Rebirth: My 80s

Li Jiankun's question stunned everyone in the audience.

It is obvious that as a Nobel Prize winner in economics and the world's most famous master of international price theory and monetary theory, the topic to be discussed today is exactly the field he is good at. Friedman is undoubtedly the most important guest.

How can the event start if he’s not here?

However, what Li Jiankun said was "why should I wait for him" instead of "we", which seems to be impeccable.

Friedman is certainly quite influential and has a great background.

But how could the world's richest man be any weaker than him?

He is the richest man in the world. You can tell with your butt that he is busy with all kinds of things and makes money by the second. Why would he waste time waiting for Friedman?

Is Friedman qualified enough to make him wait?

"Comrade Jiankun, please be patient."

A gentle voice came from the left side of the first row: "You are one of us. We are the hosts. He is a guest from afar. We should not let others accuse us of not knowing how to entertain guests."

Li Jiankun looked in the direction of the voice with a look of respect on his face.

Li Jiankun, listen.

After waiting patiently for a few minutes.

There was a noise at the hall door.

Friedman showed up on time.

Then he walked onto the stage amid welcome applause.

Before sitting down, Friedman looked at Li Jiankun next to him and extended his hand.

Li Jiankun stood up and shook hands with him.

Friedman had an expression of formidable youth on his face.

However, Li Jiankun did not intend to treat him as an elder or a senior in the economic field. To put it bluntly, today's exchange meeting was an academic discussion.

It has nothing to do with anything else. As the old saying goes: The wisest can be the teacher.

The exchange meeting officially started.

An economic researcher from the capital, acting as the host, first gave feedback on a series of current situations and problems that emerged after the pilot price reform.

As the data were revealed one by one, most people at the scene showed deep worry on their faces.

Wait until the host finishes speaking.

Friedman, who looked calm, smiled and said, "Don't worry, this is expected. I agree with a saying that is popular in your country - any reform will be accompanied by pain."

The words fell.

The voice of translation came from the speakers hanging on the ceiling of the hall.

"So Mr. Friedman thinks these are just labor pains?"

Friedman looked off to the side, confused.

Li Jiankun speaks Chinese.

The people from the working group waiting by the wall and the door were also confused, as they had definite information telling them that Li Jiankun's English was very good.

Who would have thought that he would insist on speaking Chinese.

This was something that was not planned. Fortunately, the person in charge of the working group reacted quickly enough. He said on the intercom, "Li Jiankun's contact person is Xiao Dong, right? Hurry up and enter the venue and go on stage to translate."

Whether it is Li Jiankun or Friedman’s contact.

They are all carefully selected by the city after comprehensive consideration of all aspects.

Among them, having studied and lived abroad is a rigid standard.

beep, beep...

There was an extra chair behind Li Jiankun, and the faint scent of Chanel No. 5 wafted in the air.

After Xiao Dong translated his words.

Friedman frowned slightly and said, "Do you have a different opinion on this?"

"I think that if we continue with the current approach, it will not be a short-term pain, but a long-term and deep pain, which will lead to a series of bad chain reactions."

Hey!

What does it mean to never stop until your words shock people?

When Li Jiankun said this, everyone in the audience was shocked.

No one had ever said anything like this before.

Everyone agreed with Friedman's suggestions and used his words as theoretical basis.

This statement is tantamount to completely rejecting Friedman.

And it directly points to the results that everyone is most worried about and most unacceptable.

"You are alarmist."

Friedman's face was not very good. He said, "Excuse me, have you ever done any research on macroeconomics?"

"Mr. Friedman, Mr. Li studied economics in college."

Xiao Dong took the initiative to explain.

Friedman glanced at her and said, "You didn't understand my question. Anyone who has done macroeconomic research should know that your country's current situation is very similar to West Germany in 1948 and Bolivia in 1986.

“Although Jeffrey Sachs had not yet introduced shock therapy to economics in 1948.

“But both regions actually adopted shock therapy, and after a brief period of pain, their economies began to improve and even soar.

"The world can see the current economic situation of West Germany, which is the richest in Europe.

"West Germany and you have something in common. We both suffered greatly from the war. The situation in West Germany after World War II was perhaps even worse than yours. However, in just ten years after price controls were fully lifted, by the 1960s, West Germany's infrastructure had become very sound."

Friedman paused, stared at Li Jiankun and said:

"Look at East Germany, it's still poor and backward."

Before Li Jiankun could react, many people around him and in the audience nodded subconsciously.

Friedman is talking about historical facts that have already happened.

As we all know, East Germany took the socialist path.

West Germany followed the capitalist path and carried out economic reforms in 1948.

