ABSTRACT

The first perspective of the nonmarket concept is rooted in neoclassical economics. According to this perspective, nonmarket forces regulate exchanges between economic actors outside the market system. Neoclassical economics focused on the determination of prices, outputs, and income distributions in markets by means of supply and demand. A second perspective on the nonmarket environment is given by organization theory. This stream commenced to regard nonmarket matters as various factors which do permeate economic exchanges of individual firms, as well as intra-organizational and inter-organizational collaborations. Sociologists use the term 'social institutions' to refer to complex social forms that reproduce themselves such as governments, the family, human languages, universities, hospitals, business corporations, and legal systems. For political economists, social-systems theorists and some political scientists, society is made up of subsystems, economic, political, social and cultural, each one having its own set of institutions.