A METHODOLOGICAL ANALYSIS ON THE CONCEPTUALIZATION OF INSTITUTIONS IN THE DISCIPLINE OF ECONOMICS

Abstract

Organizational economics that made a description of how it should be for the science of economics has considered the economy as a wholly institutionalized process, departed from established economics and virtually proved that a new economics can be possible. It tries to eliminate the dilemmas of established economics? excessive abstract methods by including specifically the concept of organization widely in economic analyses and uses the organizational approaches as a lever for this purpose. In this study, the conceptualization process of the institution phenomenon, which plays a role in strengthening the consistency in the theoretical analysis of economics, is discussed. It is emphasized how to pass from the abstract institution definition to the concrete reality and the sources of the objective parameters representing the institutions are examined. The results are that economic theories and policies should be scrutinized in terms of institutions and the indicators representing them, and the approach of developing static theoretical approaches for different societies, cultures, geographies and different times should be abandoned. In this context, institutions should be added to the study universe of economics as an inseparable element, and they should be dynamically examined continuously with their historical and evolutionary processes.The concretization of institutions and institutional structure and which indicators should be developed and monitored for this should be taken into the theoretical focus of economics.