“ The situation was similar in the Soviet Union, with industry playing the role of sugar in the Caribbean. Industrial growth in the Soviet Union was further facilitated because its technology was so bac… Daron Acemoğlu
“ The English textile industry not only was the driving force behind the Industrial Revolution but also revolutionized the world economy. Daron Acemoğlu
“ NATIONS FAIL TODAY because their extractive economic institutions do not create the incentives needed for people to save, invest, and innovate. Extractive political institutions support these economic… Daron Acemoğlu
“ World inequality today exists because during the nineteenth and twentieth centuries some nations were able to take advantage of the Industrial Revolution and the technologies and methods of organizati… Daron Acemoğlu
“ This synergistic relationship between extractive economic and political institutions introduces a strong feedback loop: political institutions enable the elites controlling political power to choose e… Daron Acemoğlu
“ The fear of creative destruction is the main reason why there was no sustained increase in living standards between the Neolithic and Industrial revolutions. Daron Acemoğlu
“ In 1856 the state of Victoria, which had been carved out of New South Wales in 1851, and the state of Tasmania would become the first places in the world to introduce an effective secret ballot in ele… Daron Acemoğlu
“ The Manchester Act was a significant victory for the nascent cotton manufacturers. But its historical and economic significance was in fact much greater. First, it demonstrated the limits of entry bar… Daron Acemoğlu
“ One of the most notorious of these was Cornelius Vanderbilt, who famously remarked, What do I care about the Law? Hain’t I got the power? Daron Acemoğlu
“ Max Weber, who we met in the previous chapter, provided the most famous and widely accepted definition of the state, identifying it with the monopoly of legitimate violence in society. Without such a… Daron Acemoğlu
“ In North Korea, the state built an education system to inculcate propaganda, but was unable to prevent famine. In colonial Latin America, the state focused on coercing indigenous peoples. In neither t… Daron Acemoğlu
“ Díaz violated people’s property rights, facilitating the expropriation of vast amounts of land, and he granted monopolies and favors to his supporters in all lines of business, including banking. Ther… Daron Acemoğlu
“ Tropical diseases obviously cause much suffering and high rates of infant mortality in Africa, but they are not the reason Africa is poor. Disease is largely a consequence of poverty and of government… Daron Acemoğlu
“ The people who suffer from the extractive economic institutions cannot hope for absolutist rulers to voluntarily change political institutions and redistribute power in society. The only way to change… Daron Acemoğlu
“ The great inequality of the modern world that emerged in the nineteenth century was caused by the uneven dissemination of industrial technologies and manufacturing production. It was not caused by div… Daron Acemoğlu
“ Nations fail when they have extractive economic institutions, supported by extractive political institutions that impede and even block economic growth. Daron Acemoğlu
“ Growth thus moves forward only if not blocked by the economic losers who anticipate that their economic privileges will be lost and by the political losers who fear that their political power will be… Daron Acemoğlu
“ Creative destruction redistributes not simply income and wealth, but also political power, Daron Acemoğlu
“ Because elites dominating extractive institutions fear creative destruction, they will resist it, and any growth that germinates under extractive institutions will be ultimately short lived. Daron Acemoğlu
