Blood Gem (12)
Volume 4: Peace and Development · Chapter 82
Intellectuals like Zhao Tianlin who could fully understand He Rui's thoughts were a minority among the attendees. Because he knew his own journey very well, Zhao Tianlin didn't have high expectations for changing intellectuals. It wasn't because of the intellectuals' intelligence, but because the gap in knowledge structure between the two sides was too large.
Therefore, Zhao Tianlin watched with interest as Chen Duxiu asked He Rui questions. If an intellectual like Chen Duxiu could understand He Rui's answer, it meant that old intellectuals could also enter the new era while getting rid of the influence of the 'Confucius Shop.'
Chen Duxiu didn't know what Zhao Tianlin, the minister in charge of science, education, culture, and health, was thinking. He Rui's answer made Chen Duxiu feel inexplicably familiar. If it weren't for He Rui's excessive achievements, Chen Duxiu would even feel that He Rui's answer had quite the flavor of a Manchu Qing dignitary.
Unlike the Manchu Qing dignitaries, He Rui was an intellectual, an insider of the intellectuals' circle. Chen Duxiu pondered for a moment and asked readily, "Mr. He, does the government believe that China can quickly move from the small peasant era to the era of socialized mass production?"
"Let's break down this question." He Rui never avoided serious academic questions. Facing Chen Duxiu's question, He Rui answered frankly, "China has practiced small peasant economy for two thousand years, so it can naturally realize a small peasant economy. What needs to be determined now is whether China has the ability to realize socialized mass production. The prerequisite for realizing socialized mass production is whether Chinese society has the need. In the judgment of our Civilization Party, the Chinese people need a better material life, which stems from biological instinct. China has an internal demand in this regard. As for whether China can industrialize and realize socialized mass production... In a civilized country like China, due to the very high degree of civilization, the people master advanced production methods very quickly. There is endogenous demand, learning ability, and very strong learning ability. The conclusion our Civilization Party reached is that China can complete socialized mass production."
Chen Duxiu thought highly of himself. Hearing He Rui answer frankly, he immediately asked, "Mr. He, how to do it specifically?"
How to make China realize industrialization was not only Chen Duxiu's concern. Chinese intellectuals, whether respecting Confucianism or opposing Confucianism, all hoped that China would become a powerful industrial country. After Chen Duxiu finished asking, there was a burst of sighs and the sound of moving chairs in the crowd, and then it became quiet.
Before He Rui could speak, Li Dazhao asked a question, "Mr. He, I thought you raised a different view on smashing the Confucius Shop just now to clarify the source. At this moment, I have a feeling: could it be that Mr. He preaches materialism and uses 'Haoran Zhengqi' as an example because you think there is no need to discuss respecting or opposing Confucianism at all?"
Hearing this, Zhao Tianlin couldn't help nodding slightly. Li Dazhao's view was the view of a truly understanding person. Zhao Tianlin chose to become He Rui's comrade back then. The biggest gain in these years was that unswervingly building an industrialized China was the only program. Defeating Japan had nothing to do with what the Northeast Government said; the only thing relevant was what it did.
Propaganda itself was part of the work in the industrialized China policy. As long as it was not propaganda, saying anything was meaningless.
Obviously, Li Dazhao had touched this level. The Civilization Party had no views on Confucianism. If they had to say something, it was just one sentence: 'Whoever blocks China's industrial construction is finished.' A colder description would be two words: 'No discussion'!
He Rui appreciated Li Dazhao's sharpness, but there was no need to answer at this time, so he said, "Mr. Shouchang is right."
Then He Rui continued to answer Chen Duxiu's question, "How to industrialize? The government's current policy is divided into two parts. The first part is state investment in transportation, education, national defense, and industries meeting these construction needs, bringing into play the advantages of the people of China, a highly civilized country, and allowing the people to master higher productivity levels. The second part is to guide the small peasant economy into a small commodity economy so that the products produced by the people can be sold faster. Prompting the Chinese people to use more advanced productivity to obtain benefits. If the people just farm at home, that is a small peasant economy. If the people start mills, logistics transportation, and commerce at home, this begins to enter the stage of small commodity economy. If farmers leave home and enter cities to work, China's socialized mass production capacity begins to develop rapidly with the inflow of manpower and materials. Finally, when everyone's production is for exchange, and the income obtained through exchange is exchanged again to purchase required means of production and means of subsistence, production is socialized."
