Canteen System Assistance Notes

If it really doesn't work, just find a buyer to sell it to!

In this state of mind, fools and smart people pretending to be fools wander in this deadly ocean, watching the black numbers on the accounts continue to rise, and happily floating up and down.

Under these various factors, the grain price in Guanzhong finally broke through

400%的水平，迅速地超越了历史上40年的491.92%峰值，然后向着500%、600%狂飙而去，似乎有一路冲击到41年3811%的可能性。

Of course, in the eyes of these participants, citizens who couldn't afford food or firewood (firewood was generally 10% of the price of food), farmers deprived of their rations, and the poor weren't considered "human beings." But soon, all of this would be over. To put it more fashionablely, it would be over in a snap, without much pain.

One day in December 1939, in the Fushe Canteen conference room, at a meeting chaired by Accountant Chen, the delegates raised their hands and voted unanimously on a single topic. After the vote, the long-awaited Eighth Route Army soldiers finally breathed a sigh of relief. These past few months of waiting had truly been exhausting.

Someone unbuttoned the collar button and snorted, "Alright, get started!"

"Stop fishing and just drain the pond!"

Chapter 264: Accelerating the Throttle (3) Chiang Kai-shek Potato Chips

One day in mid-December 1939, a Kuomintang congress was being held in the temporary capital of the Sichuan-Chongqing Basin.

This was the Sixth Plenary Session of the Fifth Central Committee, which was historically scheduled for November. Perhaps due to the involvement of various high-ranking officials in the recent hot grain operations, it was postponed for a while. Because the Eighth Route Army was powerful and had frequent economic and trade exchanges with the Kuomintang-controlled areas, Chiang Kai-shek's anti-communist friction, which had been slightly weakened, was reiterated and repeatedly emphasized by the preserved fruit army.

He proposed the "Three Defenses" principle of "limiting the Communist Party, preventing the Communist Party, and opposing the Communist Party," emphasizing the need to "passively resist Japan and actively oppose the Communist Party." In response to criticism at internal party meetings, Chiang Kai-shek declared arrogantly, "The Communist Party cannot develop within the Kuomintang, nor can it develop outside the party. The people are also members of the Kuomintang. If the Communist Party develops among the people, conflict is inevitable."

In short, Chiang Kai-shek believed that the Communist Party and the Kuomintang were incompatible. If they were allowed to continue to develop, those within the party would become pro-Communist, those outside the party would become pro-Communist, and the general public would support the Communist Party. Therefore, the development of the Communist Party would be sinful and would inevitably lead to conflict with the Party-state.

At this meeting, he emphasized the need to shift political restrictions on the Communist Party to military and physical ones. "I don't think about what I can't do, but I can definitely melt the Communist Party!"

"It's over!"

Chiang Kai-shek confidently concluded his speech. He clapped his sleeves in his Mao suit, flicked them, and walked off the stage. From the audience, sparse applause erupted. Chiang Kai-shek paused, and the applause quickly grew lively and high. Finally, contentedly, he stepped down from the podium and returned to his seat.

"Brother Baichuan, what the principal said is indeed serious. Although this matter is difficult to handle, it must be pushed forward." "So... Regarding the anti-communist and anti-communist issues, how is Brother He doing?"

During a recess, Chiang Kai-shek was walking toward the auditorium's lounge when he heard two familiar voices through the wooden door. Just as his attendant was about to open the door, Chiang Kai-shek raised his hand. "Wait," he commanded. Chiang Kai-shek paused at the doorway, listening through the curtained, glass-paneled wooden door to the conversation between the two men.

"Old Senior, to be honest, although the pressure to defend against the Communists in Sichuan Province is great, this place is located next to the temporary capital after all. The Communists are concerned about the impact on political opinion and dare not be too arrogant. Brother Baichuan, it is those old Sichuan Army veterans who are meddling in my affairs." "Oh? How do you say that? I am not talented enough, so please explain your confusion."

There was a sharp, numb sound from inside the door, as if something had broken. Then, the voice of "He Jingzhi" was heard again. "Brother Baichuan, have you heard about the recent increase in grain prices in Guanzhong?"

"I have indeed heard it."

