Varieties of capitalism - And then there was one?

Comparative political economy has reached a moment of theoretical synthesis in which a series of incremental theoretical developments has coalesced into a new paradigm. The theoretical framework of the varieties of capitalism approach to political economy establishes a space for rigorous institutional analysis. It can compellingly explain why distinct national varieties of capitalism exist and how institutions interact to reinforce these varieties. Nonetheless, the varieties of capitalism approach needs to be supplemented by a much greater emphasis on political contestation and the uneven, conflictual, and interdependent development of national capitalisms. Not simply better institutional theory, but also a better institutional theory of capitalism is required.