Why Nations Fail: The Origins of Power, Prosperity, and Poverty (72 page)

Data on labor in Liberia is from Clower, Dalton, Harwitz, and Walters (1966).

The dual economy idea was developed by Lewis (1954). Fergusson (2010) develops a mathematical model of the dual economy. The notion that this was a creation of colonialism was first proposed in the seminal collection of essays edited by Palmer and Parsons (1977). Our account of South Africa is based on Bundy (1979) and Feinstein (2005).

The Moravian missionary is quoted in Bundy (1979), p. 46, and John Hemming is quoted in Bundy, p. 72. The spread of land ownership in Griqualand East is from Bundy, p. 89; the exploits of Stephen Sonjica are from Bundy, p. 94; the quote from Matthew Blyth is from p. 97; and the quote from a European observer in Fingoland 1884 is from Bundy, pp. 100–101. George Albu is quoted in Feinstein (2005), p. 63; secretary for native affairs is quoted from Feinstein, p. 45; and Verwoerd is quoted from Feinstein, p. 159. Data on the real wages of African gold miners are from p. 66 of Wilson (1972). G. Findlay is quoted in Bundy (1979), p. 242.

The notion that the development of the rich countries of the West is the mirror image of the underdevelopment of the rest of the world was originally developed by Wallertsein (1974–2011), though he emphasizes very different mechanisms than we do.

This chapter builds heavily on our previous research with Simon Johnson and Davide Cantoni: Acemoglu, Johnson, and Robinson (2002) and Acemoglu, Cantoni, Johnson, and Robinson (2010, 2011).

Our discussion of the development of early institutions in Australia follows the seminal work of Hirst (1983, 1988, 2003) and Neal (1991). The original manuscript of the writ issued to Judge Collins is available (thanks to the Macquarie University Law School in Australia) at
www.law.mq.edu.au/scnsw/html/Cable%20v%20Sinclair,%201788.htm
.

Macarthur’s characterization of Wentworth’s supporters is quoted from Melbourne (1963), pp. 131–32.

Our discussion of the origins of the Rothschilds follows Ferguson (1998); Mayer Rothschild’s remark to his son is reproduced from Ferguson, p. 76.

Our discussion of the impact of the French on European institutions is taken from Acemoglu, Cantoni, Johnson, and Robinson (2010, 2011) and the references therein. See Doyle (2002) for a standard overview of the French Revolution. Information on the feudal dues in Nassau-Usingen is from Lenger (2004), p. 96. Ogilivie (2011) overviews the historical impact of guilds on European development.

For a treatment of the life of (Ōkubo Toshimichi, see Iwata (1964). Sakamoto Ryūma’s eight-point plan is reproduced from Jansen (2000), p. 310.

Our discussion of the Black Act follows Thompson (1975). Baptist Nunn’s report of June 27 is from Thompson (1975), pp. 65–66. The other quotes are from Thompson’s section on the rule of law, pp. 258–69, which is well worth reading in its entirety.

Our approach to democratization in England is based on Acemoglu and Robinson (2000a, 2001, and 2006a). Earl Grey’s speech is quoted from Evans (1996), p. 223. Stephens’s comment about democracy is quoted in Briggs (1959), p. 34. Thompson’s quote is from Thompson (1975), p. 269.

The entire text of the People’s Charter can be found in Cole and Filson (1951) and at
web.bham.ac.uk/1848/document/peoplech.htm
.

The quote from Burke is taken from Burke (1790/1969), p. 152.

Lindert (2004, 2009) is a seminal treatment of the coevolution of democracy and public policy over the past two hundred years.

Keyssar (2009) is a seminal introduction to the evolution of political rights in the United States. Vanderbilt is quoted in Josephson (1934), p. 15. The text of Roosevelt’s address is at
www.theodore-roosevelt.com/sotu1.html
.

The quote from Woodrow Wilson is from Wilson (1913), p. 286.

The text of President Roosevelt’s Fireside Chat can be found at
miller-center.org/scripps/archive/speeches/detail/3309
.

Data on the relative tenure of Supreme Court justices in Argentina and the United States is presented in Iaryczower, Spiller, and Tommasi (2002). Helmke (2004) discusses the history of court packing in Argentina and quotes Justice Carlos Fayt.

This chapter heavily relies on our theoretical and empirical research on institutional persistence, particularly Acemoglu, Johnson, and Robinson (2005b) and Acemoglu and Robinson (2008a). Heath (1972) and Kelley and Klein (1980) made a seminal application of the iron law of oligarchy to the 1952 Bolivian Revolution.

