Unveiling the Key to Economic Performance: The Diversity of Institutional Change
Understanding how institutions change is crucial for understanding how economies perform over time. Different theories, like original institutionalism and new institutional economics, offer insights into this process. Original institutionalism focuses on the value of institutions, while new institutional economics looks at institutions as rules or equilibria. By comparing these approaches, we can see how they complement each other and provide a more comprehensive understanding of institutional change. The dialogue between these theories is important for advancing our knowledge in this area.