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

While "capitalism", defined as an economic system built on private ownership of property, clearly has prevailed for 200 years, there are many differences among the nearly 200 countries that now practice it in some form, included among developed countries. All variants of capitalism function within market economies, accordingly they share numerous common institutions; however the way institutions and incentives operate may be very different, which leads to significant varieties among capitalist economies. This paper overviews the bourgeoning literature on the varieties of capitalism, by identifying the major strands within it. The discussion of the varieties of capitalism is in the framework of institutional analysis.