Why did Taizong’s reign experience low prices and general prosperity?

The reign of the Taizong emperor (626–649), often referred to as the "era of good government of Zhenguan," achieved prosperity and low prices through a combination of frugal governance and proactive economic measures.1

Taizong maintained a comparatively simple and inexpensive government by reducing the bureaucratic establishment at the capital and minimizing the number of local administrative divisions. To ensure the stability of the countryside and protect against famine, his administration implemented measures to provide tax relief for areas affected by natural disasters and established relief granaries to maintain adequate food reserves.1

These efforts were supported by the continuation of his father’s economic policies, which focused on efficient administration. While Taizong faced challenges such as a reduced tax base following years of civil war, his focus on restoring civil administration and maintaining standardized, efficient local governance helped foster an environment of general prosperity.12