In Chen Duxiu's view, He Rui and the Manchu Qing dignitaries did the same thing; they both proposed their own concepts. But He Rui's concept was obviously much smarter than the Manchu Qing dignitaries. If it were Manchu Qing dignitaries, the core content back and forth would be just one: 'Guard the Great Qing's country, protect the ancestors' foundation.' He Rui's concept had nothing to do with He Rui himself. He Rui's concept was only one: 'How to build an industrialized China, how to establish a China with socialized mass production.'
Although He Rui's previous actions had proved that He Rui had always been doing this, after personally talking with He Rui, Chen Duxiu confirmed that the policy concepts of He Rui and the Civilization Party were consistent throughout. There was no change because of seizing power over the entire China.
So Chen Duxiu asked, "Mr. He, how much time do you think this will take?"
"None of us are fortune tellers who can predict with certainty. regarding the future, we have a clear direction and a clear purpose. So I suggest you gentlemen might as well read the government work report when you have time. Now the government is implementing the Five-Year Plan. For each year in the Five-Year Plan, an annual plan will also be proposed, and there will be a work summary at the end of each year. At the end of each Five-Year Plan, there will also be a summary report, and the content of the next Five-Year Plan will be announced."
Hearing these, the intellectuals finally had a real interest in the Five-Year Plan. Seeing that the time was about right, He Rui prepared to leave. There was another very important meeting today, which was listening to the Ministry of Industry report on the 'Bicycle Production Plan.' This plan was very important. If the Ministry of Industry could really fully understand it, the model of China's large enterprises in the future could be determined.
Huang Yanpei, who was invited to preside over this meeting, asked, "Mr. He, moving the capital has a considerable impact on the academic circle. I would like to discuss this matter with Mr. He again."
"Just discuss it with Minister Zhao; I've been relatively busy recently," He Rui replied.
Huang Yanpei also knew that He Rui was indeed very busy. Previously, the Northeast Government went to war with Japan, shaking the whole country. Although folk sentiment was high and everyone expressed support for the Northeast Government, privately everyone was worried, thinking Japan had a high chance of winning.
This time, the war between China and Britain did not arouse such intense folk sentiment. But in Huang Yanpei's view, the people's hearts were not as tolerant as when the Northeast Government fought Japan. At that time, as long as the Northeast Government was not defeated, the people felt it was completely acceptable. But fighting Britain this time, the people wouldn't consider that Britain was the world's number one power, so China's chance of winning wasn't big.
No... precisely because Britain was the world's number one power, this time they must win!
Huang Yanpei had a high evaluation of the new government. Thinking of this war, he felt that the new government must be exhausting its wisdom to face this war. So seeing He Rui not mentioning the war at all in this meeting, as if there was no such war at all, he couldn't help admiring He Rui's bearing in his heart.
Just as Huang Yanpei was about to announce that He Rui would leave first, an old gentleman stood up. Among the crowd, this old gentleman was the only one wearing a queue. He said in quite fluent French, "Mr. He, I have a question. I wonder why you enacted the Queue Tax and Foot-binding Tax. Is doing so too narrow-minded?"
He Rui knew this person; he was the Republic's genius Gu Hongming. Gu Hongming was from Nanyang, born in Penang, Malaysia. His father was a genuine Chinese, but his mother was a Westerner. Under such an educational environment and the influence of his parents, he learned multiple languages very early, including English, Chinese, Malay, and Portuguese.
His talent was also appreciated by his father's boss at that time, who began teaching him to read Western classic masterpieces written by Shakespeare, Bacon, and others from a young age.
