Congrats to AJR! 🌟 They are brilliant.
But I don't agree with their idealized portrayal of institutions in Western development
It is historically inaccurate, if not ideologized
Thus, not only do they struggle to explain China, they also can't explain why Western economies like the US prospered despite being as corrupt as China is today
Congrats to AJR! 🌟 They are brilliant. But I don't agree with their idealized portrayal of institutions in Western development It is historically inaccurate, if not ideologized Thus, not only do they struggle to explain China, they also can't explain why Western economies like the US prospered despite being as corrupt as China is today
Congratulations to @DAcemogluMIT, @baselinescene & James Robinson on their @NobelPrize in Economic Sciences. While their work on institutions is important, it's crucial to remember that development is complex.
As @yuenyuenang, @mushtaqkhan100 & Ha-Joon Chang argue, effective institutions must be context-specific, not just replicas of Western... See more
As @yuenyuenang, @mushtaqkhan100 & Ha-Joon Chang argue, effective institutions must be context-specific, not just replicas of Western... See more
Mariana Mazzucato • Tweet
Why Nations Fail is a bit longer than The Communist Manifesto , but it is essentially The Bourgeois Manifesto . Merchants having become wealthy from the Atlantic trade win property rights in England, already primed for this breakthrough. Resultant regime called inclusive , though the merchants were primarily slavers.
They will underline however tha... See more
They will underline however tha... See more
Rakesh Bhandari • Tweet
Under-appreciated fact: today’s Nobel is, in large part, given for formally introducing class struggle into mainstream theory and empirics of economic growth and political development.
Their models of democratization and much of their historical analysis is effectively an argument that in some places, historical circumstances drove bargaining power... See more
Their models of democratization and much of their historical analysis is effectively an argument that in some places, historical circumstances drove bargaining power... See more
Chris Blattman • Tweet
And therefore to the extent that business-friendly institutions have something to do with fixing market failures, Acemoglu, Johnson, and Robinson were right too.
Esther Duflo • Good Economics for Hard Times
centuries-old institutions are increasingly inadequate for confronting ascendant authoritarians. Merely defending a certain sort of democracy is no way to help democracy as an ideal.
Nathan Schneider • Governable Spaces: Democratic Design for Online Life
Sarah Wong added
I wonder if economists overrate the easier-to-observe policy factors and under-theorize the idea that positive visions of the future drive long-term growth. To put it in a different way, I wish that they would consider definite optimism as human capital. In addition to education levels, human capital models should consider factors like optimism, im... See more
danwang.co • Definite optimism as human capital
sari added
Instead of presuming that optimal institutional solutions can be designed easily and imposed at low cost by external authorities, I argue that "getting the institutions right" is a difficult, time-consuming, conflict-invoking process.
Elinor Ostrom • Governing the Commons: The Evolution of Institutions for Collective Action (Political Economy of Institutions and Decisions)
sari added
Big Idea Seven: Institutions Matter