Mediterranean Hegemony Road

Since the French abandoned the gold standard, the value of the franc has plummeted. At its peak, the value of the franc was equivalent to the lev, and now it has fallen to 1o:1.

Under the slump, the French government plundered a lot of wealth from the people, got rid of the government's financial crisis, and a large amount of cash was put into the market, and the domestic economy also began to recover.

In the first half of 1923, French exports increased by 38 percent compared to the same period in 1922, almost catching up with the peak level of the same period in 1913.

In a favorable environment, the unemployment rate in France has also begun to drop significantly. As a price, the living standards of the French people have also declined year-on-year.

The pros and cons of abandoning the gold standard are in sight, and Ferdinand is also considering whether to follow up. With the current Bulgarian economy, it is far from being able to keep the value of the lev.

The most serious consequence is that the export trade volume has shrunk seriously, but now Bulgaria's total export trade does not account for a large proportion, and Bulgaria's customs revenue only accounts for 4.8% of fiscal revenue, while export revenue accounts for only 4.8%. proportion is smaller.

It is mainly the Bulgarian-Russian trade, which accounts for nearly half of the import and export trade. The two sides implement symbolic tariffs, which reduces a lot of tariffs, but also increases other taxes, which are generally profitable.

After all, after exporting goods, after customs duties are levied, they must be exempted from many domestic taxes, such as stamp duty, value-added tax, business tax...

If all these taxes have to be levied, it is estimated that enterprises will no longer need to export, and the cost has already gone up. Who can afford it?

"Xiang, what do you think of the French's new monetary policy?" Ferdinand asked

"Your Majesty, in the short term, the French used currency devaluation to increase the currency's circulation and boost the economy, but in the long run, this just delayed the crisis.

The French economy is already in trouble.

But they didn't solve the problem fundamentally. How can the problem be solved just by printing money?

If nothing else, the situation will only get worse when the crisis erupts in the future! "Constantine thought about it and said

Ferdinand nodded and asked again, "What do you think, Chancellor of the Exchequer?"

"Your Majesty, my view is similar, except that I think the crisis for the French has just begun, and as France adopts currency devaluation to pull it out, other countries may follow suit.

If this goes on, the advantages brought by the devaluation of the French currency will soon be wiped out, so that all French assets will shrink except for the bankers who make a fortune.

Excessive concentration of wealth can easily lead to insufficient currency in the market. Unless the French government can keep printing money and keep printing it, the shortage of funds in the market will explode sooner or later, and finally the economic crisis! "Kennedy said cautiously.

Ferdinand nodded. Historically, countries all over the world abandoned the gold standard after World War I, which was imitating France, and finally caused the short-term prosperity of the world economy.

Until 1929, the US economic crisis exploded, detonating the world economic crisis, and France was also the hardest hit area.

"Ignore the problem of the French, let's think about it now, do we want to follow up, and estimate how much impact it will have on us if all countries in the world adopt currency devaluation?" Ferdinand said cautiously.

"Your Majesty, if all countries follow suit, our total export volume will probably drop by one-third, or even more!

However, the impact on us will not actually be too great. Our largest trading partner is the Russian Empire, and the trade between Bulgaria and Russia should not change much.

In the big 6 European markets, the competition is now very fierce, and with the existence of cheap German goods, it is very difficult for us to expand our trade share.

When necessary, we can take export tax rebates to keep part of our market!

As long as it has been supported for a few years, when the economic crisis breaks out, countries that abandon the gold standard will have to pay a heavy price for this, and Lev's international credit will also be established because of this! "Kennedy analyzed.

Ferdinand nodded. In fact, he was going to wait for the further development of the industry to directly link the lev with oil to determine the status of the lev as an international currency.

The Minister of Finance advocates sticking to the value of the lev and establishing an international monetary system through credit in the hearts of the public. In essence, everyone's goal is the same.

"Prepare foreign exchange and buy gold internationally!" Ferdinand thought for a while and said

"Yes!" Kennedy replied

To challenge the international status of the pound, it is necessary to destroy the British Empire first, which is an essential step.

However, the British Empire in this era was too strong. Except for Ferdinand, no one else had any confidence. Therefore, all Bulgarian policies were often conservative, trying to avoid direct collision with the British.

Even Ferdinand didn't know where to start? Agitate for the independence of the three North American countries? Or support colonial uprisings?

It is a pity that there is no one who is hard-hearted, no matter who they support, they have no ability to shake the hegemony of the British Empire!

Can't learn from that idiot of Louis XVI? In order to support American independence, every franc in the treasury was spent, and he was finally sent to the guillotine!

Do you want the Germans to challenge the world again? But looking at the map, Ferdinand soon gave up this tempting plan. At this time, the Germans may not dare to challenge the world!

