Suchergebnisse

AbstractModern theory identifies several sources of economic growth, such as capital accumulation, new techniques, secure property rights and contracts, and absence of rent seeking. This paper introduces new social technologies as yet another source of growth and emphasizes our incomplete knowledge of social systems. I introduce a framework for analyzing institutional policy and use the case of modern biotechnology to explain how uncertainty about social technologies, persuasion, and competing beliefs influence the evolution of property rights.

ABSTRACT A theory of institutional reforms must recognize what policy instruments are available, how politics restrains the choice sets of reformers, and whether spontaneous counter-policy by ordinary actors is likely to undermine reforms. A discussion of the so-called Determinacy Paradox concludes that it is not a practical issue. Insights suggested by the new institutionalism include measures to reduce political risks, increase the durability of reforms, and reduce transaction. The main weakness of NIE as a guide to policy is its limited understanding of the role of norms in undermining reforms and of long-term internal dynamics of social systems.

The drastic inflation which Iceland experienced in the late‐1970s to the mid‐'80s has lessons for the rest, of the world, Thráinn Eggertsson, Professor of Economics at the University of Iceland, examine the degree to which the Central Bank intervenes increasingly in the economy.