Policy Entrepreneurship and Institutional Change: Multilevel Governance of Central Banking Reform

Recent studies on institutional theory and the public policy field called for efforts to pry open the black box of institutional and policy change. This article offers a response to this call. It demonstrates that historical and discursive institutionalist approaches are complementary to explain how and why institutional change occurs. In addition, it shows how these approaches can add value to and benefit from the public policy and administration fields that seek to explain policy change and success. In particular, it emphasizes the interactions between structure and agency that contribute to the change. The empirical finding is based on qualitative analysis of central banking reform in Turkey. It suggests that institutional and policy change is more likely to occur when policy entrepreneurs, with joint membership in domestic and transnational policy communities, mediate various ideas and discourse within and among these communities in a punctuated institutional equilibrium.