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Institutional Change and Endogenous Development: Theoretical Contributions

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  • Bruna Coradini Nader Adam

    (Business School, Campus Santana do Livramento, Federal University of Pampa (UNIPAMPA), Santana do Livramento 97573-634, Rio Grande do Sul, Brazil)

  • João Garibaldi Almeida Viana

    (Department of Agricultural Education and Rural Extension, Center for Rural Sciences, Federal University of Santa Maria (UFSM), Santa Maria 97105-900, Rio Grande do Sul, Brazil)

  • Carine Dalla Valle

    (Business School, Campus Pantanal, Federal University of Mato Grosso do Sul (UFMS), Corumbá 79304-902, Mato Grosso do Sul, Brazil)

Abstract

This essay aims to address the existing theoretical gap regarding the in-depth study of institutional change and its relationship with the endogenous development potential of regions. The intersection of these two theoretical approaches offers an understanding of how changes in formal and informal institutions can influence local development, especially when internal resources and local capacities drive this progress. The research was conducted using a bibliographic method and adopts a qualitative approach, seeking an in-depth understanding of the topic. Relevant assumptions about endogenous development were presented and articulated with the institutional change by Douglass North. The contribution of this theoretical approach was to highlight the role of institutional change as a driving force behind regional endogenous development, defining, from the perspective of endogenous development, the institutions that are determinants of the development process of economies. Based on our theoretical construction, we suggest future studies that are concerned with illustrating empirical cases of how formal and informal institutions can promote endogenous development.

Suggested Citation

  • Bruna Coradini Nader Adam & João Garibaldi Almeida Viana & Carine Dalla Valle, 2025. "Institutional Change and Endogenous Development: Theoretical Contributions," Economies, MDPI, vol. 13(6), pages 1-13, June.
    • Handle: RePEc:gam:jecomi:v:13:y:2025:i:6:p:165-:d:1674621
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    References listed on IDEAS

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    1. Douglass C. North, 2005. "Introduction to Understanding the Process of Economic Change," Introductory Chapters, in: Understanding the Process of Economic Change, Princeton University Press.
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