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Hierarchies, markets and power structures: some foundational issues on the role of institutions

Hierarchies, markets and power structures: some foundational issues on the role of institutions. Giovanni Dosi. Different notions of institutions. 1) Formal organizations (from firms to technical societies, from universities to government agencies,…)

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Hierarchies, markets and power structures: some foundational issues on the role of institutions

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  1. Hierarchies, markets and power structures: some foundational issues on the role of institutions Giovanni Dosi

  2. Different notions of institutions 1) Formal organizations(from firms to technical societies, from universities to government agencies,…) 2) a-collectively shared and socially legitimized patterns of behavior (from social habits to routines, to ethical practices…) Conventions… b- shared “mental models” and “identities”… 3) Negative norms and constraints(from moral prescriptions to formal laws…) 4) Institutions as “social technologies”

  3. Possible dimensions for classification of different theories • Role attributed to individual rationality in the development of collective institutions • Degrees of path-dependency / inertia of institutions themselves… • Relative analytical importance of “choice” vs. “constraints” in individual and collective behaviors… • Importance and modes of influence of history and institutions upon preferences and behaviors… • Nature of organizations in which agents operate (…from epiphenomena to asylums…)

  4. Units of analysis? • transactions? • information partitions? • actions/strategies? • utilities? • cognitive frames? • social roles?

  5. “Weak” vs. “Strong” institutionalism (1)

  6. “Weak” vs. “Strong” institutionalism (2)

  7. Nature of hierarchies

  8. Generative processes of institutions/organizations • Why does organization X exist…? Explicit dynamics vs. property of equilibria • How did organization X come to existence? “Constitutional” vs. self-organizing processes… a) processes of organizational learning…which ones…? b) criteria and mechanisms of selection within and among organizations… • Co-evolving institutions / organizations over rugged landscapes

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