Chapter 87 (Seeking further reading) Issuing Currency
A few days later, supplies from the Fourth Legion arrived, and the fleet carried a gift from the Emperor to Perturabo - Leonardo da Vinci's manuscript.
In fact, the emperor didn't know about this at all. The manuscript was in Malcador's collection and was taken over by Said as a tool to stabilize Perturabo.
Pi Laosi was a super inventor and a civil servant when he was young. He aspired to be like Leonardo da Vinci and use his invention and construction talents to benefit mankind instead of war.
Therefore, he did not want to fight in his heart, and felt that as a pacifist, fighting for the Emperor was a kind of self-sacrifice, and all humans, including the Emperor, should be grateful to him.
But he accepted the emperor's appointment without any argument. As a military commander, the Great Crusade was his duty, and it was natural for him to perform his duties.
If he fails to receive honor or gratitude, the ruffian boss will feel resentful, but rationally he will not bother to express it, lest others think he is trying to gain fame and pretend to be indifferent.
This led to the Fourth Legion to masochistically attack well-defended targets regardless of casualties, or kill them for various reasons to gain the gratitude of others.
Said was full of contempt for this kind of person and had no confidence in his loyalty. He could only stabilize him first to reduce the possibility of betrayal.
It's just some honors, so it doesn't matter if it's given. It happened that the Imperial Truth Party ran a newspaper, and through puppet communication, it was distributed uniformly throughout the empire.
The newspaper editor was Lorgar's Word Bearer, promoting loyalty to the Emperor and the Truth Party's ideas by reporting on the heroic deeds during the Great Crusade.
A civil contractor wants to be famous over Doan, the state civil engineer, and Said fulfills his wish.
After stabilizing the stubborn Pi Laosi, Said turned his attention to the planetary rebellion. He mobilized the puppets and prince factions in the world under his direct control to conduct in-depth investigation.
Soon, he discovered a shocking phenomenon: the collection of the imperial tithe was appallingly inefficient!
Since the empire does not have a unified currency, collection mainly relies on physical taxes. Before collecting taxes, the Ministry of Interior sends people to the planet to count the output of all materials, and then calculates one-tenth as tax.
However, there are at least tens of billions of humans on a planet, there are often thousands of industries, and there are hundreds of millions of products. Statistics work often lasts for decades or hundreds of years.
Later, during transportation, due to storage and transportation restrictions, or the impact of subspace storms, a large amount of losses will occur, and often only half or 30% reach Terra.
These are only natural disasters, not counting the various man-made disasters caused by corruption and waste.
In order to collect taxes in full, tax collectors often levy far more than the prescribed amount. What's even worse is that if the transport ship disappears due to various accidents, the planet will have to pay again.
These are just regular taxes. When war breaks out in the sector, there are also various temporary additional taxes.
Therefore, the tithe tax may not seem to be much, but due to various conditions, the actual tax collected far exceeds the prescribed amount.
In the 30k era, with the strong suppression of the Primarch Legion, the problem was not serious. After the Horus Heresy, 90% of the Empire's wars were counter-insurgency.
Said found the emperor and told him the situation, but the emperor didn't take it seriously and said calmly:
"The problems you mentioned do exist, but the top priority right now is the Great Expedition. The tax reform will affect the whole system. If one operation is not done well, it will affect the efficiency of the expedition, and the gain will outweigh the losses."
Said wondered: "But if there is no reform and there are successive rebellions in the rear, will it still affect the efficiency of the expedition?"
The Emperor shook his head: "Which is the lesser of two evils. Although a rebellion has broken out now, the Primarch Legion can easily suppress it, and the efficiency of the expedition is quite satisfactory."
"If the rash tax reform affects the efficiency of the expedition, it will not be worthwhile! After all, the purpose of the expedition is not to rule these places, but to rule the Webway!"
Said was speechless. The Webway was the main contradiction, and ruling the galaxy would only be considered after the success of the Webway. It was a secondary contradiction and could be ignored for the time being.
