Holy Roman Empire

When the bubble was burst, Shinra, as the leading economic leader, lost the most; Britannia, as the second largest industrial country in the capitalist world economic system, naturally lost the second most.

Regardless of whether the two countries were already at odds with each other politically, everyone was already tied together economically. The economic bubble of the Shinra Empire was severe, and Britain's was not much less so.

In fact, the crisis should have erupted after the end of the European War, only to be suppressed by a coalition of forces.

The Vienna government took measures, and the London government was not idle. Under Gladstone's cabinet, Britannia's diplomatic strategy was in near total collapse, and if the economic prosperity had been gone, the British people would have torn them apart.

The Cabinet wanted to get through its final term unscathed, the Consortium needed time to retreat, and the two sides hit it off, artificially creating a virtual economic boom in the latter half of the year.

The economic crisis, which should have broken out in 1893, has been dragged out hard. Had it not been for the Vienna stock market thunderstorm, the crisis would probably have continued backwards.

Against this backdrop, Robert Cecil, who had just taken office, was tragic. The stock market crash came before his buttocks were even seated, and the economic crisis was about to break out as soon as he saw it.

These days, the UK implements a free economy, and the government is not allowed to interfere with the market. Of course, it's good to hear that, but if you're serious, you lose.

Just because you can't intervene in the market directly doesn't mean that you won't intervene at all. In fact, the government's economic policies, laws and regulations are all important factors affecting economic development, the difference only lies in the intensity of the intervention.

Including adjusting tax rates, social relief, consortium salvation, waging foreign wars to transfer crises, etc., are all part of government intervention in the market.

"What happened, did the consortium agree to a bailout?"

Since the economic bubble has been burst, the London stock market has followed in the footsteps of the Vienna stock market and started a continuous downward spiral.

Unlike the conservative country like Shinra, where there are a large number of family businesses that hold on to their shares and do not go public, Britain is the most developed country in the financial industry, but all the companies that are on the scale are listed.

Listed companies are easier to obtain financing, which is conducive to accelerating the development of enterprises, and the aftermath is that enterprises are subject to the fluctuations of share prices.

The management model of professional managers may seem very scientific, but the company's money is not its own after all. In order to get higher returns in the short term, the corporate management is usually more aggressive when formulating strategies.

Normal times are fine, but once the stock price falls sharply and corporate financing becomes difficult, the aggressive development strategy often leads to a break in the corporate capital chain.

In contrast, unlisted, conservative family businesses prefer to play it safe. Although the pace of development is a little slower, the company itself rarely has large debts, most of the time maintains an adequate cash flow, without the risk of capital chain breakage.

The most important thing is that the big companies that are not listed are usually good quality companies with good profitability and market competitiveness, and are themselves the most resilient.

Specific reference can be made to Man Franz's royal consortium, most of the companies taken out of the market are high-risk technology companies, or lack of profitability, uncertain development prospects, and development potential has touched the industry bottleneck.

Truly lucrative, or is in the stage of rapid development of the enterprise, one by one are nestled in the following muffled, when the development of the industry ceiling bottleneck, when is the time to cash listed.

What common growth, common sharing, this kind of fraudulent bullshit to hear on the line. The high yield business that does not lose money, they pinch in the hands of the bad, why take out to share?

There may be companies that have done it, but such enterprises are very few, thousands of listed companies are only one hundred and eighty, the vast majority of enterprises are flat after the listing.

To have been stable operations. The enterprises that can keep stable operation, outperform inflation, keep up with the speed of national economic development, and do not have thunderstorms, are enterprises of conscience.

If all these quality enterprises under the table are listed, no matter how low the valuation given by the market, with the economic volume of the Holy Roman Empire, the scale of the two financial centers of Vienna + Frankfurt can not be smaller than London.

In this context, the Holy Roman Empire, which suffered the worst stock market decline, was not as badly hit economically as Britain.

Economy Minister Aquinas shook his head: "It is very unfortunate that they rejected our offer. The consortium believes that there is still a bubble in the stock market, and that it is very risky to raise the price of shares now, so we need to wait.

