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BY THE NOBEL PRIZE-WINNING ECONOMISTS DARON ACEMOGLU & JAMES A. ROBINSON Shortlisted for the Financial Times Business Book of the Year Award Why are some nations more prosperous than others? Why Nations Fail sets out to answer this question, with a compelling and elegantly argued new theory: that it is not down to climate, geography or culture, but because of institutions. Drawing on an extraordinary range of contemporary and historical examples, from ancient Rome through the Tudors to modern-day China, leading academics Daron Acemoglu and James A. Robinson show that to invest and prosper, people need to know that if they work hard, they can make money and actually keep it - and this means sound institutions that allow virtuous circles of innovation, expansion and peace. Based on fifteen years of research, and answering the competing arguments of authors ranging from Max Weber to Jeffrey Sachs and Jared Diamond, Acemoglu and Robinson step boldly into the territory of Francis Fukuyama and Ian Morris. They blend economics, politics, history and current affairs to provide a new, powerful and persuasive way of understanding wealth and poverty.

NEW YORK TIMES AND WALL STREET JOURNAL BESTSELLER - From two winners of the 2024 Nobel Prize in Economic Sciences, "who have demonstrated the importance of societal institutions for a country's prosperity" "A wildly ambitious work that hopscotches through history and around the world to answer the very big question of why some countries get rich and others don't."--The New York Times FINALIST: Financial Times and Goldman Sachs Business Book of the Year Award - ONE OF THE BEST BOOKS OF THE YEAR: The Washington Post, Financial Times, The Economist, BusinessWeek, Bloomberg, The Christian Science Monitor, The Plain Dealer Why are some nations rich and others poor, divided by wealth and poverty, health and sickness, food and famine? Is it culture, the weather, or geography that determines prosperity or poverty? As Why Nations Fail shows, none of these factors is either definitive or destiny. Drawing on fifteen years of original research, Daron Acemoglu and James Robinson conclusively show that it is our man-made political and economic institutions that underlie economic success (or the lack of it). Korea, to take just one example, is a remarkably homogenous nation, yet the people of North Korea are among the poorest on earth while their brothers and sisters in South Korea are among the richest. The differences between the Koreas is due to the politics that created those two different institutional trajectories. Acemoglu and Robinson marshal extraordinary historical evidence from the Roman Empire, the Mayan city-states, the Soviet Union, the United States, and Africa to build a new theory of political economy with great relevance for the big questions of today, among them: - Will China's economy continue to grow at such a high speed and ultimately overwhelm the West? - Are America's best days behind it? Are we creating a vicious cycle that enriches and empowers a small minority? "This book will change the way people think about the wealth and poverty of nations . . . as ambitious as Jared Diamond's Guns, Germs, and Steel."--BusinessWeek