Lux's Magic Penetration Rod

Chapter 751 【0740】 Open Economy

The transformation of the old aristocracy is just the beginning.

Although it is not easy to change one's mind, completely turning Demacia into a new Demacia is not even something that can be achieved in three to five years, but just like Jarvan IV's judgment, Lux is full of confidence in this.

As long as they insist on public trials of local lords and redistribution of land, the Demacian farmers who have obtained the land will inevitably support the new order, even if they do not understand the historical significance of what Lux said, and they do not know what the equality of responsibility and power is.

Although the capital city is prosperous and all industries are prosperous, looking at the entire Demacia, the main form of economy is still agriculture. Farmers are the occupation of most Demacia people. With their support and support, Lux There will be an opportunity to slowly carry out the next reforms.

Whether it is developing education or applying magic to production and life, this requires a relatively stable environment.

As for whether the old nobles themselves will cause trouble...

Sorry, they don't have the ability.

The nobles who lost their private army have long lost the ability to cause trouble. After the land is distributed, the nobles who have lost their economic foundation have no basis even if they want to cause trouble.

Although it seems that Lux has not completely liquidated them physically, the old nobles will still quickly become rootless and have no chance to make waves. Even if a few are talented in certain fields of culture and art and want to say Guys who say mean things can only say mean things in the end.

After completing the registration of the major nobles' intention to transform, Lux did not continue to lead the army south - the main force of old Demacia has now been completely annihilated, and there will no longer be large-scale battles in the south. She has a more important task now. , is to stay in Xiongdu and take charge of economic production tasks under the new situation.

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In Forsbarrow, following Kalja's consistent thinking, the scope of the government's jurisdiction is astonishing.

Because technologies such as red mulberry breeding, hazelnut antler cultivation, and elniuk breeding all came from the royal guards, and the first generation of royal guards were all students of Lux, so the Forsbarrow government represented by Lux was very important in economic production. occupies an extremely important position.

The technology for production is provided by the government, and the sales of production are handled by the government.

Moreover, this is not only true for production, but also for life. In Forsbarrow, the government provides minimum guarantees for special groups on the one hand, and on the other hand, it specializes in procurement to provide the people of Forsbarrow with relatively stable prices. affordable food and other necessities.

Although trade in the north is booming, in fact, there are very few locals in Fosbarrow who are doing business. Most of the people in Forsbarrow are more accustomed to carrying out various production activities under the guidance of the government.

The Forsbarrow people who grow fragrant red sucrose will sell the harvested semi-finished fragrant red succulent leaves to the Forsbarrow government at the purchase price, and then the Forsbarrow government will hand them over to the processing factory for primary and secondary processing. , then classify them into categories and sell them uniformly, either to Wazuan merchants or to the south.

A large amount of profits flowed into the hands of the government. Part of this money was used to maintain personnel expenses, part was used to carry out public utilities, and part was used as special subsidies in various directions to absorb immigrants, establish education, etc.

Under Kalja's painstaking plan, Fosbairo achieved leapfrog development in this way.

The development of the past fifteen years has proved that under the condition of overall planning, various resources can be utilized to the greatest extent, so as to develop productivity and achieve outstanding results, and can quickly change the backwardness of remote areas. As long as a strong team is found, Growth points can achieve small-scale prosperity.

However, while this policy is good, it is unlikely to be extended to all of Demacia.

In other words, the current Demacia is not enough to support its comprehensive promotion.

In fact, before a large number of military industrial projects were launched in recent years, as Forsbarrow's influence gradually spread in the north, many problems had already appeared in this comprehensive planned economy.

Take the hazelnut antler cultivation industry as an example.

In order to maintain profits, the Forsbarrow government did not purchase hazelnut antler at a high price.

Although the price of dried hazelnut antler products sold uniformly in Xinfu Port and sold to Wazuan merchants has fluctuated, it is always more than 17 hex per pound.

However, what is the purchase price for hazelnut mushrooms that have not been dried?

