History & Institutional Evolution

History demonstrates recurring patterns as systems swing between extremes. Excessive increases in any direction create reactions in the opposite direction—wealth concentrates until redistribution becomes inevitable, power centralizes until it fractures. Understanding these cycles helps anticipate what comes next.

Early choices constrain future development in ways that persist long after the original rationale disappears. QWERTY keyboards remain standard despite inefficiency because switching costs exceed marginal gains. Understanding path dependence explains why suboptimal systems endure and how to create or break lock-in effects.