Institutional and developmental paths differences among developed countries: the varieties of capitalism. A literature review (original) (raw)

An Introduction to Varieties of Capitalism

Varieties of Capitalism, 2001

This chapter outlines the theoretical perspective behind a ‘varieties of capitalism’ approach to comparative political economy, emphasizing the central role of the firm as the agent of economic adjustment and the impact of the relationships it forms in the spheres of corporate governance, labour relations, skill formation, inter‐corporate relations, and employer–employee relations. It develops the distinction between liberal market economies, where firm endeavours are coordinated primarily by markets, and coordinated market economies, where coordination is more heavily strategic, and explores how the institutional complementarities in these economies give rise to distinctive forms of innovation as well as comparative institutional advantages that condition the response of firms and national governments both to globalization and to the dilemmas they face in the realms of economic and social policy‐making.

Development of states and forms of Capitalism: An empirical examination of their relationship

Business and Economic Horizons, 2013

Given the current economic crisis, we find this time of economic analysis to be both timely, and useful in determining which economic "style" is most supportive countries' development in global capitalism. The goal of this paper is to determine which form of capitalism is most supportive the country's development. The hypothesis that is raised in this paper is "The countries with the Liberal Market Economics system are more developed than Coordinated Market economics system countries". This paper uses Hall and Soskice's (2001) theoretical approach to varieties of capitalism to analyze countries' competitiveness according to the World Economic Forum (WEF) and International Institute For Development Management (IMD) competitiveness indices. We use Knell and Srholec's (2005) introduced methodology to calculate the index of coordination, which determines a country's type of capitalism. The index consists of 12 variables, which later are divided into 4 groups according to the factor analysis results. Calculations confirmed the main differences, indicated in the literature, between two forms of capitalism at opposite extremes: Liberal Market Economies (LME) and Coordinated Market Economies (CME). Moreover, we discovered that CME is more supportive according to the human development rankings.

Varieties of capitalism in emerging economies (2013)

2013

Our contribution discusses the field of comparative capitalism research and it application to emerging economies. Based on criteria for a critical institutional analysis we review alternative models for the analysis of emerging market capitalisms. In doing so, we identify the model of state-permeated market economies (SMEs) as a suitable reference for emerging economies. Finally, the model of SMEs is discussed in the context of South African capitalism.

In search of developmental capitalism institutions

Revista Brasileira de Sociologia - RBS, 2021

How can we explain that some emerging economies grow faster than others? What explains the sustainability of their growth? Not all types of capitalism in emerging markets contribute equally to sustainable growth rates that undergird development. Comparative capitalism research on European economies temporary growth models aims to more properly grasp change in the varieties of capitalism approach. Adoption of the growth models in emerging markets capitalism research requires attention to integration into the global economy and to political coalitions, and the need to deal with the methodological challenges, given high labor market informality and political instability. This article seeks to make sense of changes in the components of successive growth models throughout a path-dependent capitalist variety, expand the growth model analytical framework by testing elements alongside demand (and supply) based on a case study of Brazil, and explore coalitions in economic reform to identify ...

Institutional change in varieties of capitalism

Socio-Economic Review, 2008

Contemporary approaches to varieties to capitalism are often criticized for neglecting issues of institutional change. This paper develops an approach to institutional change more extended than the one provided in Hall and Soskice (in Varieties of Capitalism: The Institutional Foundations of Comparative Advantage, Oxford, Oxford University Press, 2001) but congruent with its varieties-ofcapitalism perspective. It begins by outlining an approach to institutional stability, which suggests that the persistence of institutions depends not only on their aggregate welfare effects but also on the distributive benefits that they provide to the underlying social or political coalitions; and not only on the Paretooptimal quality of such equilibria but also on continuous processes of mobilization through which the actors test the limits of the existing institutions. It then develops an analysis of institutional change that emphasizes the ways in which defection, reinterpretation and reform emerge out of such contestation and assesses the accuracy of this account against recent developments in the political economies of Europe. The paper concludes by outlining the implications of this perspective for contemporary analyses of liberalization in the political economy.