"The price of grain has been rising rapidly in recent times. The price of a single dan of grain has risen to over ten times what it was at the beginning of the year. Many of the Sichuan troops are eager to take action. Blinded by greed, they are not only hoarding grain but are also secretly selling it to Guanzhong and Hanzhong. Not only that, some unscrupulous individuals are even using military vehicles and horses, even using them as transport horses, to transport grain and socks back and forth for profit."

"Brother Jingzhi, hoarding and profiteering aren't really a big deal. The gentry just want to fill their warehouses. But the theft of military rations and the use of military vehicles are truly despicable. I wonder if the culprits have been found and punished to serve as a warning to others?"

"Brother Baichuan, how could I, Jingzhi, not know about this? Chen Cixiu only did a brief investigation and came back to tell me that this was the person who hoarded the most grain and stole the most grain.

This is He Yuanjing, the director of the Sichuan Provincial Headquarters. Chen Cixiu said frankly that He Yuanjing

Jing is the principal's man, he can't be touched...what can I do about this?"

"Alas... This is the way the world is. Brother Jingzhi, don't take it to heart. Come, eat a few more slices. These crispy potato chips taste really good."

The crisping sound reappeared, this time like a handful of crackers being gently rubbed. It was gentle, yet it reached his head. When it died down, He Jingzhi's voice re-emerged, a little muffled, as if he were eating something: "I don't like this Haohe'er brand. They have too much MSG in the barbecue flavor, making it too strong. It's fresh, but greasy. I don't know how these yam eggs come in so many flavors..."

"I'm really curious too, Senior. These flavors are so diverse, from ancient times to the present, from China and abroad. I think the green cucumber flavor is quite refreshing and invigorating, and pairs really well with strong tea..." Hearing this, Chiang Kai-shek reached out, grabbed the handle of the wooden door, pushed it open, and walked into the lounge.

"Ah, Chairman!" "Hello, Principal!"

The two people in the room, who were grabbing potato chips from a paper tube, were caught off guard and scrambled to their feet. But Chiang Kai-shek didn't reply. With his hands behind his back, he slowly walked over to the coffee table in front of him. Without a word, he grabbed a red paper tube from the table and glanced at the fluttering images of fried yam and egg yolk slices and the bright, tempting grilled skewers.

Yan Baichuan and He Jingzhi didn't dare say anything more. The CEO looked unhappy, and it was clear he was in a bad mood. Jiang Gong put the remaining half bucket of crispy potatoes behind his back, glanced at the two men's greasy fingers, and finally spoke.

"The situation in the War of Resistance is so critical, and the Communist Party's encroachment continues day by day. Now, with invaders outside and bandits within, food prices are skyrocketing, and speculation is rampant. As the pillars of the Party and the country, you should be working day and night to serve the country. In this situation where the people of the whole country are sincerely united, who would have thought that the generals of the Party and the country would be here feasting on crisp potatoes, without any ambition to make progress!"

Chiang Kai-shek's expression was tense and his tone was serious. "I believe that if civil officials are not greedy for money and military generals are not afraid of death, the party and the country can be stable." He brought the paper in front of him and showed it to the generals: "As generals of the party and the country, you must not be greedy for enjoyment in the future. You must work harder to make the party and the country proud.

"I'll keep this for you. When we succeed in crushing the rebellion one day, you can enjoy it later."

As soon as he finished speaking, he turned around and staggered out of the lounge, leaving the two people looking at each other in confusion.

He raised it high and put it down gently, and after playing himself, Chiang Kai-shek walked out of the venue swayingly.

The meeting place was set up in the Military Commission's camp on Jiefang West Road in Shancheng, facing the Yangtze River. There was a small courtyard. At this moment, many representatives were taking a rest in the courtyard.

Chiang Kai-shek, who was in a bad mood, was holding the bucket of potato chips and was sitting here for a while.

Take a short walk.

The civil officials speculate on grain, and the military officers sell goods. How did the Republic of China become like this? Civil officials are at peace, and military officers are playing games!

However, He Yuanjing, the director of the Sichuan Provincial Headquarters, could not be moved. Chiang Kai-shek thought that after all, he was his own man and an important figure in his control of the Sichuan Army. As Chiang Kai-shek was thinking, he heard the gentle voice.

