Chapter 326: Tell me frankly!

The car Liu Yihua was riding finally arrived at his destination after passing layers of guarding levels.

After getting off the car, Liu Yihua said nervously: "Grandpa, just tell the old leader that I am a doctor, come and see him for his health."

Mr. Ren was stunned and said, "Nonshu, are you a doctor?"

Liu Yihua smiled and said, "Grandpa, I know some qigong, it's really good for the old leader's health. Besides, I don't want to let others know so soon that I am your grandson. That would not be good for me." Liu Yihua thought about it and still had concerns.

Mr. Ren smiled bitterly and said, "Okay, I'll just steal the bell from the cover of my ears. In fact, the old leader must know who you are."

Liu Yihua smiled and said, "Haha, it's better to cover up your ears and steal the bell."

Mr. Ren snorted: "You are deceiving yourself! Let's go."

Liu Yihua looked at the heavily guarded door and carefully followed his grandfather in.

As soon as he entered the door, the old leader's secretary warmly received Mr. Ren and then took Mr. Ren into the study to visit the old leader. Liu Yihua didn't have that big face and stayed in the hall. Without the old leader's consent, Liu Yihua had no chance to meet the old leader.

Liu Yihua sat outside and waited nervously for a while. At this time, the old leader and Mr. Ren walked out while talking.

When Liu Yihua saw that the old leader who had only seen on TV before, he stood up excitedly and saluted, "Hello, Chief!"

The old leader looked at Liu Yihua and said, "Oh, little doctor? Or military doctor? Xiao Ren, your grandson still wants to hide his identity."

Mr. Ren smiled and said, "He may be thinking nonsense before, but now he is scared."

The old leader said: "Young man, you just have to dare to say it. Sit down, don't be nervous."

Liu Yihua smirked and said restrainedly.

The old leader looked at Liu Yihua carefully and suddenly smiled and said, "It's not simple! Xiaohua, I heard that you convinced Mr. Li and Mr. Cai, the two old comrades?"

Liu Yihua said awkwardly: "Chief, where is there? They are very principled. How can I convince them in a while?" Liu Yihua felt his lips dry and he was a little short of breath. Alas, who can calm down in the face of the highest chief of our country? Even Liu Yihua's grandfather, Mr. Ren, is just as well-behaved.

The old leader waved, "Don't be reserved! By the way, I heard you were alarmist? Talking about land issues, RMB exchange rate, inflation, industrial chain structure... may affect the fundamentals of the country? Your grandfather has already told me about the land theory. Can you talk about other issues next? Haha, the young people's ideas may provide us with some ideas!" The old leader's hand looked very approachable, which made Liu Yihua relax unconsciously.

"Chief, how can I understand finance? I just talk nonsense..." Liu Yihua dared to talk nonsense in front of the old leader? He now regrets that he was talking nonsense in front of Mr. Li and Mr. Cai before! His grandfather was too, why did he say this to the old leader? But Liu Yihua felt relieved later. The words he said would sooner or later, and if his grandfather was not realistic, he would be passive.

The old leader looked at Mr. Ren and said to Liu Yihua: "It's still confidential? I know that under your guidance last year, several companies in Hong Kong and Singapore entered the US stock market in large numbers... Xiaohua, you did a good job! The country sees it."

"Ah?" Liu Yihua was stunned. He thought that directing Zhou Huijie and Li Shanshan to enter the US stock market was a top secret, but he didn't expect the old leader to know. It's no wonder that in this world, it's really hard to keep things secret.

Mr. Ren's eyes lit up and said, "Really? It turns out that the United States and Japan have suffered heavy damage. Protecting the Hong Kong stock market is related to Xiao... Xiaohua? Chief, are you right?" Mr. Ren actually knows a little, but he really doesn't know too many details.

The old leader nodded and said, "Yes. Xiao Ren, you don't know how beautiful this battle is! Xiao Hua really understands the stock market and finance, so I want to hear some of his opinions." How many think tanks are around the old leader? Several think tanks in charge of finance are shocked after learning that Liu Yihua is attacking the US and Japanese stock markets and protecting the Hong Kong stock markets! In their eyes, Liu Yihua is simply an epoch-making genius! Otherwise, the old leader would have the leisure and waste time with Liu Yihua, a little kid?

Mr. Ren said happily: "Xiaohua, since you have real talent and knowledge, just talk about it. Just tell me your own opinion." Mr. Ren knew that the old leader must have been investigated, otherwise it would not cause any topic to be discussed and gave Liu Yihua a chance to speak.

Liu Yihua knew that he could not refuse anymore, so he gritted his teeth and said, "Okay, then I'll show off my skills in front of the leader. I'll talk about the RMB exchange rate."

After pausing, Liu Yihua clarified his thoughts and said: "As we all know, the United States is the most developed country in the world, and the US dollar is the common currency in the world. Then the exchange rate of RMB against the US dollar will be very important!