Sandwiched between France and Austria-Hungary, followed by Bulgaria and the British Empire, there are a lot of messy problems in the country. If they want to do something, they should fight a civil war first and settle the country!

Even if they can complete the unification again, their strength is not enough? Without Austria, without the Czech Republic, the strength of the Germans is at least three layers weaker than in history, and the enemy is stronger than in history. Why would they play such a mortal chess game?

Unless they are forced to a dead end, it is estimated that the French have no plans to force the Germans to death now, which makes the Germans and the French PK again, and the outcome is still unknown?

"Your Majesty, the economic situation in Italy is very bad, and the Italian government is likely to declare bankruptcy in the near future!" Foreign Minister Metev said cautiously

It is no news that the Italian government is bankrupt. As early as 1921, the Italians let out the wind and asked countries to relieve Italy's debts, otherwise they would declare bankruptcy.

It's just that Britain and France announced very hard that as long as the Italian government went bankrupt, the Allies would military control Italy and use bayonets to urge them to repay their debts, which dispelled their thoughts of defaulting on their debts.

"Has the news been confirmed?" Ferdinand asked with a frown.

"It's been a close call. The Italians have filed for bankruptcy for the third time. This time they should be serious. From the information we have collected, their domestic economy is very bad, and there are unemployed people everywhere.

Coupled with the huge debt, it has exceeded their ability to bear. If the debt is not broken, the Italian people will be hungry! ' Metev explained

"So now Italy is in a mess, they have lost the ability to pay their debts?" Ferdinand asked

"From the analysis of the intelligence we collected, it is like this!" Metev replied

Ferdinand wandered left and right, he was still hesitating, should he use Italy to trick Britain and France?

After a while, Ferdinand said, "If we take the British and French troops to control Italy, what will be the consequences?"

Everyone was shocked and stunned by Ferdinand's whimsical idea. Now the Italian government really has no money to repay its debts. Even if the military controls Italy, it will not be able to squeeze oil?

For Italians to repay their debts, they must first be able to repay their debts!

What will Britain and France do?

Help Italy recover its economy?

Or directly squeeze and exploit the Italian people, how much oil can be squeezed?

"Your Majesty, what is the purpose of doing this?" Constantine asked suspiciously

This is clearly a detriment to others. No matter how to deal with the Italians, Bulgaria can't get half a cent of the benefits, so is it necessary to participate?

"It's very simple, is the current labor wage in Italy much lower than in Britain and France?

As long as we delineate several economic zones, is it possible for the British and French capitalists to transfer part of their industries to Italy?

As long as they move some industries into Italy, can the Italian government collect taxes, and rely on these taxes to pay off debts?

As for our interests, the British industry is too strong. We must let British capitalists learn to find cheap labor and reduce production costs!

It's better to let them transfer all the local industry out, that's even better! ' explained Ferdinand

Is it possible to transfer all local industries out? Standing at the national level, this is definitely not in the national interest, but it is in the interest of the capitalists!

By reducing production costs, greater benefits can be obtained. With the current labor costs in the UK, many real industries actually have little profit.

If the factory is transferred out, this profit can be recovered immediately, and there is no reason for the capitalists to quit!

The consequences, what does it have to do with them?

When the British mainland has no industrial support, once the economic crisis explodes, the resulting social crisis will be irreversible.

It's really hard to bring down the British Empire from the outside, but what about from the inside?

A British Commonwealth with serious internal problems, is it so terrible?

Once there is a problem in the British mainland, can they still suppress the colony? Will the Three Kingdoms of North America still be the little brothers in peace?

Once the United Kingdom declines, there will be more people who will attack them, and Bulgaria has been hidden behind the scenes from beginning to end, and at most the last moment makes up for it!

"Your Majesty, I'm afraid this success rate is not high! With the strength of the British, it is estimated that no one dares to stand up to challenge them. As long as they are given time, they will still get out of the predicament soon!" Constantine said with a wry smile.

"Did I say that I want to crush them all at once? Does the latter have anything to do with us? Now our task is to dig holes for them, dig more holes for them, and watch them jump!

Whether or not they can be buried in the end is up to them.

If the Commonwealth of Nations is united, then we will continue to weaken them, stick to the road ahead, and continue to dig holes for the British.

The British Empire is old, and when it gets old, it loses its strength. Sooner or later, they will sink in and never get up again!

If the British Commonwealth cannot be united, then we will help and let them divide themselves, at least we will take back the Suez Canal at the door! ' said Ferdinand sternly.

Everyone breathed a sigh of relief, as long as Bulgaria was not shirtless, they would just PK with him in person.

In the First World War, didn't the Germans be made up for the last knife by Bulgaria? Even the Austro-Hungarian Empire was beaten to death by the Russians first, and Bulgaria finally jumped out and grabbed the head?

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