Economic institutions are systems of established social rules that organize interactions and economic activities within society. They address questions related to non-market transactions, including reciprocity and redistribution, which involve transferring income and wealth without immediate return. Market transactions refer to the exchange of goods and services traded among individuals within a market framework.

1. The Economic
Institutions

2. ECONOMIC INSTITUTIONS

3. >Institutions are basically durable
systems of established and embedded
social rules that create a structure for
social interactions (hodgson, 2001)
> Economic Institutions are the
formal and informal rule that organize the
economic flow and activity of society
(Kelly, 2012)

4. Economic Institutions are tasked to
answer the following questions:

5. Non-Market
transaction
o Reciprocity
o Transfer
o Redistribution

7. Is a form of gift exchange between
two parties wherein return is
expected after the product or gift
giving (Parry, 1986)

8. TRANSFER AND
REDISTRIBUTION

9. • Also known as: “government transfer” or
“transfer payment”
• Transfers are payments that are made
without any good or service being
received in return (Bishop, 2012)

10. • Is the process of transferring income
and wealth-be it in the form of money,
physical property, and the like form one
individual to other individuals.

11. MARKET
TRANSACTIONS

12.  Market transaction is basically the
system of exchange in a market. It is
goods and service are traded and
bartered among individuals within their
market and society

13. MARKET AND STATE

14. MARKET

15. STATE

17. GROUP MEMBER
11- GA & HE- A