Fundamentals of an Institutionalist Perspective on Economic Policy

The only serious grounds on which political economists for centuries have claimed significance for their work have been its alleged relevance to the resolution of real problems facing real people in real political economies.' With that thematic notion taken from the work of contemporary institutionalist Marc Tool emblazoned on our banners, we embark, in this volume, upon a serious, significant, relevant venture in political economy. In the scores of pages that follow, real problems facing real people in a real political economy are confronted, analyzed, and, we trust, potentially mitigated. In a startlingly refreshing and risky scholarly activity, thoughtful professionals have directly addressed reality and have brought their insight to bear on problems of the human condition. Unwilling to hide behind the arcane mysticism of theoretical abstraction, and eager to be professionally significant in a constructive way, they have, in these articles, met and wrestled with the messy imprecisions of the world as it is in hopes of providing prescriptions for moving it toward the world as it ought to be. Each addresses the question, Which direction is forward? and provides some policy answers.2 Consideration, evaluation,