Chapter 468: Equal Communication Originates from Information Gap
Luo Jianmin still underestimated his nephew.
“Your piece of land is a bit wasted”
After everyone understood, Tang Hailin sighed: "Otherwise, we can make a lot of money by selling it after it is completed."
He doesn't know Luo Yang's plan yet.
This plan absorbed the cost of channel financing through internal resale and solved the problem of insufficient initial funds. The time span was as long as four to five years.
But you can’t say this to outsiders.
"Uncle Tang, you are right. If we seriously develop a project on this land, it won't be a problem to make 100 million or 200 million."
Luo Yang smiled and said, "But my concept is similar to that of my father-in-law. I would rather work harder and earn money more slowly. I still hope to focus on physical manufacturing, so as to increase wealth for society and stimulate employment."
"You know what? I admire your father-in-law for this."
Tang Hailin agreed: "With his strength, it would have been easy for him to establish a monopoly industry in the local area, but he chose to go the route of new energy manufacturing. Five or six years ago, many people didn't understand it, but now it seems that we have to praise him for his foresight."
"Although the real estate industry contributes a lot to GDP and tax revenue, and even drives the development of hundreds of upstream and downstream industrial chains, it is not very helpful for industrial upgrading except in steel and construction machinery manufacturing."
Luo Yang sighed: "At least so far, most of our country's production in the global economic industry chain is still at the bottom, only a few have broken through to the middle, and a very small number are at the forefront."
"There is nothing we can do about it. From software to semiconductors, from the automotive industry to the aerospace industry, from precision instruments to fine chemicals, we are indeed lagging behind."
Speaking of this, Luo Jianmin can also chime in.
“So that’s one of the reasons why you’re going with physical manufacturing?”
Tang Hailin immediately looked at Luo Yang with new eyes: "I didn't expect that you are so young, but you still have some feelings."
"I was also greatly influenced by my father-in-law. He told me more than once that, apart from sentimentality, the choice was closely related to the general direction of national development."
It's a bit scary when you say it completely from your own mouth.
So Luo Yang began to put a hat on Jiang Yuanshan.
He further explained: "Since the beginning of the 20th century, the government has been emphasizing supply-side reform, hoping to start from factors such as labor, land, capital, institutional creation, and innovation, adjust the economic structure, achieve optimal allocation of factors, and improve the quality and quantity of economic growth."
“Indeed, this is something that is often mentioned during city meetings.”
Tang Hailin became more talkative as he talked about this: "Although the higher authorities have repeatedly stressed this, when it comes to implementation at the grassroots level, there are always various practical problems that hinder deepening and adjustment. It's still better in our southern coastal areas, but inland areas, capital and innovation alone have blocked the path of reform."
The reason for this feeling is that he will take a step forward in the next one or two years.
Although he cannot be considered as the person in charge of a region, he can be considered as one of the leaders guiding the development of the local economy, so I am quite interested in the topic of Luo Yang.
“Yes, capital and innovation.”
When Tang Hailin mentioned this, Luo Yang couldn't help but sigh.
"In the manufacturing sector, many bottleneck technologies are in the hands of Westerners. If you want to innovate, you need policies and capital. But with such a large country and so many companies, it's difficult to unify ideas and make up your mind to innovate and break through technical difficulties."
Luo Yang smacked his lips and said, "Just like the photovoltaic industry crisis this time, once the policies of Europe and the United States changed, the domestic industry became difficult to move forward."
Speaking of this matter, Tang Hailin also has a say.
Because there is more than one photovoltaic enterprise in Yang City, Jiang Yuanshan, not counting other small-scale supply chain companies, Guodian Photovoltaic has also made large investments. Also, due to changes in policy trends in Europe and the United States, the company is struggling.
"Yeah, it's really too passive."
Tang Hailin said with deep feeling: "Your father-in-law originally planned to expand production capacity in three phases, but now he has only built the first phase. Even so, the production line is basically stagnant. If you hadn't helped him digest the land for the second and third phases, I don't know how long it would have been put on hold."
"Uncle Tang, a blessing in disguise?"
Luo Yang smiled and said, "When we are stuck and feel pain in our hearts, the people in this industry will be determined to innovate. Just wait and see, the corresponding national support policies will soon come out one after another."
This is just the beginning for the photovoltaic industry.
