Chapter 1561 (2/2)

”Do you mean that the Fed is actually a star ring trader endorsing at the back?” As soon as Wu Jianbin's eyes brightened, he immediately responded.

”You should ask, do you dare to play like this with the first bank of Boston without star ring trade endorsing at the back? Don't say it's Boston. The whole wall street is not enough. ” After a pause, Wu Changfeng laughed and continued, ”Jianbin, you are in real estate business. I'll give you some advice.”

”Ha ha, when did you care about business? I'll have to ask for advice Wu Jianbin offered him a glass of wine with a smile.

”The times are different. Don't always focus on the domestic business. Broaden your horizons.”

”You mean the real estate business is failing? It's impossible. ” Wu Jianbin shook his head and said with a smile, ”the total amount of M2 has increased 80 times in 25 years. The excess currency has caught up with the total money supply of the United States and the European Union, and the total economic volume is less than one third of that. If it were not for our real estate, ha ha.”

Wu Changfeng laughed and did not speak.

He has already said what should be said. It is none of his business to believe it or not.

What's more, he doesn't like the business at home.

The benefits of a unified currency are, of course, straightforward.

Even the layman of economics can see that the unified currency helps to reduce transaction costs, reduce the risk of exchange rate fluctuations, promote trade, and increase the competitiveness of trade zones. But, in contrast, there are costs to a single currency.

Taking the euro area as an example, the unification of currency leads to the loss of the independence of exchange rate and monetary policy, which means that the macro policy makers give up monetary policy and control the macro-economy only with fiscal policy, which greatly weakens the ability of macro policy makers to deal with ”asymmetric shocks”.

Germany and Greece, for example, use the same currency and have the same interest rates. However, compared with Greece, German industry is more developed, the labor force is more educated, the productivity is stronger, and the cost of industrial products is lower.Now that the European Central Bank has issued a loan to both countries, Germany can use advanced industries and productivity to create wealth far greater than that of Greece through this capital, so capital and high-quality labor force are coming. Greece can't generate such a huge income at all. It can only maintain its economic status through welfare and encourage people to spend, which eventually leads to the euro zone debt crisis.

However, it is undeniable that the unified currency will greatly enhance the competitiveness of the trade zone.

If the world Federal Reserve created by Wall Street is not enough to make people feel afraid, then more than a dozen Pacific Rim countries such as Singapore, the United States and other Pacific Rim countries follow suit, which is enough to make other trade areas feel real panic.

Panic is a good word to describe.

This will be a trade area several times larger than that of the European Union, and its trade efficiency and competitiveness will be unimaginable by other trade areas.

To this end, the Kremlin has held two consecutive interim meetings to discuss the world bank and its possible impact on the Russian economy. Putin and the Russian Minister of economic development, who are on a diplomatic visit to Europe, finished their trip ahead of schedule and returned home to support the meeting.

On the other side, Shangjing is the same.

In the first weekend of the announcement of the establishment of the Federal Reserve, the central bank held an interim working meeting to discuss the formulation of new monetary policy to deal with the possible impact of the establishment of the Fed.

Whether willing or not, the establishment of the world bank is affecting everyone's nerves

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(diarrhea started the previous night. I was lying in bed all day yesterday and didn't eat anything. Finally, I couldn't hold on. I went to the hospital to have a bit of a drip. At night, I came home with a chapter. The whole person felt that he was very heavy and could not bear to lie in bed. There's only one watch today. Morningstar is here to say sorry to my brothers...)

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