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№ 2019/3

Institutional problems of economic development


YAREMENKO Oleh 1

1Institute for Economics and Forecasting, NAS of Ukraine

Institutional destructions in the economy: preconditions, mechanisms, consequences

Ekon. teor. 2019; 3:60-72https://doi.org/10.15407/etet2019.03.060


ABSTRACT ▼

The article considers prerequisites and consequences of the institutional destructions in economy and society. It is proved that the integrative capacity of the institutional system depends on two main factors: the adequacy of the institutions of complexity and the dynamism of the environment in which the actors operate; and the adequacy of the institutional requirements to the level of institutional competence of the actors. The author justifies that the reason for the increase in the share of institutional anomalies and destructions in the world economy is the process of "blending" of values and value-like institutions as a consequence of the intense globalization, which led to chaotization of the criteria of acceptable and unacceptable social behavior. It is shown that the destruction of usual expectations compels business entities to form and implement the shortest possible plans, regardless of the medium or long-term consequences of their actions. At the same time, the self-survival of subjects as a massive pseudo-rational mode of action becomes an instrument of a systemic crisis that puts the economy on the brink of existence.

Keywords: institutional destruction, values, institutions, technologies, uncertainty, risks, socially necessary market time, socio-economic entropy


JEL: O 100

Article in Russian (pp. 60 - 72) DownloadDownloads :499
Article in Ukrainian (pp. 60 - 72) DownloadDownloads :467

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