Summary
- Daron Acemoglu, Simon Johnson, and James Robinson have won the 2024 Nobel memorial prize in economics for their work on how institutions influence economic development.
- Their analysis divides institutions into “inclusive” and “extractive,” claiming that inclusive institutions lead to economic prosperity.
- Critics argue that certain institutions are not a precondition for economic growth, citing examples like China’s development without inclusive institutions.
- The laureates’ work has been criticized for overlooking the brutality of colonialism and legitimizing Western supremacy in institutional development.