After lunch, the comrades watched Chen Ke go up to the podium. Quite a few people were worried that Chen Ke would talk about something even more mysterious. During lunch, everyone was discussing the new concept of "currency" just learned in the morning. This kind of most basic principle becomes clearer the more it is discussed. The problem is how to apply this principle after understanding it. Linking theory with practice never comes out just by moving lips.

Starting from the afternoon, Chen Ke extended the concepts of "fiat money" and "credit" from the concept of "general equivalent." This was already the concept of modern banking. Chen Ke had made up his mind to establish the banking system of the base area no matter what. Although a large amount of precious metal currency and a considerable amount of copper coins were transported back from Anqing, this little money was just a drop in the bucket for the future development of the base area. Without the support of modern banks, the base area simply couldn't raise enough funds for development. This was also the reason why Chen Ke wanted to gather all party, government, and military cadres of the base area for theoretical education.

The currency issuance of the modern banking system must have a reserve fund. Since the significance of fiat money is "general equivalent," then fiat money must be strictly linked to "transactions." The fiat money issued by the central bank must have a reserve fund; without a reserve fund, fiat money cannot be withdrawn from circulation. Due to the lack of precious metals, the reserve fund for the currency issuance system established by the Party in history was mostly grain. Now the gold and silver transported back from Anqing by the People's Party acted as a reserve fund very well.

What Chen Ke wanted the comrades to understand was how fiat money operated in economic construction and the lives of the common people, and what role it should play exactly.

This is a very profound question. If viewing the revolution from such an angle, although party members don't understand now, they will finally understand in their work how much of the future labor of People's Party comrades will be "unpaid," and this unpaid labor will become the cornerstone and settle in the economic system of the base area. As for to what extent the comrades can accept this fact, even a confident person like Chen Ke dared not be blindly optimistic.

Taking the most urgent work "spring plowing" as an example, the banking system of the People's Party will issue productive loans through "Agricultural Cooperatives." For example, for newly produced farm tools, farmers take loans by booking on account. Repay with labor force and various products. From beginning to end, the loan did not appear in the face of actual existing currency. Currency was merely numbers existing on the books. But when this loan process from lending to repayment ended, the farmers got farm tools, while the bank and the government behind the bank got the results built by the labor of the common people, as well as various agricultural products. This is the significance of modern banking fiat money.

The problem is, it's not like this in the troops. The troops will also be paid wages. Wages are not gold and silver, but fiat currency issued by the base area. Compared with this money, the labor paid by the cadres and soldiers of the troops is far higher than their income. The economic accumulation of the base area is completed by ruthlessly "exploiting labor within the system."

This will be a test. If People's Party members have this selfless consciousness, and the Worker-Peasant Revolutionary Army has the consciousness of being "the common people's troops," then this reality is not a problem. If People's Party members and Worker-Peasant Revolutionary Army cadres and soldiers put their personal interests first, then the serious inequality between giving and receiving will become a core contradiction.

Chen Ke had always been hesitant about whether to explain this problem thoroughly. Once this basic theory is explained thoroughly, there is nothing to hide. Basic theory defines issues of cardinal right and wrong. Up to now, People's Party members and Worker-Peasant Revolutionary Army cadres and soldiers fought for themselves. They were still a kind of spontaneous struggle, fighting to survive. The comrades' enemy existed externally.

After Chen Ke told everyone the basic revolutionary theory and started deeper revolution based on these theories, this spontaneous struggle must become a "conscious" revolutionary struggle. The enemy of comrades is more of their own selfish thoughts. While lecturing, Chen Ke thought somewhat self-mockingly: who would be the first to ask the sentence "Why do we have to work for nothing?"

This part of the theoretical course was actually quite simple. What was complex was the specific operational process, not the theoretical basis. The comrades participating in the study probably all understood the content of the course. Chen Ke didn't drag the class either; this group of comrades were all very busy with work. Seeing everyone really understood, Chen Ke immediately dismissed the class.

The comrades were as if granted amnesty one by one. Those whose stations were far away, such as those from the troops, ran out as fast as they could. Comrades working in the county town also stood up immediately; after a whole day of study, accumulated work would be a lot. It was around five o'clock in the afternoon now; if they hurried up now, they could still solve a considerable part of the work. Not long after, only four people remained in the venue: Chen Ke, Yan Fu, Shen Zengzhi, and Feng Xu.

"Mr. Chen Ke has worked hard." Feng Xu said calmly.

"This is my job."

"If there is nothing else, we will go back first. There is still a large part of the matter of editing the *New China Dictionary*." Feng Xu seemed to be a serious person in doing things too.

"Then I'll trouble you."

Yan Fu, Feng Xu, and Shen Zengzhi went out the door. Yan Fu originally thought these two would say something. At least Yan Fu himself felt he had a bellyful of words to say. Yan Fu basically understood the things Chen Ke talked about today. It was precisely because he understood that Yan Fu felt Chen Ke's harsh attitude towards his own people was very undesirable.

