My father, Zhao Lichun, is in the name of Tiggo!

Dong Dongfang always mentioned his uncle,

Besides, everyone was from the same faction,

Zhao Ruihu could only say: "Uncle, I'm all ears."

He guessed that it was most likely related to the policy address.

Sure enough,

Dong Dongfang said: "My dear nephew, you have been in Hong Kong for a while, and I believe you have a certain understanding of the current situation."

"I don't know, what do you think of Hong Kong Island?"

Zhao Ruihu was silent,

This question is really hard to answer.

To be honest,

Zhao actually admires Dong Dongfang very much,

When Mr. Dong took over Hong Kong Island,

From the outside,

Hong Kong Island was full of flowers,

Its GDP output value was as high as 177.3 billion US dollars,

accounting for 18.6% of the mainland!

This number is really encouraging.

Unfortunately,

it comes at a price!

"I know the topic is a bit heavy."

Seeing that Zhao Ruihu didn't speak,

Dong Dongfang was not surprised,

The reason why he talked to Zhao Ruihu,

was because he valued Zhao Ruihu as an outsider,

and he was sensible.

"If you don't want to talk, it's okay."

Zhao Ruihu sighed in his heart,

He could only say: "Sir, the biggest problem of Hong Kong Island is that the current economy is too single, relying only on the financial industry and the real estate industry."

"If one leg is lame, it will be difficult to walk on this road."

Dong Dongfang slapped his thigh heavily,

He said: "Yes, Ruihu, you are absolutely right!"

"Hong Kong Island's high housing prices and expensive rents have created huge living pressures. This is a serious livelihood issue. The housing problem has also affected the family structure and distorted values.

The goal of many people is to make as much money as possible to buy a house and pay for it. Young people choose subjects and careers based on money. High housing prices hinder innovation, and weak innovation drags down Hong Kong Island's economic growth."

Dong Dongfang said this very naturally,

Why?

Of course, it is because all the knowledgeable people in Hong Kong Island can see this.

However,

because the Hong Kong government has been controlling the land,

pushing up the land price,

everyone is completely helpless,

and can only watch the house price rise.

From this point of view,

if we only regard the real estate developers as the culprit,

it is biased.

In the final analysis,

it is because the Hong Kong government implements a high land price policy,

it absorbs financial resources through high land prices,

and then invests part of it in public facilities to benefit Hong Kong people.

Among them,

real estate developers are just a link in the chain.

Zhao Ruihu nodded slowly,

it is said that real estate developers have kidnapped Hong Kong Island,

it is better to say that it is the Hong Kong government that is behind it.Excessively high land prices have held the whole of Hong Kong hostage.

Dong Dongfang is increasingly distressed: "High housing prices have covered the soil of innovation in Hong Kong Island with layers of concrete, and no more flowers of innovation can bloom."

"For decades, there has been no innovation in Hong Kong Island."

"As land prices rise, the corresponding cost of living has also risen, forcing everyone to move their factories away."

When Shenzhou was reformed to open a special zone,

on the one hand, it was because the population loss in Guangdong and Guangxi was too serious,

the impact was too bad,

in order to curb this situation,

so they considered letting some people get rich first.

on the other hand, it was because Hong Kong businessmen had already consciously invested in Shenzhou at that time,

and created benefits for the local area,

which made the higher authorities see the feasibility.

There was a saying in later times,

that wherever these Hong Kong businessmen gathered,

that place would become a new special zone,

although this statement was exaggerated,

it was not without reason.

For example, the reason why Pengcheng was able to develop from a small fishing village into a megacity,

was because it enjoyed the dividends of Hong Kong businessmen's investment.

"So I want to declare war on them!"

Dong Dongfang excitedly said: "I want to declare war on high housing prices!"

Zhao Ruihu stood in awe,

Dong Dongfang was not declaring war on high housing prices,

but declaring war on the largest group in Hong Kong Island!

This courage really made Zhao admire it very much!~

He asked: "Uncle, what do you want to do?"

Zhao Ruihu thought,

It should be the 85,000 plan!

In later times,

the plan was criticized by everyone,

unfortunately,

it was actually a benevolent policy,

just born at the wrong time.

Sure enough,

Dong Dongfang said: "My dear nephew, if it continues like this, young people will only be able to live in cage houses and sheds in the future."

What are cage houses and sheds?

They are equivalent to dog houses!

They are houses that are strongly criticized by the World Human Rights Association for insulting human dignity!

Of course,

it has a long history in Hong Kong Island,

since the 1950s,

cage houses and sheds can be seen everywhere in Hong Kong Island.

Zhao Ruihu nodded,

behind the prosperity of Hong Kong Island is a piece of sewage,

its Gini coefficient has been above 0.5 for a long time,

the income distribution gap is far beyond the imagination of the world.

"Uncle, do you want to build more public housing?"

"Yes!"

Dong Dongfang was a little excited.

He poured Zhao Ruihu a glass of wine.

Then he said, "I read the report of the Housing Authority."

