2013
DOI: 10.1146/annurev-soc-071811-145436
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Economic Institutions and the State: Insights from Economic History

Abstract: What mechanisms account for the long-run differences in economic development across historical settings? Current scholarship has renewed the argument that institutions are essential for promoting market transactions, industrialization, trade, and economic growth. In particular, recent work in economic history offers valuable empirical and theoretical insights into the development of market-supporting institutions, their long-term consequences, and their relationship to state-building. The purpose of this revie… Show more

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Cited by 21 publications
(8 citation statements)
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“…Several authors argue that informal networks sometimes stem from individuals' response to inefficient formal institutions (Ledeneva, 1998;Lomnitz, 1988;Lomnitz & Sheinbaum, 2004;Smart & Hsu, 2008). Such "private-order arrangements" are developed to substitute public-order institutions in societies where formal arrangements do not function effectively (Hillmann, 2013). My interviews also confirmed that people develop informal structures to survive in an uncertain formal institutional context.…”
Section: Imperatives Embedded Into Social Structuressupporting
confidence: 54%
“…Several authors argue that informal networks sometimes stem from individuals' response to inefficient formal institutions (Ledeneva, 1998;Lomnitz, 1988;Lomnitz & Sheinbaum, 2004;Smart & Hsu, 2008). Such "private-order arrangements" are developed to substitute public-order institutions in societies where formal arrangements do not function effectively (Hillmann, 2013). My interviews also confirmed that people develop informal structures to survive in an uncertain formal institutional context.…”
Section: Imperatives Embedded Into Social Structuressupporting
confidence: 54%
“…networks) (Jackson and Deeg, 2008;Batjargal et al, 2013) which is based on trust (Dyer and Chu, 2003), communal norms and intra-network sanctioning mechanisms (Greif, 2006;Hillmann and Aven, 2011). This informal system based on mutual support, effective monitoring and fast transfer of reliable information allows for trustworthy partnerships (Hillmann, 2013) at rational transaction costs as uncertainty is reduced (Peng et al, 2009) by checking for partners' social and reputational capital (Peng et al, 2005).…”
Section: Othersmentioning
confidence: 99%
“…North, Institutions ; Hillman, ‘Economic institutions and the state’, pp. 254–61; Acemoglu et al., ‘Institutions’.…”
mentioning
confidence: 99%