Chapter 256: The Grand Wedding (Bonus Chapter)
In reality, Prime Minister Grenville’s vision proved too optimistic. The main culprits behind the skyrocketing gold prices were not just individual speculators, but rather the British financial consortium.
These financial institutions were not oblivious to the consequences of blindly raising gold prices; they were seasoned professionals, unlike the amateur enthusiasts in the cabinet government.
Driven by profit, however, the financial consortium still chose to act. Even the decision of Grenville’s cabinet to artificially inflate the price of gold and prevent the Austrian government from buying gold was influenced by these financial groups.
Unlike the United States, where financial consortiums could wield overwhelming power, Britain still had some checks and balances in place. The financial groups operated discreetly, subtly influencing government advisors to propose such measures without directly taking center stage.
That wasn’t the end of it; historically there have been instances where individuals have published articles in newspapers regularly read by cabinet ministers, thereby influencing British politics.
It was a reminder that elected politicians couldn’t be experts in every field and were often on a par with average citizens, making them relatively easy to manipulate.
This silent and subtle manipulation often goes unnoticed by the politicians themselves. Many misguided policies are formulated through such means.
The financial consortium didn’t inflate gold prices just to make a meager profit on the price differential. Instead, their primary motive was to strike a blow against their competitors.
As the rise in the price of gold increased the value of the pound, it inevitably affected the domestic industrial and commercial sectors. Large enterprises with considerable resources were able to withstand these short-term fluctuations.
For the majority of small and medium-sized capitalists, however, it was like passing through the gates of hell.
In a period of rapid economic development, when everyone was expanding, a sudden increase in costs led many businesses into a state of short-term losses, putting their capital chains at risk.
This situation provided an opportunity for the financial consortium. Businesses faced the choice of either accepting their conditions or preparing for bankruptcy. Regardless of the choice, it was a capital feast where the big fish devoured the small fish.
The London stock market has always served as a barometer of the British economy, and the fluctuations in the gold price first affected the stock market, leaving speculators in a dire situation.
The sharp rise and fall in gold prices caused leveraged players to suffer substantial losses.
Previously highly valued gold mining companies saw their market capitalization evaporate by 30% in a single day, causing a ripple effect across related industries.
According to economic experts, the adoption of the gold standard by the New Holy Roman Empire would inevitably lead to a significant increase in the demand for gold in the market, causing the price of gold to rise.
During the stock market boom, everyone believed the good news, and since it was considered favorable, companies naturally expanded their production. Expanding production was seen as a way to make more money in the market.
Now, with the sudden drop in gold prices, the market received a shock, and stock prices plummeted uncontrollably. Investors found themselves in a pit, and the financial consortium successfully completed the first round of harvesting.
Not only did the related companies suffer, but other industries were also affected. The rapid fluctuations in the value of the British pound led directly to significant losses for many companies.
Particularly for those involved in international trade, the sharp 20% rise in the British pound, followed by a return to normal levels, resulted in significant losses in terms of exchange rates alone.
For many small and medium-sized companies, this volatility led directly to their demise. Not all companies could be taken over by a financial consortium, and many with poor performance and low profits went bankrupt.
In just a few months, more than two hundred companies in the British Empire were merged and reorganized, and more than three thousand companies went bankrupt and were liquidated. The wave of bankruptcies came and marked the era of the great monopolies.
By the time the Grenville government realized this, it was too late. Even if they wanted to stop the financial consortium, the government could not revive these businesses.
10 Downing Street
Prime Minister Grenville sat there motionless and looking haggard, clearly deeply affected by recent events.
Before he could even begin to implement his ambitious plans, the first major action of his new administration turned out to be a disaster that severely dampened his confidence.
After collecting his thoughts, Prime Minister Grenville spoke: “Gentlemen, this time we have been fooled by the financial consortium. We have been completely outwitted by them.
It seems that we fell into their trap from the very beginning. Given the current situation, let’s not dwell on who is to blame. Now, what should we do to deal with the aftermath?”
The room fell silent. Aside from admitting their mistakes, what else could they do? Seek retribution against the puppeteers behind the scenes?
These individuals were just pulling the strings from behind, operating within the established rules. It’s not their fault that others lack sound judgment. They never overstepped their bounds, and everyone knows who to hold accountable if they want to settle scores.
The beleaguered Chancellor of the Exchequer, George Grey, replied with a tense expression: “Prime Minister, we must act quickly to salvage the situation, restore market confidence and prevent the situation from getting worse.”
While most bankrupt companies were relatively uncompetitive small and medium-sized enterprises, the resulting unemployment and stock market crisis were genuine.
If they don’t address the aftermath quickly, the current stock market crisis and the wave of bankruptcies could soon escalate into a nationwide economic crisis that would be difficult to control.
Prime Minister Grenville furrowed his brow and asked, “Are you suggesting that we continue to seek assistance from the financial consortium and risk being completely swallowed up by them?”
Chancellor of the Exchequer George Grey replied in a chilling tone: “But what choice do we have? If we don’t get out of this crisis quickly, we will all be nailed to the pillar of shame, a cautionary tale for the history books.
Perhaps they’ll write that the foolish Cabinet government, in its attempt to prevent the Austrian government from purchasing gold and implementing the gold standard reform, artificially created an economic crisis.