At present, the exchange rate of RMB against the US dollar is equal to 23 RMB. Many people in China think that it is best to be one dollar equal to one RMB! Because the more valuable the RMB is, the richer and stronger our country should be! Of course, people familiar with the economy know that this idea is wrong!”

Liu Yihua said this and looked at the old leader, and then continued: "After the RMB appreciates, we will have a great advantage in imports. However, there is a question: Does our country need to import a large amount of money? Even if it needs to import, does our country have a large amount of money imports? Therefore, the appreciation of the RMB has no benefit to our country's economy at all!

On the other hand, after the depreciation of the RMB, it is conducive to exports! It is conducive to the development of our country's economy! Because our country needs to develop the economy by relying on a large amount of exports, not imports! From this point of view, in the past few years, we should try to reach one dollar equal to 35 yuan! In the future, according to the situation... it can reach about 8 yuan! In that way, the products produced by a large number of enterprises in our country can be exported in large quantities! Only then will the country's economy truly develop!

However, the RMB exchange rate must be kept in a stable state! If the RMB depreciates unlimitedly... then our country will have many more export companies! But in this case, if the RMB is suddenly forced to appreciate for some reason... what will happen? How can a large number of enterprises rely on exports go bankrupt! The workers of these enterprises will be laid off! A large number of unemployed people will definitely affect the prosperity and stability of the country! If this is not handled well, it may affect the country's development!"

Liu Yihua originally wanted to say that it had affected the country's "fundamentality", but he stopped in time. How could he say this in front of the old leader? Even so, Liu Yihua didn't know what the old leader would think.

The old leader also said solemnly: "Yes. Xiaohua has his own unique insights. I have also heard many experts' opinions on the issue of RMB exchange rate. Our future goal is to keep the exchange rate of our country's people from the influence of the US dollar, so we must become stronger! Let the RMB become a common currency in the world like the US dollar! Of course, this task has a long way to go!"

Mr. Ren touched his head and said, "Good guy, Xiaohua really has a few tricks. I have always believed that the more valuable the RMB is, the faster the economic development of our country will be! It seems that my idea is a big mistake! It is our dream to turn the RMB into a universal currency in the world. It would be great if it could be realized!" Mr. Ren did not intentionally praise Liu Yihua at this time. He was really surprised by Liu Yihua's insight. Mr. Ren could not see through Liu Yihua in front of him. Is this a rural child growing up in the countryside? What material is made of his brain?

The head of the leader thought for a while and smiled: "Xiaohua, you're right. We should really pay attention to the issue of RMB exchange rate in the future! You should continue to talk about inflation! In our thoughts, inflation seems to be the product of capitalism... I am still very surprised how socialist inflation affects the fundamentals of the country!"

After Liu Yihua was recognized by the old leader, he became bolder and immediately said: "The leader just now said that inflation was a product of capitalism in people's thoughts!

However, in the future, inflation will inevitably occur with the development of the market economy in our country! If it is controlled well, of course there will be no problem! If it is controlled poorly, the problem will be big!

I talked about the real estate bubble with Grandpa Li and Grandpa Cai before, but this is actually a serious inflation! How to say it? The income of our people has not changed, but the prices of real estate have soared. The house that could have been bought for 3,000 yuan later cost 9,000 yuan! Isn’t this a serious inflation?

Besides, the real estate bubble and real estate inflation will drive bubbles and inflation in all walks of life! When the real estate prices are high, the prices of all industries related to real estate will naturally be high! Under such contagion, all prices across the country will produce a certain bubble! That is, a certain amount of inflation will be generated!

If the price of real estate becomes higher and higher later... it means that inflation is getting worse and worse! In the end, the houses in our country may be more expensive than developed countries such as the United States and Japan! In this way, our country's consumption level may exceed that of many developed countries in the West in the future!

However, the per capita income of our country will not increase significantly! This will have catastrophic consequences! Inflation is still light! The most serious thing is the financial crisis! A financial crisis may bring a country's economy back to decades ago! And after decades, it will be impossible to turn things around!

Therefore, we must have a clear understanding of this issue and don’t think that only capitalism can lead to inflation!”

Liu Yihua is now completely relaxed! Today we must tell you some hidden dangers in the future! We cannot let our country's economy repeat the same mistake and fall into various crises and helplessness again!

Of course, Liu Yihua's tone and words seem to be serious alarmist! But Liu Yihua knows that in the 21st century, everything in our country is rising! Only the people's income is still standing there! Even if it grows a little, it cannot keep up with the speed of price increases! Authoritative departments have done statistics that 10 yuan in 1987 is equal to 1,000 yuan in 2007! Before the reform and opening up, 20 yuan could support the family! It can allow several children in the family to have books to study! After the reform and opening up, especially after the 21st century... 3,000 yuan a month for a family is not necessarily enough! As for children going to college, it is hard to say! Many children's money for college is pieced together!

In the 21st century, the average hourly wage for each worker in our country is US$0.8! The United States and Germany are US$4,080! Even Thai workers have US$4 per hourly wages!

