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Success of Path Dependence Through Perpetuation of Failure During Reform

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  • E Kasabov
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    Abstract

    The primary purpose of this paper is to extend current debates about path dependence and to contribute to scholarship by addressing inadequately researched aspects of path dependence: the role of individuals in sustaining long-standing 'inefficient' institutions; the balance of 'path following' and 'path violation'; and path dependent resource utilisation, not resource allocation. These matters are illustrated through and discussed in the context of 'asset-stripping' and 'rent-seeking' in the 2000s and during the earlier, illegal privatisation of state-owned assets in 1990s Bulgaria.

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    Bibliographic Info

    Article provided by Economic Issues in its journal Economic Issues.

    Volume (Year): 15 (2010)
    Issue (Month): 1 (March)
    Pages: 55-82

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    Handle: RePEc:eis:articl:110kasabov

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    Web page: http://www.economicissues.org.uk
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    1. Stephen E. Margolis & S.J. Liebowitz, . "Path Dependence, Lock-in and History," Working Paper Series 10, North Carolina State University, Department of Economics.
    2. Foray, Dominique, 1997. "The dynamic implications of increasing returns: Technological change and path dependent inefficiency," International Journal of Industrial Organization, Elsevier, vol. 15(6), pages 733-752, October.
    3. Ryszard Zukowski, 2004. "Historical path dependence, institutional persistence, and transition to market economy: The case of Poland," International Journal of Social Economics, Emerald Group Publishing, vol. 31(10), pages 955-973, Septembe.
    4. Ron Martin & Peter Sunley, 2006. "Path dependence and regional economic evolution," Journal of Economic Geography, Oxford University Press, vol. 6(4), pages 395-437, August.
    5. Katz, Michael L & Shapiro, Carl, 1986. "Technology Adoption in the Presence of Network Externalities," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 822-41, August.
    6. David, Paul A, 1985. "Clio and the Economics of QWERTY," American Economic Review, American Economic Association, vol. 75(2), pages 332-37, May.
    7. Arthur, W Brian, 1989. "Competing Technologies, Increasing Returns, and Lock-In by Historical Events," Economic Journal, Royal Economic Society, vol. 99(394), pages 116-31, March.
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