In 1925, all major national economic indicators in Southern Africa have reached unprecedented levels, the market is unprecedentedly prosperous, per capita income continues to increase, and gold reserves have increased from 50 million rand in 1914 to 1.5 billion rand now, almost
Accounting for half of the world's total gold reserves.
Behind the prosperity of the market, there are unknown crises.
It’s not just Southern Africa. In 1925, major countries around the world had emerged from the economic crisis. People’s confidence in the market was increasing and social production was recovering. The root cause of the friction between Southern Africa and the United States in recent years lies in Southern Africa.
goods and competition from U.S. goods.
To put it bluntly, more and more goods are produced, but the size of the market has not expanded accordingly, so a larger-scale economic crisis is quietly approaching.
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"I laid off 15,000 workers this year because there are fewer people building houses and we no longer need so many construction workers." Christian felt deeply. The scale of the construction market in southern Africa reached its peak last year.
The company has built at least 1 million houses, and the construction market has shrunk significantly this year.
Christian started his career in construction, and is the largest builder in southern Africa. At its peak, there were more than 20 construction companies under his name. Now, compared with the peak, the number has dropped significantly, with only fifteen companies left.
Although the number is small, the strength is increasing. After all, if you want to fire, you must first fire ordinary workers who are not skilled enough and whose jobs are more replaceable. Workers with mature skills can still retain their jobs.
Of course, there will definitely be a certain decrease in salary compared with last year, which is inevitable.
Rock can only be thankful now that most of the construction workers hired by Christian are Africans from countries surrounding southern Africa, not southern Africans. Therefore, even if Christian fires more people, it will not have a big impact on southern Africa.
Influence.
However, we must be wary of this trend. It is only the construction industry now. As the speed of economic development slows down, it will definitely affect other industries.
For example, a mine——
Well, in fact, you don’t need to worry too much about the mines. After all, most of the miners in the mines in southern Africa are Africans from the countries surrounding southern Africa.
Looking at it this way, it seems that the economic crisis will not have much impact on southern Africa.
“The federal government is preparing to upgrade existing public transportation facilities, and you must also be prepared.” Roque is still prepared. As long as southern Africans have jobs, the impact of the economic crisis can be minimized.
In fact, there are traces of economic crises. Since the middle and late part of the last century, every economic crisis around the world has almost always started with the collapse of the U.S. stock market. When people lose confidence in the market, bank runs will accelerate the collapse of banks.
Then factories and companies were forced to close due to lack of financial support, a large number of workers lost their jobs and lost their source of income, and the entire society fell into chaos.
Relatively speaking, Southern Africa’s ability to fight the economic crisis is much stronger than that of the United States.
The biggest problem in the U.S. financial industry is that there is too much private capital. More than 10,000 banks appear to be prosperous, but in fact they are not large. This results in banks' ability to resist risks being very weak. Once the economic crisis hits, a large number of banks will collapse.
Countless people's life savings were wiped out.
During Philip's tenure as Prime Minister, the largest bank in Southern Africa was the Rand Bank, the second largest bank was the Bank of Rhodesia, the third largest bank was the Imperial Bank, and the fourth largest -
No, financial restrictions in Southern Africa are very strict. The Imperial Bank still relies on its British background to successfully enter Southern Africa. It is extremely difficult for private banks to enter Southern Africa. It was only after Rock and Coolidge signed the agreement that Southern Africa was slightly
Let go a little.
It’s really just a little bit. After Rock and Coolidge signed the agreement, U.S. private banks could enter southern Africa. However, U.S. private banks could only invest in southern Africa and could not absorb savings. This lost the greatest significance of banks.
Of course, the same is true for the United States. Southern African capital can now enter the United States, but it can only invest and cannot absorb savings.
This has little impact on Southern Africa. The capital from Southern Africa entering the United States is not originally intended to defraud Americans of their money, but to prepare to bargain-hunt U.S. companies during the economic crisis.
“Didn’t it just get upgraded a few years ago?” Christian beamed with joy. He regarded the federal government’s upgrade of public transportation facilities as Roque’s care for him.
It's normal. Christian's greatest achievement in his life is to hold on to Rock's thigh and make money by following Rock.
"What are you thinking about? The federal government does not serve you, nor is it a tool for private profit. The purpose of upgrading public transportation facilities is to increase the federal government's share of the public transportation field. You must also take the initiative to find a way. From now on,
Put profits second. The main task is to survive. Isn’t the money you earn enough to spend?” Rock has high demands on Christian. The money Christian earns now will be more than he can spend in ten lifetimes, so he should bear the responsibility.