If the government does ask them to fund the bailout, the consortium also made it a condition that they must join forces with Vienna, and they are worried about being taken advantage of."

Robert Cecil's eyebrows furrowed in displeasure, "Wait a little longer, if we wait any longer the companies are bankrupt, there's still no point in saving the city. United Vienna together, thanks to them thinking of it.

The current situation is very obvious, the Holy Roman Empire economy after the European War appeared big problems, is now in the economic adjustment period, with or without this stock market crash they will break out economic crisis.

And we are different, just be implicated in the unlucky. If we can't stabilize the stock market, we have to go through the economic crisis with them.

It's no wonder the Vienna government will come to the rescue if they don't drag everyone down with them, they'd hate to drag everyone down with them now and share the losses for them."

It was useless to complain, it wasn't like there was only British capital on the London stock market, there was also capital from the European continent.

If the parties couldn't agree and the British consortium stepped in to bail out the market, people took the opportunity to sell, and they became the receivers.

Although the continental European capital began to flow back from the beginning of the year, but for their huge volume, the flow out is only a small part.

When the Vienna stock market crash broke out, the British consortium took advantage of the sitting tenants to act ahead of the others and give international capital a head start.

Now that they have to consider a bailout, they are naturally worried that others will follow suit. They spend a lot of money to pull up the share price, others take the opportunity to pull out and run away, they will be bitter.

After all, the consortium is not omnipotent. In the treacherous capital market, anyone must be careful, or else they will be eliminated by the market sooner or later.

Moreover, although the mass bankruptcy of enterprises was very detrimental to the country, it was a capital feast for the consortium. They can take advantage of the bankruptcy and reorganization of enterprises to take some quality enterprises under their wings at a cabbage price.

......

It's not just the British government that has a headache, it's all the capitalist industrial countries that have a headache when faced with a hobnob bent on dragging everyone down with it.

In the past it was all countries criticizing the Vienna government for interfering with economic freedom, this time there is no need to spray, but the result is more unacceptable.

The Vienna government had a hard time following the natural laws of a market economy for once, and as a result everyone was dragged into an economic crisis.

In fact, Franz is now in a difficult position. If it were possible, he would not want an economic crisis now. But there was no way around it, and unwittingly the economy of the Holy Roman Empire ran away with it.

Especially in the northern states, there was not only uneven industrial development, but also a great deal of overcapacity. For example: the railway and construction industries were two of the hardest hit.

After the end of the European War, I don't know who came up with the idea, several northern states played with big infrastructure. There would have been no problem with the infrastructure, but the problem was that they built a whole bunch of unneeded infrastructure.

Repeatedly built railway lines, spur lines that even went deep into the villages, real estate projects all over the place, water projects that weren't practical at all.

If the economic crisis hadn't erupted and the Prussian Kingdom government had declared bankruptcy, Franz wouldn't have even known that someone was actually playing so hard to get.

In fact, even if he had known about it in advance, he would have had no way to interfere. State autonomy was no joke, how to develop the economy was someone's freedom and did not need to report to the emperor.

The only good thing was that the North German region was in grain arrears last year. That's right, grain arrears is also a good thing at this time, at least at the moment.

If there was a bumper grain harvest, Franz would also have to consider the surplus of agricultural products. After all, the population will have to tighten their belts after the economic explosion, and sales of even just-needed products like food will be down.

Last year's grain deficit in the north had at least ensured the stability of the Empire's agriculture. As for the subsequent effects of the grain crop failure, they were minor issues.

Other than the Prussian Kingdom, which had become poor due to the Russo-Prussian War, the other northern states were all in good economic condition, otherwise they wouldn't have the money to make it.

Since the outbreak of the economic crisis, except for William II who personally came to Vienna to ask for help, the other several states had only sent a few telegrams complaining about their difficulties and crying poorly for money in passing.

I can see that they are holding up for the time being and are unwilling to let the central government get involved in the economic problems within the states.

This kind of saving boy, Franz liked the most. As long as they didn't cause trouble for the central government, who would want to interfere in the state's internal affairs if they weren't fed up with it?

