ECONOMIC INSTITUTIONS

DANILO F. MARIBAOPALIPARAN III SENIOR HIGH SCHOOL

DASMARINAS CITY, CAVITE

Economic Institutions• A company or an organization that

deals with money or with managing the distribution of money, goods, and services in an economy.

• Examples are banks, government organizations, and investment funds

Reciprocity• In social psychology, reciprocity is a 

social rule that says people should repay, in kind, what another person has provided for them; that is, people give back (reciprocate) the kind of treatment they have received from another.

• By virtue of the rule of reciprocity, people are obligated to repay favors, gifts, invitations, etc. in the future.

• This sense of future obligation associated with reciprocity makes it possible to build continuing relationships and exchanges.

• Reciprocal actions of this nature are important to social psychology as they can help explain the maintenance of social norms.

Transfer• 1. Banking: Moving funds among two

or more accounts held by the same or different entities.

• 2. Real estate: Conveyance of title to a property from the seller to the buyer through a deed of transfer, following payment of the price.

•

Transfer• 3. Securities trading: Delivery of a 

stock (share) certificate by the seller's broker to the buyer's broker followed by conveyance of the title by recording the change in the stock (share) register.

Redistribution• In Economics

the theory, policy, or practice of lessening or reducing inequalities 

in income for example through such measures like progressive taxation and anti poverty programs.

Market Transactions• The exchange of goods and services

through a market. The set of market transactions taking place in the economy is most important in terms of measuring gross domestic product (GDP).

• Market transactions provide the basic data used at the Bureau of Economic Analysis to begin the estimation of GDP.

Market Transactions• However, these data don't just want to

measure market transactions, their goal is to measure economic production.

• As such, they eliminate some market transactions that do not involve economic production,

• then add economic production that do not involve market transactions.

State-market relations • call for a holistic view of the

relationship between the material and relational dynamics of society,

• on the one hand, and between these dynamics and institutional dynamics on the other.

State-market relations • the state contains mechanisms that

are essential to the existence of markets themselves, and these mechanisms are not “natural” given.

• Economies are actually institutional production systems wherein the material density of the state both as organization and administration is of relevance.

Non-state Institutions• These are institutions that are

not controlled by the government or by the State.

• Examples are banks, corporations, private institutions

Trade Unions• It refers to a voluntary association

of either employees or employer or independent workers to protect their interest and becomes an instrument of defense against exploitation and maltreatment.

Cooperatives• Firm owned, controlled, and operated

by a group of users for their own benefit.

• Each member contributes equity capital, and shares in the control of the firm on the basis of one-member, one-vote principle (and not in proportion to his or her equity contribution).

Transnational Advocacy Groups• They are free flowing and open

relationships among knowledgeable and committed actors (individuals and organizations).

• international organizations such as the UN, and actors from the corporate/business world. 

Transnational Advocacy Groups

Transnational Advocacy Groups

• These networks are united by a commitment to some practical, usually "trans-sovereign" issue (an issue that transcends across multiple countries)

• ex: women's representation, environmental sustainability, human rights, etc. 

Development Agencies

• These are local or international groups committed to pursuing specific developmental agendas of the state.

Examples of Development agencies

• African Development Bank (AfDB)• Development Bank of Latin America (CAF)• Asian Development Bank (ADB)• Caribbean Development Bank (CDB)• European Bank for Reconstruction and De

velopment (EBRD

• Inter-American Development Bank (IADB)• International Bank for Reconstruction and

Development (IBRD; part of the World Bank Group)

International Organizations

• These are groups that promote voluntary cooperation among its members.