Growth and institutional changes: a historical evolution

ABSTRACT This paper highlights the fact that neoclassical theory cannot explain process of economic change. In an uncertain and ever-changing world, a based on static equilibrium models is little help. Whereas we have placed institutions at centre understanding systems, since they constitute their incentive structure. Thus, change largely intentional created by individuals’ perceptions consequences actions. These perceptions, coming from beliefs individuals, combine with preferences. end, dynamic will not be built, but attempt made to understand link between growth, change, develop assumptions, within its limits, capable improving human environment results.