Gradual institutional change

Dan Little investigates Gradual institutional change.

Little considers instiutions to have a degree of plasticity in that:

The basic idea of plasticity is that institutions and organizations are the product of various kinds of structured human action, and that they can change over time. So we shouldn't think of institutions as having fixed characteristics, or as though they were equilibrium systems that tend to return to their original states after perturbances. … And this approach makes plain the high degree of path-dependency that institutions display.

In other words, history explains institutions.

Little cites studies that:

The theory they offer of gradual institutional change is an actor-centered theory. Incremental change occurs as the result of the opportunistic and strategic choices made by a range of actors within the institution.

But one thing Little leaves out is how institutions collapse. What happens when the institution is unable to provide answers to the problems that it encounters?