1275. Chapter 1275 I have to pay a lot
"Joseph, when can we achieve a full ceasefire?"
"Mr. President, the date has been determined. A ceasefire with the European Community and New Asbania can be achieved on May 8, 1945 Berlin time. As for a ceasefire with Japan, it will be necessary to achieve it after sufficient communication between Germany and Japan."
"May 8th...Today is May 1st, and there is still one week."
"It's true that there is still one week, but Hitler guarantees that the European Union ground forces will not launch attacks outside the Avalon Peninsula and Labrador, nor will they launch attacks on the United States. The reason why he proposed to use May 8 as the ceasefire date is that he hopes to have sufficient communication with the Japanese side to achieve a ceasefire around the world."
"Oh, so that's it."
Truman was using the hotline to communicate with Vice President Kennedy and breathed a sigh of relief. The Germans' attitude was still gentle, and the ceasefire was finally finalized.
"So has the amount of compensation changed?" When Truman asked this question, his heartbeat began to accelerate.
"1000 billion European Mark." Kennedy replied in a very stingy tone, "Hitler hopes to get 1000 billion, of which 75 billion are paid in gold and silver, and the rest are collected, and the materials can be paid in installments."
"1000 billion...it's still too much!" Truman shook his head, feeling a little regretful. When Roosevelt was still there, he couldn't even use 500 billion. Now it's doubled, and it's really a loss.
"There should be room for bargaining... But for us, the 1000 billion European Mark is not impossible to produce."
The 100 billion European mark is equivalent to the current US$400 billion (the US dollar is definitely bearish), which is almost equal to the US GDP for two years.
It seems to be a lot, but in addition to $30 billion in gold, silver and some oil, agricultural products and livestock, most of the compensation (about $360 billion) can be divided into 15-20 years of repayment. On average, it is $18 billion per year (according to the 1944 currency value), which is not a lot.
In addition, the raw materials such as grain, livestock, cotton, crude steel, coal, petroleum products and non-ferrous metals requested by the Germans are not difficult for the United States to raise. The United States is a chosen country, with the most extensive and fertile agricultural land in the world, and the coal mines with the largest reserves and extremely low mining costs in the world. As long as the US economy can maintain normal and healthy operation, it is no problem to pay the compensation in 20 years.
However, it is not easy to maintain the normal operation of the US economy after the war. Even the political stability in the US after the war will face severe challenges.
"Joseph," Truman sighed when he thought of this, "Edward (referring to the Secretary of State) could have arrived in Rome yesterday. The talks with German Foreign Minister Ribbentrop are now underway... I think it's time for us to find an opportunity to contact the leaders of the Republican Party."
Of course, there are open and formal channels for peace talks between the United States and Germany. Secretary of State Edward Stettinius has now led the team to Rome and will formally start negotiations with a diplomatic delegation led by German Foreign Minister Ribbentrop.
However, both Truman and Kennedy knew that the real opponent of this peace negotiation was not in Germany, but in the United States!
After finishing the call with Truman, Vice President Kennedy immediately left the interim vice president's residence located in the Chicago Museum of Art building and went to the interim Congressional residence in the nearby Chicago Art Institute library to meet Republican leader Taft.
The meeting was in the office of the Taft Councillor. Apart from Kennedy and Taft, only the vice president's office director Nelson Rockefeller.
In a room filled with the smell of books and coffee, the three began a meeting that might determine the future fate of America.
Kennedy smiled wryly and said to the Republican leader: "Senator, now the Secretary of State has met the German Foreign Minister, and the ceasefire agreement can be reached soon. But real peace negotiations may be very difficult... The Germans will definitely raise the asking price, and compensation of 300 to 400 billion US dollars is inevitable."
Taft shook his head: "It's so damn, I'll pay so much money... I just said that this war is not enough, but that stubborn Roosevelt couldn't listen."
"Isn't that true," Nelson Rockefeller echoed, "Mr. Vice President and I both oppose war... Now those who support war either die or step down, but ask us anti-war people to clean up the mess. It's really hateful."
"Nelson, tell me," Taft looked at Nelson Rockefeller, "Who should pay for this money?"
Nelson Rockefeller breathed a sigh of relief and smiled bitterly: "No one can afford that much money except the Federal Reserve."
