Economic Problems. Although the Song (960-1279) enjoyed more prosperity than any previous dynasty, the problems of the degeneration of imperial leaders and fiscal difficulties associated with the dynastic cycle resurfaced by the end of the eleventh century. During the first six decades of the dynasty, government revenues increased to 150,850,000 units (each unit was approximately equivalent to a string of one thousand coins) in 1021. The government income, however, soon declined by almost 25 percent.

Causes. Scholars have attributed the Song economic problems to several causes. First, in the beginning of the dynasty there was a period of population increase as the leaders more vigorously and effectively maintained relative peace and stability. This increase lowered the agricultural surplus and thus reduced the taxable income. Second, the growing number of people meant that each succeeding generation received less land to farm...