When Yang Chen said this, he really didn't blush or breath.

In the 1980s, in order to solve its own export deficit problem, the United States forced the yen to appreciate. The drastic changes in the exchange rate behind it caused book losses on assets composed of U.S. Treasury bonds.

In this case, Americans immediately poured a large amount of funds into the island country's market to avoid the risk losses caused by the exchange rate.

When U.S. capital moved, other international capital followed suit, and a large amount of international hot money poured in. The direct consequence was that the island country's stock market and real estate industry soared.

As we all know, the stock market and real estate are two industries that are second only to the profits generated from the sale of arms.

Since the stock market and real estate of the island country have received a large influx of international hot money, and the stock prices and housing prices have continued to rise day by day, the people of the island country naturally cannot just watch others come to their homes to make money for themselves.

As a result, the island country's own money no longer poured into the shrinking manufacturing industry, but all poured into real estate and the stock market, working together with international capital to increase the book value of the two industries.

The increase in book wealth has stimulated consumer desire, which has led to the continuous growth of consumer demand in island countries and further stimulated economic development.

However, this departure from normal economic development has resulted in the bubble blowing bigger and bigger.

Without physical manufacturing, the exports of island countries' enterprises are showing a downward trend, which is undoubtedly a devastating blow to the resource-poor manufacturing industry of island countries.

In the late 1980s, after the export of mid- and low-end manufacturing industries declined, the island country had no choice but to turn to the strategy of "building a country based on technology" and began to vigorously encourage scientific research and development in order to maintain its competitive advantage in the field of high-end manufacturing.

In the field of high-end manufacturing, the island countries of later generations are indeed not very powerful. However, if a country only relies on high-end manufacturing, it will not be able to become a powerful country, and it will not be conducive to its own economic development.

Without the middle and low-end basic industries, it is like a building. Although it looks towering, there are always certain risks due to the unstable foundation.

In the 21st century, why has the inland become increasingly prominent in the international arena?

It’s not that the inland high-end manufacturing industry is so impressive, it’s mainly the mid- to low-end industries that have brought great influence to China’s manufacturing industry going global.

Once the inland market is closed in the future, most countries in the world will be affected. This impact is from top to bottom and involves all aspects. It is not a simple economic impact like a car missing that part or a mobile phone missing that chip.

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The mid-to-low-end industrial chain is the closest and most closely related to the lives of ordinary people, while the high-end industrial chain, to be honest, even if it has a certain impact, it will not affect the normal life of the people at the bottom.

If it cannot affect the normal lives of the people at the bottom, it will be difficult to have a big influence and make other countries make compromises.

Take South Korea in later generations as an example. South Korea likes to use historical issues to trouble the island countries. In order to beat South Korea, the island countries often restrict the export of high-tech products to South Korea.

And this kind of restriction has never really made South Korea succumb, because high-tech products cannot really affect the normal lives of the Korean people.

Without the autonomy of the military and the basic manufacturing industry, the island country is missing two arms and two legs. In the end, all that is left is a body that can sustain life and brain operation.

Why do people in later generations always say that island countries are just a piece of meat, a piece of fat on the lips of the United States? Whenever the United States is greedy and needs it, it will take a bite.

This is because the economic influence of island countries on the world is not as great as imagined. High-tech products are sometimes not as important as food.

After the United States de-industrialized in later generations, it heavily subsidized its own agriculture and animal husbandry every year to maintain the interests of farmers and herdsmen.

The reason is very simple, because as long as people live, they need to eat, and they cannot do without food.

People cannot live without food, just like industry cannot live without oil.

Therefore, every time the United States imposed sanctions on other countries in later generations, it first imposed restrictions on petrodollars, and then blocked food imports.

The impact of rising food prices is that prices will rise accordingly, and people will not have enough to eat, and social unrest will occur.

This is why island countries are resource-poor countries and need to import everything. Most of their land is not used for other more profitable things, but to vigorously support agriculture and encourage people to grow food.

However, it is a pity that the island country is too small in land area and has a large population. No matter how hard it tries, it is impossible to be truly self-sufficient in food.

Under various conditions, the island country does not have an advantage in all aspects, especially now that even the United States, the supreme emperor, is trying to take advantage of it, the island country has no capital to compete with other military and economic powers.

In the following Five-Nation Square Agreement, not only the United States will carve up the cake of the island countries, but also several other European countries, as well as the world's capital forces that are moved by the news, will participate.

It can be said that throughout the 1980s, the wealth brought by the island nation’s economic miracle was almost divided up by the capital forces of the entire world.

Time is running out, and there is not much time left for Yang Chen to prepare.

The reason why he wants to contact the major plutocratic forces in the island country is to occupy the most advantageous position as quickly as possible.

After sending Li Guowei away, Yang Chen found Yuan Tianfan again.

Li Guowei is in charge of real estate in the island country, and someone also needs to be in charge of the stock market.

According to later statistics, after the Plaza Accord and the appreciation of the Japanese currency, the island nation.

Its stock market rises by 30% every year, while the real estate industry averages only 15%.

Of course, this is an average, and not all stocks and real estate are up only 30% or 15%.

Some industries whose stock prices have soared, such as retail stocks, automobile stocks, entertainment and media stocks, etc., will inevitably have a rising tide as the people of the island nation continue to consume aggressively.

In order to further make money from the island country, Yang Chen is already preparing to list his Chengzi Technology on the Tokyo Securities Bank of the island country at the end of the year.

In this way, once the stock price of the island country rises, the stock price of the United States will also rise accordingly. If he wants to get rid of it, he will be able to obtain greater benefits.

At the same time, you can also make a lot of money in the exchange rate.

There is another thing that Yang Chen never dares to forget, and that is the global stock market crash in 1987, a historical moment known as "Black Monday" in the world.

The most serious economic crisis since World War II broke out in the United States, the stock market crashed, and the entire U.S. stock market plummeted.

All his investments in the United States had to be evacuated before 1987. By being optimistic about the economy of the island country, he diverted funds from the United States and invested in the island country's stock market and real estate industry.

During the global stock market crash in 1987, the island country suffered some initial effects. After the stock market fell, it immediately resumed its rise. This surge did not really fall from the top until the end of 1989, when the bubble economy was burst.

The middle period lasted for two years. When the U.S. stock market had almost fallen, it was possible to withdraw from the island country and buy the U.S. stock market at the bottom.

Come and go again, it is not too sour and refreshing.
Chapter completed!