Though the Xia Dynasty existed in oral histories, there was no archaeological evidence found of it until 1959.Then excavations at Erlitou, in the city of Yanshi, uncovered what was most likely a capital of the Xia Dynasty.They were discovered because Chinese pharmacists were unknowingly selling oracle bones that the Shang had created; the pharmacists were selling the bones as dragon bones.These bones were first noticed in 1899, and by the 1920's, they were traced back to Anyang provence, where the last Shang capital was found and excavated.In China, The first evidence of advanced farming and surplus food production appears related to the Yangshao culture, which was focused in the basin formed by the confluence of the Yellow River (Huang Ho), the Fen Ho, and the Kuei-Shui Rivers.
Their use in the Shang period mainly seems restricted to royalty.Excavations were halted in 1937, when Japan attacked China.In the 1950's, an even earlier Shang capital was found near present day Zhengzhou.With improved productivity, an individual was able to produce more than he could consume.
This meant that neighboring clan captives were kept alive as slaves instead of being killed.
In so doing, he established a new era of hereditary monarchy that subsequently ruled in China for nearly 4,000 years. C.), the first hereditary dynasty in China was born.