The quote from the British parliamentary papers is reproduced from p. 15 of House of Commons (1904). The early political history of postindependence Sierra Leone is well told in Cartwright (1970). Though interpretations differ as to why Siaka Stevens pulled up the railway line, the salient one is that he did this to isolate Mendeland. In this we follow Abraham and Sesay (1993), p. 120; Richards (1996), pp. 42–43; and Davies (2007), pp. 684–85. Reno (1995, 2003) are the best treatments of Stevens’s regime. The data on the agricultural marketing boards comes from Davies (2007). On the murder of Sam Bangura by defenestration, see Reno (1995), pp. 137–41. Jackson (2004), p. 63, and Keen (2005), p. 17, discuss the acronyms ISU and SSD.

Bates (1981) is the seminal analysis of how marketing boards destroyed agricultural productivity in postindependence Africa, see Goldstein and Udry (2009) on how political connections to chiefs determine property rights to land in Ghana.

On the relation between politicians in 1993 and the conquistadors, see Dosal (1995), chap. 1, and Casaús Arzú (2007). Our discussion of the policies
of the Consulado de Comercio follows Woodward (1966). The quote from President Barrios is from McCreery (1994), pp. 187–88. Our discussion of the regime of Jorge Ubico follows Grieb (1979).

Our discussion of the underdevelopment of the U.S. South follows Acemoglu and Robinson (2008b). See Wright (1978) on the pre–Civil War development of the slave economy, and Bateman and Weiss (1981) on the dearth of industry. Fogel and Engerman (1974) give a different and controversial interpretation. Wright (1986) and Ransom and Sutch (2001) give overviews of the extent to which the southern economy after 1865 really changed. Congressman George Washington Julian is quoted in Wiener (1978), p. 6. The same book contains the analysis of the persistence of the southern landed elite after the Civil War. Naidu (2009) examines the impact of the introduction of poll taxes and literacy tests in the 1890s in southern states. The quotation from W.E.B. Du Bois is in his book Du Bois (1903), p. 88. Clause 256 of the Alabama constitution can be found at
www.legislature.state.al.us/CodeOfAlabama/Constitution/
1901/CA-245806.htm
.

Alston and Ferrie (1999) discuss how southern politicians blocked federal legislation they thought would disrupt the South’s economy. Woodward (1955) gives a seminal overview of the creation of Jim Crow.

Overviews of the Ethiopian revolution are provided in Halliday and Molyneux (1981). On the Emperor’s cushions, see Kapuściński (1983). The quotes from Dawit Wolde Giorgis are from Dawit Wolde Giorgis (1989), pp. 49 and 48, respectively.

For the BBC report on Mugabe’s lottery success, including the public statement of Zimbank, see
news.bbc.co.uk/2/hi/africa/621895.stm
.

Our treatment of the creation of white rule in Rhodesia follows Palmer (1977) and Alexander (2006). Meredith (2007) provides a good overview of more recent Zimbabwean politics.

Our account of the civil war in Sierra Leone follows Richards (1996), Truth and Reconciliation Commission (2004), and Keen (2005). The analysis published in a newspaper in the capital city of Freetown in 1995 is quoted from Keen (2005), p. 34. The text of the RUF’s “Footpaths to Democracy” can we found at
www.sierra-leone.org/AFRC-RUF/footpaths.html
.

The quotation from the teenager from Geoma is from Keen (2005), p. 42.

Our discussion of the Colombian paramilitaries follows Acemoglu, Robinson, and Santos (2010) and Chaves and Robinson (2010), which in turn heavily rely on the extensive work by Colombian scholars, particularly Romero (2003), the essays in Romero (2007), and López (2010). León (2009) is an accessible and balanced account of the nature of contemporary conflicts in Colombia. Also fundamental is the Web site run by the weekly newspaper
Semana
,
www.verdadabierta.com/
. All the quotes come from Acemoglu, Robinson, and Santos (2010). The contract between Martín Llanos and the mayors in Casanare is available in Spanish at
www.verdadabierta.com/victimarios/los-jefes/714-perfil-hector-german-buitrago-alias-martin-llanos
.

The origins and consequences of El Corralito are well presented in a series of articles in
The Economist
magazine, available at
www.economist.com/search/apachesolr_search/corralito
.

On the role of the interior in Argentine development, see Sawers (1996).

