Possibilities and limits of reform (On the book by Thrainn Eggertsson “Imperfect institutions. Possibilities and limits of reform”)

Abstract

The paper explains why, despite the publication of the original edition of the book in 2005, Eggertsson’s work is still relevant and why it should be studied not only by experts in institutional economics. The provisions of the research results on imperfect institutions are discussed, including the discussions of the institutional transformation of the Russian economy at the end of the 20th century. The issues of the relationship between social and production technologies, path dependency, social mental models and institutional changes are revealed, with an emphasis on the problems of the consequences of mass privatization in Russia, and on the transplantation of institutions following the ideas on the institutional structure of society.