"Darling, why are you frowning with worry? Are you thinking about the Party and the country's affairs again?"

"Honestly, it's you." Seeing the First Lady of the Communist Party, Chiang Kai-shek's mood finally brightened. "I was thinking, the recent rise in food prices seems quite significant. Will this give the Communists an opportunity to launch a propaganda offensive?"

The beautiful Mrs. Song did not answer directly. She thought for a while and did not answer, but pointed to another part of the yard.

When Chiang Kai-shek looked over, he saw that Dean Kong Yongzhi was surrounded by a group of people, who were bowing to him and congratulating him. Dean Kong, who was wearing small round glasses, had an expression of constipation on his face, as if he couldn't get angry, and he smiled apologetically to the people around him.

"I heard that my niece recently went to Gaojing to meet Hu Qinzhai for a blind date." The lady narrated slowly as if she was talking about something completely unrelated, "This time it was the Chen family who proposed the match, and our Song family was the matchmaker. We thought that both of them were young and promising, and they were both talented and beautiful. Lingwei was willing to wear women's clothes this time, so they would definitely be a match made in heaven.

(The wife's niece is the famous second daughter of the Kong family)

But who knew that Ling Wei left Haojing the next day and went to Chencang. Her excuse was that Hu Qinzhai had taken her to see the Huaqing Hot Spring, and climbing Mount Li was too tiring. She also said, "Even if Hu Qinzhai became emperor, I, Kong, have no interest in him." The situation became tense. Alas, the Kong family, apart from my niece, Ling Kan, Ling Yi, and the others, are truly a source of worry.

"Is there such a thing?" Jiang Gong asked in surprise. He vaguely sensed what his wife meant. "As a soldier of the Communist Party, Qin Zhai might not be as knowledgeable about love affairs as he is about military matters... Well, how is the situation now?"

"She directed some futures trading in Chencang. Darling, the grain futures market is booming lately, and there are many opportunities. Children are curious, so it's inevitable that they will get involved. Whether they make money or not is secondary. It's a rare opportunity to gain experience and broaden their horizons."

"oh--"

Jiang Gong understood his wife's hidden message: with both the Kong and Song families involved, it would be inconvenient to make a big deal about it. He thought it would be better to prosecute the mayor of Chengdu. His position was high and important enough, but it wouldn't affect the balance of power, wouldn't affect his own pawns, and would still appease public anger.

Chiang Kai-shek also took out some potato chips and shared them with his wife. As he ate, he reflected on his experience: "Well, the capital market is a good place to get more exposure. According to my own judgment, food prices are still on the rise and won't fall easily."

At that moment, the side door of the camp was flung open, and a capable attendant rushed in. He ran to the side of Chiang Kai-shek and his wife, bowed, and then handed his wife a telegram. Apart from the header and signature, the telegram had only one line of text: "It was sent from the Central Bureau of Investigation and Statistics in Gaojing."

The lady's face turned from red to white, then to livid, at a single glance. Her hands trembled, nearly dropping the thin scrap of paper. "What happened?" Chiang Kai-shek stopped the aide. "You're a member of the Communist Party, how can you be so flustered? There's no one here, so go ahead." "Reporting to the president, food! A large amount of food has appeared in Gaojing City, and they're selling it at a low price!"

Chapter 265: At the end of 1939, the various phenomena on Tiantai

This is a conversation that took place at a small meeting in the cafeteria a few months ago.

"According to the staff team's assumptions, our stockpiles of grain from 37 and 38, not including the newly collected grain from 39, have already exceeded the total amount of grain circulating in the Guanzhong region on the market under normal circumstances. This is our first bargaining chip." However, considering that after the hype begins, it is very likely that grain will enter from Ning Province, Sichuan and Chongqing, it is still difficult to ensure an absolute success rate.

"The 39 food supply is our trump card, our second-tier bargaining chip. We won't invest it until the very last moment. What about the canteen system?"

