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Beyond Institutions: Beliefs and Leadership

Lee Alston

The Journal of Economic History, 2017, vol. 77, issue 2, 353-372

Abstract: Beliefs shape the choices of institutions. Beliefs are generally stable, but shocks that cause sufficiently unexpected economic and political outcomes make beliefs malleable. Within these windows of opportunity, leadership can play a role in shaping a new belief among the dominant organizations that in turn generates new institutions and over time a possible transition to a new developmental trajectory.

Date: 2017
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