Amidst the turbulent disturbances, 1850 passed quietly. The seemingly ordinary year had a very profound impact on Austria.

A large amount of foreign capital poured into Austria, driving the development of the domestic economy, and various factories emerged like mushrooms after a rain.

The most intuitive impact of economic growth is the increase in government fiscal revenue. Although many industries have given preferential treatment for tax reduction and exemption, the government has also obtained a large amount of tax revenue in the upstream and downstream links.

The industrial and commercial tax revenue in 1850 increased by 8% compared with 1849, which was only more than four million gulfs. It seemed that this number was not big, but Franz was very satisfied.

This is just the beginning, and when the tax exemption period ends, it is the outbreak of tax growth.

The benefits brought by industrial and commercial development are obviously not just like this, and the supporting industrial chain of enterprises will also develop accordingly.

This is reflected in industries such as raw material production, product sales, transportation, catering and entertainment, and can be seen financially.

In 1850, Austria's economy grew by 18.7%, and the government's fiscal and tax revenue increased by 9.4%.

This number is not high. After any country opens its market, it will usher in rapid economic growth, with examples of thirty or forty percent soaring.

However, in Europe at the same time, Austria's economic development speed was considered to be the best.

There is no doubt that the dividends brought by economic growth have been directly invested in the military and have not been able to continue to be invested in reproduction.

Of course, Franz dared not to invest in reproduction. If it weren't for the communication and transportation restrictions in this era, Austria's hot economic growth rate would have been faster.

It does not mean that fast economic growth is necessarily a good thing. For a country, the most important thing is sustainable development. The economy will soar in the short term, and if the market does not keep up, overcapacity will inevitably be avoided.

Overcapacity means that a large number of goods cannot be sold and will be ruined in the warehouse. Rich and powerful companies can also reduce their production capacity and transform, while weak companies will naturally have the only way to go bankrupt.

Enterprises went bankrupt, unemployed people increased, and market purchasing power continued to decline. After feedback, capitalists had to continue to cut production capacity, layoffs, a vicious cycle began, and an economic crisis broke out.

To a certain extent, this arms race has also extended the rapid growth of Austria's economy. The army itself is a consumer group, and expanding the military is also expanding the consumer market.

The fastest-growing railway in Austria is now the railway. Construction started in 1849, and now as many as hundreds of sections have begun construction.

The annual mileage of the railway is 265 kilometers. Don’t misunderstand that this is not built now, but a railway that started construction in a few years happened to be completed in 1850.

The railway that started construction in 1849 is still not visible to Mao. This is different from a highway. Highway construction can be built and a section of road surface is poured, while railways are different. Unless a section of road is completed, even if the tracks are laid, they will not dare to run a train?

However, by 1852, it was estimated that some sections of roads in the plains would be opened to traffic. Only the railway company itself knew about this question.

The Austrian government will not interfere with this small problem. These private railway operations are all self-profit and have nothing to do with the government.

In order to encourage everyone to build railways, the Austrian government has also announced a tax exemption policy. Starting from the establishment of railway projects, no railway operation tax will be levied in the next ten years.

If you want to make money, just build the road in advance and operate it. If you delay the construction period, it means you can't get along with your wallet.

Taking advantage of the hot railway environment, the Austrian government packaged a large number of railway lines to private railway companies, and the demolition fees could be paid by the government. The prerequisite is that after obtaining the railway construction rights, construction must be started within one year and must be opened to traffic within ten years.

As far as Franz knows, so far, the Austrian government has coaxed and deceived, and the total mileage of railway routes sold has exceeded 40,000 kilometers.

God knows how many unfinished projects will be left in the end, but the government will not lose anyway. Even if it takes over the unfinished projects later, it will be cheaper than building them from scratch, right?

Railway companies also know these problems, but the hot market will deceive people's eyes, and Austria's economic growth has also deceived many people.

Coupled with the fuel from financial consortiums, it has further fueled investors' ambitions. Many speculators think that they will sell their stocks when they reach the highest point and then make a big profit.

If you want to raise the stock price, you naturally have to make a beautiful report. If a railway company only has a few hundred kilometers of railways, no matter how you brag about it, it will not attract many people.

If there are thousands of kilometers or even tens of thousands of kilometers of railways, then there is no need to brag about it. Someone will give you a blueprint for development.

Making money by railways is only one aspect. After controlling the railway network in some regions, even if you invest in other industries, you can use the transportation network in your hands to squeeze your peers to death. A conceptual business empire emerged.

In the hottest era of European railways, four or five railways operated by different companies may appear between the two cities, and market competition may be conducted directly.

The Austrian government is quite conscientious, at least it has not authorized the same section to different railway companies, which has given many people the opportunity.

Is there any more profitable transaction in the world than "monopolism"? Even if a railway line with low economic value is formed, it will be a big profit once a market monopoly is formed!