However, at this stage, the country's overall economic development has made rapid progress! The country's GDP has grown steadily! The world is full of exclamations! However, the GDP calculation method of our country is different from that of developed Western countries!

Western developed countries calculate the consumption of 70 into GDP! But our country's consumption only accounts for 35%! In our country's GDP, real estate, large-scale construction... accounts for a large proportion! In this way, the more serious the real estate bubble economy phenomenon, the faster the GDP in our country will rise! The more serious the inflation in our country will be! Later, real estate prices have reached a very serious brute-deep brilliance! At this time, it is also the time when prices rise the fastest! The inflation is the most serious! So in the future history, pork is expensive, edible oil is expensive, vegetables are expensive, mung beans are expensive, garlic is expensive... Anyway, everything is expensive!

In the end, real estate prices have been so high that they triggered an economic crisis! So, the government hastily come out to suppress it! But it is too late! The people of our country will be helpless to tighten their belts and live a life! Because you have no other choice! Your income will not grow! Want real estate and prices to reduce their prices by more than 10 times... Is this possible?

After hearing Liu Yihua's words, the old leader looked solemn and sighed, "It's OK! If it doesn't work, it's not OK! It seems that we can't do it recklessly in the future! If we do it recklessly and don't understand the economy... there will be big problems!" After the old leader said that, he picked up a special extended filter cigarette. Liu Yihua quickly lit the cigarette with a match.

The room is very quiet now, as if only the sizzling sound when the cigarette burns.

"Xiaohua, there are really a lot of new things in your brain? How can you predict so accurately about the future?" the old leader suddenly asked after smoking a cigarette.

"This...I..." Liu Yihua was panicked and didn't know how to explain.

The old leader smiled and said, "Don't be nervous. Since you have any opinions, you should say more suggestions. Let's talk about the industrial chain structure."

Liu Yihua then wiped his sweat and said, "Chief, let me give a brief explanation about this industrial structure chain! A product has to go through a chain from R&D design to the end of being sold to consumers! It can basically be divided into 7 major links! It includes: product design, raw material procurement, processing and manufacturing, logistics and transportation, order processing, wholesale operation, and terminal retail.

In the future, our country will develop its economy and have a large amount of exports... mainly relying on the processing and manufacturing of products! In this way, we only occupy one link among the seven major links! And it is the most wasteful of resources, the most environmental damage, and the most labor-intensive link! And we have no way to control the other six links!"

At this time, Liu Yihua's grandfather asked: "Xiaohua, one of the links we control is production and manufacturing, which should be the most favorable, right? How can we say that the industrial structure chain will threaten the fundamentals of the country in the future?"

Liu Yihua explained: "I'd better give an example! For example, American customers asked us to process a doll! During the manufacturing process, we destroyed the environment, wasted resources, and exploited labor... Americans only gave us $0.5! And when we removed the cost was only $5 cents!

But what is the real result? We made dolls worth $0.5, and the retail price in the United States was $5.5! A 10 times difference! The price difference is $5! Think carefully, in the process of appreciation from $0.5 to $5.5... 5.5 cuts 0.5. Where does the value of these 5 dollars come from?

This 5 dollars won't give us a penny! They were all earned by Americans!

If we do not solve this industrial chain problem and do not participate in the other six links... then our country's export processing companies will have a vicious cycle! Because you cannot design yourself, and you do not have a famous brand trademark, you cannot sell abroad... Because foreign sales channels have been monopolized by others! Therefore, our companies are forced to face the production and manufacturing link! Moreover, our customer capitalists will also increase their price reductions! Let the profits of our export processing companies gradually decrease! At this time, if the RMB exchange rate appreciation occurs again... it will be disastrous! These export processing companies will be unprofitable! They will soon go bankrupt! Therefore, in the future, our country's export companies must pay attention to the industrial chain! We dare not say that we have grasped all seven major links! However, product design, raw material procurement or production, processing and manufacturing, logistics and transportation... these major items should be controlled! As for order processing... we have the strength, we can naturally negotiate with foreign merchants!

If the negotiation results are not good, it doesn’t matter! We can focus on the wholesale operation link! We can build our own brand or give some customers OEM brands! In this way, if we face more customers, we will not be monopolized by one customer!

If it really doesn't work, we can also conduct terminal retail! We can set up sales points around the world to sell our own brand of products! Let's take the example of that doll. If we can set up sales locations in the United States, we dare not say that we can sell 5.5 US dollars! It's okay to sell 1.5 US dollars? Compared with 0.5 US dollars... what's better!

Therefore, reform and opening up and vigorously developing export processing industry is the general trend of our country! Because our country has rich resources and a large amount of cheap labor... so the products made by our country will definitely be popular all over the world! However, if we do not grasp the industrial chain well, even if the whole world is using the products made by our country... then our country's enterprises will not make much profit! Capitalists can't make our processing enterprises profit! Because the essence of capitalists is exploitation! This essence has never changed for more than 100 years!
Chapter completed!