Structure and Change in Economic History
Average customer rating: 4.5 out of 5 stars
  • A basic tool for development economics
  • pls read this for better understanding of the world as it exists now
  • Structure and Change in Economic History
  • Institutions as Panacea
  • theory covering eight millenia of economic history
Structure and Change in Economic History
Douglass C. North
Manufacturer: W. W. Norton & Company
ProductGroup: Book
Binding: Paperback

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ASIN: 039395241X

Customer Reviews:

4 out of 5 stars A basic tool for development economics.......2007-05-07

Together with his more recent Institutions, Institutional Change and Economic Performance (1990), D.C.North provides here an indispensable framework to reflect on the problems of social transformation that underlie economic growth and development. He proffers no magic wand, but he describes the long processes implied in institution building which no development theoretician or practitioner should ever ignore.

4 out of 5 stars pls read this for better understanding of the world as it exists now.......2006-11-02

Do you want to know why the USA are rich and powerful and why Russia, for example, can't copy its way ? Why is export of formal institutions impossible in this world without considering ideology, mental structures and so on..
And don't even try to force others to be like you, to eat hamburgers and drive fords. We are different! and it lies beneath - in history.
It's the only positive and constructive idea that appears in ones mind when reading North. Let his theory be week and not scientific enough, let him mix neoclassics with institutional economics and history - this eclectics will do good for you as a killer of brain limits.
peace!

5 out of 5 stars Structure and Change in Economic History.......2004-12-03

This book aims to explain the structure and evolution of institutions. The author, Nobel laureate Douglass North, concludes that the tension between gains from specialization and attendant costs is "the basic source of structure and change in economic history." Institutions arise to exploit the gains from division of labor or to reduce transaction costs. This theory appears to offer considerable economy and power of explanation.

North asserts that, in the prehistoric era, human population increase would lead to declining labor productivity as resources were exhausted. New technologies could increase productivity but, if property rights were nonexclusive, as they must have been in a nomadic hunter-gatherer society, new technologies would simply accelerate resource depletion. Only if a tribe or band could exclude rivals from exploiting the resource, as they could in a settled agricultural society, would the productivity gains from new technology be sustained. The advantage that agriculture offered, then, was the opportunity to establish exclusive communal property rights. This produced what North calls the first economic revolution.

The first economic revolution, occasioned by the rise of agriculture, produced the state, "the most fundamental achievement of the ancient world." The state specialized in providing security, keeping order within societies and protecting them from outside threats, while the complex demands of an agricultural economy (compared to those of a hunter-gatherer economy) required increased specialization throughout the rest of society as well. Over time, new military technologies led to larger states and more representative forms of government as rulers were forced to make concessions to their constituents to compete militarily with other rulers.

The industrial revolution, which North refers to as the second economic revolution, was largely a result of better specified and enforced property rights that raised the private returns to invention and led to an invention "industry." The industrial revolution brought tremendous gains in the standard of living but required new institutions to achieve gains from specialization without losing them to attendant transaction costs.

North notes that transaction costs would be prohibitive without a normative system that encourages compliance with contractual obligations. Accordingly, concurrent with the industrial revolution, we see a concerted effort by elites to inculcate the values of hard work, thrift, and sobriety among the working classes. In fact, North has reflected deeply on the role of ideology in an industrial society. Changes in knowledge and technology affect relative prices and thus affect perceptions of fairness. Differences in occupation or geographic location also give rise to different perceptions of how output should be distributed. "Ideological entrepreneurs" capitalize on these different perceptions. Successful ideologies must provide an explanation of history that plausibly accounts for current conditions. Ideologies must be flexible so that they can attract new adherents and accommodate changed conditions. Most importantly, to effect change, successful ideologies must overcome the free rider problem. Their ability to do so will be inversely related to the legitimacy of existing institutions.

An interesting question asked early on in the book is, why do states persistently fail to establish property rights that would permit high rates of economic growth? He explains that states first maximize returns for the ruler and then, subject to this constraint, try to reduce transaction costs throughout the economy. Where the ruler is an individual or the representative of a small elite group, the interests of rulers will not normally coincide with those of society as a whole.

Structure and Change in Economic History offers considerable insight into fundamental historical forces. It will come as no surprise to those who have read this work that North won the Nobel Prize for Economics in 1993 for his use of economic theory and quantitative methods to explain economic and institutional change.

