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Ostrom (Design Principles (8) (4. Monitoring - Internal and External, 5.…
Ostrom
Design Principles (8)
4. Monitoring
- Internal and External
5. Graduated Sanctions
3. Collective Choice Arrangements
6. Conflict Resolution Mechanisms
2. Congruence Rules - Local Conditions
7. Rights to Organise
1. Clearly Defined Boundaries
8. Nested Enterprises
Why do Institutions Persist?
They are taken for granted
They are Path-Dependent
They embody an Equilibrium
Common Pool Resource
Non-Excludable
Rivalrous
Solution to Tragedy of the Commons
Self-governance by the appropriators of a CPR
Why do Institutions Change?
Marginal Groups
(previous loosers catalyse change)
Institutional Entrepreneurs
(Individuals who seek change - Elon Musk
Critical Junctures
(Wars, economic crisis)
Context Always Matters
There are no blueprint solutions