The meaning of this is to print money! Whether it is 300 billion or 400 billion, it is definitely not enough to rely on tax collection. There is no hope of issuing Treasury bonds. The only way is to directly lend it to the government by the Federal Reserve... It is to print the US dollar to dilute the deposits and wages of all American people.
This is not what Nelson himself means, but what Wall Street is the whole meaning.
"How much will the dollar fall?" Taft asked.
"In ideal situations," Rockefeller said, "the purchasing power will drop by 50%.
"So much?" Taft was stunned. It was obvious that the depreciation of the US dollar exceeded his imagination.
"Yes," Rockefeller said, "because we will pay a lot of raw materials to Europe in the next 20 years, the consumption of raw materials in China must be compressed. Americans may need to save some money, and there will be a difficult period first."
This conclusion was made by Wall Street and is not necessarily beneficial to the American economy after the defeat. In Wall Street's view, the American economy will enter a period of economic contraction and inflation coexist after the war, and the people's lives will be more difficult.
"So how to maintain the domestic economy?" Taft asked. "If the US dollar depreciates and wages cannot rise simultaneously, consumption will probably shrink very much, right?"
"Export," Rockefeller replied, "The Roman Empire would be a very broad market and the best place for American capital."
Rockefeller proposed the method to export industrialization to the Roman Empire. On the one hand, it can find new, secure, and high-profit markets for American capital; on the other hand, it can also fight against the German-dominated United States of Europe by supporting the Roman Empire.
"In addition," Rockefeller said, "China, Australia and New Zealand will also be important markets for U.S. goods and capital."
"Australia and New Zealand?" Taft was a little puzzled. "Isn't that a colony of the British Empire?"
"That's not necessarily," Kennedy shook his head and smiled. "There are hundreds of thousands of American and British troops there, and there are also a large number of weapons and equipment. If, I mean, if King George VI and his government leave Canada for Australia, and General MacArthur and his army are unwilling to admit defeat... what can the Germans do?"
Germany can launch a huge expedition, but it must be assisted by Japan.
But why did Japan help Germany conquer Australia and New Zealand? That would only allow Germany to deploy heavy troops in the backyard of the Japanese Empire, which would be harmful to the Japanese Empire without any benefit.
"Australia and New Zealand will become the Polo republic of our United States!" Kennedy said. "If the Germans cannot agree with Japan on Australia and New Zealand, then they can only let it go. And we can use Australia and New Zealand to break through the restrictions of the peace treaty."
The way to use Australia and New Zealand to get rid of post-war treaty restrictions was Roosevelt's confidant, who was now sick and waiting to die at home, to Truman and Kennedy.
In Hopkins's view, once Canada falls into the hands of Germany, the United States will easily be seen to death. Many things are inconvenient to do in the local area, and they can only go to Australia and New Zealand, which are beyond the reach of Germany.
To this end, the United States should try to persuade King George VI of England to lead the government to take refuge in Australia, and at the same time strengthen the strength of Australia and New Zealand as much as possible before signing the peace treaty. After the war, it should also increase investment in Australia and New Zealand within its capacity. If possible, build a strong Australian-New Zealand Federation.
"I thoughtfully thoughtful," Taft nodded, "so...when can we solve this trouble (referring to peace negotiations)?"
"It should be possible to solve this year," Kennedy said. "Next year will be the midterm elections, and many things are inconvenient to operate, so it's better to solve them this year."
Although the Democratic Party has been defeated, Truman and most Democratic Party bosses still hope to save it, so they are now formulating national salvation strategies.
There are two specific methods: one is to cut the mess quickly to solve the peace talks, minimize the harm to the Democratic Party, and also win opportunities for the Democratic Party to adjust its policies; the other is to return to the southern seven states iron vote area, hold up the banner of white supremacy, and save the votes of white people in the southern first.
"Okay, OK, that's it." Taft nodded repeatedly, "The Republican demands are also very simple. As long as we pass a few resolutions to abolish unreasonable new policy bills, we will support the peace agreement you reached with the Germans.
In addition, our two parties can cooperate in the midterm elections in 1946 to deal with two American political disruptors, the Fascist Party and the Bolshevik Party!
Chapter completed!