Fifty silver coins per pound, equal to 0.25 gold hex.

It is known that the dried hazelnut antler shipment ratio is about 8 to 1. If the hazelnut antler growers do not accept the unified purchase, but sell it directly to businessmen in Xinfugang, then the same 8 pounds of fresh hazelnut antler, their The income will change from 2 gold hex to at least 17 gold hex.

Although the drying of hazelnut mushrooms is more troublesome, such a huge gap is still exciting.

The first generation of Forsbyro people still remember the hard days before Lux came. For them, the purchase price of fifty silver coins per pound was enough to make them feel satisfied. However, as the merchants of Xinfukang became more and more More and more people are coming, and it is inevitable that some people are willing to send fresh or dried hazelnut mushrooms to Xinfukang for sale.

For the people of Forsbarrow, this could boost incomes.

But for the Forsbarrow government, this is just trying to get rid of its own wool - don't forget, the humus soil for hazelnut cultivation is piled up by the Archon in the Shadow Realm. In order to support hazelnut planting, hazelnut cultivation When antler growers purchase humus soil, they only pay a symbolic fee.

Now you use humus purchased at a low price to cultivate hazelnut antler, and then skip the unified acquisition and sell directly to Xinfugang merchants. What is that if you are not harvesting wool?

There are undoubtedly two directions to solve this situation.

One is to open up the free operation of hazelnut antler, while also canceling relevant subsidies, formulating relevant tax rates based on actual conditions, and leaving it to the people to operate themselves.

The other is to prohibit private sales, impose restrictions on Xinfukang merchants, and prohibit them from purchasing goods through channels other than the Forsbarrow government.

However, if you think about it carefully, you will find that neither of these will work.

The full opening up of free operations means that growers of hazelnut mushrooms have to bear a lot of additional risks and greatly increase the business threshold. Many growers of hazelnut mushrooms do not have much savings, so they spend a lot of money to buy humus soil. , which forced them to give up growing hazelnut antler.

After calculation, if a family with an annual output of 200 pounds of hazelnut antler was converted to a free operation, their hazelnut antler sales income would increase from 50 gold hex to an astonishing 425 gold hex.

However, without subsidies, the cost of purchasing humus for a family that produces 200 pounds of hazelnut antler annually will exceed 200 gold hex, and this figure, with existing subsidies, is not to 5 gold hex.

In the case of unified acquisition, hazelnut growers have very little investment, and with the unified support of the government, they can ignore sales problems, market fluctuations, and various risks, and start planting with the lowest entry threshold.

But what happens after it becomes a free business operation?

People who cannot afford two hundred gold hex a year are not qualified to engage in the antler cultivation industry, and the threshold will be completely raised. This is obviously not a situation that Forsbarrow wants to see.

Moreover, don’t forget that even if the hazel antler producers that existed in the past worked hard for five years and maintained only the lowest and starving expenses in these five years, they would not be able to save two hundred gold hex.

After truly opening up the free operation of hazelnut mushrooms and canceling subsidies and unified acquisitions, the Forsbarrow government can indeed maintain fiscal revenue through taxation, but the hazelnut growers who have no money are left with the only option of reducing production. .

Well, if you have to say it, borrowing is also possible, but the current economic environment in Forsbarrow is not mature enough to support a mature banking industry. And for private lending of this scale, as long as the price of hazelnut antler fluctuates slightly, then A large number of growers can jump off the building with their families.

Opening up free operations seems very fair, but in fact, it means adding a high threshold to an industry that is now relatively mature and can provide a large number of jobs for the population and a large financial income for Forsbarrow. .

Considering that Forsbarrow also has many hazelnut antler downstream industries (drying factories, grinding plants, etc.), if they were to be directly opened to free operation, that series of industries would suffer heavy losses.

So what if we simply legislate to ban the private sale of hazelnut mushrooms?

It seems like this is a good way to maintain it. As long as we continue to maintain unified acquisition, unified processing, and unified sales, everything can continue as before.

