Chapter 60: On Strategic Positions

  The 1993 Spring Festival Gala was as dull as the previous two years. On the thirtieth evening, Zhao Guotang and his family sat in front of the TV and fell asleep before midnight. The Spring Festival Gala had become a waste for him, not worth watching but also a pity to miss. He went to bed early, while the three brothers Zhao Deshan watched with great interest.

  After several months, Zhao DeShan has become much more steady, and Zhao ChangChuan has also become more meticulous and stable, which makes Zhao GuoTing very satisfied.

  Under the urging of Zhao Guotang, Zhao Changchun picked up his book again. In Zhao Guotang's words, it doesn't have to be perfect, but you at least need a goal, even if it's just a correspondence certificate, you have to get your hands on it.

  On the fifth day of the first month, Zhao Guotang went to Andu. He didn't go to Tang Zhen's place, but lost his way in Liu Chao's village and got nothing except a few rural chickens.

  To be honest, Liu Zhaoguo doesn't lack anything now, except for money, but that has to be clean money, and Zhao Guotang can provide him with just that.

  "Guo Dong, just as you expected, the Angang Steel I bought has risen to 8.9 yuan. Old Liu and a few others are regretful now, wanting to enter the market but afraid of being locked in."

  Liu Zhaoguo's face was filled with joy, and even the Discipline Inspection Commission did not impose any restrictions on this stock trading, except for not allowing visits to the Bull King Temple during working hours, there were no specific requirements.

  "It's already too high now. Although there is still room for growth, the value is no longer great and the risk ratio is too high. There is no need to go in anymore." Zhao Guodong shook his head.

  It was his first time to Liu Chao's home, which seemed to be an old house that had been renovated, but the area was quite large, at least over 130 square meters, with a traditional three bedrooms and one living room layout.

  "Does that mean we can make our move now?"

  Liu Zhaoguo's hands, which were wrapping dumplings, suddenly stopped. He was not good at making these kinds of noodles, but his wife was a true Northeasterner, and after more than 20 years of living in the North, making dumplings had become second nature to her.

  "No rush, the steel price should be able to rise above 12. Once it exceeds 12, immediately and decisively sell out, don't hesitate at all. I estimate that after the seventh day of the new year, the stock market will welcome another big surge, and when that time comes, it's time to sell." Zhao Guodong also helped to echo this sentiment.

  "Uh, soon Lao Liu and the others will come over too. Going out to eat doesn't make much sense, it's better to try your sister Fang's cooking." Liu Zhaoguo nodded heavily, "We're not greedy, once it passes 12 o'clock we'll let go, no matter how much it rises, it has nothing to do with me. With two or three million in our pockets, this lifetime will be carefree and leisurely."

  "Haha, Liu Ge, is 200-300 thousand really your goal? Your life expectations are a bit too low, aren't they? If meat rises to 10 yuan per kilogram and rice rises to over 2 yuan per kilogram, what's the difference between 200-300 thousand and 20-30 thousand?" Zhao Guotang burst out laughing.

  "Are you talking about inflation?" Liu Zhaoguo stopped his action.

  "Yes, looking at the momentum of this year's opening, although officials do not admit it is inflation, but anyone who understands economics knows what else it could be? At this rate of increase, hum, in three years, 200,000 will only be worth 20,000 now." Zhao Guodong let out a soft hum.

  "The country will not let this phenomenon go unchecked." Cai Zhengyang, who had just entered the door, picked up where he left off and said, "Xiao Zhao, you're very concerned about macroeconomics, aren't you?"

  "Hmph, of course we have to take care of it. If we don't, the common people will rise up and make trouble." Zhao Guotang turned around with a sunny face, "Ah, Brother Cai has arrived! What else can the common people be concerned about? For them, what they care most about is the price of daily necessities. Even the slightest stir will trigger their sensitivity."

  "What do you think, Little Zhao, when will the country intervene in this situation?" Cai Zhengyang really wanted to test this seemingly somewhat unprofessional young policeman, although he also knew that Zhao Guodong's performance in his own business was excellent, Liu Zhuo had already told him that those who could be on the People's Public Security News were naturally the backbone of the business.

  "It won't be long, I reckon by April or May at the latest, the central government will have to take drastic measures to rectify the situation, otherwise the consequences will be unthinkable. The loss of control over the financial situation has become an indisputable fact, with soaring prices causing the value of ordinary people's money to depreciate at any time, and the interest rates offered by banks are far from enough to preserve its value, so high-interest collective investment is the best option."

  "While private enterprises cannot get normal financial support, in order to develop, they have no choice but to stretch their tentacles towards folk funds. In order to compete for funds, they can only make a difference in interest rates. However, this disorderly flow of folk funds lacks a supervisory system and mechanism, which will inevitably lead to high risks."

  "If they were really doing normal business or production, not many could afford such high interest rates for fundraising. Suddenly, so many companies can accept interest rates above 20%, I couldn't imagine how they would pay it back unless it's malicious fraud or some kind of extremely lucrative business like drug trafficking."

  Zhao Guotang spoke eloquently, all of these were things in Zhao Guotang's memory. In 1994, it was the peak period of collective fundraising scams, with cases like Shen Taifu and Deng Bin causing a stir across the country, ultimately leading to a series of chain reactions.

  Cai Zhengyang was shocked again by Zhao Guotang's remarks, and the other party was so clear about some of the hidden worries that have appeared in the national economy at present. These situations also exist in Huayang County. As the most developed county in Anshun City, the township enterprises in Huayang County are developing rapidly, and private economy is also growing rapidly, which is also his main political achievement to become the assistant mayor of the city.

  However, as a sensitive county party secretary, he had long felt the turbulent waves hidden behind the hot and dry back. Township enterprises and private enterprises could not get support from regular financial departments in terms of funds, so they turned their targets to personal fundraising, which contained risks that made people's hair stand on end, especially when some unscrupulous individuals were mixed among them, the danger it might bring was almost fatal.

  Xiong Zhenglin and his wife walked in to see Cai Zhengyang chatting with Zhao Guotang, not knowing what surprising remarks this kid had made that attracted Cai Zhengyang.

  Xiong Zhenglin was also full of suspicion towards Zhao Guotang, he couldn't imagine how a professional police officer who graduated from the Police Academy could be so knowledgeable about economic policies, even Cai Zhengyang held him in high esteem, this was really quite unbelievable.

  "Hmm, the country should also take action now. The later it is, the harder the problem will be to solve." Cai Zhengyang nodded his head, Zhao Guotang's analysis of the issue was very thorough, although he also had some vague feelings, but they were not as definite and straightforward as Zhao Guotang's analysis.

  Finally made it onto the recommended list, I'm crying tears of joy. The only way to thank you is with updates, but the position is still unstable, so please continue to give this book your recommendation votes!