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๐ŸชšPublic Policy Analysis Unit 13 Review

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13.1 Theories of Institutional Change

๐ŸชšPublic Policy Analysis
Unit 13 Review

13.1 Theories of Institutional Change

Written by the Fiveable Content Team โ€ข Last updated September 2025
Written by the Fiveable Content Team โ€ข Last updated September 2025
๐ŸชšPublic Policy Analysis
Unit & Topic Study Guides

Institutions shape politics through rules and norms, but they're not set in stone. Change happens slowly or in bursts, influenced by factors like path dependence and vested interests. Critical events can trigger big shifts, while ideas and social pressures drive adaptation.

Gradual change occurs through subtle shifts like layering new rules on old ones or repurposing existing structures. Change agents use strategies like framing and coalition-building to push reforms, exploiting gaps or reinterpreting rules to achieve their goals.

Theories of Institutional Change

Incremental vs. Punctuated Change

  • Institutional theory focuses on how institutions shape political behavior and outcomes through rules, norms, and structures
  • Incremental change occurs gradually over time through small adjustments and adaptations to existing institutions (legislative amendments, judicial interpretations)
  • Punctuated equilibrium theory suggests institutions remain stable for long periods punctuated by brief periods of significant change often triggered by exogenous shocks or crises (economic recessions, wars, technological innovations)
  • Critical junctures are major events or turning points that disrupt the status quo and create opportunities for substantial institutional reform (constitutional conventions, regime changes)

Factors Influencing Institutional Change

  • Path dependence constrains institutional change as existing rules and norms become entrenched and difficult to alter
  • Vested interests of powerful actors who benefit from the status quo can resist or block institutional reforms
  • Changing social, economic, or political conditions can generate pressures for institutional adaptation to maintain legitimacy and effectiveness
  • Ideas and discourses shape perceptions of institutional problems and appropriate solutions influencing the direction of change

Mechanisms of Gradual Institutional Change

Types of Gradual Change

  • Gradual institutional change occurs through subtle shifts over time without wholesale replacement of existing institutions
  • Institutional layering adds new rules or structures on top of existing ones without eliminating the old (private pension plans alongside public social security)
  • Institutional drift occurs when institutions remain unchanged despite shifting external conditions leading to altered outcomes (outdated labor regulations in a globalized economy)
  • Institutional conversion redirects existing institutions toward new purposes or functions (using national defense technologies for civilian applications)
  • Institutional displacement involves the removal or replacement of existing institutions by new ones often through competition or conflict (replacing patronage with merit-based civil service)

Agents and Strategies of Gradual Change

  • Institutional entrepreneurs or change agents actively promote and implement gradual reforms through framing, coalition-building, and resource mobilization
  • Layering strategies exploit ambiguities or gaps in existing rules to introduce new elements without direct confrontation (school choice policies within public education systems)
  • Drift strategies deliberately maintain institutions while external conditions change to achieve new outcomes (deregulation through non-enforcement of existing rules)
  • Conversion strategies reinterpret or redirect institutions in ways that align with actors' interests or goals (using anti-trust laws to regulate new industries)
  • Displacement strategies involve the cultivation of alternative institutions that can challenge and replace existing ones over time (private arbitration displacing public courts)