Why Nations Fail a great read

Tony Miselli



Daron Acemoglu and James Robinson bring this book called ' Why Nations Fail'. This book is a well researched volume on the state of the world and a lesson why some nations are rich to this day and why some still have extreme poverty despite the rich resources they sit on. The book debunks some old prejudices and theories that claimed geography and the type of people are responsible for the plight and condition we see the world today. The key factor the authors state for the bad conditions poor countries face is the extractive political institutions of recent leaders and how little changed when many of these countries gained independence from colonial powers. The book also explored the fear and disdain for creative destruction of the system already in place that threatened the elites position in this society. This is a theme that often played out over and over whenever somebody came up with an innovative and better way of accomplishing something.
   I really appreciated the look at European colonialism and the numerous dictators that were propped up to continue the resource extraction and selling to the West. Without a doubt one of the main reasons poor nations are poor is because of European colonialism and the authors take a special look at the Dutch invasion and monopoly of the spice trade in the Moluccas. The Dutch East India company practically annihilated any competition from the thriving local kingdoms that were gaining  economic strength thanks to this valuable trade. The Netherlands only claim to wealth to this day is from the thievery of their ancestors and much of the Western world expanded using this method. It would of been like if the Arabs invaded Texas in 1890's and used all the wealth for themselves and their countries from North American oil. This book is the best explained and read factual based writings about why some nations fail. They even talk about modern times and the various rulers in Africa that create a small family power structure benefiting the few over improving conditions for the masses