There is also a story like a story here:

On June 19, 1948, Erhard, the person in charge of West Germany's economic policy, secretly ran into the radio station and announced to the people of West Germany: All price constraints in the country will be abolished, allowing the people to freely set prices and trade.

Lucius Clay, the Allied commander in charge of the overall situation at the time, was shocked when he heard the news. He quickly found Erhard and asked, "I heard that you relaxed the price controls in this country?"

Erhard responded: "I did not relax price controls in this country. I abolished price controls in this country."

Clay said: "All my economic aides tell me you are doing it wrong!"

Erhard responded: "All my economic assistants told me it was wrong. But I did it anyway, so what?"

The people of West Germany all thought that Erhard's speech was approved by the Allies, and if he went back on his word, the Allies' prestige would be lost.

There was nothing I could do but let Ehad do it.

The day after the radio speech, West Germany completely lifted price controls.

Soon, the goods that had not appeared in the window for more than ten years appeared.

People stopped hoarding supplies and started trading with each other.

The factory also resumed production and started supplying goods.

When merchants from other European countries saw that West Germany had no price controls, they also shipped their goods to West Germany for sale.

In order to seize the West German market, factories were also opened in West Germany.

In this way, West Germany's market economy got off the ground.

Shock therapy again... Li Jiankun really wanted to take Friedman and everyone present to take a tour of the future.

In later times, shock therapy is bullshit!

Russia must have been hit hard, with its GDP cut in half and the little wealth left by the Soviet Union almost squandered.

After the collapse of the Soviet Union, the newly born countries all faced macroeconomic problems such as hyperinflation and heavy burdens on state-owned enterprises. In addition, they had completely lost confidence in the planned economy and were in urgent need of new remedies.

At this time, Sachs, an American economist who successfully saved Bolivia with shock therapy, came to Eastern Europe excitedly to sell his slightly improved new prescription.

One side is terminally ill.

There are medicines and success stories.

It hits it off.

Bang!

Does it resemble the situation right now?

Li Jiankun said calmly: "Forgive me for being so presumptuous, Mr. Friedman, but you are a bit overrated."

Hey!

“You…” Friedman’s face flushed instantly, and he couldn’t utter a complete sentence for a while.

The whole audience was stunned.

After a while, many bigwigs in the front row frowned.

Li Jiankun's mentality is this:

Regardless of whether he did it intentionally or unintentionally, do we need to be polite to someone who wants to harm us?

Besides, he was the one who acted presumptuously first.

Since Li Jiankun dared to criticize him, in such an occasion, he naturally had to criticize him until he was convinced. Otherwise, he would have a hard time reporting to the bigwigs in the audience, who would accuse him of disrespecting his guests.

“Since you mentioned West Germany, let’s talk about West Germany.

“One thing is as you said: the most successful case of price deregulation was West Germany after World War II.

"But you only see West Germany's success... I don't know if you have analyzed it, and you obviously didn't mention why West Germany was successful."

Friedman said angrily: "West Germany's success lies in its determination to reform its economy earlier and faster than Britain and France!"

Li Jiankun glanced at him and said, "That's why I say you are just a name for nothing."

"..."

Friedman was so angry that he almost walked away, but he was unwilling to be slandered by this brat. He glared at Li Jiankun, waiting for his opinion.

"You have not seen through the essence of the successful economic reforms in West Germany."

Li Jiankun said slowly: "The premise for West Germany to fully relax its price controls and succeed all at once was not in itself, but in the outside world."

“Let me ask you, who is behind Sid?”

Friedman's expression changed slightly, but he still replied subconsciously: "The United States."

"To be precise, it is the coalition led by the United States."

Li Jiankun added: "This force was the most powerful force in the world at that time. It was this force that endorsed West Germany and created the decisive factor for the overwhelming success of West Germany's economic reforms.

“Mark’s credit.

"People all over the world were not worried that the mark would become worthless, nor were they worried that they could not exchange the marks for mainstream currencies such as the US dollar at the time..."

Friedman's eyes widened.

“As far as West Germany is concerned, precisely because the mark could be exchanged for goods at any time, after the price controls were lifted, after the initial panic buying of supplies, people were able to calm down quickly and stop hoarding goods.

“At this point, the role of price guidance comes into play.

"As a result, their economic reforms have been extremely successful."

Li Jiankun paused, looked at Friedman, and asked word by word: "Who will endorse the RMB?"

Friedman's forehead was covered with sweat.

Li Jiankun suddenly snorted coldly: "Reform proposals that do not take into account a country's national conditions are all hooliganism!"

Friedman clutched the sofa support with both hands and nearly slipped to the floor.

There was an uproar.