Chapter 26 The Blizzard Comes
For Chinese people, the most important economic activity in 1981 is to crack down on "speculation and counter-attack".
In order to improve the survival vitality of state-owned enterprises, the government takes a two-pronged approach. On the one hand, it restricts the business scope of small and medium-sized enterprises and private enterprises in the form of legal provisions, and establishes a strict access system. On the other hand, it sets thresholds from the aspects of means of production to increase the production costs of small and medium-sized private enterprises and reduces their competitiveness.
At the beginning of the year, the price of steel was increased by 130%, and the price of coal was increased by 500%. The market prices of various means of production were greatly increased to varying degrees.
The sharp rise in production costs has immediately increased the production costs of small and medium-sized enterprises and private enterprises several times. This is a slight insult to most small and medium-sized enterprises and private enterprises that have just developed for less than two years, and has become the last straw that broke the camel's back.
Another major measure is to impose high taxes on profit-profit industries, which are not only new but also additional.
Many wealthy people who started their business at this time who later became Forbes China rankings encountered the most difficult period of their lives, with production costs rising sharply, and many original contracts signed were suspended. The reason was that according to the regulations of the superiors, state-owned enterprises could no longer purchase products from township or private enterprises.
The most direct one is to restrict the development of township enterprises within a certain local area, strictly control the transformation of agricultural population into non-agricultural population, and control the rural population to work in the city, so as to avoid the "harassment" of cities that have been brought to the city by educated youth who have been under great employment pressure from returning to the city.
These measures have directly led to the development of many small businesses that have been opened in the past two years, stagnating or directly closing down.
Sure enough, not long after, the people from the Economic Investigation Team came to the Spring Brilliant Pig Farm again.
"You must honestly explain your problems. Our policies are consistent, be frank and lenient, and resist strictness." The person in charge of the investigation team said to the three brothers very seriously.
What is frank and lenient to resist and strictness? I am afraid it is frank and lenient to confess and lenient to sit in prison and resist and strictness. Go home for the New Year! The three brothers have already made a decision. For the people in the investigation team, they just don’t say a certain word, which makes the other party angry.
"It's useless for you to do this. Cooperating with the government's work well is the only way out. Since you haven't done anything bad, you won't be afraid of ghosts calling." The personnel from the investigation team said this when they saw that the three brothers were not in.
Wang Laosan was a little bit of language art and replied lukewarmly, "Although he didn't do anything bad, the old man knocked in front of your door. Can life be better?"
After hearing this, the people from the investigation team choked back immediately after hearing this.
This is not the end. Before the investigation team was staying in the village for half an hour, a large number of villagers surrounded the pig farm.
The pig farm uses migrant workers, and there are a lot of them, which directly solves the problem of surplus labor for the village. Therefore, many people in the village have become rich by relying on the pig farm. At this time, they heard that the investigation team wanted to move the pig farm, so everyone immediately stopped.
The old men in the village came to question the inspection team with sticks, "We just passed a few good days and you came. Why don't you come when we are hungry?"
Some young men who work in pig farms also came to bombard him, "We have been bachelors for many years and have just found a partner. You will part as soon as you come. If this wife cannot be found, you will be responsible!"
The investigation team was immediately caught in an unbearable people's war. In the end, they couldn't stay in the pig farm, so they had to stop the matter in shame. Since they did not get any negative materials about the pig farm, they had to give up the matter.
Just pulling it, the Spring Festival is over in a blink of an eye.
However, the limelight of this inquiry movement has become increasingly serious. The air in Panshi City is still very solemn. Banners are hanging everywhere about "Severely cracking down on criminal activities in the economic field". The loudspeakers, which have not been ringing for three or four years, started to scream again. Every day, editorials with very strong tone are broadcast.
The small stores in the city that operate hardware and electricity exchange have received notices from the tax department that the business tax will be increased in the future, from 0.35% in previous years to 6%. If there is any problem, it will be doubled after being found.
This move is ruthless, and many people are confused. The hard money I have earned day and night for two years may not even be enough to pay the tax. This business seems to be unable to continue.
As for those unlucky people who are considered "speculative and interfere with the normal order of the economic field", they are even more miserable. Some people are directly locked up and sentenced to fixed-term imprisonment ranging from five to ten years, and their illegal income is confiscated.
There was a shop owner with a relatively large scale business scale who was restricted by the tax department to go out. As a result, he brought in 500 kilograms of food coupons, 2,000 yuan in cash and various documents. He fled out of Panshi City in a hurry without saying goodbye. Unfortunately, the public security system across the country had already taken action. In less than a week, he was arrested in a neighboring province and escorted back. Panshi City also held a public trial meeting specifically for them, such as "speculative gangsters". He was kidnapped and detained on the stage, accepted criticism and scolding from the masses, and was then declared four years in prison.
Coincidentally, in this economic struggle that lasted for more than a year, Wenzhou City, where individual industrial and commercial households are the most concentrated, the so-called "Eight Kings Incidents" occurred. In early 1982, the central government issued an emergency notice to crack down on criminal activities in the economic field, and arrested a group of people who were at the forefront of the market economy for the crime of "speculation and counter-attack".
In Wenzhou, a private economy originating from Wenzhou, the hardware king Hu Jinlin, the mine lamp king Cheng Buqing, the screw king Liu Dayuan, the contract king Li Fangping, the old goods king Wang Maiqian, the catalog king Ye Jianhua, the coil king Zheng Xiangqing, and the electrical appliance king Zheng Yuanzhong were listed as important targets of attack. This is called the "Eight Kings Incident".
In fact, the "Eight Kings Incident" was just the tip of the iceberg of this economic remediation movement. By the end of 1982, 164,000 various economic crimes were filed nationwide, 30,000 sentenced to 320,000 people, and 320 million yuan of funds were recovered. In the more than two years after the "Eight Kings Incident", Wenzhou and Zhejiang's pace was much slower. The economic remediation caused the private economy to experience the first cold wave, greatly delaying its growth momentum, especially the first-movered southern Zhejiang and the Pearl River Delta region suffered the most obvious impact and pressure.
The "Eight Kings Incident" is not accidental. The state uses government machines to curb the "vanguards" of civil forces breaking through the old system, which obviously has a meaning beyond the economy.
Until three years later, Yuan Fanglie, then secretary of the Wenzhou Municipal Party Committee, felt deeply that "the case of the Eight Kings will not be overturned, and there is no hope of Wenzhou's economic recovery." He organized a joint investigation team to review all the case files. Several arrested people were released on bail, or acquitted, and then restored their reputation and returned their confiscated property.
But now it has been time to change, and things have changed.
Throughout the whole year, Fan Wubing maintained a very low-key lifestyle, either raising pigs, or raising flowers, or giving advice to the clothing factory, providing Wuzhi Xiaoji with one or two genius ideas and obtaining corresponding returns. In short, this year was really depressing.
Chapter completed!