Interpreting Zhejiang's Development

The following sections are included:

• About the Author
• Contents

Since the late 1970s and the beginning of the 1980s, thanks to the practice of the reform and opening-up, social dynamics have been unleashed in a gradual manner. However, no one could expect what kind of transformation China would undergo at that time, let alone the economic miracle that Zhejiang Province would witness. Though it is difficult to present a panorama of this process, by using simple cognition models, we can regard the process of social changes in Zhejiang as a transition from tradition to modernization. It is clear that the driving force of this transition comes from the private sector. This is demonstrated by the rise of specialized markets across Zhejiang Province, the boom of private enterprises and joint-stock cooperative economy, the rise of local economy such as “One Village One Product” and “One Town One Product,” and the presence of Zhejiang Village, Zhejiang Street and Wenzhou Village. These are well-constructed, self-funding towns (as represented by Longgang Town, the First National Farmer Town) that manage their own funding in the areas of reconstructing old cities, non-government funded education and informal talks (held in places such as Taizhou, etc.) since the reform and opening-up. It is safe to conclude that the market and civilian driving forces play a role of self-organization while the government plays a role of facilitation and support. The transition toward modernization comes both from top-down and bottom-up, in that it is caused not only by the governments’ easing restrictive policies but also by people’s initiative based on the anticipated benefits and costs in the face of profitable opportunities generated by imbalanced institutions. The latter cause sets Zhejiang apart from the Southern Jiangsu Pattern characterized by the governments’ strong interference (especially from township governments) and the Guangdong Pattern characterized by introducing foreign capital and developing an export-oriented economy. The process of institutional innovations as well as social and economic development in Zhejiang has well illustrated the so-called “inductivity” in Neoinstitutional Economics and featured “an extended order” put forward by scholar F.A. Hayek…

The following sections are included:

• Introduction
• The Origin of the Problem
• Characteristics of the Regional Development Pattern of Contemporary Zhejiang
  • Government-Improved Model of Regional Institution Innovation and Economic and Social Development
  • The People-Induced Model of Regional Institution Innovation and Economic and Social Development
• The Marginal Area of the Planned Economy and People-Induced Spiritual Motivation
  • A Question That Needs Clarification
  • The Marginal Area of the Planned Economy and the Self-Entrepreneurial Spirit
• Large Population with Limited Land and the People-Induced Spiritual Motivation
  • Influence of the Natural Environment on the Spirit
  • The Contradiction between People and Land and the Spirit of Self-Entrepreneurship

The following sections are included:

• Introduction
• The Spirit of “Striving for Practical Results” and the Contemporary Phenomena of Zhejiang Economic Society
  • The Spirit of “Striving for Practical Results” Under the Planned Economy
  • The Spirit of “Striving for Practical Results” Since the Reform and Opening-Up
• Regional Great Tradition and the Cultural Spirit of “Striving for Practical Results”
  • A Dilemma That is Hard to Justify
  • The Confucian Cultural Tradition and the Spirit of “Striving for Practical Results”
• Regional Folk Tradition and the Cultural Spirit of “Striving for Practical Results”
  • Practice of the Folk Industry and Commerce and the Spirit of “Striving for Practical Results”
  • The Folk Social Psychology and the Spirit of “Striving for Practical Results”

The following sections are included:

• Introduction
• Great Cultural Tradition of Industry and Commerce of Ideologists
  • Industry and Commerce Being Equally Important
  • Four Social Classes Engaging in Different Work Share the Same Purpose of Being Conscientious
• Little Traditions of Folk Industrial and Commercial Culture
  • Little Folk Cultural Traditions as Life Policy
  • Little Cultural Industrial Traditions of Zhejiang Folks
  • Little Cultural Traditions of Commerce of Zhejiang Folks
• Cultural Tradition of Industry and Commerce and Path of Zhejiang’s Economic and Social Development
  • Regional Cultural Tradition of Industry and Commerce and Contemporary Zhejiang Economic Evolution
  • Regional Cultural Tradition of Industry and Commerce and the Development of Contemporary Zhejiang Society
• Differences in Traditional Business and Contemporary Relations with Economic and Social Development in Zhejiang, Anhui and Shanxi
  • Comparison of Traditional Commercial Culture in Zhejiang, Shanxi and Huizhou
  • Cultural Traditions of Businessmen in Zhejiang, Shanxi and Huizhou, and the Contemporary Political Environment
  • Features and Subsequent Effects of Zhejiang, Huizhou and Shanxi Merchants’ Cultural Traditions
  • The Evolution and Expansion of the Cultural Tradition of Zhejiang Merchants in the Contemporary Era

The following sections are included:

• Introduction
• Particularistic Trust and Family Culture in the Region of Zhejiang
  • Family Culture, Particularistic Trust and Differential Mode of Association
  • Family Culture and Particularistic Trust Pattern in the Region of Zhejiang and Their Revival
• Trust Pattern, Network of Relationships and Economic and Social Behaviors in Contemporary Zhejiang
  • Particularistic Trust, Network of Relationships and Performance of Regional Responsibility System in Agriculture
  • Particularistic Trust, Network of Relationships and Regional Social and Economic Activities
• Particularistic Trust, Network of Relationships and Zhejiang’s Business Organizations
  • Particularistic Trust, Network of Relationships and Village and Township Collective Enterprises
  • Particularistic Trust, Network of Relationships and Private Enterprise Organizations
  • Particularistic Trust, Network of Relationships and State-Owned Enterprise Organization
  • Particularistic Trust, Network of Relationships and Organizational Performance of Enterprises

The following section is included:

• Bibliography