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A Multidisciplinary Foundation of Inclusive Institutions Analysis
Utrecht University School of Economics, Utrecht, The Netherlands
- 1 Utrecht University School of Economics, Utrecht, The Netherlands
Theoretical Economics Letters·Volume 08 (2018)·Pages 1987–2005·Published 20 July 2018·DOI10.4236/tel.2018.811130
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Abstract
In contrast to prevalent institutional theory this article offers a multi-motivated institutional analysis. Institutions are supposed to channel human behaviour, which is economically, socially and psychically driven, so as to maximize wealth, status and self-respect, respectively. The analysis shows that extractive institutions are the result of the irrationality and immorality, especially of the people in power. The significant reduction of these two characteristics is a necessary condition for a society to become more inclusive.
KeywordsInclusive InstitutionsMulti-Motivational Structure(Ir)Rationality(Im)MoralityEfficiencyReason
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