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Beyond State vs. Market: Reframing State Capacity via Autonomy, Inclusion, and Mission- Driven Governance

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  • Kabadayı, Berkay Kaan

Abstract

This review synthesizes three paradigms: developmental state theory, inclusive institutions, and mission-oriented policy into a unified AIM (Autonomy × Inclusivity × Mission) framework of state capacity. The AIM framework is based upon three works, along with supporting papers, symbolizing each dimension: Milor's France–Turkey comparison, Acemoglu & Robinson's institutional framework, and Mazzucato's entrepreneurial state theory as an empirical anchor. It introduces a new configuration model that reveals how autonomy, inclusivity, and mission- orientation interact as complementary rather than competing dimensions of state capacity. We demonstrate through comparative case analysis that optimal state capacity requires balanced achievement across all three dimensions, which is not static and variable as evidenced through historical examples.

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  • Kabadayı, Berkay Kaan, 2025. "Beyond State vs. Market: Reframing State Capacity via Autonomy, Inclusion, and Mission- Driven Governance," SocArXiv 8jwfc_v1, Center for Open Science.
    • Handle: RePEc:osf:socarx:8jwfc_v1
    DOI: 10.31219/osf.io/8jwfc_v1
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    1. Daron Acemoglu & Simon Johnson & James A. Robinson, 2001. "The Colonial Origins of Comparative Development: An Empirical Investigation," American Economic Review, American Economic Association, vol. 91(5), pages 1369-1401, December.
    2. Ran Abramitzky & Leah Platt Boustan & Katherine Eriksson, 2014. "A Nation of Immigrants: Assimilation and Economic Outcomes in the Age of Mass Migration," Journal of Political Economy, University of Chicago Press, vol. 122(3), pages 467-506.
    3. Cheang, Bryan, 2024. "Why mission-directed governance risks authoritarianism: lessons from East Asia," LSE Research Online Documents on Economics 125640, London School of Economics and Political Science, LSE Library.
    4. Cheang, Bryan, 2024. "Why mission-directed governance risks authoritarianism: lessons from East Asia," Journal of Institutional Economics, Cambridge University Press, vol. 20, pages 1-1, January.
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