In the years to come, the most typical example is the chip industry. If Trump had not come to power in the United States and tried his best to block the domestic chip industry, how could the domestic chip industry have been united from top to bottom to start research and development and develop its own entire industrial chain?
The idea that it is better to buy than to make is reflected in many companies.
In fact, the smartest one is Microsoft. They don't impose any sanctions and even provide you with a one-generation outdated operating system for free, so that the domestic market can spend time to master this technology.
So what if you have mastered it thoroughly? Once you have mastered it thoroughly, you will be bound to this technological path. As the first mover, they will always have a more advanced generation of technology than you. And because of the technological route and sunk cost issues, it will be difficult for you to turn around!
“Your point of view is worth pondering!”
By this point in the conversation, Tang Hailin had become very interested.
"Let's go one!"
This time he took the initiative to raise his glass, signaling Luo Yang, Luo Jianmin and others to drink one.
There is a sense of satisfaction in the process of revealing everything.
"In fact, it is not only about supply-side reform, but also about the three pillars of demand-side reform."
Tang Hailin was in a good mood, and so was Luo Yang.
He talked about investment, consumption and exports. Investment has been excessive in recent years. As for consumption, the per capita GDP is there. The scale of domestic demand in our country has not improved so far. As for exports, "
When he said this, Luo Yang paused.
"Although our exports are getting better and better every year, our reliance on foreign trade is getting heavier. In the past two years, it has accounted for more than 70% of our economic growth. We are so dependent on foreign trade that we will be hurt if there is any disturbance outside."
Since it was just a casual chat after dinner, Luo Yang did not shy away from the topic: "Especially in 08, the spreading crisis hit foreign trade hard. Otherwise, we would not have come up with a 4 trillion yuan investment plan and a policy of bringing home appliances to the countryside."
"yes."
As a municipal committee member, Tang Hailin is not weak in terms of information.
He nodded in agreement and said, "It is for this reason that after 08, the country has been trying to find ways to reduce the proportion of foreign trade in driving economic growth. In addition to enhancing the ability to resist risks, there is also a reason to further deepen reforms."
In another two or three years, the country's overall strategy began to undergo major adjustments, and reforms began to enter deep waters.
But the starting point is in these few years.
For example, the policy to support new energy will be issued in 2012.
Another example is the road of industrial upgrading that will be taken next.
Up to now after dinner, the topic of conversation is still mostly just gossiping.
The strategic direction and policy orientation at the national level, the deep-seated reasons leading to these policies, the internal connections, and the external influences are not something that Luo Yang and Luo Jianmin can explain clearly and thoroughly.
Even Tang Hailin is far behind.
The content of their chats is still on the surface, but they see a little deeper than most people.
With the existence of Luo Yang's BUG, some viewpoints were explained using the method of reverse cause and effect, making the previous chat content more audible.
After another round of drinking.
"Director Tang, there are a lot of rumors out there now, saying that you will be in charge of urban construction in a year or two."
Luo Jianmin is in the construction department. If Tang Hailin is promoted to be in charge of urban construction, he will be the boss of his boss's boss.
Now that we have the opportunity to sit together and drink, we naturally want to leave more impressions.
"probably!"
Tang Hailin was in a good mood, and because of Luo Yang, there was no mystery.
“It’s a lot of trouble”
His words could be regarded as the echo of a reply, or as a soliloquy: "Before the previous executives left, the fiscal surplus was almost used up. The city is now very large, and money is needed in all aspects, including urban construction. I am really worried that the debt will skyrocket during my term!"
The expenditure on urban construction is indeed huge.
Does it cost a lot to build roads and bridges?
Is it expensive to renovate municipal stormwater and sewage pipes and build urban parks?
Does it cost a lot to change the appearance of the city?
Is it expensive to extend water supply and gas pipelines to rural areas in the village-to-village project and new rural construction project?
The money comes from local fiscal revenue, what to do if it is not enough?
You can only borrow money!
After hearing what Tang Hailin said, Luo Yang suddenly had an idea.
"Uncle Tang, our city hasn't established a city investment company yet, right?"
"City Investment Company?"
Tang Hailin was stunned for a moment: "What do you mean?"
“A way to reduce government debt.”
Luo Yang is familiar with this: "The urban investment companies I am referring to here cover a wide range, not only real estate development, but also transportation and municipal administration."
