Holy Roman Empire

Chapter 609 Resource Trap

The era of colonial expansion is over, and the focus of the Vienna government has once again returned to the country.The most serious problem in Austria is the uneven development of the domestic economy and the widening gap between rich and poor.

Looking at the per capita income of 64.6 Aegis alone, this number is not low.After deducting children and the elderly, the per capita income of the labor force is even more than 100.

However, the reality is that the annual income of big capitalists and big nobles is tens of millions, and most ordinary workers have an actual annual income of less than 30 Aegis.

In this regard, Franz is also a vested interest. As he raises the per capita income, he now has to worry about the widening gap between rich and poor.

Take Vienna as an example. As the city with the highest per capita income in the world, the per capita annual income of Vienna is as high as 328 Aegis.

This income is placed in any country and region in the world, that is, the middle class goes up.

Vienna, as the financial capital, cultural capital, technological capital, and educational capital of Austria, with so many resource additions, it seems not surprising to reach this level.

However, statistics tell Franz that this is only a superficial prosperity, and the internal problems are already very serious.

Vienna has a population of 1.06 million, of whom 620,000 are of working age.Less than 11.2% of the annual income reaches 328 Aegis, only 29.6% of the annual income exceeds 100 Aegis, and 24.6% accounts for less than 30 Aegis.(Only calculate labor force population)

This is still the capital, so there are so many low-income people, and it may be more serious if you change to another area.

According to statistical data, the number of poor people with annual incomes below 20 SHIELD is as high as 31.2%.This is not the data that a developed country should have, but this is the reality.

The disparity between the rich and the poor is only one aspect, and the uneven regional development is even more shocking.The poorest county town has a per capita annual income of less than 8 Aegis.

This income is estimated to be enough to eat potatoes.This is still based on the premise that Austria is a grain-producing country. If it is in England, it can only find wild vegetables.

And this gap is still growing.The poorer the poorer the region, the richer the richer.

The old problem has not been solved, and the new problem has appeared again.As the economy develops, the gap between urban and rural areas is widening at an alarming rate.

From the abolition of serfdom in 1848 to 1854, these five years were the golden time for the development of the Austrian rural economy. The agricultural output value increased by 56% in five years.

Then the development of the rural economy slowed down rapidly, especially after the outbreak of the agricultural crisis in 1873, the Austrian rural economy once showed negative growth.

With the rapid development of the national economy, the rural economic growth rate of Austria in 1875 was less than 1%, which is almost the same as it was.

With so many problems converging, Franz's hair was almost gone."Solve" is simple to say, how to solve the problem?

It ’s not just Austria ’s problems. In the 19th century, no country was able to make an exception. None of them could solve these problems.

Since Franz raised these questions, the Vienna government has been thinking of ways, but the reality is still so cruel.

Franz didn't even dare to order the bureaucrats to solve it, because once the order was issued, he might not see the real data.

It is not the Internet age now. In this era of backward communication, it is very easy to whitewash the peace, and you can change the data with a big swipe.

It is the talented skills of bureaucratic groups to cheat and conceal, and the tsarist government next door is an example.Ever since Alexander II promoted reforms, the Russian Empire has developed at an alarming rate on paper.

Looking at the data on paper alone, the industrial strength of the Russian Empire has surpassed Austria. It is estimated that it will surpass the European continent in a few years. Perhaps in the lifetime of Alexander II, the Russian Empire can surpass the world.

Compared with the bureaucracy of the Tsarist government, Austrian bureaucracy is still conscience.Data falsification also doesn't exist, but it's definitely not so distraught.

This is due to Franz.As a qualified emperor, rewards and penalties are clearly necessary, so a strict reporting and reward system has been established.

You can falsify data, but you must ensure that everyone cooperates. It is not enough to ensure that the next government will cooperate. You must ensure that the next government will cooperate.

Life-long responsibility system, all those who do not know who is not informed will be jointly and severally liable.Cancel all honors received and go to prison together for the rest of your life.

As a whistleblower, he is directly promoted to the third level and can also work in the investigation department to specifically investigate data fraud.

As a sacrifice to this policy, the bureaucracy in Bosnia and Herzegovina was the first to suffer.An official that Franz was very optimistic about was originally included in the cabinet candidate list, and was also planted into it.

Thousands of public officials entered the prison at one time, and the bureaucratic groups in the province of Bosnia and Herzegovina were all implicated, almost annihilated by the whole army.

After being affected by this, everyone converged and the data suddenly returned to normal.

Officials are mixed, who has few political enemies?If the local governments are all rigid, the Vienna government can't sleep!

Grasp the top tightly, and naturally dare not mess up below.It ’s not just statistical data, just report it honestly.Falsification is indeed easy to achieve political achievements, and easier to go to prison.

Vienna Palace, Economic Conference

Franz directly patted the table: "The domestic economy is developing rapidly, but the gap between the rich and the poor, the regional gap, and the urban-rural gap are becoming more and more serious. It is now time to resolve it.

If it drags on, it will only be more difficult to deal with in the future.I do not ask for a 100% solution to the problem, but we must ensure that the situation cannot continue to deteriorate."

The requirements are so low, under the current productivity situation, Franz knows that these problems cannot be solved at all.

