Varieties of Capitalism

Introduction The question of whether the socioeconomic systems and policies are converging or diverging among countries is controversial because of the rapid process of globalization. Various literature on comparative institutional research has been developed and the "capitalistic variant" approach of Hall and Soskice (2001) is one of the most important concepts being widely discussed. Hall and Thelen (2005) argues that 'diversity of capitalism' is a business-centered approach and companies are thought to be relational in key roles.

The diversity of the capitalist approach is not to judge which lifestyle is better in the world market or more productive. Each type has advantages and disadvantages. The economic and institutional aspects of these two sectors have different influences on the political system, which in turn will affect the structure of the economy. This feedback is deeply rooted in the capitalist model and it makes it possible to resist change without dramatic technical development and major adjustments in the world market.

Modern research on capitalism as an economic system also adopts the order of institutionalists based on transaction cost economics rather than neoclassical models. In particular, the "diversity of capitalism" approach helps to clarify the relationship between redistribution politics and economic performance and to explain why there is no inevitable contradiction between the state and the market. This research also helps to understand the observed institutional diversity of modern capitalism and why this diversity is still in the context of global market integration. However, the tradition (p. 828) has little insight on the relationship between economic institutions and political institutions so far and rarely talks about the political origin of economic institutions - rather than on the efficiency of economic organizations It is to focus. One reason

Differences in opinions among different countries have caused controversy. Various literature on comparative institutional research has been developed and the "capitalistic variant" approach of Hall and Soskice (2001) is one of the most important concepts being widely discussed. Hall and Thelen (2005) argues that 'diversity of capitalism' is a business-centered approach and companies are thought to be relational in key roles. It emphasizes the concept of institutional complementarity