"Tell me more."
We discussed the abstract before, but now we are going to talk about the concrete.
"In fact, it means stripping off some of the functions of the current bureaus, leaving only administrative guidance and approval, and re-establishing a local state-owned investment company in the production and construction sector."
Luo Yang explained according to his memory: "In the future, urban construction projects will be handed over to enterprises. Enterprises will raise debts, build by themselves, and retain assets. Of course, enterprises are also allowed to operate on their own, expand their business scope, and increase business volume."
"You mean to replace government debt with corporate debt?"
Tang Hailin immediately grasped the key point of Luo Yang's words and tasted a little meaning. "Where is the start-up capital?"
There are still some key links in the middle that I haven’t figured out.
Tang Hailin asked: "If we still need to use government fiscal revenue as a guarantee, it doesn't make much sense."
"This is not difficult. Let me give you an example."
Luo Yang casually mentioned: "For example, the transportation system. I believe that local people know that there are quite a few stations, warehouses, and maintenance sites in the city. Apart from other things, the land alone is worth a lot of money, right?"
Huh?
Tang Hailin's eyes lit up.
"I know that. There are three old train stations in the city that are not in use or rented out, and they occupy a large area!"
Dong Dawei also interjected at this time to help Luo Yang's evidence.
"That's true"
Tang Hailin tapped the table with his fingers: "At present, the construction land in the urban area can still be sold for more than 2 million yuan per mu. If the transportation system sets up such an urban investment enterprise, with such a start-up capital, it should be able to operate smoothly."
“Just looking at the land, this is not actually the best choice.”
When he said this, the smile on Luo Yang's face became more confident.
He first passed cigarettes around, and then continued speaking when everyone had lit their cigarettes and their eyes were focused on his face.
"The main focus of the municipal investment company is real estate."
Luo Yang made a comprehensive analysis: "According to the cycle theory (actually the policy regulation cycle at the national level), the good market of real estate will only last for one or two years. After that, it will start to spread from the first- and second-tier cities and affect the third-, fourth- and fifth-tier cities in about 14 or 15."
He was very sure about what he said because it was what happened.
"During the good market conditions in the past one or two years, we used this opportunity to coordinate internal affairs and facilitate the establishment of the municipal investment company."
Luo Yang explained: "When the market is at a low point, the city investment company will consciously reserve land in the east of the city. The benefits of this are obvious. When housing prices are low, the difficulty and cost of demolition and land acquisition can be lower."
“Reserve clean land during the trough period, and then auction the land at a high price when the next cycle begins.”
Tang Hailin, who was originally the head of the land department, understood immediately: "The initial cost is covered by the municipal investment company by borrowing money, and the land is pocketed at a compromise price. The land transfer fee is turned over to the local finance. At the same time, this batch of land can be mortgaged to the bank to raise funds, and the cycle repeats. When the market picks up, the land is auctioned at a high price, and the profit becomes the income of the municipal investment company, supporting its investment in other aspects of urban construction."
For professionals, one click is enough.
Luo Yang continued to give advice: "We can also do some things during this period. When the land is almost acquired, the People's Hospital in the city is already crowded, so we can consider moving it to the east. Uncle Tang doesn't think the classes in the current primary and secondary schools in the city are too bloated. There are more than 40 classes in one grade, so we can split some of them to the east."
Having said this, not to mention Tang Hailin and Luo Jianmin, even Dong Dahai, Luo Jianguo and Gu Honglan understood.
There is a blank area in the east and the land is originally worthless. Once the hospitals, schools and other supporting facilities are moved there, the land there will appreciate sharply!
And incidentally, the benefits of the education, medical and other systems were also sold, after all, the city's education and medical resources were increased.
The most important thing is that the funding and development issues of the municipal investment company suddenly had a direction.
There is no need for Luo Yang to say anything more about the rest.
In fact, it doesn’t matter whether he says anything about the idea of relocating the hospital and school or not.
Once the city decides to set up a municipal investment company, someone will definitely come up with this idea, it’s just a matter of sooner or later.
The second half of the dinner was very enjoyable.
If Tang Hailin didn't have to help Luo Yang go to Jiang Yuanshan's house to propose marriage tomorrow morning, he would definitely get drunk.
