Chapter 1707: Who will pay the bill?

In fact, it has also been discovered at the top, saying that China is a big country, and this is not a derogatory term.
If you are doing high-value-added precision manufacturing, then the profits are very high. Such a manufacturing country is like Germany, the rice country, the island country, etc., and will become a developed country.
China, the so-called big manufacturing country, relies on cheap labor to become a world factory. This is an export-oriented economy.
To put it simply, Huaxia's foreign trade is mainly aimed at earning foreign exchange through exports.
This model can quickly improve technology and efficiency, and enhance international competitiveness, but at the same time there is a great risk that it is excessively dependent on the international market.
Once the international market changes, it will have a serious impact on this economic development model, or even a blow. The cost of this kind of economic development is great.
Developed countries are all domestic demand-based economies, and they pursue high consumption, high wages and high investment.
China’s foreign exchange earning has indeed earned a lot of foreign exchange, and then? Part of it is used to make foreign exchange reserves, and the other part is mainly to buy foreign bonds.
Foreign bonds are issued to promote their own consumption. That is to say, if you buy someone's bonds, it is equivalent to sending money to others to let others live a profligate life.
How much money a bond can earn, that is, it can save you money. But people have used your money to stimulate the domestic demand economy, and have already earned more.
China cannot rely on cheap labor as a means of competition, and cannot use environmental destruction as a means of development. Such development is very unsound.
Just as China has the largest foreign exchange reserves in the world, it seems to enhance the country's ability to resist risks, but it also has a huge disadvantage, that is, it is easy to be kidnapped by foreign exchange, especially the US dollar.
When the dollar is sold, the financial market will be affected, affecting the stock market in China and affecting the exchange rate of RMB. The result is that you can only buy foreign exchange, but you can't sell it, which is equivalent to helping the stable balance of the US dollar.
The economic strength of the country, the United Kingdom, and the prosperity of the financial market have a lot to do with the status of their currency in the world. But this status is not static.
Just like that year, Soros did not bring people to attack the British pound exchange rate, and then made a lot of money. It was also the time that the US dollar replaced the British pound and became the first currency in the foreign exchange market.
The upper China has actually noticed this. Now they are gradually reducing these low value-added products. Just like the clothes and shoes used to be, they are indeed very competitive internationally, but with the EU’s anti-dumping ticket, it’s not Has it been significantly affected?
At the same time, China is also doing import substitution, which means developing technologies related to products that China has to import, so as not to be restricted by foreign countries.
Just as Huaxia is the world's number one pen-making country, the pen ball that produces ballpoint pens is such a little guy, but it must be imported from abroad.
Among them, the best technology is the island country, then Germany and Switzerland. It looks like a small thing that is worthless, but after it is formed, it is a lot of profit.
This also directly reflects that China is still far from the world advanced in some high-precision materials.
Is China lacking some scientific research talents? Of course not, the talents of China are absolutely very adequate.
But many people are doing other things, such as focusing on military technology. Of course, this is true, military strength is not strong, and it will never become a strong country.
However, the combination of military and civilians is too bad. Many technologies can be directly used in civilian applications, which can improve people's livelihood and create profits, so that more funds can support the development and innovation of technology.
The export-oriented economy is good or not, very good, but the export-oriented economy depends on its own economic advantages. If the technology is perfect, even if the funds are better, if it is just a cheap labor, what do you say is proud? of?
The country has developed, and people have earned no more. This is not right, right? Only people's living conditions are better, that is what people expect.
Huaxia has always said that the development model of other countries can only be a reference, and it must not be copied. This is the truth that everyone understands.
Because the national conditions of different countries are different, no one can develop according to the model of others. Just like the original Thailand, according to the model of others, and then how much is hidden, how bad is the result?
Even without Feng Yu's participation, Soros took the lead, which would have severely hit the economy such as Thailand and implicated a string of countries closely related to its economy.
Huaxia is worried about this happening, so it has increased its foreign exchange reserves, but not too much.
In fact, the above has also been discovered. Too many foreign exchange reserves have serious drawbacks. It is the most correct way to raise the status of the national currency in the international arena.
Huaxia has too many national debts of the country, which is equivalent to binding its own economy to the country of the United States. If the dollar depreciates and stimulates the appreciation of the RMB, it will make the debt of the rice in China's hands shrink.
For example, if the exchange rate changes from 1:8 to 1:7, then the country originally owed RMB 800 million to China. Now it only needs to return RMB 700 million, which will reduce the debt and fiscal deficit of the country, which is equivalent to China’s If the debt is paid, it will also cause inflation in China.
If you want to do nothing, continue to buy the US dollar, pull up the exchange rate of the US dollar, and let Huaxia continue to increase the foreign exchange reserves of the US dollar. Then the cost of products exported by China to foreign countries will rise and competitiveness will decline.
Mainly because the rice country owes too much money to China, and China’s foreign exchange investment in the country is too much.
This exchange rate change will have a serious impact on China's property. You look at the yen, the exchange rate is very low, can you say that the island economy is not good?
The appreciation of RMB is already a trend. At this time, we must try our best to avoid losses and make this trend slower and more reasonable.
Money must be consistent with purchasing power, especially in combination with the country’s economy. This is fundamental.
Of course, many questions may be considered by Feng Yu. After all, some of the political dynamics of the upper level are not well understood. However, China’s trade surplus is too strong, and a large amount of international hot money is pouring into China. This is definitely not a good thing.
In particular, this trade surplus is largely based on export subsidies. Many enterprises rely on this export subsidy to make a profit. Can such a company say that it is developing well?
Huaxia's exports are severely restricted by international technical barriers, and there are more and more anti-dumping cases against China. These will bring a lot of losses to China.
This time the economic crisis in the country, want to let China and other countries to pay, then Feng Yu will find a way to let the country pay for this idea!
......