Hassig and Oh (2009) provides an excellent, valuable account of life in North Korea. Chap. 2 covers the luxurious lifestyle of the leadership, and chaps. 3 and 4, the economic realities that most people face. The BBC coverage of the currency reform can be found at
news.bbc.co.uk/2/hi/8500017.stm
. On the pleasure palace and brandy consumption, see chap. 12 of Post (2004).

Our discussion of child labor and its use for picking cotton in Uzbeksitan follows Kandiyoti (2008), available at
www.soas.ac.uk/cccac/events/cotton-sector-in-central-asia-2005/file49842.pdf
. The quote from Gulnaz is on p. 20 of Kandiyoti. On the Andijon uprising, see International Crisis Group (2005). The description of the election of Joseph Stalin in the Soviet Union is reproduced from Denny (1937).

Our analysis of “crony capitalism” in Egypt follows Sfakianakis (2004).

Our treatment of Botswana follows Acemoglu, Johnson, and Robinson (2003); Robinson and Parsons (2006); and Leith (2005). Schapera (1970) and Parsons, Henderson, and Tlou (1995) are fundamental works. High Commissioner
Rey is quoted in Acemoglu, Johnson, and Robinson (2003), p. 96. The discussion of the three chiefs’ visit to England follows Parsons (1998), and all quotes relating to this come from his book: Chamberlain, pp. 206–7; Fairfield, p. 209; and Rhodes, p. 223. Schapera is quoted from Schapera (1940), p. 72. The quote from Quett Masire is from Masire (2006), p. 43. On the ethnic composition of the Tswana tribes, see Schapera (1952).

Our treatment of change in the U.S. South follows Acemoglu and Robinson (2008b). On the population movement out of the U.S. South, see Wright (1999); on the mechanization of cotton picking, Heinicke (1994). “FRDUM FOOF SPETGH” is quoted from Mickey (2008), p. 50. Thurmond’s 1948 speech is taken from
www.slate.com/id/2075151/
, where you also can listen to the audio recording. On James Meredith and Oxford, Mississippi, see Doyle (2001). See Wright (1999) on the impact of civil rights legislation on black voting in the South.

On the nature and politics of China’s political transition after the death of Mao, see Harding (1987) and MacFarquhar and Schoenhals (2008). Deng’s quote about the cat is from Harding, p. 58. The first point of the Cultural Revolution is from Schoenhals (1996), p. 33; Mao on Hitler is from MacFarquhar and Schoenhals, p. 102; Hua on the “Two Whatevers” is from Harding, p. 56.

For the story of Dai Guofang, see McGregor (2010), pp. 219–26. The story of red telephones is also from McGregor, chap. 1. On the control of the party over media, see Pan (2008), chap. 9, and McGregor (2010), pp. 64–69 and 235–62. The quotes on the party’s attitudes toward entrepreneurs are from McGregor (2010), pp. 200–201 and 223. For Wen Jiabao’s comments on political reforms in China, see
www.guardian.co.uk/world/2010/aug/29/wen-jiabao-china-reform
.

The modernization hypothesis is clearly articulated in Lipset (1959). The evidence against it is discussed in detail in Acemoglu, Johnson, Robinson, and Yared (2008, 2009). George H. W. Bush’s quote is from
news.bbc.co.uk/2/hi/business/752224.stm
.

Our discussion of NGO activity and foreign aid in Afghanistan after
December 2001 draws on Ghani and Lockhart (2008). See also Reinikka and Svensson (2004) and Easterly (2006) on problems of foreign aid.

Our discussion of problems of macroeconomic reform and inflation in Zimbabwe is from Acemoglu, Johnson, Robinson, and Querubín (2008). The Seva Mandir discussion is drawn from Banerjee, Duflo, and Glennerster (2008).

The formation of the Workers’ Party in Brazil is covered in Keck (1992); on the Scânia strike, see chap. 4. The quote from Cardoso is from Keck, pp. 44–45; the quote from Lula is on Keck, p. 65.

The discussion of the efforts of Fujimori and Montesinos to control the media is from McMillan and Zoido (2004), and the quote on the Chinese Communist Party’s control is from McGregor (2010), p. 69.

Map 1
: The Inca Empire and road system are adapted from John V. Murra (1984), “Andean Societies before 1532,” in Leslie Bethell, ed.,
The Cambridge History of Latin America
, vol. 1 (New York: Cambridge University Press). The map of the
mita
catchment area is taken from Melissa Dell (2010), “The Persistent Effects of Peru’s Mining
Mita
,”
Econometrica
78:6, 1863–1903.