Chapter 2390 "The Magician's Apprentice" (Part 2)

Three years after Palm Church's innovation began, 400,000 copper coins were deposited in the Bank of Stockholm, Sweden. Soon the bankers came up with another innovation and they felt it was a good time to start making loans.

Stockholm banks began to lend funds to some companies to finance inventories of tar, salt and sugar. For the nobility, banks began to guarantee various forms of mortgaged loans. Land was the most common collateral, but some

Extraordinary loans appeared, such as a woman borrowing 2,700 copper coins using a silver candlestick, or a nobleman borrowing a sum of money on the guarantee of his or her reputation.

For a period of time this system worked well. The nobles enjoyed cheap credit and their lives were more comfortable before the loans. Businessmen were able to borrow funds to invest in the future. When business prospered, they could no longer rely on freedom.

Instead of saving to expand the business, it relies on the savings of others through Stockholm Bank to achieve the purpose of expansion.

But in fact there was not as much money, or copper coins, in the bank as people thought, but Palm Church could continue to print notes, and holders could redeem Swedish dollars according to their wishes.

If people in the Song Dynasty of China saw this, they would definitely know what the problem was, but no one in Europe thought it was inappropriate at that time. Swedish banknotes in the 1660s were very popular, and even Palm Church printed banknotes at a speed that

All seemed to lag behind, and banknotes were soon being traded in Amsterdam, London, Paris and Venice.

Since Swedish banknotes did not need to be backed by copper holdings, the bank quickly expanded lending and opened many branches. This situation continued until 1663, when a depositor informed the bank that he wanted to withdraw 10,000 Swedish dollars, and at this time there was only 10,000 Swedish dollars in the bank vault.

4000 Swedish rounds.

As rumors such as "the bank cannot repay depositors on time", "is about to collapse", and "the bank is hiding some facts" began to spread, the bank further lost its credibility, and Stockholm Bank's bills began to trade at a discount, which made people want to get their money back.

Money, the bank's nightmare - a run happened, and suddenly the paper money was not worth as much as before, and people had to spend more paper money to buy back the same amount of herring and lumber as before. The government became increasingly worried about this and ordered

Palm Church called in the loan so the bank could pay depositors.

This is not an easy task. The Swedish Prime Minister was the first to object, because he or the Swedish royal family, and the government is the bank's largest borrower. After some debate, the Congress decided not to dissolve the bank temporarily and recover some of the loans. This did not

The positive effect was that businesses accustomed to borrowing money to stay afloat were unable to obtain loans, and a severe economic recession ensued.

When Doerr borrowed money from everywhere and caused the stock price of the Bank of New York to skyrocket, several members of the Livingston family hoped that the stock price would fall. To achieve this goal, they began to withdraw large amounts of gold and silver from the deposits of the Bank of New York. This amount was enough to achieve an impact.

Reserves were in place. At this time, the Bank of New York did not dare to over-issue bank bonds. In short, they began to collect loans. In other words, they started a round of credit contraction, and the interest rate soared to 1% per day.

This was a devastating blow to Doerr and the people who lent money to him. To make matters worse, an audit found that the account of the financial department in charge of Doerr was missing $238,000. Hamilton once asked Doerr to clean up his own mess, but now he had no choice but to

Ordered the Treasury Department to prosecute Duer for the money.

Doerr wanted to borrow money to fill the hole, but those who a few weeks ago were eager to throw money at him now would not lend him even a penny. Eventually the stock bubble burst, and Doerr's bankruptcy was contagious to New York.

Others, they fell one by one like dominoes. This time the speculators' losses totaled $5 million, equivalent to the total value of New York real estate.

New York is surrounded by sea water. In the early days, New York residents drew water from wells, some dug by private individuals and some by the government. However, by the end of the 18th century, these wells were polluted by waste and increasing urban sewage, and the rich

People could afford drinking water brought in from outside the city by water vendors, but others had to resign themselves to their fate as typhoid fever and cholera became increasingly rampant.

New York City government officials soon realized that if the water problem could not be effectively solved, the further development of New York would be severely restricted. So in 1796, Dr. Joseph Brown suggested that the city committee apply to the state Assembly to establish a water company. Brown happened to

The brother-in-law of Aaron Burr of the New York State Hospital, he wanted to establish a bank over which he would have control or at least influence.

But Burr's troubled finances prevented him from obtaining a banking charter from Hamilton, so he came up with the idea of ​​using the water company's charter to actually allow the company to open a bank.

This clause was deeply hidden. In short, the shrewd Hamilton was deceived. Burr quickly set up a bank, but the running water was completely missing. Finally, after all kinds of troubles, a simple water supply system was established, which passed about 25 miles.

Wooden pipes supply water to thousands of households, and are coated with thick tar inside and out to prevent corrosion.

It was never clean and sanitary, and of course the company never really focused on water services. In 1800, Aaron Burr ran for president, but he did not hold a party to raise election funds like Henry Shaw, but

It was a loan from the water company, and that year he became vice president.

The current capital of the United States is Washington, but Jefferson supported New York as the capital. Hamilton and Jefferson once had a dispute over the location of the capital. In fact, before the founding of the United States, New York was very prosperous, and then there was Philadelphia.

Many commercial centers, these two cities have served as the capital of the United States, and even Philadelphia has a mint. It was precisely because Jefferson agreed to move the capital from New York to Virginia that Jefferson agreed to support Hamilton in establishing the United States National Bank.

In 1790, Washington was still an uninhabited area, so it was easy to plan. The planner of Washington at that time was the French Pierre L'Enfant. The initial planning was free, but in 1792, it was once the new capital.

Engineers who mapped the boundary revised L'Enfant's plan, and soon Washington fired L'Enfant and used Ellicott's plan for the new capital as a blueprint.

L'Enfant was a member of the Freemasons, and their "club" was at the Holland Inn. At that time, sacred geometry was used when designing key buildings such as the Congress and the White House, which meant that the entire Washington was a giant magic rune. He believed that this

This city can be protected.

However, the final design was the Kabbalah Tree of Life. The angry Pierre decided to ask Congress to pay for the labor, but Congress did not pay L'Enfant a penny.

The capitals of many countries will eventually become very prosperous. Paris, for example, has been renovated countless times and is completely different from the original Paris.

Hundreds of years later, Washington has not changed. Many scholars have analyzed many reasons, but it may be the simplest one, just not wanting to destroy the magic circle in the early stages of construction planning.

"Oh, how is this possible?" Bollivan shouted.

"Don't be so ignorant," Francis said to him, and the others laughed again.

Georgiana shook her head, then asked, "Is Aaron Burr's water company listed in Europe?"

"No, but don't worry, we have an 'old friend' who has opened a shipping business in New York." The Nantes banker said, pretending to be mysterious.

"Gabriel Houvral?" Perrier asked.

He looked at the young man with dissatisfaction, as if he thought he was interrupting his pretext.
Chapter completed!