Regardless of whether or not they are dead, these state governments are doing a better job than the vast majority of the Crown Provinces, purely as a result of economic development.

The Prussian kingdom was mainly suffering from too much historical legacy, and the huge reparations from the war had affected the domestic economy.

But all in all, the economy has recovered well, and although it's a little behind its neighbors, its per capita income still surpasses that of Spain and Russia, and are about to catch up with pre-war France.

The impact of the economic crisis, although large, is only just beginning, far from the most difficult time. With the Prussian Kingdom's family background, even if it couldn't hold out, it wouldn't kneel down in the first wave.

Especially since the Prussian Kingdom was the one that suddenly declared financial bankruptcy with no prior warning at all. Under normal circumstances, before declaring bankruptcy, they should have sought help from the central government.

Even if it was for the sake of the Empire's face, as long as the funding gap wasn't too big, the Vienna government would pull them out of it.

The reality was quite the opposite: before the government declared financial bankruptcy, apart from tossing out a bunch of rotten projects, it didn't even ask Vienna for help, as if it was bent on bankruptcy.

It was only after the Berlin government declared financial bankruptcy that Wilhelm II jumped out and went to Vienna to cry poverty and sell out, which is obviously abnormal.

Nowadays, as a member of the Holy Roman Empire, Prussia has the ability to bargain with the British.

Franz had every reason to believe that the Prussian government was deliberately bankrupting itself, and that the economic crisis only provided them with an "excuse for bankruptcy".

Even without the economic crisis, they would have gone bankrupt some time later under other pretexts, such as: the breakdown of the government's financial chain, the inability to pay for the projects .......

After all, there's a lot of good that comes from a bankrupt Prussian government now! For domestic economic problems, one could turn to the central government for help, and the Vienna government could not sit idly by; one could also legitimately ask for a debt restructuring for a debt that was owed to the British that was not likely to be paid off in the next century.

When the "German Federal Government" went bankrupt a year ago, the Berlin government followed suit.

Unfortunately, in the end, the British only accepted the transfer of the German Federal Government's claims. After all, the German federal government was not today to sign a contract, tomorrow to dissolve the government. In order to avoid not being able to find a debtor, the British could only hold their noses and admit it.

The Kingdom of Prussia is different, even if the dissolution of the government the king is still there, William II can not even because of debt to the throne. As long as the country is still there, the government is no longer re-formed is, anyway, the debt can not get away.

Plus, the Holy Roman Empire was still in the process of being formed, and without a central government to stand in front of it, the Berlin government couldn't withstand the pressure exerted by the British, and wimped out after gaining a few months of debt extension.

Now, as long as the Berlin government was thick-skinned enough, the British could do nothing about it.

"Collateral" for the debt?

No problem, just send someone to take it and ensure full cooperation.

Tariffs, which now went to the central government to collect, were no problem as long as the British thought they could take them from the Vienna government.

The ports and docks, although in the hands of the Kingdom of Prussia, but when it comes to territorial sovereignty, that's also the central government's job. If you want to talk about it, you have to go to the Foreign Ministry, and as long as the Vienna government is willing to agree, everything is negotiable.

The right to mint coins, that also belongs to the central government. If you want to discuss with the Ministry of Foreign Affairs, the Prussian government, as a local government, has no right to ask now.

......

In short, after the debt default occurred, none of the series of mortgage contracts that the Prussian government had once signed with the British would now be implemented.

Although these treaties were in force before the establishment of the Holy Roman Empire, the only way to enforce them was to negotiate with the Imperial Ministry of Foreign Affairs.

"The former was to be despised by the international community, while the latter could only hand over the collateral and be done with it.

Now as long as William II is willing to put down his face, make a show of willingness to hand over collateral, and then push the problem to the Vienna government, the matter is over.

In the end, it was the English who compromised, it was the Vienna government that paid their debts for them, and these problems would not need his headache.

Knowing that it was trouble, Franz could only take it on the hard way. No matter what the reason was, he, the emperor of the empire, could not allow the loss of national sovereignty.

Thinking of this, Franz wanted to whack which keyboard warriors. The first time I saw him was when he was in the middle of a fight, he was in the middle of a fight.