Veselin Draskovic

Yuri Bilan

Mimo V. Drachkovich

Today widely spread is common assumption concerning importance of institutes and the role they play in economic development. However, there is also certain lack of full and systemic explanation of institutional behavior which is rather limited in the aspect of economic rationality. Man is a social creature. Also, he is an inseparable element of the social system. He is always ruled by own interests, habits, customs etc, all of which also have social nature of origin. Institutes in this context are vital elements of the social environments, their key function is to regulate and coordinate human behavior under conditions of social norms’ influence on people’s behavior. Institutes form specific mutual interpersonal relations, both formal and informal social mechanisms which limit human behavior and also behavior of organizations. Thus, institutes are limiting the choice. Neglecting institutions always has its negative influence on the efficiency of choice results. In the countries of South-East Europe real institutional changes have been ignored. Therefore, many anti-institutional forms of behavior have become rather explicit, essentially they are of alternative (shadow) nature and motivation. In this article the authors present their original vision on the formation of the factors within anti-democratic socioeconomic model of development, being formed throughout three decades of the transitive period in the post-socialist countries of the South-East Europe. An attempt is made to explain means and motives which facilitate realization of a rather paradoxical model of anti-development. The authors assume that without radical changes in the social field, namely, in the institutional sector, it will not be possible to overcome existing social and economic changes.