3 out of 5 stars Institutions as Panacea.......2002-03-02

In this book North modifies the rationality assumption of neoclassical theory and puts individuals into a more complex framework of decision-making. According to my reading, this new model is characterized by an emphasis on incentive constrains (structures/institutions) and a dynamic process of learning (both individual and collective).

But here North runs into a problem with the infamous structure/agency dichotomy. That is, he means to rise above methodological individualism by incorporating a broad, deterministic social "structure" into his analysis -- "by structure I mean those characteristics of a society which we believe to be the basic determinants of performance" (3). However, he also seems to chalk a great deal of explanatory power up to individual leadership, calculation and rationality: the state specifying rules of the game to maximize rents (24) and also: "throughout history, individuals given a choice between a state-however exploitative it might be-and anarchy, have decided for the former" (24). But if there's such a powerful structure, then can individuals really "choose" their fate? How much leeway is there for strategic calculation? On page 32 he seems to say that the masses have no power to choose: "institutional innovation will always come from rulers rather than constituents since the latter would always face the free rider problem". Is North's structure (and institutions) merely an aggregation of the choices of masses of agents, or is it the strategic choices of a few ruling principals and their agents, or is it the evolution of an impersonal body of culture, ideas, law, etc., or is it all three? And if it's all three, then is he trying to incorporate too much into the concept of "institutions", until they become tautological? What CANNOT be an institution under his definition, and if everything is an institution, then how can we formulate testable, falsifiable hypotheses about social change?

North defines institutions as "the humanly devised constrains that construct human interaction" (p. 344); or, the rules of the game in a society. Thus, it is clear that North is trying to provide an explanation of the dynamic interaction among many factors, which is always a difficult task. But he is to be commended for modifying neoclassical thought in this provocative new way, potentially opening a path for a whole new research agenda in the social sciences.

4 out of 5 stars theory covering eight millenia of economic history.......2000-11-28

Professor North's work is divided into two parts. The first briefly outlines a theory of structural change of institutions through time. North argues that the most interesting aspects of economic history involve assumptions that standard, neoclassical economic theory holds contant. In particular, North argues that "The physiography and resources of the regions together with the state of military technology played decisive roles in determining the size and characteristics of the state and in shaping the forms of economic organization" (pg. 64), and that those forms overcome shirking, known as the Free Rider Problem, through the elaboration of a dominant ideology. It is just such considerations that neoclassical theory cannot account for in its model of the utilitarian actor and yet which are so vital in understanding the essential elements of economic history (rather than economics) - structure and change.

The second part applies the ideas of the first to a few thousand years of human history. At least that is the aim. It is actually little more than a brief recounting of major events in world, particularly Western history. North starts with the so-called First Economic Revolution; that is, mankind's switch from a primarily hunter/gatherer existence to one based mostly on agriculture. He then moves through the decline of the ancient world, spending most all of his time on the fall of the Roman Empire. From there he covers the rise of western Europe and then the American economy at the turn of the last century.

It is this second part that is the book's weakest link. North should either have spent more time discussing how his theory relates to the event he surveys or let the reader apply the theory on her own and left the historical essays out entirely. As they stand, they are little more than brief reviews in "benchmark" and tired historical events. It would have been interesting, for instance, to see how Roman economic institutions and its ideology of stoicism compared with the Ch'in dynasty and confucianism, or of the role that "physiography" - a word used but never discussed - played in the differing development of each. Here North seems much less willing to speculate.

His theory also leaves a little to be desired. By explaining innovation merely as a result of the development of communal, and then personal property rights, he can make the scientist and historian of science shudder. He argues for the central role of structure in forging economic systems and the dominant order, but seems merely to assume that no structure existed in early hunter/gatherer bands - that they were models of egalitarianism. Such ideas run counter to a lot of accumulating evidence that man, like all social mammals, has a basic social structure "hardwired" in us. It is not clear how such knowledge would effect the formation of early "states" as North describes them.

