Interpreting Institutions' in Veblen's Evolutionary Theory

A bstract . The form and basic properties of Thorstein Veblen's evolutionary theory are analyzed as an interpretative strategy for understanding the social institutions of modern industrial society. By formulating hypothetical historical reconstructions based on his principles of social action and institutional transformation , Veblen creates an heuristic construction that serves as a formula for observation and analysis of what he finds to be the essential meaning of existing behavior. This gives to his work a critical style, but also a depth of analysis that has a degree of predictive validity.