How Institutions Evolve: The Political Economy of Skills in Germany, Britain, the United States, and Japan (Cambridge Studies in Comparative Politics)

"One cannot praise enough Thelen’s continuing contribution to the progress of institutional theory, especially the theory of institutional change. She masterfully weaves together a comparative tale of four countries to provide a critique of the functionalist rationalism of much of the current debate on institutions and economic systems in general." Wolfgang Streeck, The Max Planck Institute for the Study of Societies

"Why do institutions vary across nations? How do institutions persist and change over time? Exploring vocational and skills training in major industrial nations, Kathleen Thelen casts new theoretical light on these fundamental questions. This brilliant book is a must-read, not only for students of the political economy of advanced industrial societies, but for all social scientists grappling with how to explain institutional development." Theda Skocpol, Harvard University

"This brilliant book, focusing on Germany in comparison to the UK, the US and Japan, makes three major and original contributions to the comparative political economy literature. First, Thelen provides a coherent comparative theory of why training systems differ across developed economies today based on the differences in institutional settlements a century or more earlier between business, unions and artisans. Second, and supplementing this, she develops a theory of institutional change which shows (contrary to the standard punctuated equilibria argument) how institutions embody continuities through reconfiguration even in the face of major external shocks. Third, she establishes the critical role of business in the evolution of training systems. Beyond these achievements, her analytic skill and her use of rich historical sources make the book a quite compelling read." David Soskice, Duke University

Book Description
This book contributes to a literature in the political economy of the developed democracies that focuses on different institutional arrangements that define distinctive models of capitalism. It explains the historical origins of important cross-national differences in four countries (Germany, Britain, the United States and Japan), and also provides a theory of institutional change over time. The latter is considered a frontier issue in institutionalist analysis, of which there are several varieties coming out of economics, political science, and sociology.