Knowledge Formation and the Great Divergence between China and Europe: Manuscripts and Printed Books, ca. 581–1840

Literature dealing with the history of Chinese printed books and printing is voluminous. Yet studies of how knowledge in general and utilitarian forms of knowledge in particular were generated, accumulated and circulated by printed books and their relationship with the long-term socio-economic transformation of China are rare. This paper aims to open up the subject by examining the long-term trends in the production of manuscripts and books and focusing on the connections between the generation and dissemination of useful knowledge in China and the production and circulation of printed books over the centuries and dynasties from circa 581 to 1840 compared to Europe. It connects trends in this indicator for knowledge formation and diffusion to economic growth, urbanization, changes in higher forms of education, the rise of literacy, the development of printing technologies, and changes in perceptions of the natural world. It concludes that human capital formation in China probably proceeded at a slower rate,which is relevant for narratives of the “divergence” between China and Europe.

Technical and allocative efficiency of irrigation water use in the Guanzhong Plain, China

Due to increasing water scarcity, accelerating industrialization and urbanization, efficiency of irrigation water use in Northern China needs urgent improvement. Based on a sample of 347 wheat growers in the Guanzhong Plain, this paper simultaneously estimates a production function, and its corresponding first-order conditions for cost minimization, to analyze efficiency of irrigation water use. The main findings are that average technical, allocative, and overall economic efficiency are 0.35, 0.86 and 0.80, respectively. In a second stage analysis, we find that farmers’ perception of water scarcity, water price and irrigation infrastructure increase irrigation water allocative efficiency, while land fragmentation decreases it. We also show that farmers’ income loss due to higher water prices can be offset by increasing irrigation water use efficiency.