Chapter 310 The key is to prevent hollowing
"First of all, I think that even if real estate surges in the next few years, our real estate in China will not collapse like Japan." Xiao Qi started with a heavy blow, "Because China and Japan are different.
, since ancient times, we have paid attention to 'family, country, world'. A large part of this 'family' is owning one's own home. Therefore, Chinese people's love for land and houses far exceeds that of other people in the world.
In any country, as long as the majority of people still want to own their own homes and pass them on to their children, then the real estate market will not collapse."
Niu Ruzheng nodded noncommittally, "Continue."
"But does this mean that we allow real estate to develop and push up housing prices, so that the local government can benefit and the country can also boost the economic aggregate... Is this a good thing?" Xiao Qi said word by word: "
Anyone who thinks like this is extremely wrong. Our real estate will not repeat the mistakes of Japan, but if real estate really kidnaps the national economy in the future, the harm will be more serious than the real estate collapse, and we will become worse than Japan.
Ten times a hundred times!”
Niu Ru was taking a breath of air, "Xiao Qi, are your words a bit alarmist? Although the Japanese economy has almost stagnated for ten years due to the collapse of the real estate bubble, it is still developing well now!"
"Japan is Japan, and China is China." Xiao Qi shook his head and said, "Japan can withstand some things, but China cannot."
"Please explain it more clearly." Niu Ruzheng became interested and his expression became more solemn.
"Japan's real estate bubble comes from the influx of countless hot money. On the surface, it is similar to China, but in fact it is completely different." Xiao Qi said, "Part of Japan's hot money comes from foreign speculators.
, the other part comes from bank loans. China’s hot money is inevitable for international speculators, and bank loans are also indispensable, but there is one more thing than Japan, and that is the foundation of China’s economy: small and medium-sized entrepreneurs will definitely
When real estate is booming, all the money you use for production, equipment, and raw materials is invested in real estate... If you do not do your job properly, it will bring about the collapse of a large number of basic industrial enterprises in China, which will completely cause China's
The hollowing out of the country’s economy has brought great harm to economic development.”
"They would really do this? Wouldn't this destroy their own foundation?" Niu Ruzheng said in disbelief.
"On the one hand, I work hard to do business, with a gross profit margin of 5 to 10, and I have to bear the risk of declining profits due to the rising exchange rate, as well as the pressure of rising production costs such as raw materials... On the other hand, I invest in real estate, and Jane
By simply subcontracting to a construction company, you can get a super high profit of 30 to 100 yuan, and you don’t have to worry too much. What do you think they are willing to do when comparing these two businesses?"
Niu Ruzheng became silent.
He knew the entrepreneurs in China very well, and it was really possible to do what Xiao Qi said.
After thinking for a long time, he added: "Then don't Japanese entrepreneurs do this?"
"Facts have proved that they did not do this." Xiao Qi said sternly: "Sony, Panasonic, Toyota, Toshiba, etc. all just borrowed money from banks to speculate in real estate and stocks, while at the same time they have their own technical reserves, production and research and development
, the global layout has not stopped at all... So even though too much money was lost due to the collapse of the real estate bubble, their skeleton is still there and they can continue to develop... So now we can see that Sony is still Sony,
And Panasonic is still Panasonic, and they will never collapse as a whole because of huge losses in additional business. This is the difference between a respectable company and an ordinary company."
Niu Ruzheng nodded repeatedly when he heard this. Only then did he really feel that it was definitely a wise decision for him to talk to Xiao Qi.
At least Xiao Qi's words were something he had never heard before, and they were so straightforward and profound, with quite a subtlety.
"If real estate is liberalized, what do you think will happen next?" Niu Ruzheng asked after silence.
"The more money the local finance gets from land sales, the more real estate can develop and grow, which later causes local finance to be heavily dependent on real estate, thereby kidnapping local finance and forcing local finance to support their development. This leads to
More people are investing in the profitable industry of real estate." Xiao Qi said seriously: "It's not scary no matter how hot money pours into real estate. The most terrifying thing is that our entrepreneurs have given up their industrial system and themselves.
Factories that have been working hard for decades are dreaming of getting rich through the virtual economy! There is no country in the world that does not rely on its own strong industrial strength to grow. I have never heard that a country that developed through real estate will truly be in the world.
The forest of powerful nations!”
Xiao Qi's words were like morning bells and evening drums, ringing in Niu Ruzheng's ears.
A country can use finance to get rich, but it can never use finance to build a country.
Only with a strong industrial foundation can we produce the products we need, play an important role in national defense scientific research, and establish a backbone to support national development. This is absolutely impossible to change!
From the actual situation of the rapid heating up of real estate, we can see the deeper inside. Xiao Qi is enough to be regarded as the think tank of the country!
Niu Ruzheng, who admired the young man in front of him more and more, felt that it was not enough. Although Xiao Qi's talent was enough to be a monster, he felt that this was not Xiao Qi's greatest strength.
At least he felt that if Xiao Qi could see so far, he should have his own countermeasures.
A person who can see far-reachingly is a wise man of a country. But if he can not only see a doctor but also prescribe the right medicine, then he can be called a pillar of the country!
So Niu Ruzheng asked again: "If you are asked to formulate countermeasures to prevent real estate from kidnapping the local economy and industrial hollowing out, what are you going to do?"
"I have no idea!"
To Niu Ruzheng's surprise, Xiao Qi flatly refused.
"You kid, how can you hide your clumsiness with your Uncle Niu?" Niu Ru was stunned, pointed at him, laughed and cursed: "Say it quickly! There is no one as appetizing as you!"
"I really don't know. What I can analyze is already my limit. But what should be done specifically? I am not the person in charge of economic power. Of course I have not studied it in depth, so I can't say more." Xiao
Qi shrugged and said sheepishly: "The introduction of any national policy is a very cautious matter. How dare I think about affecting the country's economic direction?" (To be continued. Please search Piaotian Literature for better updates of the novel.
Chapter completed!