Yan Fu's thoughts were closer to the Legalists. In his works and thoughts, Yan Fu was still quite enlightened. In his work *On Strength* [*Yuan Qiang*], he proposed that the strength or weakness, survival or demise of a country is determined by three basic conditions: "First, the strength of blood and physical power; second, the strength of intelligence and wisdom; third, the strength of virtue, righteousness, and benevolence." He fantasized about enhancing national prestige through bourgeois education in physical, intellectual, and moral aspects. "Therefore, today's essential politics are unified in three ends: first, boosting the people's strength; second, enlightening the people's wisdom; third, renewing the people's virtue." The so-called boosting people's strength means the people of the whole country must have a healthy physique, and opium and the bad habit of foot-binding must be banned; the so-called enlightening people's wisdom is mainly to replace the imperial examination with Western learning; the so-called renewing people's virtue is mainly to abolish autocratic rule, implement constitutional monarchy, and advocate "respecting the people." Yan Fu demanded reform and modernization, but also advocated "only not expecting it to gather quickly." The specific method of "removing but not suddenly" was to be realized through education. That is, in China at that time, to implement constitutional monarchy, it could only be implemented after enlightening the people's wisdom. In short, the "Theory of Saving the Country through Education" was a prominent ideological characteristic of Yan Fu.

So when Chen Ke appointed him as the Minister of Education, Yan Fu accepted readily. regarding Chen Ke's strong position in the People's Party, Yan Fu felt it suited his appetite very much. A revolutionary group led by a highly capable strong leader like Chen Ke promoted revolution with a strong force overriding everything. Even if Chen Ke didn't become Emperor in the future, Chen Ke was young after all. Barring accidents, there would be at least forty or fifty years. When Chen Ke grew old, China would have been built into a new powerful country. At that time, the people's wisdom would be opened, and even implementing a constitutional or more radical republican system would not be too abrupt.

In today's class, Chen Ke's profound understanding of the economy shocked this old handsome guy again. But Chen Ke didn't say it directly, but the method of wealth accumulation already explained clearly was nakedly drinking the blood of his own comrades. The troops undertook the hardest basic water conservancy construction; not only that, they also had to farm to feed themselves, and fight to defend the base area. Yan Fu was knowledgeable, but he had never heard of such an army in this world. He didn't believe such an army could exist either.

Chen Ke was a very tough person. Since he could say these things today, then Chen Ke would realize the things he said at all costs. This was what Yan Fu worried about most.

Just as Yan Fu was looking for suitable words, Shen Zengzhi suddenly spoke: "Jidao, your disciple Chen Ke is just trying to build an army of a true King [Benevolent Army]. This is a good thing; why are you so uneasy?"

No abnormality could be seen in Shen Zengzhi's expression; these words were completely in a calm attitude. Instead, Feng Xu saw Yan Fu was a bit anxious and hurriedly smoothed things over: "Brother Shen, Jidao is confused by concern. Moreover, Chen Ke's practice is indeed somewhat similar to the Legalist way."

"How is it Legalist? This is obviously the attitude of putting the people first and the state second." Shen Zengzhi still answered calmly, "I really want to see to what extent Chen Ke can achieve. If he can really do it, it won't be far from the Rule of the Three Dynasties [Golden Age]."

Yan Fu and Feng Xu didn't know if Shen Zengzhi's words were praise or mockery. When Shen Zengzhi spoke seriously, no one could see his thoughts. Both waited for Shen Zengzhi to say something more, but Shen Zengzhi just didn't say a word. As a result, until Yan Fu sent the two back to their residence, everyone didn't say another sentence.

Qin Tongren was responsible for the recent production of farm tools. Without Chen Ke emphasizing it deliberately, Qin Tongren also knew the significance of rapidly producing a large number of metal farm tools. Qin Tongren liked the wrought iron farm tools with steel cores provided by Chen Ke very much. The sharpness and strength of this kind of farm tool reached a quite perfect level. The trial-produced farm tools were very handy to use, light and fast.

The technical personnel below were naturally extremely happy. Immediately someone suggested taking these farm tools to report the good news. This suggestion was rejected unceremoniously by Qin Tongren on the spot.

The purpose of reporting good news is to ask for treatment! Qin Tongren didn't like this attitude at all. Moreover, these comrades below also underestimated Chen Ke too much. This was the farm tool design idea proposed by Chen Ke first. Taking this kind of farm tool to report good news to Chen Ke—Qin Tongren felt he hadn't lowered his status to this extent no matter what. When Chen Ke talked about farm tool production with Qin Tongren, he mentioned the issue of production efficiency. Moreover, Chen Ke even roughly explained the general appearance of stamping presses and grinding wheel polishing equipment to Qin Tongren. If following this mechanized production mode, plus the existing steel on hand, as long as five hundred workers were equipped, Qin Tongren could guarantee to produce more than fifty thousand new-style farm tools within a month.

The problem was that these mechanical devices were merely Chen Ke's ideas. According to the current conditions of the base area, five hundred people couldn't even produce five thousand farm tools a month. The problems to be solved were as many as the hairs on a cow. Before producing products, mechanical equipment had to be manufactured personally. This status quo of castles in the air made Qin Tongren feel a great sense of powerlessness.

However, at this time, someone actually took a few farm tools to report merit. The always serious Qin Tongren finally couldn't help getting angry.

After scolding his subordinates severely, the problem still had to be solved. Qin Tongren had to find Chen Ke personally to admit the status quo.

What surprised Qin Tongren was that Chen Ke didn't get angry or discouraged. He pondered for a while before saying: "I can only work with Engineer Qin and you guys for seven days. Let's design a small farm tool processing factory. It just happens that we got a lot of red copper from Anqing this time. Tongling is really a good place."

Thus, a technical assault team was established. At Chen Ke's insistence, Qin Tongren served as the chief engineer of the team. Chen Ke served as the technical advisor. Because of Chen Ke's work, he handled party and government affairs during the day, and worked with the technical assault team all night long. Facing such a desperate way of working, Qin Tongren didn't even dare to advise him.