Explaining the Stability of the Socio-Economic System: Path Dependence
Leon Oelschläger
i6197632
04.04.2024
EUS3021
Social Change, Identity, and Collective Action
Group 2
Tutor: John Parkinson Final Essay, Question 2
, Question 2: The concept of path-dependence seems to suggest that political change
is at least very difficult, even unlikely – that while we get beguiled by superficial change, the
fundamentals of socio-political systems stay the same. Is that the case? Discuss with reference
to concrete examples.
1. Introduction
Several social scientists apply a rather positivist understanding to their field,
attempting to contribute to the development of political science, which incorporates, at least
to a certain degree, generalizable and predictive power. Even though it is widely
acknowledged that the social world has its very own rules and implications, which complicate
social science research and knowledge production, inaccurate argumentations have been
largely dominant in political science (Pierson, 2000, p. 263). In an article that has received
remarkable attention, Paul Pierson (2000) introduces “path dependence” grounded in
dynamics of “increasing returns”, a concept borrowed from economics. While both his
adjustment of an economic concept and its application to political science can be seen as an
interesting and innovative contribution, Pierson (2000, p. 265) himself admits that his “new”
approach has major similarities with historical institutionalism.
This essay deals with Pierson’s concept of “path dependence” and its implications for
political change. If Pierson is right, fundamental change appears to be very difficult, slow, and
even unlikely. Arguably, path dependence is a useful concept and reinforcing mechanisms an
under-considered factor in explaining the stability of socio-economic systems. However, the
main argument of this essay is that the role of both culture and the economic sphere are
neglected by Pierson even though they are crucial factors to analyze path dependence and
particularly increasing returns. Additionally, it is concluded that path dependence indeed
implies that fundamental change is difficult to achieve, while it enables a more accurate
analysis. Nevertheless, culture can arguably be the key to achieve change.
First, the concept and its’ implications for political processes are introduced. Second, a
critical perspective on Pierson’s conceptualization is presented, especially his strict
demarcation of the economic and political spheres. Third, a suggestion for linking the concept
to culture and economic aspects is provided to enable a sharper analysis of stability and
change. Lastly, a conclusion summarizes the arguments and reflects on the possibilities and
implications of fundamental and moderate change and the overall potential of the concept.
1
Leon Oelschläger
i6197632
04.04.2024
EUS3021
Social Change, Identity, and Collective Action
Group 2
Tutor: John Parkinson Final Essay, Question 2
, Question 2: The concept of path-dependence seems to suggest that political change
is at least very difficult, even unlikely – that while we get beguiled by superficial change, the
fundamentals of socio-political systems stay the same. Is that the case? Discuss with reference
to concrete examples.
1. Introduction
Several social scientists apply a rather positivist understanding to their field,
attempting to contribute to the development of political science, which incorporates, at least
to a certain degree, generalizable and predictive power. Even though it is widely
acknowledged that the social world has its very own rules and implications, which complicate
social science research and knowledge production, inaccurate argumentations have been
largely dominant in political science (Pierson, 2000, p. 263). In an article that has received
remarkable attention, Paul Pierson (2000) introduces “path dependence” grounded in
dynamics of “increasing returns”, a concept borrowed from economics. While both his
adjustment of an economic concept and its application to political science can be seen as an
interesting and innovative contribution, Pierson (2000, p. 265) himself admits that his “new”
approach has major similarities with historical institutionalism.
This essay deals with Pierson’s concept of “path dependence” and its implications for
political change. If Pierson is right, fundamental change appears to be very difficult, slow, and
even unlikely. Arguably, path dependence is a useful concept and reinforcing mechanisms an
under-considered factor in explaining the stability of socio-economic systems. However, the
main argument of this essay is that the role of both culture and the economic sphere are
neglected by Pierson even though they are crucial factors to analyze path dependence and
particularly increasing returns. Additionally, it is concluded that path dependence indeed
implies that fundamental change is difficult to achieve, while it enables a more accurate
analysis. Nevertheless, culture can arguably be the key to achieve change.
First, the concept and its’ implications for political processes are introduced. Second, a
critical perspective on Pierson’s conceptualization is presented, especially his strict
demarcation of the economic and political spheres. Third, a suggestion for linking the concept
to culture and economic aspects is provided to enable a sharper analysis of stability and
change. Lastly, a conclusion summarizes the arguments and reflects on the possibilities and
implications of fundamental and moderate change and the overall potential of the concept.
1