Later in his youth, recommended by the boss, he was sent to study in Germany, and returned to Britain to be admitted to the University of Edinburgh to study literature. Later he went to Germany to study philosophy and literature, obtaining a total of 13 doctoral degrees, mastering 9 languages, and began translating the Analects, the Doctrine of the Mean, and the Great Learning very early.
During this period, he constantly published articles in foreign newspapers and periodicals, promoting Chinese national studies and mocking Western culture. In such a short time, obtaining so many doctoral degrees and having the daring to occupy a place for Chinese literature in Western newspapers.
Gu Hongming was full of confidence in traditional Chinese culture. It was precisely because of him that Westerners had a brand-new understanding of Chinese culture. It could be said that he was the ambassador of Chinese culture at that time. However, he particularly liked those feudal dross such as the bad habit of women binding their feet, and even specially married a Chinese girl with bound feet as his wife for this reason.
Hearing Gu Hongming ask in French, He Rui also replied in French, "Mr. Gu, since you have noticed the Queue Tax and Foot-binding Tax, you should know that these two taxes have sunset clauses. Starting from 1924 and ending in 1944. These two taxes will be abolished. And at this stage, these two taxes haven't really collected much money."
"Precisely because of this, I think the magnanimity of the new government is not big enough." Gu Hongming continued to reply in French.
He Rui was not unhappy; he just continued to answer in French, "This matter involves China's industrialization; I will not discuss it."
Among the intellectuals present, only a very small part could understand what He Rui and Gu Hongming were saying. Although others didn't understand, they also recognized He Rui's learning a bit more in their hearts.
Gu Hongming actually appreciated He Rui's 'no discussion' attitude towards Confucianism. Since the Queue Tax and Foot-binding Tax were pure national laws and laws with sunset clauses, Gu Hongming didn't say much more about it.
Having probed He Rui's foreign language ability, Gu Hongming continued to ask in Chinese, "Mr. He, this time China went to war with Britain without discussion in the parliament or other means. With a single order from the government, the army entered Burma. National military affairs are treated as child's play; I wonder if Mr. He can explain a thing or two."
He Rui smiled slightly. "The government has already issued an announcement. The National Defense Force was requested by the people of the friendly state Burma to go to Burma to wipe out a group of armed bandits claiming to be the British Empire. To wipe out mere bandits, why need approval from the parliament?"
Among the intellectuals, someone was indeed amused by these words. He Rui was right; the Republic government did announce this publicly. In a sense, it despised the British Empire to the extreme. But the number of intellectuals who could laugh was not large. More people looked quite serious. What Gu Hongming said was indeed everyone's feeling: launching an army in anger, even if winning, was the act of a tyrant. Although He Rui was considered a member of the circle by intellectuals, it didn't mean that intellectuals approved of such a style.
He Rui also knew some people would see it this way, so he explained, "This war is not to decide the winner with Britain. Its purpose is very simple: by striking Britain, make Britain sign the Sino-British Joint Declaration on Establishing Diplomatic Relations with China, thereby sweeping away diplomatic obstacles and enabling China to restore normal trade with countries around the world."
"Now the general who wins a battle makes many calculations in his temple ere the battle is fought. The general who loses a battle makes but few calculations beforehand. Thus do many calculations lead to victory, and few calculations to defeat: how much more no calculation at all! It is by attention to this point that I can foresee who is likely to win or lose. I wonder what the odds of victory are in Mr. He's temple calculations?" Gu Hongming asked.
He Rui knew Gu Hongming read extensively, but this guy could recite the Strategic Assessment chapter in *Sun Tzu's Art of War* without missing a word, which was rare among scholars. So He Rui asked, "Since Mr. Gu asked about temple calculations, I wonder if Mr. Gu will also ask about the impact of this war on China's domestic economy?"
Gu Hongming was slightly stunned; he really hadn't considered it carefully. But since He Rui said so, Gu Hongming said, "If Mr. He can also give pointers on the impact of this war on the domestic economy, I would be overjoyed."
