Chapter 1536: Chapter 44, Crossroads_2
In this context, the Dwarf Kingdom has a surplus every year, but the overall surplus is not high; it’s basically balanced trade.
Now the situation has changed, the original continental cyclical economic model has beco an alliance internal circulation mode.
Unfortunately, the allies’ productivity is limited, making it easy for them to bring money to the Dwarf Kingdom to buy buy buy, but making them export goods to balance trade deficits, that’s difficult.
Demon Core and Magic Nucleus are strategic resources and cannot be exported in large quantities. What’s left to sell are food and minerals, resulting in the Dwarf Kingdom accumulating a pile of ores.
The most troubleso aspect of bulk commodity trading is transportation.
The originally high-profit transactions consu profits during transportation, leading to a sharp decline in profits.
It’s okay to earn a little less, but trying to offset the procurent of high-premium weapons with raw ores requires a considerable amount.
During bartering, all races also have to fork out a large amount of cash to cover the price difference.
According to the initial plan, after the Dwarf Kingdom received money, it would use this revenue for procurent among different races, ultimately achieving trade balance.
Unfortunately, the plan was perfect, but reality is extrely harsh.
The Dwarf Kingdom has long been accustod to using products from the human world, and suddenly having to switch, even finding substitutes is difficult.
Specifically, the prices are high, and the quality is poor.
In the face of their allies at first, everyone endured, but over ti, no one can stand it.
Against this backdrop, smuggling trade quickly erged and spread rapidly.
Even though the top of the Dwarf Kingdom issued repeated orders to crack down on smuggling trade, it only restricted weapon exports; the influx of human goods couldn’t be stopped.
Ultimately, the industrial chain beca:
The gold coin of the Alien Coalition — entering the Dwarf Kingdom through trade — smuggled out to the Human Race.
…
“What is the anti-smuggling team doing, don’t tell you don’t know what’s going on with human goods everywhere on the streets!”
The Dwarf King angrily lashed out.
It seems to be just smuggling, but it’s actually an economic warfare without smoke and flas.
Although there’s no precedent in the Continent of Aslante for collapsing a country through economic warfare, subconsciously, the Dwarf King feels: such an economic model is detrintal to them.
As a Dwarf King excelling in comrce, his sharp economic intuition is much stronger than the average person.
“Your Majesty, we’ve done our best!
Smuggling is all civilian behavior, the Kingdom’s border with the Human Race is too long, making it very challenging to completely ban it.
Many of these areas are unsuitable for military activities, yet beca hotspots for smuggling.
The governnt has organized crackdowns multiple tis, but due to inadequate confidentiality work, it yielded minimal results!”
Pri Minister Aaron answers tactfully.
It’s truly not that they are not trying hard; the issue is that those engaged in smuggling are the Kingdom’s power brokers.
Under the feudal system, the Central Governnt’s control over local areas is very limited.
Not selling weapons was everyone’s consideration for the bigger picture.
Just buying so drinks, fabrics, spices, sugar from the Human Race isn’t fundantally a problem.
With influential nobles involved in smuggling, banning smuggling trade becos re paper.
Aside from not paying taxes to the Kingdom Governnt, trading locations being remote, everything else is little different from regular trade.
“Damn parasites!
Don’t they know that doing this each year causes millions, or even tens of millions of gold coins to flow out of the Kingdom?
These funds, which should have been used to purchase materials from allies, flowing out in large quantities over ti is sure to induce uncontrollable economic risks!”
Facing the Dwarf King’s outburst, Pri Minister Aaron calmly responds:
“Your Majesty, smuggling trade not only flourishes in the Kingdom, but the allies’ situation is not much better.
The trade embargo against the Human Race is nominal now, with only us and the elves seriously enforcing it.
Regarding the issue of funds outflow, there’s no need to worry on behalf of the allies.
If they’re short on money, they can open mines, and if they can’t cover the deficits, they can tighten their belts.
They have experience and can manage!”
Backwardness also has its benefits.
Talking about economic crisis, currency crisis in the era of the tribe seems too far-fetched.
If it weren’t for the Dwarf Kingdom’s high dependence on foreign trade, worrying about these issues is unnecessary.
Getting this unexpected answer, the Dwarf King was directly speechless. At length, turns out he’s the only one worrying.
The allies don’t have a crisis consciousness; his concern is purely futile.
If the situation truly gets out of control, then war will be unleashed.
Many of the wars on the Continent of Aslante stemd from internal conflict intensification, initiated to deflect contradictions.
There’s nothing that can’t be solved with a fight!
Win the war, survive the winter on war spoils; lose, and there’s no need to endure the winter.
“How’s the contact going with the Earth Core races, we cannot miss out on this new market!”
Feeling awkward, the Dwarf King imdiately shifts the topic.
“Rest assured, Your Majesty!
Once they’ve used the Kingdom’s products, none will speak poorly of it; and those Earth Core races are no exception.
Nearby Earth Core races have already been contacted. These guys are wealthier than our allies, and from the start of trading have brought us considerable profits.
Beyond money, many mineral resources in the Earth Core World are invaluable.
Recently, the Mithril we’ve traded is higher than the Kingdom’s annual output in the past.
Various gems, crystals, are also yielding great returns.
The mineral resources of the Earth Core World are overwhelmingly abundant!”
Reviews
All reviews (0)