Economic Embeddedness: Understanding Markets and Social Context

Are you struggling to understand why purely rational economic models often fail to predict real-world market behavior? Economic activity never occurs in a vacuum; it is deeply intertwined with social relations, cultural norms, and political institutions. This course introduces the powerful framework of embeddedness, providing you with the critical tools necessary to analyze markets not just as mechanisms of supply and demand, but as complex social constructs. You will gain a nuanced perspective on economic life, enabling more accurate analysis of market dynamics, failures, and governance. What you'll learn: * Understand the foundational theories of economic embeddedness introduced by Polanyi and Granovetter. * Analyze the critical role of social networks, trust, and reputation in facilitating or hindering economic transactions. * Examine how formal institutions (laws, regulations) and informal institutions (norms, culture) structure market behavior. * Apply the embeddedness framework to modern contexts, including global value chains and digital platform economies. * Practice critically evaluating economic policy proposals based on their social and institutional feasibility. The course begins by defining key terminology and historical context, then moves through core theoretical models, and concludes with practical exercises applying these concepts to contemporary socio-economic issues. This course is designed for absolute beginners in economics, sociology, or public policy who seek a realistic, critical understanding of how markets operate. Start building a deeper, more realistic understanding of markets today.