There is some social responsibility.
"The reason for layoffs is to survive - when my company was undertaking federal government projects, profits had been reduced to the extreme, and profits from private construction were also minimal. Ten years ago, the most popular house style in southern Africa was townhouses. Now people
Now that we have money in our pockets, the requirements for housing are constantly increasing. Last year, the company built about 1 million houses, most of which were modern buildings with reinforced concrete structures." Christian is also aggrieved. He is the largest builder in Southern Africa.
, not a real estate developer.
The largest real estate developer in southern Africa is Stoudemire.
When society develops to a certain stage, real estate development also emerges.
Ten years ago, urbanization in Southern Africa had not reached 30%. Most of the new immigrants were assigned to the states to farm, and agriculture in Southern Africa also developed rapidly.
Now as a new generation of southern Africans grows up, urbanization continues to accelerate, and the demand for housing is also increasing.
Real estate in Southern Africa is not completely commercialized. As the largest real estate developer in Southern Africa, Stoudemire develops so-called luxury homes where rich people live. The prices are high, the profits are high, and the taxes paid are higher.
Low-price and low-profit affordable housing is mainly developed by federal governments at all levels. College students who have just graduated from school mainly live in such apartments. If they want to improve, they will buy luxury homes developed by developers. However, even if they have just graduated, they have nothing in their pockets.
No matter how much money is spent, the family cannot provide support and the family will not be displaced.
In addition to apartments that can be purchased, public rental housing is widely available in southern Africa. After Roque became prime minister, federal governments at all levels are adjusting tax rates, mainly property taxes and inheritance taxes.
The property tax in Southern Africa is exempt from the first-time property tax. The standard for the first-time property is less than 120 square meters. As long as there is no public sharing, 120 square meters is enough for a family.
Starting from the second home, the federal government will levy a progressive property tax. The amount starts at 3% of the property value. It is not realistic to rent a lot of houses as an apartment in southern Africa. For someone like Stoudemire who has properties all over the place,
For the wealthy, although property tax is not high, inheritance tax is more serious.
The inheritance tax in Southern Africa can reach up to 50%. Don’t think this tax rate is very high. The inheritance tax in the United States can reach a terrifying 75%. Otherwise, so many wealthy people in the United States would set up foundations.
, to avoid high inheritance taxes is one of the main reasons.
Foundations don’t work in Southern Africa either. Southern Africa has very strict restrictions on private funds. You don’t have to set them up just because you want to. After they are established, you have to accept the supervision of the federal government. There are also strict restrictions on the external investment of foundations.
, like American foundations, which often go to Africa to carry out charity projects and claim to spend tens of millions, they basically do not exist in southern Africa.
The fundamental purpose of all these is to promote the continuous progress of society and narrow the gap between rich and poor. For this reason, the Federal Tax Administration under the Ministry of Finance has become the most powerful agency in southern Africa. The consequences of concealing income and tax evasion are very serious, including punitive fines.
The penalty will be so severe that it will bankrupt the family.
“Come on, I don’t know how much money you can make every year——” Rock dismissed it. Christian now makes more money than Rock every year.
It sounds incredible, right? In fact, it is true.
Most of the companies under Roque's name are real industries.
One of the biggest problems in the real industry is to put more profits into technology research and development and product upgrading. In this way, it may seem that there is a lot of profit, but in fact the balance is not much, and all the money earned is spent on industrial production.
, if you don’t lose money, you will make money.
The construction field is also very profitable, especially for people like Christian. Most of the workers are Africans with low wages. The biggest expense for construction companies is not workers’ salaries, but the upgrading of construction machinery. For a labor-intensive industry
From an industry perspective, this situation is outrageous.
"It's true that I make a lot of money and spend a lot of money. I donate millions of rands every year -" Christian didn't say anything harsh. The Minister of Finance is Ada, and the Rand Bank is a company under Roque's name. Christie likes to think
Pretending to be stupid and dumbfounded is really not possible.
Christian is the largest donor to the foundation in Phyllis’ name. The millions he donates every year are mainly donated to the foundation in Phyllis’ name.
Of course, Christian people are very smart. In addition to donating money to the foundation in Phyllis' name, they also donate to elementary schools and libraries from time to time, and build roads and bridges in remote areas. Don't underestimate these charitable acts.
, this is also an important reason why Christian can still eat with Roque now.
If Christian had lost all his money, he might have been thrown back to Robben Island by now. The pigs were fattened and they were not allowed to be killed.