But all criticisms aside, the book is well-written and the discussions, if they cannot lay all controversy to rest, certainly give the reader an excellent introduction to the economic history of man. Given the spate of less-than-rigorous books on the subject that have been published of late, this one is a welcome breath of fresh air.
Life and Death in the Delta: African American Narratives of Violence, Resilience, and Social Change (Palgrave Studies in Oral History)
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    Life and Death in the Delta: African American Narratives of Violence, Resilience, and Social Change (Palgrave Studies in Oral History)
    Kim Lacy Rogers
    Manufacturer: Palgrave Macmillan
    ProductGroup: Book
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    ASIN: 1403960364
    Release Date: 2006-02-05

    Book Description

    Using oral histories with African American activists and community leaders, Kim Lacy Rogers explores the civil rights movement in several Mississippi communities in the context of the region's history of white supremacy, racial oppression, and African American cultural vitality. Terrorism, black poverty, and economic exploitation led to a condition of collective trauma and social suffering for thousands of black Deltans in the twentieth century. This work reveals the impact of that oppression, and of African American traditions of community service and leadership in the lives of women and men who became activists. It also examines the disillusionment and anger that many Delta leaders feel about the changes that took place during the post-movement years.
    Whatever Happened to the Egyptians? Changes in Egyptian Society from 1950 to the Present
    Average customer rating: 4.5 out of 5 stars
    • Joyful to read for Amin
    • Not quite modern day Maqrizi but nice effort
    • Unbiased no, entertaining and insighful yes.
    • A Helpful Introduction to Modern Egypt
    Whatever Happened to the Egyptians? Changes in Egyptian Society from 1950 to the Present
    Galal Amin
    Manufacturer: American University in Cairo Press
    ProductGroup: Book
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    Egypt's crisis of culture and other woes are often attributed to the 'open door policy' (Infitah) initiated under President Sadat in the mid-1970s, and to the large-scale migration of Egyptian workers to the oil-rich states of the Gulf that began around the same time. Galal Amin contends, however, that these factors alone are insufficient to explain the fundamental changes in behavior and attitudes that characterize modern Egyptian life. The 'missing link,' Amin argues, lies in the social mobility unleashed by the July Revolution of 1952, which was later accelerated by Infitah and workers' migration. The sudden upward mobility and attendant prestige, self-confidence, and purchasing power of a large segment of Egyptian society–and the desire to display this new-found social position as conspicuously as possible–have had an enormous effect on the attitudes and allegiances of these groups.
    Through a fascinating and often highly entertaining examination of issues ranging from the middle class, religious fanaticism, and attitudes to the West and Western culture, to the Egyptian institution of the summer holiday by the sea and the performing arts and entertainment, Amin posits that social mobility has changed the customs and habits, moral and material values, and patterns of consumption and investment of the aspiring classes, and has, furthermore, induced the Egyptian people to ignore national and ideological issues of grave importance.
    This insightful book will prove a thought-provoking read for those concerned with emerging economies, international development, and privatization, and will intrigue anyone with an interest in the social history of Egypt.
    The Arabic edition of this book was awarded the Cairo International Book Fair Prize for the best book in Social Studies in 1998.

    Customer Reviews:

    5 out of 5 stars Joyful to read for Amin.......2007-01-23

    This book, as well as "Whatever Else Happened to the Egyptians" inform, very entertainingly, about the dramatic Social and Economical changes that has taken place in Egypt since Nasser's era. They also show how in some situations the Egyptian society has been blindly moving in the direction of westernization. The book is divided into different articles, addressing different aspects of the society, eg. income, marriage, etc..., which makes it very easy and more interesting to read.
    I was one of Galal Amin's students in the American University in Cairo, and his very charming personality that always made his classes a joy to learn, vividly appears in his writings.

    4 out of 5 stars Not quite modern day Maqrizi but nice effort.......2006-10-12

    The social history of Egypt in the Middle Ages was well documented by the legendary historian Al Maqrizi who wrote volumes of fascinating history of Egyptians, their rulers, classes and habits. In the last few hundred years starting with Edward Lane writing the social history of Egypt became dominated by the Orientalists who brought their own baggage and prejudices and often supremacist attitudes to the task. Few rare exceptions such as Cairo City Victorious defy the traditional orientalist narratives. (This can be observed from the review of the former colleague of Amin who essentially says this is just good enough for the natives if not in so many words.)

