Rebirth of Hong Kong 1981

A smile appeared on the corner of Yang Chen's mouth, and he asked, "Uncle Huo, you've known my nephew for so long, do you think I'll do business at a loss?"

Hearing this, Huo Daheng couldn't help being taken aback, then thought about it, and finally found that Yang Chen hadn't suffered a big loss this way.

Mobile phones do not make money, and they will not lose money.

Huo Daheng thought about it for a while, and finally thought of what Yang Chen was up to, "You want to earn money back from the phone bill."

During this period, the cost of mobile phone calls was not low. Compared with the dozens of yuan package in later generations, it was completely different.

"Almost, but I will not increase the phone bill, but will reduce the phone bill. Only when the phone bill and the price of the mobile phone are reduced, will more people accept the XGDH1 mobile phone."

Yang Chen's approach is like the various subsidy policies of Internet companies in later generations, using means of reducing phone charges and mobile phone prices to attract users.

As long as there are more mobile phone users, Xiangjiang Telephone Company will naturally be able to make money, and it will make a lot of money, just like the three major mobile operators in the future.

Chapter 988 Friday

In the blink of an eye, time entered October.

During this period of time, Yang Chen has been running between his home and the high-tech industrial park in the New Territories, but after entering October, Yang Chen suddenly returned home and stayed behind closed doors.

No one knew that a storm was gathering momentum.

In [-], the famous Black Monday broke out an unprecedented stock market crash in the financial history of the United States and the world. .

Since the end of World War II, various countries in the world have carried out post-war recovery. Over the past few decades, except for some regional wars, the world has generally tended towards peace.

Even the Cold War between the United States and the Soviet Union did not affect the economic development of all countries.

October NO.16 (Friday)

As usual, Yang Chen was eating breakfast while reading the newspapers compiled by his aunt at home. During this period of time, Yang Chen had to carefully read the major economic daily newspapers in various countries.

It would be a lie to say that he is not curious about black swan events like Black Monday in history.

Everything that happens has a reason for it to happen.

For a big event like Black Monday, it should be said that there should be more clues to be found, but, of course, like many people in later generations, Yang Chen couldn't find any specific evidence.

The only reason he felt that the U.S. stock market fell in [-] and the global stock market followed suit was two reasons.

First, the United States currently has huge fiscal and trade deficits.

Second, the bubble economy.

Let's talk about the two major deficits first. From Yang Chen's point of view, these two major deficits are the cause of the whole thing.

In 2000, the U.S. fiscal deficit was as high as 500 billion U.S. dollars, and the trade deficit was as high as [-] billion U.S. dollars.

You must know that the United States was the largest creditor country in the world during World War II. After the end of the war, all European countries owed a lot of debt to the United States. From the war to economic recovery, European countries relied on American blood transfusions to survive. of.

Fortunately, the situation has suddenly reversed, and the United States has somehow become the world's largest debtor country. The huge fiscal deficit, coupled with the ever-increasing trade deficit, makes international capital generally not interested in investing in the US market.

Some people may say that this deficit is not even a fraction of the huge debt owed by the U.S. government decades later. How can it affect the confidence of international capital in the United States.

Regarding this issue, you need to be aware of two things.

There are two reasons why later generations of the United States are not affected by debt.

First, a strong military force.

Since the end of the Cold War, the United States has become the only superpower in the world. It is number one in the world in terms of economic strength and military strength. confrontation.

Second, petrodollars.

Several Middle East wars by the United States have controlled the world's largest oil-exporting country, and oil resources affect the development of the world economy. This has been fully reflected in the two oil crises.

The United States uses various means, including war, to bind oil and the US dollar. If countries in the world want to import oil, they must use US dollars to pay. As a result, countries have become dependent on the US dollar.

The trade of all countries in the world is inseparable from the US dollar, and the US government is naturally not affected by debts. No matter how large the number is, it is just a number. If it is not possible, people will start printing money and print money like crazy.

But in [-], which is now, the United States was only one of the superpowers, and the Soviet Union had not yet fallen. Apart from having a better economy than the Soviet Union, the United States did not have much advantage in terms of military affairs.

Not to mention the U.S. dollar. Although the United States has made European countries dependent on it before and after World War II, European countries have recovered from the war over the past few decades.

In addition to jointly resisting the Soviet Union with the United States militarily, these countries have begun to compete with the United States economically. Even the island country, known as the number one brother of the United States, is also trying to buy out the United States and occupy the United States peacefully, not to mention other European countries.

Under such circumstances, the huge fiscal and trade deficits in the United States make investors less confident in the United States, which is a normal thing.

Why is the economy of the United States at this stage not very different from other countries, but after the fall of the Soviet Union, it soared into the sky, far away from other countries, and it even required all the countries in Europe to add up to be worth a United States.

The reason for this is here. At this time, the United States is strong, but it is not yet so strong that it can cover the sky with one hand.

Fiscal deficit and trade deficit were one of the factors that caused the outbreak of the US stock market crash in [-], and also induced the second factor.

The second reason for the outbreak of the stock market crash in [-] is undoubtedly the bubble economy, which is the same as the real estate bubble in the island countries that followed.

How did the US bubble economy form?

The reason lies in the two major deficits. Under the pressure of huge debts, if the United States wants to continue to promote domestic economic development, it must absorb foreign funds to make up for the shortage of domestic funds.

To attract foreign capital, it is necessary to maintain a relatively high interest rate.

With the global economic slowdown, the United States maintains high interest rates, which naturally attracts countless foreign capitals. However, foreign capital entering the United States, under the de-industrialization of the United States, the industrial investment environment is not good.

Since high interest rates have a direct impact on stock market prices, a large amount of foreign capital has entered the U.S. stock market. Driven by foreign capital, it has promoted the false prosperity of the U.S. stock market.

From [-] to [-], in just five years, the U.S. Dow Jones Index more than tripled, the Italian stock market more than tripled, the Japanese stock market more than tripled, and the Federal Republic of Germany’s stock market more than doubled.

Everyone knows that finance and economy complement each other. No country in the world can support the endless rise of the stock market. When the economic development cannot keep up with the pace of the financial market, the collapse of the financial market is an inevitable result.

The U.S. stock market has been rising endlessly for a long time, but the economy is stagnating or even regressing. This is like building a tall building without a good foundation. The higher the building is, the worse it will be when it collapses.

When a stock has nothing to go up, it will naturally go down. This is the reason why the so-called prosperity must decline.

Unable to find a specific cause, Yang Chen could only attribute the stock market crash to the above two reasons, as for why it happened at this point in time.

From Yang Chen's point of view, this is like buying a house by yourself. Originally, you paid 100 million for a house worth 120 million, which has reached the bottom line. Will not buy again.

Similarly, when the stock market has risen to a certain level, everyone has almost spent all their money, and some people are even ready to accept it as soon as it is ready, then problems arise.

The stock market crash in October was not an inevitable event, but it just happened at that time, so everyone couldn't find the specific reason and felt baffled.

Chapter 989

After eating, Yang Chen began to listen to Lan Meiren's work report.

Every day, Yang Chen will spend about an hour to understand the situation of the subsidiary company, and every other week, he will hold a secretarial room meeting to arrange the general development of the subsidiary company.