From the institutional contexts of the Malthusian trap to managerial efficiency: A new political economy perspective

Abstract

In recent decades, numerous studies have explored the linkage between the Malthusian trap and social inequality. However, research explicitly identifying social inequality as a causal factor of the Malthusian trap from a microeconomic remains relatively uncommon. Moreover, although Marxism’s applicability to economic construction has been widely questioned, its historical view implying a direct relationship between institutional forms and productivity levels has not been sufficiently revisited or critically examined. These issues form the background of this study, and elucidating them constitutes its primary contribution. This paper critically revisits the notion of the "Malthusian Trap" by examining its historical applicability and the contexts in which it is often invoked. While the traditional view associate’s pre-industrial stagnation with resource constraints and population pressures, this study highlights that periods typically labeled as "Malthusian" were also marked by severe social oppression, entrenched hierarchies, and distorted market mechanisms.

Drawing on comparative political economy and management perspectives, the analysis suggests that productivity improvements, institutional structures, and collective psychological factors (such as group mind levels and social organization costs) interact in shaping developmental trajectories. A formalized model is proposed, illustrating that short-term coercive power may overcome long-term efficiency, but that in equilibrium, societies with healthier collective psychological dynamics and more balanced institutional arrangements achieve greater aggregate wealth.

By integrating microeconomics, management theory, and elements of psychoanalysis, the paper develops a new explanatory framework that accounts for how institutional and cultural conditions mediated economic development in different historical periods. This challenges the deterministic interpretation of the Malthusian trap and at the same time opens a broader discussion on the role of governance, management efficiency, and collective mental structures in sustaining long-term growth.

Keywords: Malthusian Trap, Market Equilibrium Value Mechanism，Isoquant Curve，Deadweight Loss Triangle，Group Mind, Economic Development，Comparative Advantage

DOI: 10.7176/EJBM/17-8-04

Publication date:September 30th 2025