The Rise Of Australasia

But the question is, is it that easy to exit the stock market now?

Everyone knows that a downturn in the Market isn’t going to end in a short period of time, so naturally, nobody wants to be the sucker taking over someone else’s shares.

Take the well-known Scott Real Estate Company from the US New York Stock Market as an example.

At its peak, Scott Real Estate had over 200,000 shares issued, with a price per share exceeding 77 US dollars, indicating that Scott Real Estate’s market value was as high as 15.4 million dollars.

But as of July 17, the share price of Scott Real Estate had plummeted to below 40 dollars, with the actual selling price even less than 30 dollars.

This means that the enterprise, once valued at 15 million dollars, had lost more than half of its worth within three days; its current market value had dipped below 8 million dollars.

Such a frantic fall in the Stock Market naturally caught the attention of the American Government. Setting aside the actual reasons behind the Market’s insane decline, stabilizing the current New York Stock Market was of the utmost importance.

For this reason, US President Coolidge quickly stepped forward, publicly stating that America’s economy was in excellent condition, calling on the People not to worry about the fluctuations in Stocks, and that nothing could destroy America’s economy and Stock Market.

However, President Coolidge obviously forgot that he had lost the trust of the People and his speech failed to achieve the desired effect. Instead, it only intensified the People’s actions to sell off their Stocks.

The fourth day after Black Thursday, which is July 18, 1926, the New York Stock Market experienced another round of severe drops, with the Wall Street trading index falling by 50 points, breaking the 300-point barrier, and madly charging towards the 200-point threshold.

The continuous plummeting of the Stock Market led to the incessant wailing of many investors, as they suffered the greatest losses, having almost not withdrawn from the Stock Market at all.

The few lucky investors who had managed to exit the Stock Market received funds that were even less than their initial investment.

Because of the initial wave of Stock prosperity, a significant portion of New York and even American citizens had invested all their assets into the booming Stock Market. Continue reading on NovelBin.Côm

This brought them unexpected substantial income during the early stages, but during the Stock Market crash, it quickly took away all their assets.

Although the remaining shares they held had some value, as long as they could not be sold, those shares were as good as waste paper.

Many American investors who couldn’t bear the shock chose to end their lives in various ways, which also led to the birth of many criminal incidents, turning New York into chaos.

Especially with some tall buildings, distraught investors would jump off from time to time, sometimes tragically taking pedestrians with them by chance.

This prompted the New York Police Department to issue a temporary notice, prohibiting any pedestrians from walking underneath skyscrapers, and the rooftops of a considerable number of these tall buildings were blocked off to prevent people from jumping at will. @@novelbin@@

While blocking the rooftops did prevent some investors from jumping, America is ultimately a country where firearms are not prohibited, and it’s easy for the People to either commit suicide or cause trouble.

New York’s famous Manhattan and Brooklyn Bridges became sanctuaries for suicides, with hundreds of investors who had experienced great fluctuations in the Stock Market jumping off these bridges every day, ending their brief lives.

Many more chose to give up on themselves, resorting to arson, murder, and looting, initiating a new round of zero-cost shopping sprees in New York and other American cities.

It’s worth noting that Caucasians in America are generally wealthier, and most investors are Caucasian.

But when Caucasians give up on themselves and resort to arson, murder, and looting, they do not discriminate by race, and these irrational Caucasians become even more hateful towards Black People.

It’s common to see Black People who have been emptied of their firearm magazines on the streets, which precipitated the rapid decline of law and Order in New York. The New York Police Department became busier but was still unable to change the terrible situation in New York.

Following the mad May, the month of July, when the Stock Market collapsed, was also dubbed by many American media outlets as Chaotic July.

Europeans didn’t have long to delight in the disaster before the influence of the New York stock market crash rapidly expanded to Europe.

Starting from July 20, the stock markets in London, Paris, Vienna, Rome, Berlin, and other cities also experienced continuous plunges, albeit not as severe as New York’s Stock Market.

One moment, Europeans were mere onlookers; the next, they experienced the same agony as the Americans, with many investors helplessly watching their wealth dwindle to nothing, plunging Europe into chaos.

Seeing the constant fluctuations in the European and American stock markets, Arthur realized that one of the most significant events of the 20th century—the Great Depression—had begun.

The impact of the Great Depression was in no way inferior to that of World War I or World War II, and the blow to the global economy was immeasurable.

Even with extensive preparations made beforehand, Arthur couldn’t guarantee that Australasia would emerge unscathed from this crisis.

The best method was to keep a watchful eye on the Australasian stock market and civilian sentiments, to rescue enterprises on the brink of bankruptcy, and to provide comfort and relief to the unemployed populace.

To ensure the stability of Australasia, Arthur, in his capacity as King, issued a proclamation, stating that Australasia’s economy was very stable, and due to its distance from Europe and the United States, it would not be overly impacted, urging Australasians to carry on with their lives undisturbed.

In stark contrast to the prestige of US President Coolidge in America, Arthur’s authority in Australasia was beyond question.

Arthur’s announcement and statement were published in newspapers nationwide and swiftly calmed the jittery Australasians.

On July 21, 1926, the Australasian stock market maintained relative stability, overall tumbling less than 0.1%—a rather mild figure.

On the second day, fueled by public opinion, the Australasian stock market actually rose by 0.3%, a clear indication that the people had stabilized under Arthur’s reassurance; their absolute faith in the government and in Arthur was unquestionable.

In this round of stock market crashes, not only ordinary investors suffered heavy losses but also those small and medium-sized enterprises and factories that failed to exit the market in time.

Previously, some smaller enterprises, in an effort to earn greater profits, had diverted their corporate funds to the stock market, money that now was essentially irretrievable.

Others hadn’t earned much in the stock market, but after the crash, their company’s market value continued to plummet.

A decrease in the company’s market value naturally eroded public trust. After all, there is a difference between a company valued at ten million and one valued at one million, even if they are technically the same company.

In times of crisis, the most common actions for a company are, naturally, layoffs and forced closures. Nobody wants to shut down their company voluntarily, unless the situation truly becomes dire.

This led to widespread layoffs among enterprises affected by the economic crisis, including those across the United States and Europe, creating several hundred thousand, even millions, of unemployed overnight.

The worst was, of course, the United States. From July 14 to the present, July 24, the US stock market had fallen more than 67.1%, with over 24 billion dollars in wealth vanishing into thin air, amounting to 23% of last year’s Gross National Product of America.

The American Government simply couldn’t delve into the reasons quickly enough because, in just over ten days, thousands of small and medium-sized enterprises went bankrupt, and the remaining businesses announced layoffs one after another.

According to the government’s rough estimates, at least 500,000 unemployed people were created in these ten days, and the number was still increasing.

It may seem like there are only 500,000 unemployed, but could those who hadn’t been laid off guarantee the security of their wages?

Moreover, the current layoffs are just the first wave, hasty cuts by enterprises. There will be a second wave, and a third to follow.

Capitalists, aiming to save their own enterprises, will definitely sacrifice the interests of the public and employees without hesitation.