Capitalism has outperformed all other systems and maintained a positive growth rate since it began. Svetozar Pejovich … makes the case within this book that a major reason for the success of capitalism lies in the efficiency-friendly incentives … classical liberalism, the rule of law and capitalism -- pt. 3. Toward a theory of institutional change …

The fact that innovative capitalism needs institutional co-evolution has widely been recognized with respect to pro … providing indispensable systemic infrastructure. These adaptations facilitate the innovative expansion of capitalism. Less … innovative capitalism and the emergence of critical situations that require re-active institutional adaptations will be discussed …