Preface and Chapter 1, So Close and Yet So Different Summary and Analysis

Why Nations Fail concerns radical differences in living standards across the world, especially between developed nations like the United States and poor nations like most of those in sub-Saharan Africa or even Egypt. While the peoples of poor nations, again like Egypt, emphasize corruption, repression and lack of investment in social services as explanations, economists point to other factors. Some focus on geographical differences, others on cultural differences. A still different approach is a failure of political leaders to apply effective political policies.

In this book, authors Daron Acemoglu and James Robinson, will side with the people. The reason nations like Egypt are poor is that they have corrupt elite classes who impoverish their nations. Countries like the U.S. and the U.K. are...