Micro Theory and Recent Developments in the Study of Economic Institutions Through Economic History
First draft: July, 1995 This draft: March 4, 1996 Prepared for a symposia on Economic History in the Econometric Society, Seventh World Congress, Tokyo 1995. Forthcoming in Advances in Economic Theory. Edited by David M. Kreps and Kenneth F. Wallis. 1996. Cambridge University Press. This paper discusses the three approaches within economic history that utilizes micro-economic theory to examine institutions, their nature, change, and efficiency: the Neo-classical Economics approach, the New Institutional Economic History approach, and Historical Institutional Analysis approach. The focus is on methodology and general results rather than on any specific conclusions regarding institutions in particular historical episodes. Most of the survey is devoted to elaborate on the recent development of Historical Institutional Analysis.
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