Factor Endowment,Merchant Behavior And Economic Development

The behavior of merchants has a special effect on the development of regional economy,but the academic community is currently focusing on the influence of factor endowment and the agglomeration effect brought by it on the development of regional economy.This article takes the southwest and middle of Shanxi as examples in the Ming and Qing DynastiesBased on the existing historical data,this paper mainly uses theories of economics,sociology,and history to investigate the endowment of factors and the behavior of merchants on the regional economy through case studies,investigate the impact of factor endowment and merchant behavior on regional economic development.Southwest of Shanxi was developed on the basis of its own resource advantages—Hedong Yanchi and its own agricultural development conditions,and the government 's opportunity.Factor endowment drives the behavior of merchants.Merchant behavior and factor endowment promote the division of labor and specialization of businessmen,reducing transaction costs.The interaction between the two has led to population agglomeration,industry agglomeration,capital agglomeration,and urban agglomeration in the southern Jinan area,thereby promoting the economic development of the southern Jinan.The middle of Shanxi region does not rely on the endowment of factors to form an industry.Instead,it relies on government policies to conduct merchant activities first,and then drives the formation and agglomeration of capital factors.The interaction between the two promotes the development of the middle of Shanxi regional economy.However,when there is a major change in the policy orientation,businessmen in the usual sense and merchants of the overseas Chinese nature are bound to decline to a certain extent.The previous business opportunities and historical opportunities will become the fundamental elements of historical burdens and the tendency of business groups to decline.As a result,the region's reserve power for development was instantly lost,and the process of economic development and social change in the region was affected.Therefore,the southwest of Shanxi merchants were covered by the middle of Shanxi merchants.Based on regional economics,this article discusses the endowment of endowments,merchant activities,and regional economic development in the Southern and Central Jin Dynasties.Deeply exploring the laws of economic development in the southern and central regions of the Ming and Qing dynasties has enriched the perspectives and content of the studies on Shanxi businessmen and the study of regional economic history in China.