This PhD research delves into New Institutional Economics (NIE) from a political economy perspective, seeking to understand how institutions emerge, evolve, and ultimately shape economic outcomes. It aims to critically analyze the existing NIE framework, specifically investigating its limitations concerning the roles of history and geography in institutional development. It will explore how historical events, data, and processes are used (or underutilized) within NIE methodologies and consider the alignment of these approaches with classical political economy theories. A central focus is evaluating the contributions of geographical factors to economic analysis within NIE and proposing methods for their improved integration into theoretical models.

This research seeks to develop a set of fundamental principles and guidelines for a more comprehensive framework of economic analysis that incorporates historical and geographical contexts alongside institutional considerations. The anticipated contribution of this thesis lies in its critical re-evaluation of NIE, offering fresh insights into the dynamic interplay between institutions, history, and geography. By addressing existing limitations and proposing a revised framework, this work strives to move beyond rigid institutional determinism towards a more nuanced, multi-dimensional perspective that accounts for the complexities of economic development. Ultimately, the goal is to foster a more inclusive and contextually aware understanding of economic processes. This work will be deeply informed by the contributions of Nobel laureates Douglass North and Daron Acemoglu.