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40 years of the 20th century, due to the rise of Keynesianism, and some other school system school, ignored until the 60's, the resurgence of the system. During this period there were two "new" institutional economics, Galbraith and other economists were represented by the "Neo-institutional economics", and to Coase, North, etc., represented "New-institutional economics". To distinguish between the two school systems, such as the national representative of the general will Galbraith called the modern school system of institutional economics, which will be represented by a system of Kos and other school called the new institutional economics. New institutional economics started from the 20th century, the development of 70 years, to gradually grow into the forefront of contemporary research in the field of economics, but also before and after 30 years; a new institutional economics, however, the birth of economists in the West set off an uproar. To date, the new institutional economics although not formed an independent, complete and rigorous scientific theoretical system, but at least the following four areas formed a relatively systematic theory: property rights theory, transaction cost theory, contract economics, principal - agency theory, new classical economics, the challenge put forward a comprehensive and caused a huge shock.

1, the origin of new institutional economics

Of the 20th century the late 60s, early 70s, appeared in the capitalist world full of stagflation phenomenon, the Keynesian school of the ills of capitalism in the face of strong but seems incapable of losing people's trust. This has always advocated state intervention to Keynesian theory suffered a major setback. People began to dislike state intervention, eager to return to the free market, and have to look toward economic liberalization and individuals advocating rational neo-classical economics. However, due to neo-classical theory in the process of receiving the test of practice, their exposed the many weaknesses, such as the neo-classical theory of basic assumptions - the "zero transaction costs" hypothesis and the "rational economic man" assumption is not realistic; new research methods of classical theory not scientific; new classical economics, and so narrow the scope of study. In addition, neo-classical theory also tends to generalize to individual areas, absolute. It is in this context, to Coase, North emerged as the representative of the new institutional economics, setting off on the new classical economics paradigm revolution, and has made major theoretical breakthrough. Coase, as the founder of the new institutional economics school, his "nature of the business" and "social issues into the wood," stated that "property rights" and "transaction costs" has become the genre's core concepts and central idea. Analysis around these two concepts, from the 70's, the new institutional economics literature in large numbers, so lots of reality has a strong explanatory power and significance of relevant theories, such as property rights theory, theory of the firm, commissioned - agency theory, rent-seeking theory, law and economics and so on. Coase in his famous 1937 paper "nature of the business" put forward why the existence of enterprise and business how to determine the size of their own problems. He believes that business exists to save the market transaction costs, that is, enterprises with low transaction costs to replace the high cost of market transactions; size of the business transaction to be determined in the enterprise market, the marginal cost is equal to or equal to the marginal cost of transaction other businesses within the trading point on the marginal cost. Coase to explain the existence of the business concept of transaction costs has been widely used in many fields newcomers, so the concept of transaction costs to be gradually generalized. This article has also been recognized as the pioneer schools of the New Institutional Economics for. Two main elements of New Institutional Economics

2.1 on the transaction costs of generalization. Coase first to risk factors, information elements, factors and government control of monopolies include into consideration and to the concept of transaction costs, this concept is now extended to include measure to define and ensure the property's cost, find the transaction and the transaction price, to bargain a contract entered into transactions cost, trade execution and supervision of non-compliance and maintenance of transaction costs order that the total system operating costs. New institutional economics and the reality from the reality of starting the organization, the real world, COSCO is not zero transaction costs and conversion costs (transformation costs) one included, into the economic analysis system (North, 1992).