Miss President wants to talk to you

Eleanor's willingness to help is equivalent to the president's willingness to help.

It can indeed help alleviate one's stress.

So Wu Ding nodded.

He explained his findings and concerns in great detail.

Chapter 51: The Morgan Group is in for a major disaster

And so on, and so forth.

After hearing Woodin's words, Eleanor also looked worried.

"So, if we don't reform the current banking system, a financial crisis is inevitable?"

"It's not just an outburst."

With a bitter face, Wu Ding said, "The key is that once a monopoly capital is formed, and a financial crisis breaks out, the federal government will have no way to solve it and will only be dragged down with it."

This is true.

Eleanor knew Woodin was right.

Because this event already happened in a previous life.

That was the 2008 subprime mortgage crisis.

At that time, the United States was completely held hostage by financial capital, unable to clear its debts and bankrupt its banks, and had no choice but to print money and borrow.

This is a path to a slow death.

One argument is that the subprime crisis was never resolved, and that the United States was merely prolonging its own demise.

The debt of over 30 trillion yuan, and still expanding, is strong evidence of this claim.

Now, Wu Ding has foreseen this crisis and is determined to stop it.

We just haven't figured out a solution yet.

It must be said that this foreseeable future is truly terrifying.

This made the finance minister look like a walking corpse.

Eleanor stroked his chin, looking deep in thought.

Then, his eyes suddenly lit up.

"Hey!"

Eleanor held up one index finger. "I've thought of a good idea, but I don't know if it will work!"

what?

Wu Ding was stunned. Hadn't he just raised the question?

You've already come up with a solution?

Woody didn't believe it at all, thinking that Eleanor hadn't grasped the key point of the problem and was just making random suggestions.

That's it.

Who told him to be a favorite of the president?

Wu Ding decided to listen to this idea.

He had already made up his mind that no matter how absurd Eleanor's statement was, he would cooperate by putting on an expression of sudden realization.

Provide sufficient emotional value.

As for what to do next, well, I'll just have to figure it out myself.

but

Wu Ding also knew that he couldn't let Eleanor say it in the corridor.

If someone else hears this...

I'm afraid they'll laugh their heads off.

"Then how about this, Mr. Hopkins, come to my office with me to discuss this in detail. I'm very interested in your solution!"

……

A few minutes later.

Office of the Minister of Finance.

Woody sat on the sofa, waiting for Eleanor to deliver his profound insights.

Eleanor took a piece of white paper and started writing and drawing on it.

Wu Ding looked over.

The white paper was divided in two by a line, with "Commercial Bank" written on the left and "Investment Bank" on the right.

Oh?

Wu Ding's eyes flickered slightly.

He decided to retract his previous assessment.

Eleanor wasn't misunderstanding; it seems he already knew the crux of the problem.

But what should we do?

"Mr. Wu Ding, I'll start now, and see if I'm right!"

Eleanor tapped the paper with her pencil.

"First are commercial banks, which handle savings deposits, clearing, and lending; at their core is security."

"Then there are investment banks, which underwrite securities, issue bonds, and participate in financing; the core is returns."

Wu Ding nodded: "That's right, you summarized it very accurately."

Eleanor continued, "So the problem now is that federal banks encompass both of these functions."

"It can use depositors' money to support its own securities business."

"Using the credit of commercial banks to endorse the risks of their own investments."

"This is tantamount to forcibly binding the entire nation together, making them participate in your investments, without sharing the profits, but forcing everyone to bear the risks."

"Once the thunderstorm occurs, everyone will explode together."

A hint of appreciation flashed in Wu Ding's eyes.

Indeed it is.

It seems that Mr. Hopkins has some talent in economics, at least he can understand what professionals are saying.

This is an extremely rare quality among federal politicians.

Wu Ding was about to say a few words of praise to Eleanor.

But then...

"If that's the case, isn't the solution quite simple?"

Eleanor said, "Why not just separate commercial banks and investment banks directly?"

Wu Ding almost lost his balance and fell off the sofa.

Wait, wait!

He interrupted Eleanor's next words, his voice trembling.

"Mr. Eleanor, please stop talking!"

Wu Ding said with a dry voice, "Do you know what a bold thing you just said?"

"What's wrong?"

Eleanor looked at Woodin, who seemed terrified, and couldn't quite understand.

Is there anything wrong with what I said?

“Mr. Eleanor, I will pretend I didn’t hear what you said. I will never tell anyone, and no one will know that you said it.”

Wu Ding was incredibly grateful that he had pulled Eleanor into the office.

After he had recovered a little, he said, panting heavily:

"Your suggestion is practically digging up the ancestral graves of the banking industry."

"Yes, I admit that it is indeed a good idea, but have you considered how risky this is?"

"Once you bring it up, all the bankers will immediately unite, such as the Morgan Group, and they will definitely fight you to the death."

"This is no small matter; it's a war to the death!"

Wu Ding knew, of course, that the simplest and most effective way was to completely separate the two banking businesses.

Couldn't he have thought of such a simple method?

Of course I had thought of that.

However, after weighing the pros and cons, Wu Ding came to a different conclusion.

This is simply impossible.

The federal government ultimately relies on banks for development. Once this bill is passed, it will be a complete breakdown in relations, a fight to the death.

A huge mess is about to break out!

The current Federation is simply not strong enough to withstand such a storm!

Wu Ding racked his brains because he couldn't come up with a more moderate and acceptable solution.

If he doesn't care about the consequences at all, why is he so distressed?

However, Eleanor shook his head after hearing Woodin's concerns.

“Mr. Wu Ding, I think you are overthinking it.”