Technological Change and Institutions: A Case Study

The arena of mobile telecommunication in Europe has undergone a technological transition from analogue (first generation) to digital (second generation) technologies. While this transition is immediately attributable to shifts in demand and supply patterns, closer examination reveals that there are numerous other intervening factors that have facilitated this transition. This paper utilizes a conceptual framework for institutional analysis developed in earlier work to identify and discuss some of these factors. The paper concludes with a discussion of the implications from this study for an institutional perspective on technological change.