By W. R. Garside (eds.)
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Additional resources for Institutions and Market Economies: The Political Economy of Growth and Development
The volume of literature on 'varieties of capitalism' is, however, stronger on descriptions of various capitalist institutions than it is on empirical or historical evidence. Much the same can be said of North's most recent conceptual discussion of the process of economic change (North, 200S). It is difficult to 'prove' that good institutions are a cause rather than a by-product of economic progress. Moreover, the design and reform of institutions are never easy processes. Nonetheless, the contribution that institutions, both formal and informal, make to economic growth is now rarely disputed in principle.
North, D. C. 'Economic Performance Through Time', American Economic Review, 84 (3) (1994): 359-68. North, D. C. Understanding the Process of Economic Change (Princeton and Oxford: Princeton University Press, 2005). Offer, A. 'Between the Gift and the Market: The Economy of Regard', Economic History Review, 50 (3) (1997): 450--76. Rodrik, D. 'Where Did All the Growth Go? External Shocks, Social Conflict, and Growth Collapses', Journal of Economic Growth, 4 (4) (1999): 385-412. Rodrik, D. , National Bureau of Economic Research, Working Paper No.
This is not an unjustified criticism, even though ironically one of the exceptions (Douglass North) has earned a Nobel Prize for his pioneering work on institutions and economic development (North, 1981). In practice, most economic historians take the role of institutions for granted. As a result, they appear to deal in a rather breezy way with a fiendishly complicated subject matter. This fact explains, even if it does 14 Barry Supple 15 not entirely justify, the surprise that most of us felt when we learned that economists had decided to reopen the black box of norms and institutions.
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