"The several main data for judging the national economy: the country's total economic volume, industrial capacity, technological level, and employment data. The core is the country's investment in industry and industrial operation. Many people think this war is spending money like water; I admit it is true. But this war itself is also investing heavily in the Southwest region. The roads can be used not only now but will also become important channels for commodity circulation in the Southwest region in the future. The lives of local people can also be improved by getting paid for investing in work. The Southwest economy will be more closely connected with the economies of other regions, and the state can also increase its management level of the Southwest. From this perspective, although the war investment is large, it is not purely military investment. From a long-term perspective, the benefits are even far greater than the expenses."
Gu Hongming felt he somewhat understood but not fully. However, he had read many history books. Even in the Manchu Qing era, governing the Southwest was completed only after the state invested heavily and fought many wars. So Gu Hongming nodded, "I've learned something."
"The reason I raise this question is that this is also the reason for a new situation in China's economy in the next ten years. Industrial production cannot stop; it must run every year and every day. Except for major holidays when a large number of enterprises will orderly stop work, it must run at other times. Therefore, one of the methods to promote industrial development is continuous investment in industry. Economic development is the same. If China's economy continues to invest, a situation will arise where 100 yuan is earned, and 105 yuan needs to be invested in the second year. This will result in debt."
Hearing this, only a very small number of intellectuals felt something; the vast majority could no longer understand.
He Rui skipped this and talked about India. "The British Indian government makes a profit every year. They have to pay the profit to the British mainland. A large part of this money is obtained by British dignitaries for their enjoyment. The other part is to make up for the debts generated by continuous investment in the British mainland. Although you gentlemen may not understand economics, do you think this looks like a monster sucking human essence?"
Hearing 'monster sucking human essence,' scholars could build a model. And this model linked to the relationship between Britain and India gave a gloomy and evil feeling.
"Mr. Gu, you have been to Britain; you should feel that the British government is relatively concerned about national construction. Comparing the British mainland with the colonies, it is a world of difference. I wonder if what I said is the same as Mr. Gu's view?"
Hearing He Rui ask, Gu Hongming answered readily, "Indeed so."
He Rui and Gu Hongming asked and answered, and the content discussed was consistent with the feelings of intellectuals. So everyone was a little strange. Just then, He Rui continued, "Therefore, economically, if a country goes into debt because of investing funds to develop the economy, it is normal. If a country has a lot of surplus, it means the government treats the domestic country as a colony. Comparing like this, I wonder if everyone agrees?"
A group of intellectuals felt this made sense. Although it looked very clear, the reasoning inside was not something these people could figure out.
He Rui listed some numbers again. At the end of the 19th century, the annual net income of British India was 44 million pounds, of which 16 million pounds of tax was remitted back to Britain. According to the conversion standard determined by the *Boxer Protocol*, one tael equals 0.15 pounds. Britain's net income in India was equivalent to 293.33 million taels, of which 106.66 million taels were remitted to the British mainland.
And one must know that this 44 million pounds was not total income but net income. The fiscal surplus of British India in one and a half years was equivalent to one Boxer Indemnity.
In the 1837-38 fiscal year, the total fiscal revenue of British India was 20.86 million pounds, and the expenditure was only 17.55 million pounds. In other words, even before the Opium War, even calculated at the exchange rate where silver prices were higher at that time, the annual income of British India was equivalent to two to three times that of the Great Qing in the same period—and the population and economic scale of the Great Qing were undoubtedly larger than British India.
In comparison, when Muslims ruled Bengal in the late 18th century, they collected 800,000 pounds of land tax annually, while the British collected 2.68 million pounds annually in the thirty years after taking over.
These numbers were so clear that the intellectuals were confused. Someone asked, "Where does India have so much gold and silver to be plundered by Britain?"
He Rui was waiting for this question. If one couldn't figure out the relationship between 'Pound Sterling' and gold, one couldn't understand why He Rui was full of confidence in this war. And was incomparable confident in the inevitable result of Britain's compromise.
"Let's analyze what tax is!" He Rui prepared to continue.
However, at this time, someone ran in, "Chairman, time is up."