As a result, Said gave up the idea of subverting the existing tax system and instead proposed a proposal: issuing a unified currency, turning physical taxes into monetary taxes, and improving tax collection efficiency.
The emperor was stunned, and after thinking for a moment, asked: "The empire is not very centralized, is it capable of unifying the currency?"
Said nodded: "Brother, the empire has the two major conditions for the creation of credit currency: military support and material wealth!"
"The empire's army is invincible, and it is enough to implement currency by force. As the expedition advances, the empire's territory is vast, the land is vast, and there are enough supplies!"
Said quoted the economic theory of the 2k era, which immediately brought back the emperor's memories and thought of the various benefits of currency, among which the one that attracted him the most was the collection of various materials.
Collecting materials is reflected in two aspects.
The first is taxation. The Ministry of Interior does not need to count physical output, but only needs to count GDP to determine the monetary amount collected, which will undoubtedly greatly reduce the workload and increase efficiency.
In name, the Emperor is the master of mankind and owns all the wealth of mankind. However, except for the tithe, the Ministry of the Interior cannot even think of taking one more coin from the planetary governor.
It may be possible to use the Inquisition, but it can only be done secretly a few times. If there are too many, the entire territory will be mutiny. After all, Terra's resources are only tithes from various places.
However, with currency, Terra can empty the pockets of the planetary governors and pool the country's resources on Terra without the need for a single soldier.
With the support of the imperial force and huge production capacity, the currency has credibility and can circulate. The rogue traders and merchant fleets told the planetary governor: As long as you have money, you can give whatever you want!
So the planetary governor will sell local specialties and exchange them for currency to buy goods. So, if the Terran authorities need resources, do they also need to sell specialties for currency?
Of course not! Because Terra can print her own money! It’s up to you how much Terra you print! As long as you turn on the money printing press, you can plunder all the resources of the empire!
Titan battleship Emperor's Baneblade Leman Russ buy buy buy! Terra will have access to all the resources of the empire, speeding up the efficiency of the expedition.
The emperor also thought of this. Looking at the gradually expanding territory, he couldn't help but breathe quickly and his hands trembled. After a while, he took a long breath and said a little hastily:
"This is a great suggestion. Call Malcador to discuss the matter. If it succeeds, Said, you will be a blessing to mankind."
Soon, Malcador came to the palace. The emperor described Said's suggestion. Malcador thought for a while and said:
"His Royal Highness the Prince's suggestions are valuable. In addition to collecting resources, they can also stabilize the local area and strengthen local governance. However, there are several difficulties that urgently need to be overcome."
The emperor said calmly: "Tell me and listen."
Malcador said: "First, the empire's subspace channels are unstable. How to coordinate the currency issuance of the entire empire."
"Second, due to the hatred of intelligence, the empire can only use paper money. The empire has a vast territory. It is still too inefficient for Terra to print money and then transport it to places."
"Third, how to prevent counterfeiting of banknotes? Regardless of whether they are alien or chaotic, they have the ability to create counterfeit banknotes and cause inflation."
Said smiled and said: "The first two questions are essentially the same question. My proposition is: Terra formulates macro monetary policy, and the Ministry of Interior calculates the planet's GDP and determines the amount of currency issuance."
"Sector trade relies on conventional power and is not affected by subspace. Each sector specifically establishes a currency world and prints currency according to sector GDP and Terra instructions."
"As for the third point... it is a technical issue. I believe that the Prime Minister will not stop eating because of choking."
Thanks to station b for the column Sociology of Empire~
The biggest golden finger of the empire's monetary policy is that the empire's production capacity is unlimited. Even a single sector has massive resources. With powerful force, it can meet the conditions for currency issuance!
But for some reason no one thought that maybe the Emperor's Great Crusade did not require this. Later generations of high lords checked each other and failed to make this decision, leading to the maintenance of inefficient economic operations.