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Capitalist Diversity and ChangeRecombinant Governance and Institutional Entrepreneurs$
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Colin Crouch

Print publication date: 2005

Print ISBN-13: 9780199286652

Published to Oxford Scholarship Online: September 2007

DOI: 10.1093/acprof:oso/9780199286652.001.0001

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A Strategy for the Analysis of Economic Governance

A Strategy for the Analysis of Economic Governance

(p.101) 5 A Strategy for the Analysis of Economic Governance
Capitalist Diversity and Change

Colin Crouch (Contributor Webpage)

Oxford University Press

This chapter forms what can be understood by the establishment of a model of sets of institutions based on the principle of similarity. It identifies the role of governance within this model; elaborates on a typology of governance modes, their varied relationships to the resources with which they must deal, and the different kinds of resource involved, all as seen from the perspective of the firm as a set of positive or negative capacities. The chapter also talks about the importance of compound forms of governance in empirical cases. It establishes the possibility of recombining governance modes, and the hypothesis that institutional heterogeneity will facilitate innovation, by presenting actors with alternative strategies when existing paths seem blocked and by making it possible for them to make new combinations among elements of various paths. The importance of this for the work of institutional entrepreneurs is considered, bearing in mind problems posed for the analyst by functional equivalence and power asymmetries.

Keywords:   similarity, complimentarity, governance, innovation, institutional heterogeneity, institutional entrepreneurs

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