Even so, dinner started at a little after six and didn't end until nearly nine.
After watching Tang Hailin's car disappear from sight, Luo Jianguo and Luo Jianmin withdrew their gazes at the same time and looked at Luo Yang in unison.
"We have to get engaged before the New Year. I know you're busy, but I want to have a good chat with you during the Spring Festival!"
Luo Jianmin patted his nephew on the shoulder and said, "Now it's my turn to ask you for advice. This is unbelievable!"
"Uncle San, it's not surprising. I take one or two hours every day to read the news in newspapers and on mainstream websites."
Luo Yang said modestly: "Look more, think more, accumulate knowledge over a long period of time, and you can do it too!"
“Oh, I haven’t tried that.”
After listening to Luo Yang's words, Luo Jianmin seemed to be thinking about something.
Although newspapers are delivered to the offices of leaders at a certain level every day, most of them are local media publications.
It would be good to have an extra copy of Reference News and Xinhua Daily.
And even if you subscribe to the newspaper, you can still spend one or two hours reading it every day.
Except for specific units such as the Propaganda Department, it is possible that they are approaching retirement.
Not to mention sticking to reading news on mainstream websites.
"Second brother, sister-in-law, I'm going back first."
Before leaving, Luo Jianmin said hello to Luo Jianguo and Gu Honglan: "Don't worry, I will be at the door of the Jiang family at 8:58 tomorrow morning!"
After he finished speaking, he glanced at Dong Dawei and said, "There are a lot of things to send for the engagement, so the car must be outside the community in advance and meet up with us before we go in together."
Dong Dawei immediately patted his chest and promised to arrive before 8:30.
There was nothing more to say next, so everyone went back home.
Luo Yang followed his parents back to their old house in the countryside to spend the night.
After arriving home, Luo Jianguo took his son to the yard on the pretext of smoking a cigarette.
"Dad, is something wrong?"
Luo Yang could tell at a glance that Luo Jianguo had something to say.
"Yangyang, let me ask you something!"
The alternating light and dark of the cigarette butts silhouetted Luo Jianguo's face, but the light was too dim to see his expression.
"Do you still have any contact with the girl from the Liang family?"
"Dad, why do you ask this?"
"I just want to ask if you still have any contact."
Luo Jianguo insisted: "You are about to get engaged to Jiang Fan, if you are still involved with that side, it is best to break it off!"
"Dad, Miss Liang and I only have a work relationship. Even if we have feelings for each other, it's not to the point of making it public."
Luo Yang answered confidently: "Besides, she has gone abroad now. I haven't been in touch with her for nearly a year and a half. There is no need to worry about this."
"That's good!"
Luo Jianguo breathed a sigh of relief when he heard his son's firm reply.
"Xiao Jiang didn't give up on you when you were in the most difficult time. You can't let her down."
Luo Jianguo was worried and lied to his son: "It's okay to tell me about other people besides Xiao Liang. If your mother finds out, she will be skinned alive!"
He is not Gu Honglan. He has been working on projects outside for many years and knows how money can hurt a young girl.
Luo Yang is young, rich, handsome, and still studying at university.
If you say there are no girls who like you, even if you kill me, Luo Jianguo would never believe it!
"Don't you understand me yet?"
The older the person, the wiser it is. He almost gave someone away.
"Jiang Fan often came to school to play with me, and she bought a house in Songjiang. I spent most of my weekends with her."
Luo Yang took out Jiang Fan as evidence and said, "Besides, I have so many businesses on hand now that I am too busy to think about anything else."
Luo Jianguo's attention was diverted at once.
"Son, tell me the truth, how much property do you have now?"
On the eve of Luo Yang's engagement, Luo Jianguo finally asked this question.
“Are you asking about the number of companies or the assets?”
"Tell me everything."
Luo Jianguo laughed and scolded, "You little bastard, you're still keeping me in suspense."
"Now I have 15 companies in which I have full control, absolute control or investment."
Luo Yang took two puffs of cigarette and said slowly, "If we calculate personal assets, the exact figure is not clear, but it should not be a problem to exceed 10 billion!"
More than 10 billion!
One, ten, hundred, thousand, ten thousand, one hundred thousand, one million, ten million, hundred million, and ten billion.
hiss.
Luo Jianguo: “.”
(End of this chapter)