Institutions and the Rise of Capitalism (Economics & Philosophy)

Course goals

At the end of this course, the student will:

• Understand the relation between the concepts: market failure, externalities, transaction cost, contracts, institutions, property rights, commitment problems, and enforcement
• Be able to apply these concepts to explain real life institutions and regulation
• Understand the special role of politics in regulating the market and society at large
• Understand the main mechanisms and institutions in the transition from limited to open-access orders in the political and economic sphere
• Understand the various types of evaluations which different philosophical theories (such as welfarism, egalitarianism, representation, and democratic theory) give, of the above-mentioned transition
• Be able to reflect philosophically on the role of political and economic institutions in society
• Be able to juxtapose and combine theories about regulation from the (political) economics and philosophical perspectives
• Be able to understand, summarize, apply, and communicate in their own words a paper from the relevant academic literature

The course will also train professional skills (collaboration, oral communication) and interdisciplinary skills.

Content

The course analyses the role of institutions in explaining the rise of capitalism and the emergence of so-called Open Access Orders (North, Wallis & Weingast, 2009). Ideas and theories from economics and philosophy are combined with law, political science, history, and other disciplines. The course takes a big-picture perspective, seeking to explain the origin and consequences of institutions such as the state monopoly of violence, the rule of law, and private property. Special attention is paid to the interaction between private companies, markets, institutions and the government.

The course combines economic models with philosophical reflection.

This course has priority rules and a waiting list.

Additional information

This course is only open to students from the Faculty of Humanities and the Faculty of Law, Economics, and Governance.

This course has priority rules and a waiting list. Your enrolment is guaranteed if you are: 

• a student in the BA PPE enrolled in the thematic package Markets and Regulators.

In all other situations, you will be placed on a waiting list if you enrol in this course. For any remaining slots in the course, lots are drawn among the students on the waiting list.