Acemoglu and Robinson set out to answer the question why are some nations rich and others poor? The book begins by analyzing Nogales Arizona and Nogales Mexico. In essence this is a city with a national border that divides one portion of the city from the other. The United States side of Nogales is far more prosperous and safe than the Mexican side. The authors attempt to explain why this is the case. Another example given is North and South Korea.
The authors next go through a few theories regarding why some nations succeed and others fail and explain why each of those theories is wrong. They included the geography hypothesis, the culture hypothesis, and the ignorance hypothesis.
The authors state “to understand world inequality we have to understand why some societies are organized in a very inefficient and socially undesirable ways.” They continued “poor countries are poor because those who have power make choices that create poverty. They get it wrong not by mistake or ignorance but on purpose.”
The authors outline numerous historical examples of successful and unsuccessful nations. They argue that successful nations have inclusive political and economic institutions and that poor nations have extractive political and economic institutions. One of the ways to secure inclusive institutions is to have secure property rights. They note that communism is extractive and it’s abhorrence of private property will always lead to poverty.
Innovation is necessary for wealth generation. Inclusive institutions allow for the creative destruction necessary for innovation and countries that are extractive stifle creative destruction.
This was a well researched book with numerous examples. At times it seemed repetitive. The book jumped from time period to time period and might be in Ancient Rome on one page and 18th century Europe on the next. I found their conclusion weak but overall it was a good book.
Overall I give this book 4 stars out of 5.
Thomas Aquinas is credited as one of the greatest proponents of natural law. During his time in Cologne he was taught by Albertus Magnus. Magnus used the teachings of Aristotle in his mentorship of Thomas Aquinas.
Samuel Adams believed in American Independence from Great Britain. He is one of the most well know Son's of Liberty. On August 1, 1776 he gave a speech to the Continental Congress in Philadelphia.
Gamboru, Nigeria Wednesday 11:00pm
Cloud cover hid the moon. The darkness was therefore nearly complete. The few remaining lights in the city were obscured by the trees. A single jeep sat parked off of a seldom used back road. It’s engine was off and the occupant had already exited the vehicle. In such darkness it was easy for the mind to wonder into forbidden thoughts. The only noise came from the chirping insects and the lone man who could no longer lean quietly against the jeep.
Oluwaseun Ogunleye was fidgeting nervously. He couldn’t stand still. It was 11:00pm. They should be here. The attack should have occurred between 6:00pm and 7:00 and then they should have been back to him by 10:30 at the latest. Could something have gone wrong? The nervousness of waiting made minutes seem longer than they were. He had arrived just after ten and this hour had seemed more like a week. His mind had been racing but no matter what he tried to fill it with the time moved torturously slow. So he thought about the last question.
Of ...
