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History as a laboratory to better understand the formation of institutions

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  • VAN BAVEL, BAS

Abstract

A main instrument for better understanding the formation of institutions, and explaining the differences in their long-run development between periods and societies, would be to use history as a laboratory, allowing us to test the hypotheses developed in the social sciences. This paper discusses the study by Douglas Allen, The Institutional Revolution, in that context, in order to identify some of the pitfalls in the current attempts by economists to use historical analysis. Next, the paper places his English case into a comparative perspective, helped by the recent insights gained by economic and social history, to see how these pitfalls can be avoided. Based on this, I argue for comparisons at the regional, national and global levels, and for a multidimensional view which includes social contextualization, combined with an open eye for discontinuity in long-run patterns, in order to avoid one-dimensional and teleological approaches to institutional change.

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  • Van Bavel, Bas, 2015. "History as a laboratory to better understand the formation of institutions," Journal of Institutional Economics, Cambridge University Press, vol. 11(1), pages 69-91, March.
    • Handle: RePEc:cup:jinsec:v:11:y:2015:i:01:p:69-91_00
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    1. Hansen, Bradley A. & Hansen, Mary Eschelbach, 2016. "The historian's craft and economics," Journal of Institutional Economics, Cambridge University Press, vol. 12(2), pages 349-370, June.
    2. van Bavel, Bas, 2016. "The Invisible Hand?: How Market Economies have Emerged and Declined Since AD 500," OUP Catalogue, Oxford University Press, number 9780199608133.
    3. van Besouw, Bram & Ansink, Erik & van Bavel, Bas, 2016. "The economics of violence in natural states," Journal of Economic Behavior & Organization, Elsevier, vol. 132(PA), pages 139-156.
    4. Van Bavel, Bas & Ansink, Erik & Van Besouw, Bram, 2017. "Understanding the economics of limited access orders: incentives, organizations and the chronology of developments," Journal of Institutional Economics, Cambridge University Press, vol. 13(1), pages 109-131, March.

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