"The canteen system is primarily used to ensure food security in the border areas. Since there's currently no way to export flour and rice, we can't directly sell them on the market. However, we can get wheat grains through the home-made wine channel, and corn grits through the corn porridge channel. If that doesn't work, we can still get fried noodles and dehydrated rice on the market..."

Liu Helian raised his hand and tried to speak, but several people around him immediately turned their heads.

Leader, on the overseas front, China Resources has several food companies within its system. The company's accounts not only contain raw materials for its own staple foods, but also Canadian wheat intended for resale to the Soviet Union. Of course, using these chips will be affected by Northwest Passage shipping volumes, but regardless, this can serve as a fourth layer of security for us.

"Okay, then basically, there's no problem."

In the history of this time and space, in order to defeat the Magic City, the country's largest commodity distribution center and the strongest capital nest, Accountant Chen relied on meticulous investigations, amazing willpower and firm determination to collect grain, cotton yarn and coal from all over the country and transport them to Shanghai. He used his absolute advantage in size to crush all speculators who tried to collect all the chips, and he was a "one force defeats ten skills" in economic warfare.

If the Eighth Route Army in 1939 in the cafeteria dimension were to be dropped into the Magic City in 1949 in this time and space, to be fair, even with the support of the cafeteria system, it would still be difficult to completely replicate the "Two Whites and One Black" battle.

Therefore, some technical assistance is required. Through carefully designed trading structures, they open the investment floodgates, exploiting speculators' greed to cleverly exit positions, and then, through the introduction of virtual products, rapidly drive grain operations into a frenzy... The most crucial step is to selectively guide real intelligence, exploit loopholes in preserved fruit regulations, lure in bank funds, and rapidly increase the leverage ratio of the entire speculation. After all, leverage amplifies gains as well as losses: speculators who can originally withstand a 20% loss may only be able to withstand a 2% fluctuation under leverage.

Moreover, the Guanzhong region's grain trading market was, after all, relatively small, inferior to the Shanghai market in the summer of 1949. To use a metaphor: if the "Two Whites and One Black" campaign required our Party's determination, willpower, and mobilization to unleash the floodgates and flood the Shanghai market, crushing the capitalists' fleet, then in this "grain showdown," the Eighth Route Army faced nothing more than a floating bathtub in a pond.

Although the Eighth Route Army did not have the control over the dam's switch, they took out a grenade, pulled the fuse, and threw it into the bathtub.

The Eighth Route Army soldier still had three such grenades in his pocket.

-------one

In December 2019, a week before the Sixth Plenary Session of the Fifth National Congress of the Kuomintang, the Eighth Route Army, having already completed its grain mobilization, redeemed its 38-year discounted bonds in Gaojing, this time using grain delivery. The market didn't react much; leaving this small amount of grain in the already frenzied Guanzhong region wouldn't cause any significant problems.

The next day, the four commercial systems of the Eighth Route Army, Guanghua, Jiaotong, Supply and Marketing Department Store, and even Yongchang, which mainly traded in cloth, all began to release large quantities of grain spot goods, and the price was directly cut in half from the market price that had soared to nearly 1500% of the price in 1938.

Funds with nowhere to go pounced on the market like sharks seeing blood, but the market price remained unchanged.

On the third day, the Eighth Route Army released the goods as usual, and the hot money continued to profit.

On the fourth day, the Eighth Route Army continued to sell off stocks, and speculators continued to take advantage of the situation, but market prices began to fall. On the fifth day, the Eighth Route Army continued to sell off stocks, and speculators finally smelled something amiss.

While they were looking for channels and asking for information through their connections, the Eighth Route Army still released the grain on the sixth day and announced that because the grain price was too high and had deviated from its actual value, all payments for the discounted bonds issued in 1938 would be made with grain.

Then, the speculators, who were far from being accustomed to the rapidly changing market and information, saw, like dementia patients, the endless queue of trucks and power-assisted carts of the Eighth Route Army, which stretched from north to south on the Shaanxi-Gansu Highway, lined up in a row, stretching endlessly, like a long dragon carrying carts of wheat grains into the Guanzhong Plain, preparing to complete the repayment of the next phase of the 38-year Victory Discount Bonds.

And the release of grain on the seventh day.