    Galal Amin wrote a light hearted, mostly easy to read book about the massive changes that occurred in the Egyptian society since the 1952 military coup aka The Revolution. Amin attributes much of the change in Egypt's society to a massive expansion of the middle class started under Nasser but accelerated under Sadat with the Open Door policy and the massive demand for Egyptian workers (including unskilled and semiskilled) in the oil rich Arab countries.

    Amin used a number of personal but very interesting yard sticks to track the changes in the society. He contrasted his university professor salary with that of the house servant. The gap narrowed significantly after 1952 and much more so after 1972 and started to widen again in recent years. Amin also addressed the role of women in the society and contrasted the changes from his mothers, to his sisters to his daughter. Remarkable change has occurred and Amin's admittedly non scientific findings correlate closely with those of Leila Ahmed (Women & Gender in Islam). For many women in Egypt the headscarf serves a tool of liberation not oppression, a point almost always lost on many. Also interesting is Amin's demonstration of the reduced dependence on the state comparing the days of his father (the famous Egyptian Writer & Professor Ahmad Amin) to the generations of his kids and nephews and nieces.

    Overall it is a really nice easy to read book, it is a compilation of different articles and research papers that mostly mesh in nicely to form a reasonably coherent whole



    5 out of 5 stars Unbiased no, entertaining and insighful yes........2004-06-29

    I personally and professionally know Galal Amin. I was his colleague at the American University in Cairo for several years and have had the pleasure of socializing with him on many occasions. Though I disagree with him about 99 percent of the time, especially on his views of the West and of the economics profession (he seems to have contempt for both), I find him to be one of the most entertaining, charming, and articulate individuals I have ever met. This comes across very clearly in his work. His book is very readable and does indeed offer insights into Egyptian society, much the way Andy Rooney does of American society, and the rapid changes it has gone through. In a way this book, and the man himself, epitomize Egypt. To the Westerner, Egypt is a charming place full of contradictions which both seduces and exhausts the outsider. If one takes it too much to heart, the same can be said of Amin's work. It is best to keep in mind that this book is based on a series of articles that were written for an Egyptian audience. With that in mind, I highly recommend it.

    4 out of 5 stars A Helpful Introduction to Modern Egypt.......2002-11-28

    This unbiased work provides a good overview of the societal changes that have occurred in Egypt during the last 50 years and the challenges that remain. It will prove particularly helpful for people who are planning to go to Egypt and/or deal with Egyptians on more than a superficial level, as well as for those who want to add some depth to their understanding of the Middle East generally. A good overview of a fascinating country.
    Corporate Tides: The Inescapable Laws of Organizational Structure
    Average customer rating: 4 out of 5 stars
    • An article's worth of good ideas, stretched into a big book
    • Brilliant and revolutionary thinking
    • Fritz's work is foundational to any other business info
    Corporate Tides: The Inescapable Laws of Organizational Structure
    Robert Fritz
    Manufacturer: Berrett-Koehler Publishers
    ProductGroup: Book
    Binding: Hardcover

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    Customer Reviews:

    2 out of 5 stars An article's worth of good ideas, stretched into a big book.......1999-02-12

    Fritz makes some excellent points here about identifying and resolving structural conflicts in organizations. As a 30 or 40 page article, with numerous real-life examples, it would have been an excellent "primer". As a full length read, though, you walk away feeling somewhat cheated: *There's no discussion of how to actually diagnose structure conflicts (which you need to make use of these concepts). *No mention of how to address more complex structural conflicts, where the resolution would have to occur over time. *And the discussion of "structural tension" provided here is just one piece of what you need to design an effective organization. Two other concerns: (1) The book is decidedly skimpy on real company examples. (2) The numerous pitches for Fritz's consulting and training practice become downright grating. Good ideas here, but not well presented.

