Original Institutional Economics: A Theory for the 21st Century?

Many years back, Thorstein Veblen introduced one of the most interesting economic thought of this age, in America, known as “Original Institutional Economics” (OIE). In the present paper, the main tenet of this strand of economic thought is reviewed pro rata. However, one has to submit that in many developing countries, this pattern of thought is sui generis ignored to great extent compared to the main stream economic thought. Hence, the main purpose of this paper is to reassess the basic contributions of some scholars like Thorstein Veblen, C.E. Ayres and John commons, who pioneered the core of institutional economics in the world. Therefore, it tries to convey to the current students of economics, the strengthened insight about the basic anomalies of mainstream economic theory and to enable them to examine the alternate paradigm Ipso facto.