Political Institution and Long Run Economic Trajectory: Some Lessons from Two Millennia of Chinese Civilization
Based on a reconstruction of a weighted index of political unification and a time series of incidences of warfare for the past two millennia, this paper develops a narrative to show that the establishment and consolidation towards a single unitary monopoly of political power in China was an endogenous historical process. Drawing on new institutional economics, this article develops a historical narrative to demonstrate that monopoly rule, a long time-horizon and the large size of the empire could give rise to a path of low-taxation and dynastic stability co-evolving with the growth of a private sector under China’s imperial system. But the fundamental problems of incentive misalignment and information asymmetry within its centralized and hierarchical political structure also placed limits to institutional change necessary for modern economic growth.
|Date of creation:||Jan 2012|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: 44 - 20 - 7183 8801
Fax: 44 - 20 - 7183 8820
|Order Information:|| Email: |
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Debin Ma, 2004. "Growth, institutions and knowledge: a review and reflection on the historiography of 18th-20th century China," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 44(3), pages 259-277, November.
- Turchin, Peter, 2009. "A theory for formation of large empires," Journal of Global History, Cambridge University Press, vol. 4(02), pages 191-217, July.
When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:8791. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()The email address of this maintainer does not seem to be valid anymore. Please ask to update the entry or send us the correct address
If references are entirely missing, you can add them using this form.