If the problem cannot be solved, it does not mean that the problem will not be solved.In any case, doing better than not doing it, even maintaining the current situation, is a great victory.

Prime Minister Felix replied bitterly: "Your Majesty, the regional economic development is uneven, and the biggest problem is the limitation of natural conditions.

We can only formulate appropriate economic development policies according to local conditions.There is still a large part of these areas, which are not suitable for development due to natural conditions.

Starting from the overall situation, we must make trade-offs in these areas, focusing on developing areas that are easier to develop.

The widening gap between urban and rural areas is a worldwide problem.With the development of industrial technology, the gap between industry and agriculture will become more serious.

In the short term, the most effective way is to promote land mergers and adopt a large farm production model to replace the smallholder economy in many areas.

However, this is the most undesirable method.The social problems caused by land mergers are far more serious than the widening urban-rural gap.

In fact, neither of these two issues is the key. The most important thing is that the gap between the rich and the poor is widening, and the number of poor people is increasing.

As long as the income problem of the bottom-level people is solved, whether it is the uneven regional development or the widening gap between urban and rural areas, it is acceptable."

This is a false proposition. How can we mediate the gap between the rich and the poor without addressing the uneven regional development and the gap between urban and rural areas?

The three have always complemented each other, and income is different from others. This is regulated by the market, and the government cannot impose control.

Franz is no longer economically innocent, and will not naively think that the government has set a higher minimum wage income, and everyone's income will go up.

This is impossible. The labor cost that each industry can bear is different. The market competitiveness of some traditional industries is cheap labor.

In the later years, so many countries are going to industrialize. In addition to the nominal excuse of "environmental protection", more labor costs in developed countries are too high.

In other words, the guild has become a profit-making tool for some people. In order to chase a higher return on investment, the capitalists have to move their factories.

Austria has not reached that stage, many capitalists are still in the stage of making money, and most industries have good profits.

The main reason for the low income of the bottom people is the supply and demand in the labor market.The so-called labor cost affects the market competitiveness, in fact it is very nonsense.

The current labor price and labor cost actually account for a very low proportion.In addition to labor-intensive industries, labor costs in many industries are less than one-tenth of product prices.

Compared with the British competitors, Austria's labor costs are much cheaper, the raw material costs are also much cheaper, but the international product retail prices are almost the same.

This made Franz very dissatisfied. With so many excellent conditions, the capitalists did not grab the market with the British.Obviously, the domestic market has fed them, and everyone's aggressiveness is no longer enough.

If they are not changed to give them a sense of crisis and continue to do so, it is estimated that Austria will also fall into the "resource trap".

This is the case with the capitalists of Britain, France and France, who can make money anyway. Why bother?

One by one with money to eat, drink and have fun, there is no sense of crisis at all, and finally watched Americans and Germans surpass the past.

Changing the status quo of domestic capitalists who do not want to make progress is the core of this economic conference.

Franz: "Solving the gap between rich and poor is indeed the core issue. What is the government's plan?"

Prime Minister Felix: "In the short term, the easiest way to raise everyone's income is immigration. There is a surplus of domestic labor, but colonial labor has been very scarce.

We have also emigrated these years, but we have not done enough.In the inland areas, we rarely do propaganda work, and now we must change this situation.

The government plans to emigrate 10 million from the mainland to the colony within five years.This time, the main areas of immigration are rural areas with high population density and poor and remote areas."

Seeing the poor picture, a large number of immigrants entered the colony, and the supply and demand relationship in the domestic labor market will inevitably change, and the days when the capitalists depended on cheap labor are gone.

It wasn't Franz that was cruel, he was forced out by reality.

The original German Empire of space-time is the best example. Almost all resources except coal and iron are scarce, and the labor cost is higher than that of the French. There are not many colonies available for plunder, but they have developed.

The talent bonus of compulsory education is one aspect, but more is the crisis awareness of the enterprise, prompting everyone to promote technological innovation.

Austria has been compulsory education for so many years, the population quality is not low, and it has a richer market and resources, which makes no sense.

The second industrial revolution broke out in Austria. It is logically promoted by Franz. New technology should be faster than the same period in history. However, the reality is very disturbing.

In 1875, Austria's newly registered patent technology, the royal industry accounted for one third, the proportion of this number is still increasing year by year.

After research, Franz found that the core problem is that the company's life is too easy.You can make money lying down, and capitalists are simply not willing to promote technological innovation.

This is determined by interests. Low labor, raw material prices, and a vast market allow them to make money without effort.

However, the research and development of new technologies is full of uncertainty. The investment and return may not be directly proportional, and everyone is not willing to take risks.

Without pressure, you can only create pressure.This year has not yet reached the era of capital internationalization, Franz is not afraid of the capitalists running.

Engaging in international trade requires government endorsement, and every large multinational group has a government background.Even so, these groups are often pitted.

There are many classic cases of this, for example: British and French capital invested in Austrian railways and infrastructure construction, and was pitted by Franz using the economic crisis.

Another example: British capital made a big railway construction in the United States, and ultimately lost its blood.

There are background pits, which are pits within the rules.There is no background, let alone, no need to pay attention to eating.