Seeing the people below talking, Zhu Cixuan listened carefully: "But if the banknote is not equivalent to gold and silver, how can he determine the value of his currency?

You should know that once the currency issuance causes currency to depreciate, what you call royal asset appraisal becomes uncertain value."

Liu Jinxun bowed: "Your Majesty, this problem is actually very easy to solve. Your Majesty only needs to use gold and silver as the evaluation when evaluating royal assets, that is, the current value is as the basis, and then determine the issuance of paper money.

As long as the number of paper money issued by His Majesty does not exceed the sum of His Majesty's gold and silver reserves and royal assets reserves, the valuation of these assets will not be reduced.

In this way, there will be no over-issuance of currency."

Zhu Ciying still felt that it was wrong: "If you say that, I can evaluate the assets and then print money. I will continue to buy assets with the printed money, and then print money and buy it again. In this way, will things in the whole world become mine?

Even if I don’t take the initiative to do this, isn’t the process of the extra money flowing to society the process of the royal family spending money to buy supplies?

So this itself will lead to excessive currency issuance, right?”

Liu Jinxun didn't react at once. After he reacted, he had to sigh, Your Majesty's operation is so slutty!

After sorting out his thoughts, Liu Jinxun continued: "Your Majesty's concerns make sense, so after completing the royal asset appraisal, Your Majesty will not use the purchase of new assets as the basis for issuance.

Instead, the data on asset added value should be calculated and the money should be printed based on this so that the currency will not be over-issued.

This asset value added means that His Majesty says that some assets generate value-added income during operation, rather than the value of the assets.

This value means that these new assets are obtained by His Majesty through production, and are tangible increases in wealth rather than purchased wealth."

Zhu Cilang sounded a little confused, but he still understood it roughly. This currency issuance system is a bit like the later generations of increased currency based on the added value of GDP.

To be honest, Zhu Cilang was a little moved. After using the new currency method, he no longer owe money and could get a lot of money out of thin air.

According to these economists, the entry of this money into circulation can also stimulate the economic and industrial development of the Ming Dynasty, and the procurement of commodities will inevitably lead a certain industry to enter the golden time of rapid development.

However, Zhu Cilang himself has no economics knowledge and cannot judge whether these people are right or wrong. For the Ming Dynasty, the currency issue has never been a small problem.

It looks good to spend money, but isn’t this equivalent to Zhu Cixuan putting all his royal assets onto the currency?

From this point of view, how happy you are to spend money now? The banknotes will really collapse in the future. Zhu Ciyang will not be able to sell the Huangming business as a whole before he can repay the debt?

No matter how you look at it, it looks like a conspiracy to cheat him of money!

Without these economists, Zhu Cilang also knows why his banknote reputation has been strong, why he has doubled his money and has not collapsed yet. It is because Zhu Cilang is rich and this Huangming business is valuable!

Not to mention that, if you can earn nearly 1.9 billion yuan this year, these industries will have to value Zhu Cilang 10 billion taels of silver. If you include the minerals buried underground, these companies will be priceless treasures.

Perhaps the evaluation method mentioned by these economists can try it when the war starts urgently and use this as a reason to issue additional currencies.

Now that the Ming Dynasty is in peace, there is no need to worry about using money in a hurry, there is no need to cause such a deficit.

As for stimulating the economy, Zhu Cilang felt that the Ming Dynasty's economy was developing very fast now, and was running wildly like a husky that broke free from reins, with more than ten percent rising in a year.

What does this mean? This means that the economy of the Ming Dynasty could be improved in five or six years.

Just like the current cabinet tax revenue of the Ming Dynasty is more than 800 million taels, and the number is 1.6 billion taels after six years. If it does not slow down after five or six years, then when the war begins, the cabinet tax revenue will be 3.2 billion taels of silver.

In other words, even if only 20% is spent on military expenditure, the cabinet will be able to bear all the military expenditure of the current Ming army in more than ten years.

The income of Huangming Shop is also increasing, and it will also go up a few ten years later. Even if the Ming Dynasty recruits another five million soldiers, it will be fully supported.

Why did the Ming Dynasty wait for ten years? In addition to waiting for infrastructure, technological progress, and weapons renewal, waiting for money is also an important reason.

So at this time, it is time to accelerate the Ming Dynasty's economy. What should I do if I burn the tank? And some things cannot be done with money.

Just like the biggest problem in the Ming Dynasty, human resources are short of human resources, and children need time to grow. Can you spend money shorten the time for children to grow? Can you spend money to buy more high-quality citizens?

Zhu Cixuan feels that these economists only emphasize the role of money one-sidedly, so they are still far from maturity.

The strength of a country should not be measured by money, at least it cannot be measured completely by money. Suppose there is a continent made of a piece of gold, but he is the only one on the mainland.

Then he would be countless times richer than the Ming Dynasty, but would Daming be afraid of him? No, Zhu Cixuan would only send troops to grab it back.

So although economic problems seem to be money, if you attribute everything to money in the end, then it will be one-sided.

Liu Jinxun stood there and watched His Majesty think. He didn't know what His Majesty was thinking. Several other economists also looked at each other, and the scene became deserted for a moment.

Zhu Cilang thought it through and stopped hitting the table: "Money is a complex thing, it has the most stable function, that is, it is used as a general equivalent for exchange, but it faces the influence of the most unstable factor, that is, the human heart.

Even if you have a lot of tricks, you will never be able to defeat the people's hearts in the end. There are many examples of falling and suffering losses in currency in all dynasties. The Ming Dynasty did not reach that crisis, so don't take such risks. Today's results of stable banknotes and currency values ​​are hard-won.

When the banknotes were first issued, any turbulence would trigger a run. Many people got the banknotes issued in the morning, and went to the bank to exchange them for silver or buy them into food and other supplies before they waited in the afternoon.

Paper money has experienced three major runs, and each time it was empty, and I wish I could empty the inner warehouse.

Although it seems stable now, there may not be any new runs in the future. Although the royal assets are of great value, when they are really short of money, it is possible that they will be sold at a discount of one tenth and are still under price.

At that time, the people will line up at the bank gate. Do you think you will sell these assets or not?
Chapter completed!