In development research, much effort has gone into analyzing the impact of economic and political institutions and their adequate design. However, unforeseen factors such as the impact of the cumulative behavior of individuals as shaped by informal institutions – especially social norms and moral values – may also determine the pace and path of development. Thus, positive economic, social or political triggers may only then translate into development if the relevant actors adapt their strategies and actions appropriately. Similarly, while negative triggers may induce a deterioration of the socioeconomic situation if no adaptation or a mal-adaptation takes place, in another real-world setting with a different set of institutions and actors it may in turn be possible to preserve the status quo. Sound analytical frameworks are needed to gain a deeper understanding of the complex and dynamic interaction of factors leading to a case-specific outcome and history of change. These frameworks have to be specific enough to allow the interpretation of complex changes and dynamics and at the same time general enough to fully cover a broad range of diverse settings and all important but possibly unforeseen aspects. In this paper, I present a modified version of the Framework for Modeling Institutional Change developed by Jean Ensminger (1992). Accounting for the relationships and dynamics of incentives, formal and informal institutions, bargaining power and the constellation of actors, Ensminger’s framework, which is rooted in the theoretical approach of New Institutional Anthropology, merges important aspects from New Institutional Economics and anthropology. However, it fails to leave room for agency which, as the paper illustrates, has been shown to play an often important role in development. The modified version of Ensminger’s framework incorporates agency as a main factor. For the purpose of demonstration, it is applied to a case study on informal constraints to cope with cattle rustling in Madagascar. The paper illustrates the modified framework’s analytical strength for a meticulous investigation of a wide range of empirical cases and discusses to which development-related cases and research interests it fits best. JEL Codes: B52, O1, N57, Z13