Welcome to enjoy the first "grenade" brought by the Border Transport Column and the Railway Protection Army Transport Motor Vehicle Regiment.

At the same time, the first unlucky person finally appeared. A speculation expert who used a hundred times leverage lost all his principal due to the just-started decline in food prices. He lost the loan from the National Bank and was forced to close his position by the National Bank.

What’s even more interesting is that due to the incomplete mechanism, the National Bank is not the exchange for this speculator to conduct futures trading. When the bank manager brings a bunch of futures trading tickets

When the door of the "Endeavor Grain Exchange" was opened,

Only then did they discover that in the warehouse that was supposed to store enough food, there were only a few nests of starving rats, and no corresponding food.

The bank called in the special forces of the Military Control Commission and mobilized the Song family's network of connections, and arrested the fleeing Boss Chu in Jincheng. According to his account, the grain in his warehouse had long been used as collateral for mortgage loans, and then exchanged for more valuables to invest in the speculation of grain futures bonds.

As for food, there is none.

This not only means that the speculators will lose all their capital and the bank's loans will be unsafe, but even more seriously, all grain futures transactions taking place in this "Fenjin Grain Exchange" will lose all protection.

When the news broke, all speculators, just before the end of December, felt as if they had been doused with a bucket of ice water, connected to a 380-volt power source, and thrown into a pool of magma. Will the futures contracts I hold be delivered? Will the grain I bought with loans maintain its price? Can I find a sucker and offload this hot potato in time?

In other words, can my money afford to pay tomorrow's interest?

Countless people came to the newly established exchange and smashed the exchange's large warehouses - almost without exception, the food inside was empty.

In Schrodinger's state, it is either resold or used as

The collateral was used for several rounds of high-interest loans, and it was unclear to whom it ultimately belonged.

At this time, the second message from the Eighth Route Army arrived: in view of the current market conditions, the price of grain would be cut in half again during the subsequent sales. Oh no! This was the sound of a bubble bursting.

In 1939, when information flowed slowly, once a storm of panic selling developed, there was almost no possibility of a break before the value of items returned to where it should be.

After the Eighth Route Army threw the first grenade, the farce of grain speculation in the Guanzhong region completely entered the second stage - speculators holding futures certificates that could not be delivered, hoarders who tried to sell high-priced grain to make up for their losses, and capitalists who lost all their money in the absconding exchanges, began to become the main actors in the play. Everyone was thinking about getting rid of their stocks, whether it was the grain coupons that were like waste paper or the grain purchased at high prices, and cutting losses and leaving the market in time.

In such a scenario, if you sell at a lower price than others, you may be able to successfully escape from this collapsing building.

But it is just like this, no one can escape.

Those exchanges and trading companies that had sprung up like wildfire also vanished like wildfire. For a time, the lavish mansions and courtyards of Haojing, Chencang, Weinan, and Luohe were littered with confetti and filled with wailing. Some died of sudden heart attacks, some jumped from rooftops but survived, and some fled in the night only to be intercepted by creditors or enemies, resulting in fatalities.

In the Magic City of Free Port and the Paris of the East, those speculators who provided loan mortgage financing to Siming, National Products and Tongshang Bank came to block the road to demand repayment; Du Yuesheng, who lost his capital, was hunted down and attacked by his political enemies and the local Qing Gang, and was in a very embarrassing situation. The big speculator Yu Hede almost lost all his money. The imported Vietnamese rice in his hand suddenly became a hot potato. It was impossible to sell it at a loss. He had no choice but to get out of the Magic City overnight and flee to the southwest alone to seek refuge with the Song family.

Even the Wang Puppet regime began to take advantage of this opportunity to launch a massive attack on the Fruit Preserved Bank within the concession, intending to take over the three major banks' institutions in Shanghai in one fell swoop.

Even more outrageous was that, in addition to the speculators, landlords, and capitalists who were inevitably hit hard, and the banks that provided loans, some strange entities also suffered heavy losses in this sell-off - many of the National Army's garrison offices and the Whampoa Military Academy's Gaojing branch, as well as the Military Intelligence Bureau and the Central Bureau of Investigation. Because they resold military rations and speculated on grain futures certificates, they had almost no money left except a pile of waste paper. This made it impossible for them to pay money, buy grain, or make up for the gaps in their accounts and the deficit in their slush funds.