Franz will not admit that he is using everyone's mind to fool capitalists into investing in railways. Monopoly management can be used, which avoids the waste of resources caused by market competition. As long as it does not affect the development of the domestic economy, Franz doesn't mind the emergence of monopoly enterprises.

If the domestic economic development is affected due to the high freight costs, the person who sets the rules can also modify the rules, such as: Price Bureau, the railway state-owned...

The Austrian government will never tell investors about these discordant topics, otherwise why did the British consortium be fooled?

Americans have done things, and Franz doesn't mind imitating it once. No matter so much, I'll fool you first and then talk about it. When the railway is completed, it has no use value, then you can consider turning against each other.

In Franz's view, the maximum profit of public facilities projects carried out in Hong Kong in his previous life should not exceed 15%, which is a good policy.

If the Austrian government copied it, the people would have very supportive, right? As for railway companies, 15% of the profits can also make them live a very comfortable life.

I don’t know when investors can recover the construction costs. Anyway, the investors in the front have made money, and the buyers in the back have always been unlucky.

The development of railways naturally stimulated the steel industry, and steel companies expanded their production capacity one after another, preparing to get a share of the pie in the next feast.

In order to effectively integrate resources and enhance corporate competitiveness, the Austrian Ministry of Industry ordered the merger of seven state-owned steel enterprises into the Austrian Steel Group in 1850.

The first giant steel company in Austria that produces 1.20,000 tons of raw steel annually and 184,000 tons of iron was born. After artistic processing, it means that the annual output of 200,000 tons of steel was born. In this way, the world's No.1 Steel Group was born.

Whether it is the world's number one steel group is still to be verified, but it is an indisputable fact that it is the largest steel company in Austria. Half of the steel production capacity of the entire Austrian Empire lies in this group.

In this era, countries with steel production exceeding 100,000 tons in the world only had single digits, and those with steel production exceeding one million tons were the British.

If everyone hadn't stayed at this level, Austrian media wouldn't dare to brag about this awesomeness. In general, the journalists of this era are still morally honest.

After the merger, these steel mills began to divide the labor, and based on the geographical locations of each region, they fully utilize their own resource advantages to integrate production capacity.

Simply put, based on the quality of iron ore, all those suitable for steelmaking will be used to make steel. Those suitable for ironmaking will be used to make iron. Don’t engage in a mixed production model.

The most core thing is to bring together the core technologies of several companies and use them to industrial production by taking advantage of their strengths. At the same time, a smelting technology research and development department was established to promote technological innovation.

According to the plan, the production capacity of the Austrian Steel Group will be increased to 240,000 tons in 1851, to 20,000 tons in 1852, and to exceed 450,000 tons in 185...

These plans are not random, they are made entirely based on market needs. How can we grab orders without expanding production capacity?

The construction of Austria's railway network is a big piece of fat, so there is no related company that doesn't want to take a bite.

According to the calculation that 60 kilograms of steel is used for one meter of railway, 60,000 kilograms of steel is required to consume one kilometer. In other words, the Austrian railway network plan alone requires more than 2 million tons of steel.

With such a good opportunity, if steel companies do not expand their production capacity, they will be in their minds.

In order to support steel companies, the Austrian government has decided not to draw profits from the newly formed group in the next five years, and has also invested one million rupiah to be used for technological innovation.

Not only steel companies, but many related industries are desperately expanding their production capacity, Franz is also making a fortune in silence.

Don’t look at the inconspicuous small things like sand and gravel. In fact, anyone who has done projects knows that the profits of these inconspicuous things are not low at all.

It is initially estimated that every kilometer of railway will consume more than 100,000 tons of sand and gravel aggregate alone, and the thick layer of gravel on it requires an astronomical number.

When any commodity is large, the profit will increase. These inconspicuous small things are actually no less profit than steel mills that produce rails.

But most of the time, it is scattered among countless retail investors, and it seems inconspicuous. Franz just used the foresight to make arrangements in advance and conduct monopoly operations.

Of course, he would not admit the monopoly business. If you don’t believe it, you can check the contract between the railway company and the Austrian mining group, which can prove that the monopoly business does exist.

But no one in-depth person will say it, and the media will not report it.

External explanation: Austrian Mining Group is just an agent, and these mines are distributed in the names of dozens of companies. In order to avoid vicious competition, everyone united to establish a group to negotiate with the railway company.

Yes, this is the truth. In order to avoid being suppressed by the railway company, everyone united. Without looking at the final transaction price, is it almost the same as the market price?

If it is a monopoly operation, the price will definitely increase. Since there is no significant increase in price, it is not a monopoly operation.

What is making money while lying down? In 1850, Franz finally felt it. In this inconspicuous small business, he made an annual profit of 1.23 million rupiah.

This is just the beginning. With the advancement of railway construction, he can make money while lying down for a long time in the future.
Chapter completed!