ELI5: Explain Like I'm 5

Institutional economics

Institutional economics is a type of economics that looks at how different types of institutions, like governments, universities, banks, and more, impact the way people use and share resources. It looks at how these institutions create rules and regulations that affect how people use money, trade goods and services, and even run businesses. Institutional economists study how these institutions can be used to help people use resources in a way that is fair, efficient, and beneficial to everyone.