Chapter 21: The Economic Crisis
Unable to convince a few old foxes, Ham was not angry, he knew that these people were already tempted, but they did not dare to speak out because of their timidity.
He was not a revolutionary, he only got involved with the revolutionary party for the sake of profit, and if he could achieve his goals by peaceful means, would a fool want to rebel?
This is the European continent, even if the rebellion succeeds, what can it do?
What kind of prince will Xiangning have?
The answer is: Yes!
If he succeeds, he will at most become the president of the bourgeois republic, and if he sits in this position, I am afraid that his present life is not as comfortable as his present life.
If it fails, it is estimated that going into exile overseas is the best ending.
In the face of the cruel reality, Ham's already low revolutionary enthusiasm has become even lower.
Like the vast majority of capitalists, it is okay to support the revolutionary party, and it is okay to lead the revolution themselves, and they do not want to be president.
……
The banquet was difficult to keep secret, and the story that took place at the Verres estate on the outskirts of Vienna was quickly passed on to Metternich, and of course the content of the secret meeting was not among them.
However, Prime Minister Metternich was a man of rules, and he adhered to the bottom line of political struggle, and did not use the excuse to arrest the capitalists who attended the banquet on the charge of colluding with the revolutionary party.
Because I obey the rules, I am troubled.
Knowing that the capitalists were plotting, but only passively defending, Prime Minister Metternich was naturally in a bad mood.
It is more appropriate to describe his situation with a sentence of internal and external troubles, there are aristocrats inside who are ready to move, and capitalists outside are eyeing him, and everyone has a common purpose to get him out.
From the winter of 1847, the people of Vienna had an intuitive feeling that prices had risen and that they were rising sharply at a rate visible to the naked eye.
By the end of December 1847, prices in Vienna had risen by forty-seven per cent, and little by little the capitalists were testing the limits of what the people could afford.
At this time, everyone turned their attention to the Vienna government, hoping that the government would come up with a solution.
Obviously, everyone is going to be disappointed, and the Vienna government has no ability or function to intervene in prices. Despite Prime Minister Metternich's repeated measures, they have had little effect.
For example, if the government posts a notice ordering businessmen not to raise prices, it turns out that it is useless.
Another example: the prime minister has repeatedly interviewed the capitalists without success.
The government also seized the time to mobilize materials from outside into Vienna in an attempt to calm prices, but unfortunately it failed in the end under the resistance of the capitalists and the corruption of the internal aristocracy.
Of course, it is not completely ineffective, at least the speed of price rise has been suppressed, and it has not climbed to the peak all at once.
After the last defeat, the capitalists did not trust much internally, and seeing that it was profitable, many weak small capitalists could not wait for the moment when prices were at their peak.
People are selfish, and Franz knew very well that behind the sharp rise in prices in Vienna, there was also the participation of the aristocracy, but they were all spontaneous for profit, and did not participate in the joint action of the capitalists.
The initial idea of these people may be just to take advantage of the opportunity to make a fortune, but now, wealth has gradually confused people's eyes, and many people have fallen into it and cannot extricate themselves.
However, they were not very lucky, just in time for the European economic crisis.
Since 1845, the European region has been poor and the international food price has skyrocketed, and with the rise in food prices, the European people who are not rich have spent a lot of money on food, and the European purchasing power market has been shrinking.
In 1846, the price of cotton products in the United States nearly doubled, and the high price caused the sales of cotton products to decline.
As the volume of trade in goods declined, it was natural for the capitalists to choose to lay off workers, the unemployment population in Britain continued to grow, the volume of railway freight continued to hit new lows, many railway companies fell into a state of loss, and the British railway bubble burst in the autumn of 1847.
The capitalist world has always been affected by the bursting of the railway bubble, the suspension of the railways under construction, and the decline in demand for steel.
The crisis soon spread to the steel and coal industries, with 58 of Staffordshire's 137 iron-making furnaces out of production. Pig iron production fell by a third in a month to a month and a half, and coal production also fell by almost two layers.
In November 1847, 200 of the 920 cotton mills in Lancashire, one of the centers of the British textile industry, were completely closed, and most of the rest were open for 2-4 days a week. More than 70 per cent of workers have been hit by unemployment, or semi-unemployment.
The industrial crisis that broke out in England did not attract the attention of the Austrian capitalists, and neither the British economic crisis of 1825 nor the economic crisis of 1837 affected Austria.
As a non-industrialized country, even if it wants to break out an industrial crisis, it is not qualified, and the likelihood of an economic crisis is infinitely low.
Many people forget that Austria is no longer the Austria it once was, and as a semi-industrialized country, Austria is no longer immune to the economic crisis.
The first to be unlucky were the French, and after the outbreak of the British economic crisis, in order to survive the crisis, the British capitalists began to dump materials overseas, and the French became the first wave of victims.
By 1848, the total volume of French industrial production had fallen by 50 percent.
The German region is no exception, as it is affected even more by its weak industrial strength.
In the winter of 1847, 3,000 of Clayfeld's 8,000 looms were shut down, and in the first half of 1848 only three of the 14 factories in Cologne were in operation, and Erfurt's industry was almost wiped out.
The Austrian capitalists cried, the nobles who wanted to take advantage of the fire also cried, and in order to calm prices, the Vienna government lowered import tariffs, and a large number of British bargains came to their faces.
In the face of dumping by an industrial country, the Austrian capitalists said that they were not fools, and the capitalists with bright brains chose to retreat at the first time.
In January 1848, except for the relatively strong price of grain, the prices of all industrial and commercial products in Vienna collapsed.
Capitalists who run fast can also take advantage of the time difference to stop losses, and capitalists who run slowly will be directly trapped.
Supply exceeds demand, the prices of industrial and commercial products on the Viennese market have fallen below their cost of production, and the capitalists and aristocrats who have raised prices have been forced to cut their flesh bitterly.
Everyone knew that the economic crisis was coming, and in order to reduce the losses, the capitalists began to lay off workers, and more capitalists even closed their factories altogether because of the heavy losses in this crisis, and the unemployment in Vienna rose sharply.