    5 out of 5 stars Brilliant and revolutionary thinking.......1997-03-11

    This is the textbook for building successful organizations and gaining control of unruly ones. A book for smart business people who will not be deceived by its apparent simplicity

    5 out of 5 stars Fritz's work is foundational to any other business info.......1997-02-01

    A quote from the late W Edwards Deming reads: "94% of all problems in business and organizations are problems with structure and system, only 6% are problems with people." Who in your organization is the authority on these subjects? Unfortunately, at the age of 93 W. Edwards Deming passed away on Dec. 20th of 1993. Robert Fritz is today's authority and leading thinker about structure and system which will be critical to understand for success during this next century. Why are school children told what to think before being taught how to think? K-12 and university, collge teachers must incorporate Fritz's work if our children are to have a real competitive chance at a decent future. Corporate Tides is written very clearly using step by step logic, Quick Reviews, Laws and Axioms which makes the information easy to digest and incorporate. No matter what your current occupation, the work of Robert Fritz will greatly enhacnce your creative ability by providing knowledge of how to develop dynamic, resolving structures that lead to sucess. Sincerely, Russell W. Kukla PS: Why are school children told WHAT to memorize before being taught HOW to memorize? The basic structure used for building a powerful memory ability is the same basic structure that Robert Fritz teaches. Structure is everwhere?
    Dilemmas of Political Change in Mexico
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      Dilemmas of Political Change in Mexico

      Manufacturer: Institute of Latin American Studies
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      The victory by Vicente Fox Quesada in Mexico's July 2000 presidential election was a watershed in the country's political history. His triumph convincingly marked the consolidation of electoral democracy and, by ending seven decades of uninterrupted national rule by the "official" Institutional Revolutionary Party (PRI), symbolized a clear break with the political regime established following the 1910-1920 revolution. Nevertheless, many legacies of postrevolutionary authoritarianism persist, and Mexico's democratization process remains incomplete.

      The seventeen contributors to this volume assess Mexico's political dynamics at the turn of the century and the many pending challenges in the construction of a more fully democratic political order. They examine: (1) changes affecting the party system, electoral institutions, and voting behavior; (2) the evolving role of the armed forces, organized labor, big business, and rural producers; (3) the new importance of civil society, the mass media, and cross-border social coalitions; (4) and key issues of political representation and governance, including executive-legislative relations, judicial performance, federalism, the constitutional rights of indigenous peoples, and the political role of Mexicans resident in the United States.
      France: Political and Social Change
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        France: Political and Social Change
        John Girling
        Manufacturer: Routledge
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        John Girling provides an informative and stimulating overview of French life in a climate of globalization and European integration. He critically examines the residual values of grandeur and elitism in the administrative, political and economic leadership of contemporary France and evaluates their changing profiles in education, and domestic and foreign policy. Moreover, he analyzes the current political practice in the absence of major ideologies. In the face of a rapidly changing world, Girling addresses the question of French cultural identity with both optimism and pessimism.

        The Transformation of Mexican Agriculture: International Structure and the Politics of Rural Change
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          The Transformation of Mexican Agriculture: International Structure and the Politics of Rural Change
          S. Sanderson
          Manufacturer: Princeton University Press
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          Release Date: 2007-02-05

          Book Description

          -"This work is a significant contribution, rich in data, as well as being at the forefront of world-systems oriented analyses of agricultural development (or de-development) and income distribution problems in lesser-developed countries." -F. LaMond Tullis, Brigham Young University In spite of be most thorough agrarian reform in nonsocialist Latin America. Mexico cannot feed its population. Steven Sanderson attributes the problems of Mexican agriculture to an internationalization of the food system promoted by the Mexican state, the trade system, and agribusiness,. Recent Mexican public policy, in particular, has brought about the adoption of international standards of production that are transforming Mexican agriculture. By treating the role of international and national factors in structuring rural development, Professor Sanderson suggests the potential contributions of other case studies to an understanding of global patterns. In addition, his presentation of a new set of data on U.S. and Mexican agriculture clarifies the interaction of a modernizing agricultural society with the world's largest t agricultural producer. Steven E. Sanderson ,,s Associate Professor of Political Science at the University of Florida, Gainesville. He is the Author of Agrarian Populism and the Mexican State: Struggle for Land in Sonora (California) and editor of The Americas in the New International Division of Labor (Holmes and Meier).
          Reinventing Government for the Twenty-First Century: State Capacity in a Globalizing Society
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            Reinventing Government for the Twenty-First Century: State Capacity in a Globalizing Society

            Manufacturer: Kumarian Press
            ProductGroup: Book
            Binding: Paperback

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            Book Description

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              ProductGroup: Book
              Binding: Hardcover

              GeneralGeneral | United States | Americas | History | Subjects | Books
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                Manufacturer: Pennsylvania State University Press
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