Prosperity signifies success in economic performance. Economic
performance always takes place in a spatial context. And
institutions matter in economic performance. These three interwoven
themes underlie this inquiry into the regional economy of southern
Fukien province during the Sung and Yuan dynasties, when the area
was one of the most prosperous regions in China. Through a
meticulous reading of the sources, the author seeks to understand
the meaning of prosperity in the premodern Chinese context and
argues that we have to understand economic performance as a process
occurring in space and influenced by institutions, which affect
economic actors particularly through the means of transaction
costs.
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