This situation left many troops in Guanzhong, Sichuan, and Chongqing without pay or food, nearly leading to a mutiny. Hu Qinzhai lost 80% of his funds in this situation, and only after careful consideration by his own Quartermaster Bureau Director, Wang Weiheng (a Communist), withheld 20% of the remaining funds, was his First Division able to maintain stability.

After several days of selling by the Eighth Route Army, the Communist Party failed to even use its subsequent third-hand plan, and the Guanzhong grain speculation craze ended in a self-destructive sell-off. In just over ten days, grain prices plummeted from a high of around 1500% to the level of 1938, and even slid lower.

Considering that too low prices would also be detrimental to grain production and economic operations in normal years, the Eighth Route Army began to reverse the situation and slowly purchase some new grain from 39 to replace the stored grain from 37 and 38. Those imported rice were transported by the Kong family through the Charity Federation, and most of them were sold at a low price to the Eighth Route Army because they could not even sell them for the money for the freight.

It was not until this time that the official response of the preserved fruit industry finally came - prohibiting grain transactions in the market, sealing up grain warehouses, and prohibiting grain price fluctuations. Only then could the "Guanzhong Grain Crisis of 39" be said to have temporarily ended.

The Eighth Route Army used the financial and information operation methods of later generations, supplemented by sufficient chips in its hands, and successfully evaporated at least 60% of the floating capital in the Guanzhong market, replaced the old grain reserves in the border areas, and even exchanged the legal tender in its hands for a large number of silver dollars and foreign exchange through the Red Stone Company, carrying out an "exchange rate hedging".

At the same time, a financial nuclear bomb was detonated in the speculative markets of Guanzhong, Sichuan and Chongqing, Northwest China and Shanghai.

Many landlords, military leaders, speculators, and unprogressive capitalists in the Kuomintang-controlled areas lost their lives in this war. Throughout the War of Resistance Against Japan, almost no one dared to speculate in grain in the Guanzhong region. However, would those people just admit their mistakes and accept the punishment and acknowledge their losses?

Chapter 266: Spy Shadow () Business in the Magic City

In December 1939, Christmas was a big holiday for Shanghai, one of the first trading ports deeply penetrated by Western culture.

But this Christmas, for those who might once have starved or frozen to death, then been thrown onto carts and carted away like empty sacks, there were many new and unfamiliar companions. There were more "punk" people looking for day jobs, vagrants, and those being chased. Rumors spread that many of the once high-ranking "bosses" were now impoverished, their creditors calling for their debts.

Although this could not be turned into rice to fill their stomachs or clothes to cover their bodies, it did more or less comfort the hearts of the poor people.

Because the Guanzhong grain market, which was hot some time ago, was suddenly hit by a big bomb, the entire Shanghai capital market suffered an earthquake. There were bankrupt borrowers, lenders who could not collect high-interest loans, investors who lost all their money, and even some Japanese banks lost a lot of capital.

Among them, the "Three Musketeers of Private Banks" Siming, Guohuo and Tongshang Bank were the first to be hit. They were unlucky to the extreme.

Margin financing could not be recovered, grain used to secure principal evaporated, and futures securities used as collateral became worthless. Banks, once secure, became the "same bank" as the speculators suffered losses in this turmoil. While this loss might have been manageable for the Siming, Guohuo, and Tongshang banks, it was a crushing blow that the Shanghai branches of the "Three Musketeers"—those in need during this turbulent period—could not withstand.

You have to know that at this time, Shanghai was an isolated island city that was only maintained by sea transportation. The three banks had to maintain contact with their headquarters through a complex channel such as Shanghai-Wan Chai-Hanoi-Spring City. Under such violent fluctuations, the Shanghai branches of these banks were more like independent branches that the head office could not manage, and it was difficult to withstand such a powerful storm - what's more, the Kong and Song families who were in charge of Siming Bank and Guohuo Bank had no ability to replenish their own capital.

The Wang Puppet regime, which had infiltrated the concession, rushed over and wanted to take over the Magic City branches of these banks.