The Methodology Of Institutional Analysis Of Shanxi Merchant

If we choose the theory and method of the New Institutional Economics to make an institutional analysis of Shanxi Merchant, the explanation ability of Shanxi Merchant Science to their institution and other related things would be greatly improved. And the study of Shanxi Merchant will be improved to a new standard. The paper looks back on the development process and makes a summary of the chief achievement and analytic method of Shanxi Merchant Science first. Second, the paper sets up a theoretical system of institutional analysis of Shanxi Merchant applying the theory and method of the New Institutional Economics and describes the model of the institutional changes of Shanxi Merchant.The cores of the institutional system of Shanxi Merchant are the internal institutions, which are changing because of the Shanxi Merchant' s experiences. The external and internal institutions decide Shanxi Merchant' destiny together. The Institutional System of Shanxi Merchant are integrated, structured, ordered and opened.There is an internal mechanism in the institutional changes of Shanxi Merchant. The organization' effective-ness is the key of the institutional Changes of Shanxi Merchant, and its source is the change of relative price; the effective institution provides adaptation efficiency to Shanxi Merchant.