Chapter 238: War Without Gunpowder
1879 was a turning point for the whole world, both politically and economically, affected by the Russo-Prussian War.
Affected by the tension in Europe, France and Austria both stared at the European continent and did not go out to do anything again, and the British only intervened in South America, and their main energy was also focused on the European continent.
None of the three big hooligans did anything, let alone other countries.
In these years, the political sensitivity of the colonial empires is very high, and the tension on the European continent is not concentrated on the mainland, what if the situation gets out of control?
The colonial empire did not do anything, which is undoubtedly good news for those independent countries that are in danger, and they can finally live a comfortable life for a few days.
When the Russo-Prussian War began, even the contradictions between Britain, France and Austria were suppressed. For the sake of common interests, the three great powers stood together long ago.
Of course, this alliance of interests is not reliable, and it could collapse at any time if there is a major change in the international situation, or if there is an imbalance in the power of the three countries.
If the impact of the Russo-Prussian War on the international situation lies more in the post-war period; Then the impact on the world economy will be immediate.
There are many industries affected, affecting almost every field, among which agriculture, manufacturing, finance, and service industries enjoy the greatest dividends.
In the capitalist economic world, a new round of prosperity began. The most typical is that the agricultural crisis has disappeared, the manufacturing overcapacity no longer exists, and the booming economy has directly promoted the development of the financial and service industries.
Although the war has only just begun, and the greatest dividend brought by the war has not yet fully exploded, the capitalists are full of confidence.
A lot of hot money has poured into the market, and the economic environment has suddenly improved. Job advertisements can be seen on the streets and alleys, and in war-related fields, workers' wages have risen slightly.
According to statistics, in November alone, Austria's new investment amounted to 160 million Aegis, an increase of 76.4 percent over the same period last year.
Most of this capital has flowed into the manufacturing industry, and factories have sprung up, and it is clear that investors are very optimistic about this opportunity.
This is true not only in Austria, but also in the entire European continent. Capital is like crazy, constantly pouring into all walks of life, wanting a piece of the Prussian War.
Looking at the statistical data, Franz frowned: "Now the market is too hot, although the consumption of the war is large, but the wallets of Prussia and Russia are some."
Neither Britain nor France, nor we will provide them with unlimited funds. It won't be long before a new round of overcapacity erupts, and the post-war European economy is afraid to mourn. ”
Reinhardt Haldegen, Minister of the Economy, explained: "Your Majesty, this is the inevitable law of economic development. In the previous wars, many people made a fortune, and they have been blinded by interests and ignored the existence of risks.
This is true not only at home, but throughout the European world. According to estimates by economic experts, in the last two months, the amount of new investment in Europe has increased by at least 50 percent compared with the same period last year.
Post-war overcapacity will become a common problem for all European countries. It's a big trouble, but it's also a big opportunity.
By seizing this opportunity, we can take advantage of the opportunity to crush the French manufacturing industry and weaken its biggest competitor. ”
In these years, there is no anti-dumping talk, and free trade is the mainstream of the times. The French did not resist the pressure and joined the free trade system half a year ago.
The core of "free trade" is that the government abolishes restrictions and obstacles on import and export trade, abolishes all kinds of privileges and preferential treatment for domestic import and export commodities, and enables commodities to be freely imported and exported and compete freely in domestic and foreign markets.
On the surface, it is good for everyone, and it can have a global market at the same time, removing the barriers to the flow of goods.
In fact, there is also a gap between enterprises and enterprises, and between countries and countries, and this gap is directly reflected in market competitiveness.
There is no doubt that France, which is starved of resources, is at a disadvantage in this round of competition. The import of raw materials directly raises production costs.
In order to cut costs, the capitalists naturally wanted to lower the wages of their workers, and the influx of cheap Italian labor created favorable conditions for them to keep wages down.
In the last decade, per capita wages in Europe have increased by 23.8 per cent, while per capita wages in Grand France have increased by only 5.4 per cent.
In this context, conflicts between the French and Italian people are naturally endless, and even if the Paris government tries its best to suppress them, they still have little effect.
Regrettably, the international competitiveness of most French industrial and commercial products is still not high, even if labor wages are depressed.
No way, who makes labor costs cheap these years? Except for labor-intensive industries, the labor cost of most industrial and commercial products is less than one-fifth of the total cost, or even less.
Occupy the majority of production costs are industrial raw materials, do not solve the problem at the source, how to improve market competitiveness?
The market as a whole has weakened the purchasing power of the market while reducing labor costs.
Despite the 60 million people in Greater France, the market does not have the same spending power as John Bull, which has a population of just over 30 million.
