Rebirth of the Tech Madman

It can be said that Xiangjiang adopts a linked exchange rate system in monetary policy, which is an inevitable choice. ￡∝,

Although Xiangjiang is listed as the "Four Asian Dragons" in terms of economic development, its own "hardness" is an unavoidable shortcoming. The value of the Hong Kong dollar must be reflected in the form of "sugar daddy".

Between 1935 and 1972, the Hong Kong dollar was pegged to the British pound. But with the weakening of the British economy, the use of the British pound as the backbone of the Hong Kong dollar has become increasingly unreliable.

After the global energy crisis broke out in the 1970s, the pound exchange rate began to float freely in June 1972, and the Hong Kong dollar became pegged to the U.S. dollar in the next two years. It was originally 5.65 Hong Kong dollars to 1 U.S. dollar, and then changed to 5.085 Hong Kong dollars to 1 U.S. dollar in February 1973.

However, after entering 1974, the weakness of the US dollar became more and more obvious, so the Hong Kong dollar was changed to free floating in November 1974.

This should be changed from time to time, and it was very successful in the beginning. However, the essence of Xiangjiang's monetary policy structure, which is essentially dependent on the value of a powerful country's currency, has not changed. At the same time, free floating has led to no clear monetary policy goals. Therefore, Xiangjiang's economy will inevitably enter a period of turbulence.

From a macro perspective, since 1977, problems including trade deficit, currency devaluation, inflation, etc., have begun to surface.

When the time entered the 1980s, the problem of Hong Kong’s future had to be addressed. The ensuing real estate bubble and stock market crash, as well as the wavering of Hong Kong people’s confidence in the Hong Kong dollar, pushed the Hong Kong dollar in the direction of a sharp depreciation.

Therefore, the villain in "Senior Sister and Heroic Money Empire" deliberately studies the loopholes in Hong Kong's monetary policy. Ambitiously want to control the Hong Kong dollar. There is a certain factual basis.

otherwise. The elites of Hong Kong will not rush to this movie, and even the Hong Kong government has to jump out and clarify that they are not a vegetarian diet.

The newly released Hong Kong Linked Exchange Rate System is a type of fixed exchange rate system. Under the linked exchange rate system, the Hong Kong dollar is pegged to the U.S. dollar at an exchange rate of 7.80 Hong Kong dollars to 1 U.S. dollar.

However, the Hong Kong linked exchange rate system also has its own characteristics of adapting to the local area, which is quite different from other fixed exchange rate systems.

Under normal circumstances, the Hong Kong government or central bank will not actively intervene in the foreign exchange market, that is, directly affect the exchange rate by controlling the supply and demand of the Hong Kong dollar. Instead, in the form of a currency board system, the three note-issuing banks of Hong Kong, the Bank of China, HSBC, and Standard Chartered, are allowed to carry out arbitrage activities to achieve the goal of maintaining exchange rate stability.

To be precise, the exchange rate of 7.8 Hong Kong dollars to 1 U.S. dollar actually only exists when the three note-issuing banks and the Hong Kong Monetary Authority buy and sell certificates of indebtedness. The real market exchange rate is still determined by market forces. It is not absolutely 7.8 Hong Kong dollars. It is subject to 1 U.S. dollar.

For example, suppose investors buy Hong Kong dollars when external funds flow in. The market exchange rate of the Hong Kong dollar has risen to 7.5 Hong Kong dollars to 1 U.S. dollar, and note-issuing banks can hold U.S. dollars to the Monetary Authority at a linked exchange rate of 7.8 Hong Kong dollars to 1 U.S. dollar. The purchase of Certificates of Indebtedness issuance of Hong Kong dollars, for every 1 US dollar exchanged, a profit of 0.3 Hong Kong dollars can be gained from it, which in turn enables the expansion of the currency base of Hong Kong.

This process of currency expansion will increase the money supply in the market, forcing interest rates to fall, capital will then flow out, and the Hong Kong dollar market exchange rate will return to the linked exchange rate level.

For another example, suppose that when a large amount of Hong Kong funds flows out, the market exchange rate of the Hong Kong dollar depreciates to 8 Hong Kong dollars to 1 U.S. dollar, and the note-issuing bank can exchange the linked exchange rate of 7.8 Hong Kong dollars to 1 U.S. dollar to the HKMA for each U.S. dollar with the certificate of indebtedness. It can make a profit of 0.2 Hong Kong dollars from it, which in turn causes the currency base of Hong Kong to shrink and interest rates rise, attracting foreign capital inflows with the goal of earning interest, and returning the exchange rate of the Hong Kong dollar market to the linked exchange rate level.

This transaction is exclusively operated by the three note-issuing banks, competing with each other to ensure that they will intervene in the market when the exchange rate of the Hong Kong dollar market fluctuates. Defend that the market exchange rate of the Hong Kong dollar will not deviate significantly from the linked exchange rate.

A kind of Tang Huan is equivalent to enjoying the 1.8 Hong Kong dollar spread benefit of this automatic adjustment mechanism in advance.

Although it is inevitable that some people will be jealous of Tang Huan's net income of hundreds of millions of Hong Kong dollars after changing hands, but in the face of this vision and courage, it is impossible to be convinced.

Moreover, due to the limited amount of money, it would not be too much for the Hong Kong government to stand up to the table. In addition, the Hong Kong government recognized the legality of Tang Huan’s capital operation, and even actively considered the award of honors for him. , Not the highest level gbe, I am embarrassed to take it out.

After learning of this development, Tang Huan quickly entrusted Zhou Mi as a representative to decline this arrangement-brother is not rare for your awards, and it may be interpreted and hyped up. Do something practical.

In Tang Huan's view, the design of the Hong Kong linked exchange rate system can be described as well-intentioned, but the value of the Hong Kong dollar still needs to be embodied by embracing the thigh of a powerful country's currency.

In order for the Hong Kong linked exchange rate system to function normally, Hong Kong must maintain a huge foreign exchange reserve. Although in theory, it is sufficient as long as the foreign exchange reserves are equivalent to the monetary base. However, in order to avoid potential risks and maintain the stability of the Hong Kong dollar, Hong Kong's foreign exchange reserves must be higher than theoretically. Value multiples.

This is one of the main reasons why Xiangjiang, a small place in the original time and space, often has foreign exchange reserves in the top ten in the world. The Hong Kong linked exchange rate system is not perfect and impeccable. Otherwise, Soros would not start from the inside during the Asian financial crisis, and toss it to the point of collapse.

But it is undeniable that ~www.wuxiaspot.com~Xiangjiang linked exchange rate system is indeed the most suitable solution at present.

Therefore, Tang Huan instructed Media Asia TV to do more programs to help the public interpret this monetary policy in order to stabilize people's hearts.

In addition, in order to enhance the spirit of Hong Kong people who have suffered heavy blows, the first Hong Kong International Marathon sponsored by HeungKong Telephone has begun to build momentum.

At the same time, the Disney World Record won by Zhuang Menghua has begun to operate in Greater China, with the branch located in Xiangjiang, and will focus on this sporting event.

Creating a Guinness record is not as difficult as imagined. The first key is to choose a measurable and suitable project.

The first Hong Kong International Marathon will not be held rigidly and solemnly. Athletes have professional goals, and enthusiasts also have the joy of participating in it.

The organizing committee is planning to apply for a project called "The World's Most Connected Marathon Runners". It has prepared a scale of 66 people. Because of its "united and assisted" meaning, it has received the most attention from the Xiangjiang media. (To be continued.) u