Chapter 63: Industrial Chain
ady bowed deeply to her chest.Yang Lin immediately understood the other person's thoughts and comforted, "It's alright, the matter between me and your father is over. Besides, your father also receive...Yang Lin nodded. "You're right, I've calculated the data in detail. If it's just like this, we'll only break even, a waste of effort."
But, didn't you forget about the house fund I told you about
"Are you saying... interest"
Li Yuchun is intelligent and perceptive, seeing through things quickly.
"That's right, interest is the most important source of income for real estate projects!"
As for these simple folk, Yang Lin's heart wasn't feeling too good about using such a scheme.
But there's no way around it, rooted here, wanting to get started, you have to firmly plant your feet.
The housing project in Kaoshantun Village is crucial, as it marks the beginning of this large-scale industry and serves as an experiment.
The unique environment means that even though I feel reluctant, I can only use my "fellow villagers" to pay homage as I take the first step into the real estate market!
Every time he shouts "fellow countrymen," he thinks of those e-commerce livestreamers from his past life, who energetically shouted "family" in their live streams.
Facing these impoverished people, using these tactics, Yang Lin himself felt uncomfortable. But wanting to develop, wanting to move forward, within the bounds of his own principles, he had no choice but to act as a ruthless businessman in Dayan!
"But, you only charge one point of interest, that's not very high, is it"
Li Yuxiang still couldn't quite understand.
Nowadays, in the great empire of Dagan, there are no regulations limiting loan interest rates.
In folk lending, interest rates of two or three points are common, and those of five or six points are also not uncommon.
Otherwise, how could those villagers who borrowed money fail to repay their debts and be forced to sell their land
So Li Yuyao didn't understand, Yang Lin's house-building fund only charged one point of interest, how much profit could it possibly make
Yang Lin shook his head and said, "My wife, one point of profit may seem small, but have you ever thought about what it would be like in ten, twenty, or thirty years"
Li Yuxiang silently calculated for a moment, and was immediately taken aback!
Before, Yang Lin didn't calculate the details when he was talking to the villagers. He just heard that the final result was about forty wen per month for the mortgage, which made him feel that the number wasn't much.
Upon closer inspection, he was shocked by the result!
Originally, the loan was three hundred and sixty wen. The interest over twenty years reached twice the principal, seven hundred and twenty wen!
This is not even the algorithm of interest compounding. The original three taels and six coins became ten taels of silver!
Li Yuxiang gasped in shock.
Built a house and made a net profit of seven taels of silver!
If the whole village builds over two hundred houses, they can earn more than 2,000 taels of silver!
"It's so dark!"
After a long pause, Li Yuy Yao finally uttered these two words.
Yang Lin nodded in agreement: "Yeah, it's really damn dark!"
"So, you came here because of guilt" Li Yunyao asked.
Yang Lin shook his head, saying bitterly: "This is only the beginning."
"Just the beginning"
Li Yuxi was surprised.
"If it's just about making some money from them, that's fine. After all, the price I offered them is indeed quite low, and they still make a decent amount of money working for me. Every month, whether it's forty wen or eighty wen for the mortgage… it's not much."
"Why is that" Li Yuyao didn't understand.
"The greatest meaning of building a house is to tie them all to my warship!" Yang Lin sighed deeply.
Li Yuxiang still doesn't understand.
Yet Yang Lin changed the subject and said, "It is truly despicable that landlords monopolize farmland and exploit the common people. But do you know who is even more hateful than a landlord"
Li Yuyao shook her head unconsciously.
"He is a capitalist!"
"Capitalist…" she had never heard the word.
Yang Lin, of course, knew she didn't understand. Because in Dayan, the capitalist system was only in its infancy. It wasn't much more than lending money at high interest rates.
The people of this era cannot, under any circumstances, imagine the horror of being controlled by capital!
"Capital, to put it simply, is money. Money is used to control everything!"
"How do you control it"
For example, everyone helps me with work, they make money and save money, and their lives get better and better.
One day, their lives really got better. It didn't matter if they kept working for me or not. So what are we going to do
Li Yuxiang thought for a moment: "Raise wages"
Yang Lin smiled and said: "The more wages increase, the better their lives will be. Under the condition that material needs are met, they lose the motivation to make money, so they still have no need to work hard."
He might be in a good mood and come to work for a while, but if he's in a bad mood, he won't come to work. He might even not care about me as his boss, because regardless of whether he leaves me or not, they will be fine.
"What should I do in this situation"
Li Yuyao shook her head in confusion.
Yang Lin's words she could understand, but just felt that there was some mystery hidden inside!
In this case, we can only create demand!
For example, let's say we are building a house.
"Does it really matter whether people live in thatched houses or brick houses"
But now I've created needs for them, things they couldn't possibly afford before, but now they can overspend their future!
"
Overdraft... the future
"
Li Yuxi read these words, and felt a chill run down her spine.
"When ten taels of silver are placed before you, you would feel it's a lot."
But over twenty years, with only forty cash per month, it wouldn't feel like much.
"So the biggest problem arises, now everyone can earn five cents every day, but what happens one day in the future when they can no longer earn it"
Li Yuyue was stunned, shaking her head unconsciously and repeating Yang Lin's words: "Yeah, what can we do"
She had a vague understanding of everything Yang Lin had told her, and felt as if she had opened the door to a brand new world!
They have overdrawn their future, so they have to work hard, they have to work, they have to sell their lives for me.
“And in this process, we continue to create demand, and they will forever only be swept up in it.”
"This, this is the capitalist!"
Li Yuxiang sat there, dazed.
She never expected the truth to be so cruel. It was as if she saw a knife that killed without blood!
"picable!"
After a long silence, Li Yuyao could only manage to utter these two words.
Recalling what Yang Lin had said, she even felt a chill run down her spine.
Yang Lin smiled and said, "But rest assured, I won't be a local bully, nor will I become a capitalist. At most...I'll just be a cunning businessman."
"This time, the price of our village's experiment is really low. As long as everyone works here, the money spent on building houses won't be a burden for them."
I feel guilty, I only pushed open this big door! Since the door is already open, I must be the one to control it, and not let ghosts or monsters come in.
This step has to be taken because only then can we drive the development of our entire industrial chain, moving forward in sync!
"What is the industrial chain"
Li Yuyao heard a new term again.
"Are you talking about bricks"
"Not only that! There are steel, cement, even glass and furniture... anything related to life can be included in this industrial chain in the future!"Lin's arm and coquettishly said, "Of course! Our whole family lives together, squashed on the ground all day. We've been married for days, but none of my sisters have given birth yet. If word gets out...