[6] This theory, notably advanced by Douglass North and Robert Fogel, emphasizes the importance of efficient institutions in achieving economic growth.
He has described both Joseph Schumpeter and John Kenneth Galbraith as "quasi-institutionalists", in the meaning they were "heterodox-economists", influenced by other schools of thought.
[3] In 2011 he was a strong supporter of Paul Romer to be awarded the Nobel prize for economics for his work on how people really behave in the market.
[12] Pålsson Syll's theories have been criticized by right-wing economists such as Henrik Jordahl, Andreas Bergh and author Johan Norberg.
[13] Talking of the 2007–2008 financial crisis, Pålsson Syll said capitalism has an inherent tendency to periodically create speculative bubbles in different asset markets.
[16] Although not in favor of protectionism, he has said that if the United States and other European Union countries begin introducing protectionist measures Sweden may be forced to do so too, in a variant of the prisoner's dilemma.