Chapter 187: Federal Reserve System
Mirae Motors employees spotted the poll on Kim Shin's SNS.
[Please select the designs for car models you'd like to see from Earth Car.]
Designs for sedans, SUVs, and pickup trucks.
Even working at an automaker, the designs made their eyes light up.
"What's this? Why are they so gorgeous?"
"Has our design lab at Mirae Motors ever come up with anything this cool?"
"Check it out quick."
Before launching new models, Mirae Motors held countless meetings reviewing design proposals.
They finalized designs after considering global market trends, the company's unique identity, production feasibility, cost reduction, and harmony between performance and components.
"It's from the design materials we sent over."
"Why didn't we make something like this?"
"There are probably practical reasons, but they must've thought it didn't fit Mirae Motors. And seeing it on CEO Kim Shin's SNS makes it look even cooler, right? Without our company emblem, it feels sleeker too."
"......"
The department head fell silent at the MZ generation employee's words.
Just branding it as Earth Car instead of Mirae Motors gave it an air of luxury.
"The designs are pretty, but curving the side lines like that would make production tricky."
"It's feasible for an EV with motors, but that compact SUV shrinks the front end and maximizes boxy interior space. Won't customer tastes be divided?"
"Matching the price point won't be easy either."
Mirae Motors executives picked apart the vehicle designs on Kim Shin's SNS one by one.
When looking for flaws, plenty appeared.
"But if a design gets approved... we'll be the ones building it, right?"
"......"
Kim Shin decided the designs.
Developing the tech and prepping production fell to Mirae Motors.
* * *
[Record Inflation Draws Growing Criticism of the Fed]
[40-Year High Inflation Corners the Fed]
[Fed Failing to Do Its Job]
The Federal Reserve System, which sets U.S. monetary policy and interest rates.
Its chair had long been called the president of world economics for their immense power and influence.
They held a regular meeting in New York.
"Producer price index is up to 9.6% now."
"0.8% higher than last month."
"Highest on record since we started tracking. Producer prices will soon push up consumer prices."
"Set to be the highest ever."
"The White House is demanding measures to tame inflation."
"Politicians, media, finance, academia, the public—all calling us idiots in unison."
The Fed governors, the elite decision-makers on U.S. financial policy.
They had wielded power with honor, pride, and confidence, but the current inflation left them powerless.
"Weren't we seriously screwing up?"
New York Fed President John Williams's words were met with heavy silence.
Warnings about rising prices had come for a year, but they'd ignored the crisis and done nothing.
The governors felt their own fault.
[Inflation is transitory.]
[Just part of the normalization process.]
[Not yet at full employment.]
[No rate hikes until next year.]
Their statements to justify the economy had boomeranged back.
Media and public criticized their policy blunders without mercy.
"At this rate, we could surpass the inflation of 40 years ago."
"That bad?"
"Inflation expectations are spiraling out of control. Stats show over 9%, but felt inflation in groceries, transport, housing for the middle class and working folks is over 30%."
"We won't see prices hold above 10% forever. But after that, it'll linger above 5% long-term."
"What about next year?"
"Projecting 8% or higher."
"We'd better watch our backs on the street."
The governors felt crushing responsibility for the situation.
The massive money printed since the 2008 crisis had fueled the price surge.
The reality they'd deliberately ignored now hammered the U.S. economy.
"We need to shift stance to fight inflation."
Fed Chair Powell's words drew immediate agreement from St. Louis Fed President James Bullard and New York Fed President John Williams.
"No choice."
"Better late than never—we have to move."
The twelve Fed board members voiced assent one by one.
"Tapering asset purchases by $15 billion isn't enough. Jump to $30 billion now..."
"Raise rates at least four times big next year."
"Four times? Until when?"
"Until inflation's crushed."
Historically, when prices shook, the Fed hiked rates aggressively, excessively.
It choked money supply overnight, sparking crises in Latin America, Asia, Europe since the '90s—but their focus was the U.S. economy.
Other nations' woes weren't bad for the U.S. financial sector the governors represented.
"The U.S. economy's fundamentals are solid. It can handle steep hikes."
"But stepping up as inflation fighters will shock New York markets."
"Like dropping a bomb on stocks hitting all-time highs and turning south."
"Uncomfortable for investors, but necessary."
"Kim Shin bet against the drop with shorts and puts. His financial assets top $200 billion now. If we act, he'll make multiples of that."