But the question is, how to implement it?

Small-scale hazelnut sales only require one person carrying a basket. If you want to ban it, how many law enforcers will be needed and how specific the law enforcement authority will be?

Doing so will not only make it difficult to grasp the boundaries of legislation, but also reduce the economic vitality of Xinfukang during the enforcement process, which is not conducive to import and export trade.

Therefore, Fosbairo had to patch up this situation and carry out dual-track reforms for industries including hazelnut antler and fragrant red solanum that utilize a large amount of government resources in the production process.

By introducing Xinfukang market access license, practitioners in these industries will be given two options - either accept subsidies and then make unified acquisitions; or give up subsidies and then bear taxes and be responsible for their own profits and losses.

After the dual-track system is launched, growers who are willing to go to Xinfukang can go to the newly established free trade zone to sell individually, negotiate individually, pay stall fees, and pay transaction taxes.

Those who are willing to specialize in planting and don’t want to bother can continue to subsidize planting and sell uniformly.

Although this still won't completely eliminate the phenomenon of wool harvesting, it can at least significantly reduce its spread and institutionalize it.

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It is completely impossible to completely eliminate the wool harvesting of hazelnut growers in Forsbarrow. So how is it possible to look at the entire Demacia and completely transform the production method into a Forsbarrow-style government-led one?

Under the current circumstances, all Lux can do is to grasp the general direction and maintain originality in most economic fields.

Specifically, Lux's economic production mainly follows the following three principles.

First of all, in the basic life industry that involves the majority of Demacian people, the main purpose is to maintain the production and supply of the industry. There must not be any problems with basic life materials due to the reform of economic production.

If necessary, the internal industries of these industries can be temporarily kept intact. It is better to reduce fiscal revenue than to collect taxes indiscriminately.

Secondly, in the process of new economic production, magic must be combined with the existing economy and production in a modular manner, and changes must be made step by step.

Not only must magic be put into production, but also the work of ordinary people must become part of magic production, and the two must be organically combined.

During this process, many industries that used to serve the nobility must be consciously reformed and given priority to serve magic-related fields, just like special carvings.

Finally, new economic production must establish internal organizations from both top down and bottom up. The specific development of the industry can rely on the practitioners themselves, but the development direction of the industry must follow the direction and will of Demacia. Each industry They should coordinate with each other to avoid local protectionism.

This is the most important and difficult thing to do, because in the past eight hundred years, Demacians have become accustomed to different places belonging to different lords, and each place is responsible for its own lord.

In the past, the economy and production in various places highly followed the personal interests of the lords. Local protectionism was prevalent. The prosperity and decline of the industry itself depended entirely on the will of the lords. Even the trade exchanges in various places were related to aristocratic transactions between lords.

This situation has greatly restricted the economic development of Demacia. Since the noble fiefdoms are relatively closed, they are often not large, and the industries are not complete. Under this situation, Demacia's commerce is quite closed. , all relying on the royal family's Xiongdu Trade Association for internal communication.

After the Northern Walkers went south and gradually took over Demacia from the old nobles, although Demacia will be divided into different administrative regions in the future, and each region will have its own local interests, it must not be the same as in the past. As always, we carry out crazy local protection.

You know, in Demacia, although weights and measures are unified, except for basic weights and measures, nothing else is unified.

Demacia's economy needs to be considered together!

At this point, it can be said that Lux has made a lot of preparations. When she was in the north, various industry associations in Forsbarrow played an important role in the process of northern integration. Now Lux In the capital, in addition to top-down legislation and reform, industry associations in various industries should also have bottom-up subjective initiative.

Therefore, in the next month, Lux will have dinner with industry representatives from different industries every day. After the current interns helped organize the national skills competition, the next interns will go to various industries to write investigation reports.

Looking at the dense itinerary and notes in her diary, Lux felt confident.

I’m so tired of writing... I always want to insinuate something, but I can’t help it.

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