Soviet Union 1991

Update 2

"Minister Keizo Obuchi has sent back a message from Moscow saying that he mentioned the joint development of the Far East project during negotiations with the Russians in Moscow. Soviet Foreign Minister Shevardnadze tried to persuade Minister Keizo Obuchi to join the Far East development project. What do you think, Minister Hiroshi Mitsuka?"

As the Minister of Finance in Hashimoto's second cabinet, Hiroshi Mitsuka's reply made Hashimoto Ryutaro a little confused, "Wait, wait a little longer. The Soviet Far East development project has only remained a verbal statement since its announcement, and there has been no further practical operation."

Hiroshi Mitsuka pushed the tea in front of him to Hashimoto. In front of Prime Minister Ryutaro, he said to him, "The current Soviet Union is like this cup of tea. It looks very perfect, but what about the reality? Before you drink this cup of tea, you will never know what it tastes like. But..."

Mitsuka Hiroshi picked up the tea in the cup, brought it to his mouth and blew it gently, then said, "When the other party drinks it, we will know the result roughly. Whether the Far East Plan is a scam or a real win-win project depends on the next move of the Soviet Union. The Japanese government is not a sucker and will not suffer this loss for no reason."

"Is the Minister of Finance saying to wait and see?" Hashimoto Ryutaro asked.

"Yes, wait and see. Because we don't know how far the Soviet development project will go. When they officially announce the start, it will be the best opportunity for Japan to get involved." Mitsuka Hiroshi's advice to Hashimoto Ryutaro was to wait a while and not be too anxious. He took out another document and handed it to Hashimoto Ryutaro. This was the real purpose of his visit this time.

"I hope Prime Minister Ryutaro Hashimoto can reconsider the issue of increasing consumption tax. After all, it concerns our current cabinet." Hiroshi Mitsuka hesitated as he held the document. This is the fiscal situation of the Japanese government this quarter. The expansion of the fiscal deficit and the weakness of the Japanese economy have made Ryutaro Hashimoto a little anxious.

Ryutaro Hashimoto sighed. He certainly knew that it was easy to reduce taxes but difficult to increase taxes. "Increasing consumption tax is a helpless move and it is difficult to fill the deficit gap. In fact, raising consumption tax is a helpless choice to improve Japan's poor fiscal situation. The baby boom has passed, and Japan has gradually moved towards an aging society. The proportion of the elderly population over 65 is gradually increasing, and the burden of social security such as pension and medical care is becoming increasingly heavy. Japan's public debt is catching up with the GDP level. For a long time, our government's national debt has mainly relied on the purchase and digestion of national household savings. The balance of Japanese household financial net assets is already approaching the scale of government debt. In other words, it is unwise for the government to rely on borrowing money from the people to make ends meet. Although the goal of balancing revenue and expenditure can only expand the source of tax revenue. Compared with major developed countries, Japan's consumption tax rate is relatively low." Hiroshi Mitsuka retorted, "But the Prime Minister should not choose this time. Only when the economy has recovered to a certain scale can taxes be increased." Japan must meet three conditions to achieve fiscal balance: first, the economy achieves a high level of growth; second, fiscal expenditure is significantly reduced; third, the consumption tax rate is increased to about 10%. However, under the current social and economic conditions in Japan, this is almost impossible to achieve. Therefore, it is almost impossible for Japan to make up for the difficulties caused by the economic bubble.

"In order to achieve high-speed economic growth, we can only take a final gamble." Hashimoto Ryutaro said, "China and the Soviet Union are the two markets, which are Japan's last choice."

"So we still have to cooperate with the Soviet Union?" Mitsuka Hiroshi lowered his eyes. He hoped that Japan could wait a little longer, but the reality was that Hashimoto Ryutaro could not wait any longer.

"Yes, after the problem of oil pipeline transportation is resolved." Hashimoto Ryutaro said.

While the Japanese top leaders were negotiating on the Far East development project, the Kremlin was also planning a new round of actions. Yanayev's two cards have been played. One is to instigate Japanese Prime Minister Hashimoto Ryutaro to invest in the Far East. The second insurance card is to instill in Keizo Obuchi the illusion that the Soviet Union urgently needs to cooperate with Japan. In two months, Hashimoto Ryutaro will be removed from the position of Prime Minister of Japan because of the consumption tax issue. When Keizo Obuchi takes over Hashimoto Ryutaro's mess, he will realize what the Soviet Union means by cooperation. Yanayev did not use any conspiracy this time, but openly used Japan's real problems to make the world economy bow to him.

Pavlov and Ryzhkov expressed no objection to Yanayev's decision. Pulling Japan into the water is the goal that the Soviet Union has always wanted to achieve. For this, the entire Soviet high-level is working hard in this regard.

"The trap has been set, but Keizo Obuchi does not seem to be too cold. Do we need to add another bargaining chip to stimulate or force Japan?" Pavlov asked.

Yanayev waved his hand, indicating that there was no need to go to such great lengths. "To us, Japan is nothing more than a giant with a weak economy. Although it looks huge, its most critical core has actually begun to decline slowly. Its pride is based on economic achievements. Once the building blocks collapse, a series of chain reactions will make Japan desperate to try any possible means. At that time, in addition to joining our Far East development strategy, will Japan have any other options?" "I'm just a little curious, why choose Japan instead of China?" Pavlov originally suggested dragging China into the water, but Yanayev refused to do so.

Yanayev shook his head, "Japan still has money. Even if it is a collapsed financial behemoth, it can still get a big share of the pie from them. China is not a fool. It is now in a period of rapid domestic economic development, and its huge market is How can I still have extra energy to think about the Soviet Union if I haven’t digested it yet?”

His words refuted Pavlov's suggestion that the economic cooperation issues between China and the Soviet Union should be left to the next leader to resolve. What Yanayev is trying to do now is to ensure cooperation in all aspects of economic and political affairs and suppress the interference of political hawks in Moscow.

There are not many people like Marshal Ogarkov who think about attacking China all day long after the strength is restored, but there are also many. Only Yanayev pushed them all out of the political core.

If the Soviet Union and China were at odds, Americans would laugh out loud in their dreams.

"One more thing, the Far East Development Project has attracted some nasty flies. It would be best to get rid of them all before they interfere with the Far East Development Plan."

OPEC seems to be aware of the Soviet Union's ambition to develop natural gas and oil, so this week it officially announced an increase in oil production in order to suppress international oil prices. This is not a good thing for the Soviet Union. The reduction in oil prices will mean that the initiative of oil pipelines will be pushed to China and Japan, because they have better options.

It is impossible to say that there are no Americans behind OPEC fanning the flames. The worst outcome Yanayev can foresee is that the United States borrows money from the Japanese government to help them survive their current economic difficulties. As a result, the Far East development plan may eventually be postponed or canceled.

Being able to overwhelm the Soviet Union on this issue will be Mario's greatest achievement.

"It's a series of games. I really don't know if that Mario guy is starting to get anxious? Maybe he wants to get rid of me in the last two years?" Yanayev said to Ryzhkov, "If the United States What should we do if Japan is forced to cut off cooperation with the Soviet Union on the grounds of economic assistance? Or what preparations should we make in advance?

Ryzhkov’s answer was very simple, “Then take the lead in instigating the relationship between Japan and the United States and make the United States feel grudge against Japan. Although it cannot 100% guarantee the smooth progress of the Far East plan, it can cut off the United States’ economic influence on Japan. Aid. The United States will not aid a country they do not trust.”

"Then I know what to do." Yanayev roughly formed a plan in his mind.

A program specifically focused on small moves in America. (~^~)