a profit in this circle, that is the ability; This financial opening, I call it that"Advanced Wealth Management Experience".The fact that domestic institutions can't find it, but international institutions can't find it, shows that people have a strong ability to find it. It's like that, there are golden bumps on our own land, but we don't know the treasure, and the stones are in the way. But foreign financial capital has experience, and others have experienced it; It's like Ma Weidu, when people see that this is a treasure, they will point out to you that this is a treasure; Yours give the same to others; We have a piece of our own, and it's more about learning advanced experience.

So now it's put, not definite. Sima Nan always exaggerates risks, don't come to my house to know the treasure! We don't know, and we don't let you know. It's narrow-minded. This is the same as the narrow small-scale peasant mentality, who comes to collect antiques at home, and I will not sell you anything; Who knows if this is the prince's pacifier or Gege's footcloth? This is the work of the closed-mindedness of narrow-minded small-scale farmers. Reform and opening up is a dinner party, not a thief prevention; You must have a sincere attitude of inviting people, and people will come. Prepare for defense before you come, all kinds of means and language, that is the attitude of making friends and cooperating? Thousands of miles to welcome, full of friends; With the same heart, conspire together. It's not that there is nothing in the world, and mediocrity disturbs themselves.

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