Chapter 12: The National Debt of Great Qin and the Formation of the Specters

Chapter 12: The National Debt of the Great Qin and the Formation of the Chimei

Yang Zimo approached the grand hall’s map and asked an attendant to bring him paper and brush.

"Your Majesty, esteemed ministers, the 400,000 troops mentioned by General Meng represent the soldiers currently available for deployment in our external campaigns. It does not mean we must mobilize all of them.

With 400,000 soldiers and an additional 800,000 laborers, our cavalry numbers around 30,000. Altogether, this roughly equals 1.5 million soldiers, which would consume 2.25 million dan of grain monthly. Yet, our annual land tax revenue is only a bit over 17 million dan. If we campaign for a whole year, our harvest would not even suffice to feed the troops. This does not even account for military equipment or soldiers’ salaries.

Under current circumstances, the Great Qin is ill-suited for large-scale troop deployments, at least for now. So, what is the solution?

First, we sell Qin War Bonds. If every citizen purchases one share, we can raise a million dan of grain; if ten shares, then ten million dan."

"What are war bonds?" Finance Minister Meng Yi could not help but ask.

"War bonds are debt certificates temporarily issued to the people during each external campaign, essentially loans from the populace to the state. Simply put, the Great Qin leads the charge, and its people invest in Qin’s victory. After triumph, dividends are distributed proportionally. Ministers should not let pride stand in the way; borrowing from the people to strengthen Qin is nothing to be ashamed of—there will be many such opportunities in the future."

"I see! I am enlightened," Meng Yi acknowledged.

Seeing that everyone understood, Yang Zimo continued:

"Second, merchants will be permitted to accompany the army and, based on the commercial department’s assigned credibility levels, enjoy priority trading rights and certain discounts."

"Please elaborate, Sage," even Li Si could not help but urge.

"When the campaign begins, merchants will travel with the army. All spoils from each major battle will be sold to them. Prices, though much lower than in the Central Plains, are for goods seized in battle. For example, horses in the Central Plains are worth a hundred gold coins each, but the Xiongnu horses are sturdier and have better endurance. Bringing them back to the Central Plains could fetch thousands or tens of thousands in gold. We price each fine horse at fifty gold coins, or even less, to compensate merchants. Would they not rush to acquire them? Likewise, cattle, sheep, skins, and furs will be compensated below Central Plains prices, and merchants will arrange their own logistics to transport them back."

"What if merchants refuse?" asked Commerce Minister Wang Wan.

"How could that be? Merchants seek profit; they smuggle salt and iron among foreign tribes for profit. They will undoubtedly compete to seize this opportunity. Moreover, cooperating with the court enhances their reputation and credibility," Engineering Minister Teng shook his head in agreement.

"Minister Teng is right. If a merchant fails to seize such an opportunity, he is no true merchant. This way, the Great Qin need not employ so many laborers, reducing consumption," Yang Zimo added. Raising the notebook in his hand, he said, "In truth, war is not just an expense; it is a source of profit. Even if we deploy 400,000 troops at an annual cost exceeding 30 million dan, the Xiongnu breed vast numbers of fine horses, cattle, and sheep.

The Xiongnu currently field no fewer than 100,000 cavalry, most with two horses each. That means at least 200,000 warhorses, plus tribal mounts bringing the total to around 300,000. At fifty gold coins each (equivalent to 500 taels), 10,000 horses equal 5 million taels—roughly a quarter of Qin’s seasonal tax revenue. Converted into grain, that is over 16 million dan, enough to supply a million-strong army for a year."

A murmur swept through the court.

No one had realized before, but now the figures were staggering. The Hetao region, an alluvial plain along a sinuous bend of the Yellow River, stretches from the Helan Mountains eastward across the Western Plain, and southward into the Inner Mongolian hinterlands—covering some 35 million mu. It lies in a depression between the Ordos Plateau and the Helan, Lang, and Daqing Mountains. The flat terrain, fertile soil, and Yellow River irrigation make it an abundant pastureland, long known as a vital grazing area. There is an old saying: "The Yellow River causes a hundred harms, but enriches only Hetao."

The Xiongnu graze horses and sheep here by the tens of thousands—likely over 100,000 horses—with vast herds of cattle, sheep, and plentiful hides and furs. Driven by the prospect of profit from war spoils, many ministers inwardly calculated the sums and were inflamed with excitement; faces flushed, they eagerly exclaimed: "Your Majesty, the Sage’s reasoning is sound! These Xiongnu barbarians, leaderless and lawless, foreign and uneducated, disrespectful—once our army advances, it will be Qin’s mission to civilize them."

"Splendid, splendid!" Emperor Qin Shi Huang laughed heartily, rising tall.

"The Sage is truly a scion of the immortals. With him, our Great Qin is indeed fortunate!"

"Your Majesty, you flatter me," Yang Zimo bowed.

"Third, the establishment of a mercenary system," Yang Zimo said, pausing expectantly. Seeing everyone silently stared at him, he pressed on without further preamble.

"Mercenaries mean paying others to fight for us. These differ from Qin’s professional soldiers; we can hire foreign tribes allied or friendly to Qin, forming mercenary units with Qin designations called Chimei. We provide them money and supplies; they organize their own forces to serve us.

We can also assemble the condemned, fugitives, and notorious criminals from various tribes into bands called Wangliang. They are given a chance at life and a place for their recklessness."

"Is this not reckless? If the Chimei and Wangliang grow too powerful, it could spell disaster for Qin!" Logistics Minister Ying Xi of the Ying royal clan stood to object.

"You worry too much, Minister Si. The Chimei are a group of tribesmen who follow Qin for spoils. Within Qin, they exchange their lives for supplies for their clans—they are mere tools.

If they swell in power, it means their backing tribes will be erased from the world.

The Wangliang are lunatics who do not value life but seek thrills and worship strength. We will select elite fierce soldiers and death squads from among them to maintain control. If one disobeys, the entire unit is executed.

Moreover, their quarters are near Jiuyuan Commandery, close to the Xuanwu Legion.

Besides, both Chimei and Wangliang are monitored by the Black Ice Platform. We need not fear their rebellion."

"Then so be it. If we can sweep through Hetao without a single grain spent, I can hardly wait. Sage, I approve all three proposals. Work with the military and civil authorities to draft detailed regulations and submit them to me as soon as possible."

"Yes, Your Majesty!" Yang Zimo and the officials bowed together.

"Where is the Imperial Household Department?" Qin Shi Huang, excited, waved his long sleeves as he sat down.

"I am here," Shang Ying from the department stood.

"Grant the Sage the title Marquis of Jingyang, ten bright pearls, a pair of jade disks, ten fine horses, and a hundred servants. Also, bestow upon the Marquis’s wife a pair of bright pearls and a chest of jewels!"

"I humbly thank Your Majesty!" Yang Zimo bowed deeply.

(End of chapter)