Status Updates From Warum Nationen scheitern: D...

Learning some French history, and that voting secretly by ballot started in Australia after a country of convicts got rights!!

Exctractive institutions can prosper temporarily through 1. power of state to increase efficiency 2. semi-inclusive economic institutions. However, neither won’t last because they both need centralization. Unsurprisingly, extractive political institutions incentivize a fight for holding that power, which creates an immense amount of political tension, leading to instability, and perhaps eventual collapse of state.

Fear of creative destruction is a strong opposition for inclusive economy, am I becoming a Luddite with ai revolution lol?? With economic and political shifts, though not zero sum, there will be winners and losers. If the political power is held within the potential losers and economic incentives are not there to do bring change, it will be very hard. Same goes for creating a centralized government.

Inclusive political and economic institutions are always hand to hand in a self enforced feedback loop, and so are the extractive ones.