The Housing Authority is responsible for the construction of public housing in Hong Kong Island.

Generally speaking,

The goals of public housing construction are the responsibility of the authority.

The Hong Kong government rarely asks about it.

"Citizens often complain that they need to spend 74% of their monthly salary on mortgage payments due to rising housing prices, which is unbearable."

"We have always asked the government to curb housing prices."

The government has not made no efforts,

but it is too superficial,

and it seems to be a bridge-breaking move,

which makes many real estate developers very dissatisfied.

"You know."

Zhao Ruihu immediately said: "Sir, the foreigners are trying to take money out of Hong Kong Island, and it is reasonable for them to ask for less land sales."

The Hong Kong government pursues a free port and low tax rates,

and its main source of income comes from land sales and tax breaks,

According to regulations,

the land sold before the return belongs to the Hong Kong government,

how can China afford it?

Of course, they will ask the Hong Kong government to sell less land.

"That's right."

Dong Dongfang realized that he had said something wrong,

and quickly replied: "In fact, the Housing Authority has always had a plan for this, the 85,000 plan!"

That's right,

There are reasons for the introduction of any policy,

and the 85,000 plan was not introduced casually.

As early as after Fat Peng took office as the Governor of Hong Kong,

felt that the public protests against housing prices were too loud,

so he asked the Housing Authority to formulate a corresponding plan,

and the Housing Authority gave this 85,000 plan.

However, due to various reasons,

the plan was shelved,

and recently it was noticed by Dong Dongfang,

and it will see the light of day again!

Dong Dongfang said excitedly: "This plan is very good."

"It is stipulated that no less than 85,000 public and private housing units should be built each year."

"Increase the supply of public housing and shorten the average waiting time for public housing to 3 years."

"I estimate that in 10 years at most, 70% of Hong Kong citizens can live in public housing."

"Everyone does not have to worry about high housing prices."

He was full of vigor and energy,

like a young man.

Zhao Ruihu applauded: "Everyone has a house, which is a great achievement!"

"Yes, everyone should have a house."

Dong Dongfang was very happy,

He felt as if he had found a confidant,

and he toasted with Zhao Ruihu repeatedly.

"Tuihu, what do you think of this idea?"

"Very good!"

The 85,000 plan was not made lightly,

it was an idea that Hong Kong Island had come up with after much research,

it is indeed a good plan.

Unfortunately,

Zhao Ruihu had to remind Dong Dongfang in this regard: "But!"

Dong Dongfang's smile froze.

"Sir."

Zhao Ruihu said meaningfully: "Do you know what will happen after this plan is introduced?"

The life of Hong Kong people is actually a tragedy,

Most people will use their units as collateral to apply for building mortgages after purchasing them,

ToThe bank borrows a mortgage equivalent to 70% of the house price to buy the property.

This has created a phenomenon,

Many people spend their lives working hard,

just to complete the property payment,

so that they can have their own property to enjoy their old age after retirement.

What quality of life can we talk about?

Zhao Ruihu said slowly: "It is undeniable that this plan is a good plan."

"It will definitely play a core role in the superior's policy."

"But we also have to consider its impact on the property market. When the property market falls, what will happen to the general public?"

Dong Dongfang's eyes were slightly disappointed,

He knew that Zhao Ruihu had a good relationship with several major real estate developers,

Originally, he hoped that he could be selfless.

Who knew,

He actually stood from the perspective of the real estate developers?

"Ruihu."

Dong Dongfang took a breath,

He still wanted to convince Zhao Ruihu: "It's inevitable to have a temporary setback."

"Just like being sick, everyone wants to be happy and get well, but the question is, how is that possible?"

"This is only temporary."

"Sir!"

Zhao Ruihu suddenly interrupted Dong Dongfang's speech,

He asked seriously: "I don't know if you have noticed that the Japanese yen has depreciated again this year."

Dong Dongfang was startled,

He didn't know why Zhao Ruihu suddenly talked about this aspect.

Zhao Ruihu said: "I don't know if you still remember that at the beginning of the year, I reported to you about the financial situation in the Asia-Pacific region?"

"Ah?"

Dong Dongfang remembered,

Zhao Ruihu did talk about it before,

And because of this,

So he tried to arrange for him to go to the Security Department for exchanges.

Who would have known that,

this young man actually used his power in the Security Department to

control the police force firmly,

and launched attacks on Officer Yang, Chen Siwan and others,

and finally took over the position of chief without any danger!

From this point of view,

Dong Dongfang is very grateful to Zhao Ruihu!

Hearing this,

Dong Dongfang's face turned pale: "Is there a situation?"

Zhao Ruihu nodded slowly,

The ancients said it well,

The world should be viewed from a big perspective,

and start from a small perspective.

The reason why the financial crisis occurred in Asia is

it is closely related to the second largest economy, Japan.

Since the late 1970s,

Japan has begun to build its global supply chain,

and its main target is Asian countries!

