1928: The rise of giant merchants

"In fact, there were signs of the economic crisis last year, and the United States has long been in a state of industrial depression." Ye Luo talked to the camera.

His every word and deed will be photographed and written into articles, which will soon be published on the headlines of these newspapers and magazines, thereby triggering a greater wave of public opinion.

Throw out the concept of economic crisis, and those stubborn entrepreneurs will relax, and he can leave the United States faster.

Moreover, predicting the economic crisis is a good opportunity to build a reputation for yourself.

"Why? Before the stock market crash, the United States was in its most prosperous stage. We lived a very happy life, far better than many other countries in the world."

Custer was astonished.

These words also came from his heart.

When the U.S. stock market bubble bursts, isn’t it just the speculators and the companies that inflated it that are unlucky?

Even if the United States is experiencing an economic crisis, why is the whole world involved?

"That's just false prosperity." Ye Luo said with a smile, "For example, in agriculture. Last year, the Soviet Union sold lumber at a low price, and the price of lumber in the United States fell sharply last year. And this year, Canada's wheat production was excessive, causing the U.S. government to force Depress the prices of all domestic cereal agricultural products.”

"These two examples are not special. The price of agricultural products in the United States has been declining in recent years, which shows that agricultural products are oversupplied and difficult to sell. In terms of industry, the total industrial output value last year increased by 50% compared with the previous year, but the number of workers increased significantly. The number of unemployed people has been decreasing, and the number of unemployed people has been rising. What does this mean?”

Custer didn't understand this and asked subconsciously: "What does it mean?"

"The industrial prosperity that represents the United States is false. The increase in total output is because factories are constantly producing goods, but these goods are not properly arranged. Many are hoarded in warehouses and not sold, because in fact, domestic production The demand is not that high.”

"Why does this happen? Because the prosperity of the United States in recent years has relied on the explosion of the stock market and real estate. These virtual assets have created batches of 100,000 and millionaires. They have invested a lot of money to open factories and manufacture industries. , and hoard the goods in the warehouse where they purchased them. You are the boss, I am the boss, and he is also the boss, so let me ask you, who will buy the goods? "

Custer had a sudden realization, remembering the incident in which large amounts of milk were dumped into the Mississippi River.

"Products that cannot be sold can only be destroyed. No one is willing to provide products for free or at a reduced price, because then the market economy environment will be destroyed. Who will be willing to use paid products after using free products? Even if they do, then It’s also a small number of people who can’t save the messed up market.”

Ye Luo sat in his seat and talked eloquently, saying sentence by sentence the truths that have long been familiar to future generations. In this era, the impact of such remarks and analysis is no less than his prediction of the bursting of the US stock market bubble.

"The United States is indeed very wealthy. Your industrial products and agricultural products are extremely abundant. In my hometown, in the far East, there are even many people who cannot eat and starve to death. There, it is not because the capitalists are hoarding wealth, but because there is really no The ability to produce so many goods.”

Ye Luo sighed. With the current situation of the Republic of China, no one can feel relaxed as long as they go to the north once or twice. However, the problem of low productivity is difficult to solve.

"These wealth belong to the capitalists. Now, the capitalists are bankrupt due to the backlog of products and the collapse of the stock market and housing market. People cannot find jobs. Isn't this the prelude to the Great Depression?"

There is no need for him to analyze this in later generations.

You get rich by relying on virtual industries. Once these castles in the air collapse, speculators are finished, industrialists are half-dead, and capitalists are left with nothing, the country's economy will be unable to circulate.

In the end, when it comes down layer by layer, it feeds back to ordinary people, which is unemployment and despair with no end in sight.

As these things collapsed, the Great Depression was bound to follow.

"Is there any solution?" Custer asked in a low voice.

He seemed to have seen the tragic situation described by Ye Luo.

"This is an issue that White House officials should consider. All I can say is this much. Thank you for the interview." Yelo stood up and shook hands with Castor.

Not long after this self-directed drama ended, the New York Times was the first to publish a special economic issue, devoting an entire newspaper to reporting on the interview.

There are pictures and texts, coupled with various explanations, to ensure that you can understand it if you are literate.

Thanks to Ye Luo's fame, special economic journals were sold out as soon as they were released, and they were urgently reprinted that afternoon.

Other newspapers and magazines acquired by Ye Luo also reported on the matter, which attracted a lot of attention.

The special issue was placed on Hoover's desk that night.

The scarlet headline gave him a headache——

He said that the global economic crisis is coming!

Yelo was one of the scholars he had just admired, but now he had become the alarmist he least wanted to see, making Hoover feel like he was being stabbed in the back.

Is it possible for an economic crisis to occur?

He's really not sure.

Hoover's personal judgment was that it was unlikely. The stock market was still falling recently, but the wave of suicides had subsided a lot after the last national salvation countermeasures meeting. In addition, there were chaebol bailouts and a large number of acquisitions of companies.

It seems to be just a temporary economic downturn and has nothing to do with the so-called global economic crisis.

Hoover probably knew why Yello did what he did.

They want to cause panic among the public, and then gain an advantage in the battle to acquire companies and gain more benefits from local chaebols.

Many people understood the exchanges and events after the bubble burst.

This Chinese is not as harmless as he seems on the surface, he has a lot of tricks up his sleeve.

Creating public pressure, then lowering the price and then acquiring it can also reap a wave of fame, which is a very good calculation.

This was Hoover's judgment on the matter.

That night many people called to ask about his attitude.

After much hesitation, Hoover felt that Ye Luo could not be too aggressive, so he called: "Stop selling all newspapers and magazines about the global economic crisis. Anyone who continues to publish will be prepared to be blocked."

As for Ye Luo, everyone now maintains a tacit understanding. If he doesn't go out of his way, he will take his share, and no one will care.

Early the next morning.

Hoover summoned industrial giants such as DuPont, Ford, and Mobil Oil to the White House and put forward a call for no shutdowns, no layoffs, and no salary cuts to stabilize employment. He then sent a telegram to all governors, urging states to start infrastructure projects as soon as possible. At the same time, while lowering discount interest rates, banks on the verge of bankruptcy are advised to apply for discount loans from the Federal Reserve to stimulate credit expansion.

This is the most common coping strategy.

Just as Ye Luo expected.

After Franklin received the decree urging the continuation of infrastructure projects, he was a little more convinced of what Yelo said.

"He will definitely continue to invest money in infrastructure projects in order to increase employment, but he will definitely fail!"

Ye Luo is so confident.

However, Hoover's overnight clearing of public opinion about the global economic crisis did not have much effect. Instead, it gave Yello free advertising.

If you let newspapers and magazines continue to publish reports, people will just look at them and pass them by. They only came out yesterday afternoon, and you will clear them out in the evening——

Who dares not to believe this!

The public is almost convinced that a global economic crisis is coming.

The New York Times's special economic journal was sold from 3 cents a copy to $5 a copy!

In response to this crisis, people have become increasingly worried about unemployment, and have begun to hoard money, withdraw money, and treat it negatively.

Butterfly wings flap slightly.

The first unlucky company was U.S. Steel.