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A Multiplicity of Approaches to Institutional Analysis. Applications to the Government and the Arts

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  • Bruno S. Frey

Abstract

Four types of “economics” relevant for institutional analysis are distinguished: Standard Neoclassical Economics; Socio-Economics or Social Economics; New Institutional Economics; and Psychological Economics (often misleadingly called Behavioural Economics). The paper argues that an extension of Neoclassical Economics with elements from other social sciences (including political science, sociology, psychology, law and anthropology) is fruitful to explain institutions because it allows us to maintain the strength of that approach. Social Economics can play an important role helping to overcome the limitations of Neoclassics. However, it should become more concrete, integrate what is useful in Neoclassics, and should seriously engage in empirical research.

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File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2009/wp-cesifo-2009-07/cesifo1_wp2727.pdf
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Bibliographic Info

Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 2727.

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Date of creation: 2009
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Handle: RePEc:ces:ceswps:_2727

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Related research

Keywords: Institutional Economics; Neoclassics; Psychological Economics; Behavioural Economics; institutions;

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  1. Elina Lampi & Matilda Orth, 2009. "Who Visits the Museums? A Comparison between Stated Preferences and Observed Effects of Entrance Fees," Kyklos, Wiley Blackwell, vol. 62(1), pages 85-102, 02.
  2. Robert P. Inman & Daniel L. Rubinfeld, 1997. "Rethinking Federalism," Journal of Economic Perspectives, American Economic Association, vol. 11(4), pages 43-64, Fall.
  3. Vanberg, Viktor J, 2000. "Functional Federalism: Communal or Individual Rights?," Kyklos, Wiley Blackwell, vol. 53(3), pages 363-86.
  4. Bruno Frey, 2009. "Economists in the PITS?," International Review of Economics, Springer, vol. 56(4), pages 335-346, December.
  5. Casella, Alessandra & Frey, Bruno, 1992. "Federalism and clubs : Towards an economic theory of overlapping political jurisdictions," European Economic Review, Elsevier, vol. 36(2-3), pages 639-646, April.
  6. Throsby,David, 2000. "Economics and Culture," Cambridge Books, Cambridge University Press, number 9780521586399, October.
  7. Andreas P. Kyriacou, 2006. "Functional, Overlapping, Competing, Jurisdictions and Ethnic Conflict Management," Kyklos, Wiley Blackwell, vol. 59(1), pages 63-83, 02.
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