During World War II, the Japanese invaders poisoned the countries in Asia-Pacific, and also supported a group of local leaders. After World War II, the nation became independent. Ironically, those who jumped out to fight were often the leaders.With this factor,

Toyo easily reached agreements with Asian countries.

It regarded Asian countries as raw material bases,

and then purchased cheap parts,

and sold the finished products mainly to the United States, Europe and other parts of the world.

Among them,

the four Asian dragons and four Asian tigers joined one after another,

becoming a part of the manufacturing supply chain,

and Toyo was the leader.

This model has benefited many countries in the Asia-Pacific region,

However,

it still has flaws,

The flaw is that the supply chain network has two currency standards, the US dollar and the Japanese yen. In September 1985,

the Plaza Accord laid the tone for increasing exchange rate flexibility,

and the Japanese yen began to strengthen against the US dollar and European currencies.

Foreign exchange arbitrage began to take the stage!

Dong Dongfang could understand,

their family was engaged in world shipping,

in order to protect their interests,

they had to do foreign exchange arbitrage.

However,

Dong Dongfang did not expect that Zhao Ruihu, a young man, would understand so well,

and he was a little puzzled.

Zhao Ruihu said in short: "Sir, among these, yen arbitrage occupies the most important market."

The essence of yen arbitrage trading is: borrowing yen at a very low interest rate,

investing in US dollars or Thai baht,

to obtain higher interest than yen.

If the yen depreciates against the US dollar,

then you can get double benefits: interest rate differential and exchange rate benefits. To prevent deflation,

in the mid-1990s,

Toyo pursued a low interest rate policy.

This is a godsend for those who want to participate in foreign exchange carry trades.

From 1995 to now,

the spread between the US Federal Funds Rate and the Bank of Toyo's target rate is about 5%,

and the yen overseas loans flowing to Southeast Asia at that time are roughly estimated to be $260 billion.

..... ..... ...

This means that

the average interest rate spread income of yen foreign exchange carry trades is about $13 billion per year.

During the same period,

the yen depreciated by nearly half against the US dollar,

so the average exchange income of $260 billion of overseas loans is $130 billion.

Conservatively estimated,

investors in yen carry trades received $169 billion worth of pie in the sky in these three years. Dong Dongfang was dumbfounded.

He was surprised and said, "So many? Isn't that a good thing?"

Zhao Ruihu thought,

How can this be a good thing?

He continued, "Sir, you have been in Hong Kong for so long, I believe you should be aware of the consequences of the accumulation of bad debts in the banking industry."

"Since 1995, Dongyang's banks haveBanks have been hit by explosions one after another, forcing them to withdraw their foreign funds back to China. "

Taiyang is the largest foreign debtor among Asian countries,

and the largest source of foreign investment.

Zhao Ruihu asked: "Now it withdraws money from other countries, what will happen?"

Dong Dongfang changed color: "Not enough foreign exchange!"

"That's right!"

In fact, there is no way to solve the problem of insufficient foreign exchange.

The problem is that

countries have no management of foreign exchange!

Just like the reason why the financial crisis first occurred in Dai,

Dai had no awareness of this at all!

They didn't even realize the harm of the withdrawal of yen!

You know,

55% of its foreign debt is in yen!

"Of course."

Zhao Ruihu said: "Hong Kong has sufficient foreign exchange reserves and is able to survive the risk. ”

Historically,

Hong Kong Island did use its foreign exchange reserves to repel the attacks of Soros and others.

He asked: "Do other countries have this ability?"

Dong Dongfang was speechless.

Zhao Ruihu asked again: "Suppose, if a financial crisis occurs in other countries, will it affect Hong Kong?"

Dong Dongfang sighed deeply,

This is for sure!

Hong Kong Island can be what it is today,

because it mainly serves the economies of the Asia-Pacific countries.

Everyone has a thousand and one connections with each other,

If these countries collapse,

Hong Kong Island will definitely be affected!

Dong Dongfang has experienced several economic crises,

and knows very well what will happen when the storm comes,

so he quickly asked: "Can't it be stopped?"

"It will definitely come? ”

Seeing Zhao Ruihu not speaking,

Dong Dongfang instantly aged several years.

If Zhao Ruihu said so,

what he took over was a mess.

“Sir.”

Zhao Ruihu said softly: “I also hope it won’t come, so that you can implement the 85,000 plan.”

“However, from the current point of view, the probability of it happening is very high. "

Dong Dongfang was silent for a long time,

This was not what he wanted,

But he also knew that Zhao Ruihu would not talk nonsense in this regard.

The duck knows first when the river water warms up in spring,

Some things,

as long as you look carefully,

you can still see some clues.

"I just said..."

Dong Dongfang said weakly: "Even my sister-in-law who buys vegetables often tells me that the stock market is booming now, and her money is all in the stock market."

"How can there be such a good thing in this world?"

Dong Dongfang reviewed the Dong family's journey,

The tides rise and fall,

When it was serious, it almost collapsed!

Where is there real common prosperity?

"DetailsReport!"

Dong Dongfang suddenly became excited,

He said: "Tuihu, I need a detailed report!" Wan.