Approaches to Economic Institutionalism: A Theoretical Review of its Characteristics and Elements of Study

María Francisca Cazorla  Logroño; Juan R.  Gallego-Bono

doi:10.36941/ajis-2023-0060

Authors

María Francisca Cazorla Logroño PhD Candidate, Social Economy, University of Valencia, Spain; Escuela Superior Politécnica de Chimborazo, 060107, Ecuador
Juan R. Gallego-Bono Department of Applied Economics, University of Valencia, Avda. de Tarongers s/n, 46022 Valencia, Spain

DOI:

https://doi.org/10.36941/ajis-2023-0060

Keywords:

Institutionalism, Neo-Institutionalism Economic, New Institutional Economics

Abstract

Institutionalism emerges as a scientific construct of economics and sociology, becoming a fundamental element for achieving the development objectives of countries (Portes, 2009). The theoretical review of its approaches, characteristics and elements of study, based on the prominent works of Ronald Coase (1988), Douglas North (1990), Oliver Williamson (1988) and Elinor Ostrom (2009), are carried out with the objective of exposing from another perspective the theories of the Traditional Institutionalist approach (TI), the Economic Neo- Institutionalism (NE) and the New Institutional Economics (NEI). Through the description and exploration, qualitative and transversal, of primary and secondary sources, the convergent and differentiating elements of each approach are described, as well as the importance of their characteristics in the economic system. The study of Institutionalism allows the recognition of market failures, irrationality in the decisions of economic agents, agency problems in the implementation of public policies, the existence of transaction costs, taking as a reference the theories of Economic Institutionalism and its approaches.

Received: 22 February 2023 / Accepted: 16 April 2023 / Published: 5 May 2023