Changing institutions can have a profound and lasting effect on individuals and societies, while at other times are lost to history. Reward systems and punishments shape our decision-making processes, and these experiences are influenced by the institutions, culture, and relationships within a given society at a given time. Additionally, power dynamics are an important factor to consider, as institutions can be used for repression and maintaining power, status, and wealth; however, they also promote freedom and emancipation.
The research designs in subsequent chapters demonstrate empirical approaches to comparative institutional analysis. Each essay identifies changes to unique institutional settings with distinct governance structures or contractual agreements, to provide the conditions for meaningful comparison. The central themes include persistence, path dependence, formal and informal rules, transaction costs, social order and embeddedness, in the broader context of both short-run and long-run time continuum.
Once the institutional settings are established, identification strategies are employed to estimate the effects of variation on decision making and economic outcomes. The essays illustrate the influence of institutional economics on contemporary research designs and demonstrate the merits of applied empirical research. This dissertation has been developed to contribute to a deeper understanding of institutional preconditions and the effects they have on political and economic behavior. By addressing these paradigms, we enhance our understanding of human behavior and the intricate relationship between institutions, decision-making, and outcomes.
