ABSTRACT
Chinese writers emphasize the working of the dynastic cycle. In China, the Qianlong Emperor, who called himself 'the old man who completed a perfect record', had been dead for barely a year. The 'old man' emperor's military campaign, conducted principally by Chinese troops called the 'Green Standards'. These developments ushered in the new century, for China to be one of repeated defeats and insurmountable difficulties. Adam smith wrote, China has been long one of the richest, that is, one of the most fertile, best cultivated, most industrious, and most populous countries in the World. He considered that there are 'two systems of political economy'; one is 'the system of commerce', the other 'that of agriculture', and the system of commerce is 'the modern system'. Modern commerce depends upon the wide extension of credit, impersonal management, and the pooling of service facilities. When China was forced to modernize, the revolution was expected to undo the works of a millennium.
