This website uses cookies to ensure you have the best experience. Learn more

Why Do Nations Fail? By Daron Acemoglu And James A. Robinson

1612 words - 7 pages

Introduction

Why do nations fail? This is a topic of popular debate with many economists and a question many scholars have struggled to find an answer to. Global poverty is an issue that economists Daron Acemoglu and James A. Robinson investigate and provide an alternative insight for in their book: ‘Why Nations Fail’. Acemoglu and Robinson investigate inequalities that exist across countries and why nations are an epitome of success and others, failure. They come up with an alternative explanation for why standards of living differ across countries, and why a gap exists between the rich and poor. The book introduces an example of two cities that are separated by a border: Nogales, Arizona ...view middle of the document...

This report will investigate whether Acemoglu and Robinson’s thesis of institutions provides any insight for the performance of Nigeria’s economy. Nigeria is considered the largest economy in Africa. Despite being a lead exporter of oil, the World Bank has acknowledged Nigeria among the poorest countries in the world. The World Bank refers to Nigeria’s economy as a paradox: the country is wealthy, but the people are poor. If the wealth was used for the development of Nigeria’s people and productive use in the economy, Nigeria could have been a prosperous country. However, Nigeria is characterized with a complex political history, inequitable income distribution, an ailing economy and rampant corruption. Acemoglu and Robinson would state the issue does not lie in the geography of Nigeria, the culture or even the ignorance of policies that could help enrich Nigeria. According to Acemoglu and Robinson’s thesis, Nigeria is poor because those in power made choices that resulted in a great consequence: poverty (Acemoglu & Robinson 2012). Due to oil, there has been high economic growth in Nigeria, and this may be possible under extractive institutions. However, according to Acemoglu and Robinson, this growth is not sustainable (Acemoglu & Robinson, 2012). For economic success to occur in Nigeria the political institutions must be centralized and a democratic government must be practiced. Therefore, with respect to Acemoglu and Robinson’s thesis, Nigeria’s extractive political institutions reinforce Nigeria’s extractive economic institutions.

Nigeria Basics
Nigeria is officially called the Federal Republic of Nigeria with Goodluck Jonathan as its current president. Nigeria is a federal constitutional republic made up of 36 states. The states are divided into 774 local government areas (LGAs). The capital of Nigeria is Abuja and the largest city in the country is Lagos. Nigeria has a large population of 168.8 billion and a current GDP of $262.2 billion (The World Bank, 2014). Nigeria is the largest country in Africa and the 7th most populous country in the world. Nigeria has over 250 ethnic groups with the three largest groups being the Hausa, Yoruba and Igbo. The Majority of the population practice Islam or Christianity, and minority religions including Hinduism, Jainism and the Baha’i faith. Nigeria has the second largest economy in Africa and is considered an emerging market due to its abundance of natural resources. Nigeria is oil-rich and oil dependent country. It is 12th largest producer of petroleum in the world and the largest producer in Africa. Oil accounts for 90% of exports in Nigeria (The World Bank 2014). Agriculture employs 60% of Nigerians, and major agricultural products include cocoa, sugar cane, yams and cassava (The World Bank, 2014). In the 1960s, the agricultural sector was the major contributor for domestic production, employment creation and exports. Today, Nigeria is over-dependent on oil and has replaced the role of...

Find Another Essay On Why Do Nations Fail? by Daron Acemoglu and James A. Robinson

Why do students succeed or fail?

1907 words - 8 pages to do perform well at school. If students are not affected by encouragement and appraisal they won't be able to participate in the learning process. Cultural factors The level of learning is also dependent on what is expected of a student through their social surroundings or culture. For instance if the culture is very demanding of students with fine capabilities and a good educational background, the level of students trying to succeed with

Why do Companies Continue with Mergers and Acquisitions when so many Fail?

2453 words - 10 pages Why do Companies Continue with Mergers and Acquisitions when so many Fail? The phenomenon of mergers and acquisitions (M&A’s) triggers an array of opinions and viewpoints. Often it is a strategy that is seen as a perfect way of achieving growth. It is by no means an organic or natural route to success, but has tended to be a quick and easy way of increasing an organisations size and power. However although there have been ‘waves’ of

why do we remember James Cook?

727 words - 3 pages Do you know who the worlds greatest explorers are? One of them is the topic ofthis essay. This essay is about James Cook. The objective of this report will be toanswer the following question: Why do we remember James Cook?James Cook was born on October 27, 1728 in Marton, England. At the age of 18James Cook became an apprentice with a shipping company. His first voyages heworked on ships that carried coal to English ports. In 1755, during the

Analysis: James G. Clawson´s A Leader’s Guide To Why People Behave The Way They Do

709 words - 3 pages In James G. Clawson case study A Leader’s Guide To Why People Behave The Way They Do we learned how the mentality of leaders is deeply influenced by their parents. One of the key things to take away from Clawson article is how parents can potentially have a lasting effect in the outlooks of a child that can affect them later on in life as adults. As babies are born they are born without any type perceptions created on their own, instead their

Compare The Birthing Scene In Mary Shelley’s Frankenstein, Directed By Kenneth Branagh (1994) With The Original Version Directed By James Whale (1931). Which Do You Think Is Most Effective And Why?