No Fed governor liked Kim Shin.
Last year, he'd indirectly criticized them in front of the president.
Many bashed the top financial policymakers, but Kim Shin had mass appeal.
―Kim Shin was right after all.
―Fed boneheads need economics lessons from Kim Shin.
―Even if taught, no use. Start with keyboard and mouse first.
―The Fed wields immense power—and irresponsible fools hold the seats.
Criticism of the Fed often started from Kim Shin's remarks.
The older governors felt no small envy for the young, rich Kim Shin.
"So what? Do we have a choice?"
Powell's question drew nods.
They were backed into a corner.
Even if their moves made Kim Shin multiples richer, it was time to fix policy.
"Once inflation shakes loose, it's hard to rein in. Even if we look like shower idiots..."
John Williams muttered quietly.
Crank the shower to full hot, and scalding water burns your skin.
Panic and twist to cold, and ice blasts out.
No choice but to look foolish—like the Fed's moves—regardless.
Their only hope: Kim Shin closing his shorts and puts early.
* * *
The Earth Car designs posted on SNS drew massive public reaction.
Media raved.
[Earth Car's Concept: Elegant Beauty]
[Future-Focused Earth Car Dreams of Tech-Design Harmony]
[Earth Car Pursues Change Without Losing Classic Beauty]
Sedans, SUVs, popular U.S. pickups.
Five concepts each—none could be abandoned lightly.
From familiar everyday cars to luxury rides, midsize to large SUVs with cute vibes.
Imagining Earth Cars everywhere worldwide.
Commuting salarymen, solo or family road-trippers, work vehicles.
'Is this the thrill of running a business?'
Flush pockets bred leisure.
"Jong-yeop."
"Yes, hyung."
"Order a 787."
"Yep!"
Not a supercar like a Porsche 911.
Boeing 787 Dreamliner.
Pricey for a private jet, but he decided to splurge.
Peanuts compared to his daily-fluctuating wealth.
Spending hesitantly left the most regrets.
"And Jong-yeop. Need to head to the U.S."
"Yes?"
"Isung Group and Mirae Motors execs coming too. Meet the Texas governor, scout factory sites."
Car plants needed great access and vast land.
Lee Jong-yeop sounded unsure.
"What do I know about factory sites?"
"I don't know jack about them either. That's why you go."
"......"
Lee Jong-yeop, usable rain or shine.
No worries—with Isung Group and Mirae Motors building U.S. plants, they'd help plenty.
* * *
Jo Soo-yeon had a habit when seeing her sister.
"Sis, get a boyfriend already!"
From high school, college, even work—no boyfriend.
On a call from Busan, new gossip.
―Soo-yeon, come to Seoul, I'll introduce my boyfriend.
"Really? You got one?"
―Yeah.
"How long?"
―Less than a year seriously.
Jo Soo-yeon figured she alone protected her naive sister.
Curious, she fired questions.
"What does he do? Office worker?"
―Works at a company.
True enough—he ran his own.
"Big corp? Public firm?"
She thought her sister could snag a big corp guy.
―Big corp? Company’s huge, but it's a foreign startup.
"Yeah? Not unstable?"
―Not that shaky.
Jo Soo-ah couldn't spill details over phone.
Parents or gossips might spread it before even meeting Kim Shin.
Plus, he was swamped—might not see her sister.
"So, sis's boyfriend's salary?"
―Salary?
As sister, Jo Soo-yeon pried bluntly.
―Dunno exactly.
"Not roughly?"
―No. No idea.
She knew Earth Resource salaries dwarfed Arcor's.
But CEO pay? Unknown.
―Don't dig into salary details. He's filthy rich.
"Of course he'd say that to a new girlfriend."
Jo Soo-yeon doubted first.
Guys pretending rich to fresh girlfriends? Dime a dozen.
'Gotta check him out properly this time.'
* * *
Weekends, met folks.
Like An Myeong-guk, VP, or Kim Sang-gi—known since Arcor days.
Kim Sang-gi gawked at the over-3,200 sq ft apartment, gasping repeatedly.
"Expensive pads are the best."
"Yeah. They are."
"Money's the shit. Whew, thrilling."
Delivery chicken for dinner, eaten at home.
Spicy and fried on the terrace, leisurely.
"How long in Korea?"
I smiled faintly at An Myeong-guk's question.
"Gotta head out soon."
Longer than planned.
Earth Resource ran fine without him, but needed funding for Earth Car.