Main Argument: Institutions are not enough to bring about social order. Values are norms have to be taken into consideration (i.e. they are not just “informal institutions”). Reforming institutions, therefore, is a limited tool to fix society’s problems. Culture is a better explanation for change.
Culture: hierarchy of values, norms and preferences that encompass a belief system.
== Notes ==
– Cultural view of institutional change: changing institutions won’t change outcomes –> outcomes are entrenched values
– Include norms as structural factors (North 1990)
– Advances a cultural explanation of institutional change that is compatible with R/C
– Constitutions represent society’s core values, therefore institutional change is derived from value change 
– Institutions are adaptive 
– Institutions are endogenous to larger cultural forces 
– In the battle between structure and culture, culture will win