This paper develops a historical-structural analytical framework to examine the long-term evolution of the relationship between economic organization and institutional power in contemporary political economy. It argues that Western societies have undergone a progressive structural transformation in which the traditional functional differentiation between economy and political authority has given way to increasing convergence within an expanding macro-institutional architecture.The framework identifies five cumulative transformations since the late eighteenth century, tracing the transition from the decline of the aristocratic order to the emergence of mass societies structured by the modern state and the industrial firm. The economic expansion of this system led to the formation of a broad middle class and a historically significant diffusion of power and money. Over time, however, these resources became increasingly mediated and concentrated through financial institutions and state structures, generating a growing interdependence between the macro-financial sector and the macro-state.The analysis is descriptive and non-normative, focusing on structural dynamics rather than ideological interpretation. It shows that sovereign finance, monetary governance, and institutional authority now operate within a deeply integrated configuration that redefines the architecture of contemporary political economy. While the trajectory of this convergence remains open, itsstructural consolidation constitutes a defining feature of the present era.
Javier Marzal (Wed,) studied this question.