1361 words - 5 pages way he stares so hard and then darts his eyes very quickly make him look like a man obsessed. James Whale's Victor is well spoken "“ he has an upper-class accent. The tone he speaks in is very stern "“ almost as if there is no questioning what he is going to do. These features combined give the impression that Victor is on the verge of insanity. This is reinforced when he says to his audience: "Quite a good scene, isn't it? One

Why Some Projects Succeed and Others Fail

855 words - 4 pages IT PROJECT SUCCESS: WHY SOME PROJECTS SUCCEED AND OTHERS FAIL INTRODUCTION What is Project success? Sounds an easy enough question to answer and if you ask 10 people I’m sure you will get varying answers as success is relative. How do you plan for success when you don’t know what success is, basically before you even start you have set yourself on the path to succeeding, in failure that is. Baccarini(1999,p.25) explains project success as two

Merger and Acquisitions: Why They Sometimes FaIL

1149 words - 5 pages common reason for merger failure and a factor that should receive a lot of attention since it is the heart of the organization. Integration of financial information, inventory, human resources and daily systems is s difficult task and requires extensive re-training of staff and management to ensure errors do not occur which will cost money and in some cases can result in fraud. According to Stephen Warrilow, "a survey conducted by A.T. Kearney in

Robinson Crusoe a Story by Daniel Defoe

1388 words - 6 pages Ashly Parrish English IV April 8, 2014 Essay Robinson Crusoe VS Pop Culture Robinson Crusoe is a story written by Daniel Defoe in 1719. Although this novel is not well known many know the story from the modern movie “castaway”. The movie castaway premiered in 2000 and had the movie critics raving. Not all the talk about this modern movie was positive though. Many viewers really enjoyed this adventuress movie about a man being stranded on an

Did the United Nations and the International Community Fail to Prevent the Rwandan Genocide?

1795 words - 7 pages Did the United Nations and the International Community Fail to Prevent the Rwandan Genocide?In 1994 in a period of 100 days approximately 800, 000 Rwandan Tutsis and moderate Hutus were killed by Hutu extremists in what was undoubtedly the largest genocidal attack since the Jewish holocaust in the Second World War. The tragedy lay not only in the events which unfolded but the incredibly disappointing response from the rest of the world in terms

Why Do People Work and How to Get a Job

961 words - 4 pages Why do people work? People work because it is a necessity and it is a way to survive. In our society, being without a job is almost like being invisible. Everyone has to be involved is some type of work whether it is for self or for someone else. The work we choose to do determines our lives and measures our level of success in life. Our lives are around the work we do and the rewards that we get from it. Money is most earned through work

How Differentiated Instruction Can Work and Fail in the Article Mapping a Route Toward Differentiated Instruction by Carol Ann Tomlinson

717 words - 3 pages This article, named “Mapping a Route Toward Differentiated Instuction” by Carol Ann Tomlinson, is about differention, which means to form or mark differently from other such things (Collins, 2009). This paper talks about the difference between the three teachers they gives and their teaching style. They all are different, but the paper talks about how they show good or bad differentiated tatics. The first two teachers did not do it right

Similar Essays

Why Nations Fail By James A. Robinson, Daron Acemoğlu

1876 words - 8 pages Why Nations Fail is a well penned book, which wrestles with a large question that many ponder everyday- why are some nations rich, while others are poor, divided by wealth and poverty, health and sickness, and food and famine? The authors, Daron Acemoglu and James Robinson, explain that the answer to this question is that modern day political and economic institutions determine economic success. Political institutions can be split into two

Why Nations Fail By Daron Acemogly And James Robinson

2009 words - 8 pages life. In conclusion, I think that Why Nations Fail is an important piece of literature in the field of international politics, economy and development and should be considered when discussing how we may adapt and change the way we view why things occur the way they do and the historical circumstances behind them. Works Cited Acemoglu, Daron and Robinson, James. “Why Nations Fail: The origins of power, prosperity and poverty”. Crown Publishers. New York. 2012. Boldrin, Michele et al. “A Review of Acemoglu and Robinson’s Why Nations Fail”. http://levine.sscnet.ucla.edu/general/aandrreview.pdf

An Analysis Of Why Nations Fail

1052 words - 4 pages an accomplishment over nothing. To conclude, Why Nations Fail is a simple novel that explains the authors view on why our world is the way it is today. Some countries are abnormally rich and powerful while others are left in the dust. Although some of their points are vague and don’t necessarily come across as simple reasons, they do a great job at trying to sum down this huge question into a well written novel. Works Cited Acemoglu, Daron, and James A. Robinson. Why nations fail: the origins of power, prosperity, and poverty. New York: Crown Publishers, 2012. Print.

Book Report: Why Nations Fail: The Origins Of Power, Prosperity, And Poverty

1487 words - 6 pages crime? Daron Acemoglu and James A. Robinson, authors of ‘Why Nations Fail’, argue that it is because the Unite States have inclusive institutions and Mexico has extractive ones. If inclusive policies generate prosperity, it would make sense to think that all nations should have such policies. Historically, when the Spaniards came to South America, they enriched themselves at others’ expenses. Impoverishing and enslaving locals, leaders and