TY  - JOUR
A1  - Panhans, Matthew T.
A1  - Schumacher, Reinhard
T1  - Theory in closer contact with industrial life
BT  - American institutional economists on competition theory and policy
JF  - Journal of institutional economics
N2  - This paper investigates the views on competition theory and policy of the American institutional economists during the first half of the 20th century. These perspectives contrasted with those of contemporary neoclassical and later mainstream economic approaches. We identify three distinct dimensions to an institutionalist perspective on competition. First, institutionalist approaches focused on describing industry details, so as to bring theory into closer contact with reality. Second, institutionalists emphasized that while competition was sometimes beneficial, it could also be disruptive. Third, institutionalists had a broad view of the objectives of competition policy that extended beyond effects on consumer welfare. Consequently, institutionalists advocated for a wide range of policies to enhance competition, including industrial self-regulation, broad stakeholder representation within corporations, and direct governmental regulations. Their experimental attitude implied that policy would always be evolving, and antitrust enforcement might be only one stage in the development toward a regime of industrial regulation.
KW  - Competition
KW  - economic thought
KW  - industrial organization
KW  - institutional
KW  - economics
KW  - institutionalism
KW  - public policy
Y1  - 2021
U6  - https://doi.org/10.1017/S1744137421000357
SN  - 1744-1374
SN  - 1744-1382
VL  - 17
IS  - 5
SP  - 781
EP  - 798
PB  - Cambridge Univ. Press
CY  - Cambridge
ER  -