Social and Economic Transformation With the Institutional Economic Perspective

Abstract

The events and phenomena in the period of the industrial society were explained within the context of the Newtonian paradigm. In today's information society and its economic structure, they are explained within the context of the Quantum paradigm. Nevertheless, the assumption of neoclassics claims that consumers decide independently from each other, which is controversial. Consumers decide in real terms, not independently but under the influence of psychological situation, social environment, and cultural infrastructure. The basic mutual point between the two paradigms is to maximize the benefit from the goods to be consumed when making consumption decisions. To this end, the process of social and economic transformation will first be discussed in the light of paradigm shift and technological improvements. Then, with the institutional economic perspective, the change in consumption understanding will be taken into consideration in the social and economic structure of today.