As for the financial consortium, isn’t there still a matter of settling the score? If they cooperate with us and help suppress this crisis, it could be overlooked.
If they continue their audacious behavior, dragging them down to hell before our downfall might not be a bad option.”
It has to be said that the Grenville Cabinet was lucky. Britain hadn’t yet experienced large-scale overcapacity, otherwise, their risky maneuver would have left an indelible mark.
If an economic crisis broke out in Britain, Austria wouldn’t escape unscathed. Once British capital was withdrawn, the Austrian government would lose the opportunity to stabilize the domestic economy and implement currency reform.
For the British, however, the completion of the gold standard reform in Austria was more in their interests. It would benefit trade between the two countries.
Trying to prevent Austria from reforming its currency and causing a domestic economic crisis would be detrimental to the interests of the British Empire, essentially manufacturing an economic crisis. If someone suggested that they were foreign spies, the British would probably believe it.
As for explanations? They wouldn’t have a chance to explain; as losers, they wouldn’t have a say. If the financial consortium couldn’t clean themselves up, they wouldn’t be true financial giants.
Even if they manage to explain themselves, they will rightly be regarded as one of the most stupid cabinets in British history.
They can’t expect anyone to help them whitewash their image. If they’re perceived as harming themselves and others for political purposes, there’s a chance that people will try to clean up their image for future political needs.
They might even be hailed as the greatest government in history. They are well aware of such manipulations.
Now that the deed is done, rational politicians naturally want to minimize the consequences. Continued cooperation with the financial consortium becomes inevitable.
George Gray has even resorted to threats to force the consortium to contribute. While mutual destruction may not be possible, dealing a heavy blow to the consortium is certainly within reach, even if it comes at a high cost.
To put it plainly, the financial conglomerates were still in their growth phase in this era, far from reaching their peak. Within the government, there were bureaucratic and aristocratic groups that could keep them in check.
This is also the reason why, after the World War, the British government introduced a series of foolish policies that seemed to undermine the military aristocracy that had earned significant achievements during the war. The government seemed to be the gravedigger of the British Empire.
This can be seen as an extension of power struggles. The victorious capitalists, taking advantage of the weakened state of the aristocratic group, severed their sources of power.
As the executors produced by the capital conglomerate, they naturally reaped substantial rewards, earning high praise in history and being hailed as one of the greatest figures in British history.
Prime Minister Grenville nodded helplessly; he did not want to leave office in disgrace, so a compromise was inevitable.
……
When the crisis broke out in Britain, Franz’s grand wedding ceremony began. It followed the traditional practices of the House of Habsburg, characterized by grandeur, luxury, and high-class elegance. As for the romantic wedding depicted in the movies, Franz firmly asserted that it was purely fictional, a product of the director’s imagination.
In keeping with tradition, the wedding took place in St. Stephen’s Cathedral, where the hearts of many members of the royal family lie in eternal rest.
The idea of hearts being buried in the cathedral sent a chill down Franz’s spine, as he couldn’t understand why anyone would choose to have their heart removed and placed in a church after death.
Perhaps his lack of devoutness in matters of faith contributed to his inability to understand this practice. Regardless, Franz had no intention of emulating his ancestors in this regard.
During the wedding ceremony, Franz, like an actor, followed the rehearsed rituals, went through the predetermined procedures, and then received God’s blessing. With that, he was married.
Although it was a bit of a hassle, Franz was satisfied. Once in a lifetime, a little trouble can be considered a beautiful memory.
Maybe it was a favor from the heavens, or maybe it was a blessing from God, but in any case, the 12th of March turned out to be a beautiful day with no unexpected mishaps.
With a multitude of guests attending the wedding, the banquet took place directly in the open square.
Representatives from virtually every prominent noble family in Europe rushed over. Thirteen kings personally attended the wedding, and if you add up the total number of princes, princesses, and grandchildren, the number easily surpasses three digits.
To Franz’s surprise, he found that many of the kings who attended the wedding were surprisingly not within five degrees of kinship, despite the lack of it in the European nobility. This fact only served to emphasize the Habsburgs’ formidable ability to make marriage alliances.
However, the duration of this splendid monarchy is an unknown factor. After all, there are not many distinctions in Germany, and there are simply many kings.
Now, none of these royal families has been abolished, which, from this perspective, makes Franz’s situation more favorable compared to the historical Kingdom of Prussia.
The direct benefits of this fact add even more grandeur to his wedding. With so many kings gathered, it might even qualify for a Guinness World Record.
The only regret is that no emperor attended, otherwise the status of the event could have been even higher, leaving a benchmark for future generations.
Clearly, such an event was implausible. To bring all these kings together, the Foreign Ministry of the New Holy Roman Empire had to go to great lengths.
If relations were not exceptionally good, there would be no reason for them to come and add to the grandeur of the event. In essence, this is also a stage on which the Habsburgs demonstrate their soft power to the outside world.
The level of representation from various European royal families indicates the level of importance placed on their relationship. For smaller nations, this is tantamount to a political alignment, but this time there is no need to worry that choosing the wrong side will lead to trouble.
In this context, the several emperors of Europe naturally want to maintain their dignity. Sending royal representatives is already considered giving face.
For an emperor to attend in person is unlikely, unless they have an exceptionally close personal relationship. Unfortunately, Franz is not very close to them, so there is no reason for them to come and show their support.
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