The failure of market consumption power is fed back into industrial production, forcing enterprises to produce cheaper goods, which is a vicious economic circle.
In the case of coal, the cost of industrial coal for the French is 1.3 times that of Austria, and in some inland areas it is even more than twice that of coal.
This is just the beginning, as high coal prices have led to higher power generation costs, which in turn have led to higher electricity bills, and high electricity prices are undoubtedly the biggest obstacle to the promotion of electricity.
Step by step, step by step, electricity has not been promoted, and it is naturally impossible to talk about machinery and equipment powered by electricity.
Affected by this, the upstream power machinery and equipment manufacturers are limited in their development, unable to invest in research and development of more advanced equipment, and gradually fall behind in international competition.
Downstream equipment users, because they did not adopt the most advanced productivity in time, were surpassed or even eliminated by their competitors in the market competition.
In this era of the law of the jungle, backwardness will be beaten. The French are militarily strong enough, and no one fights them for no reason, but economically, it is different, everyone is a competitor, and it is inevitable to fight the black hand.
As long as you can crush your competitors, it's worth paying some price. Under the free trade system, large-scale overcapacity appears, and countries have to fight for industrial strength.
The Vienna government is confident in this, and Franz is confident. Because Austria's infrastructure construction is completely king of its time.
Not only is transportation developed, it is also the first country in Europe to popularize electricity, and it is also the birthplace of the second industrial revolution, and the field of emerging industries is at the forefront of the world.
In this regard, Britain and Austria are two extremes, one focuses on emerging fields, and the other focuses on traditional industries, both of which have become industry hegemons. This has created favorable conditions for cooperation between the two countries.
Franz: "In that case, let's make the crisis more violent!" It is better to destroy the manufacturing industry in Europe and the United States together with it, and it is regarded as a clearance before the curtain opens.
This time, we can work with the British capitalists, let the private enterprises take the lead, and not directly involve the government. As soon as the Prussian-Russian War ended, they were launched together to set off this capital war. ”
Wars without gunpowder are sometimes even more brutal. The destruction brought by it is no weaker than a war.
It is conceivable that it will not be long before unemployment and bankruptcy will once again become a hot topic in the whole society.
After pondering for a moment, Reinhardt Haldegen, Minister of the Economy: "As long as the country is a member of the free trade system, it is very easy to do it."
The United States of America is in some difficulty, they are still stubbornly implementing protectionist policies, and it is very difficult to pry open their doors. ”
Eat a trench, grow a wisdom. The American capitalists, who have been plagued by British capital several times, are now frightened and simply play by themselves behind closed doors.
Anyway, it is rich in resources, and it directly copies the technology of European countries, except that its own market is a little smaller, and it has a good life.
Franz: "This question is referred to the Ministry of Foreign Affairs. When it comes to promoting free trade, the British are at the forefront of the process.
You can unite to put pressure on the United States, and if they are stubborn, then there is no need to be polite.
Since they want to play trade protection, simply let them play enough, and the international embargo is a good choice. ”
To tell the truth, the industrial and commercial products of the United States are really not very competitive in these years, and many products are not even comparable to the Russians.
If there is no trade protection, open the door to competition, they will definitely die a terrible death.
Franz did not expect the United States to be able to completely open its market, it was enough to open a crack in the door, and it was really acceptable not to go private.
When it came to attacking his rivals, Franz never passed up an opportunity.
Prime Minister Felix: "Your Majesty, if we push it again, I am afraid that the post-war economic crisis will be very tragic.
If the crisis lasts too long, we are not ready for the situation on the European continent to be broken again. ”
Man-made disasters are the most terrible, especially this kind of man-made disasters that can only manipulate the beginning and cannot control the ending, and the destructive power is even better.
With the advent of the industrial age, the influence of the economy on the political situation has increased. Because of the deterioration of the economy, there are countless situations that have led to turmoil, and there are not a few that have led to the outbreak of war.
Franz shook his head: "Without so much time to prepare, we will never be able to prepare fully, and when we are ready, the opportunity will be missed."
Moreover, if we do not act, it does not mean that the British will not act, and it is better to take the initiative than to react passively. ”
In fact, for a big country, conservatism often means that the country's fortune is long-lasting, and radicalization is a disaster for a country.
It's just that the opportunity is too rare, and once you miss this opportunity, if you want to take action, you need to pay a price that is not half a star.
To put it bluntly, Franz is not a peaceful place to live. In addition to not daring to take risks militarily, in the economic sphere, he did not mind trying.
Success, of course, is the best; Failed, and the unlucky ones were also speculators. The Vienna government's experience in dealing with the economic crisis is already abundant, and it does not hurt the country's foundations.