Daron Acemoglu Books

Our journey begins in medieval Europe, where technology first altered the organization of society. Watermills and windmills in the Middle Ages boosted productivity, transforming agriculture and craftwork. Yet these innovations did not necessarily uplift peasants or artisans. Instead, they often rein...

From Power and Progress: Our Thousand-Year Struggle Over Technology and Prosperity

The Industrial Revolution is often hailed as the dawn of modern prosperity, but our analysis reveals a more complex story. The arrival of mechanized factories in Britain created unparalleled wealth for a small elite. Steam engines, spinning jennies, and power looms transformed labor but also margina...

From Power and Progress: Our Thousand-Year Struggle Over Technology and Prosperity

Before exploring the roots of inequality, it is crucial to clarify what sustains prosperity or poverty—the structure of institutions. These fall broadly into two categories: inclusive and extractive. Inclusive economic institutions are like fertile soil; they nurture initiative, reward effort, and g...

From Why States Fail: The Origins of Power, Prosperity, and Poverty

History vividly illustrates the logic of institutional development. Consider the postcolonial Americas. Spanish colonizers established extractive systems—such as the encomienda and hacienda structures—that relentlessly exploited Indigenous and African labor. These institutions generated immense weal...

From Why States Fail: The Origins of Power, Prosperity, and Poverty