Law and order Quote by Daron Acemoğlu
““Lack of creative destruction and innovation is not the only reason why there are severe limits to growth under extractive institutions. The history of the Maya city-states illustrates a more ominous and, alas, more common end, again implied by the internal logic of extractive institutions. As these institutions create significant gains for the elite, there will be strong incentives for others to fight to replace the current elite. Infighting and instability are thus inherent features of extractive institutions, and they not only create further inefficiencies but also often reverse any political centralization, sometimes even leading to the total breakdown of law and order and descent into chaos, as the Maya city-states experienced following their relative success during their Classical Era. Though””
About This Quote
Extractive institutions concentrate power, prompting elite competition that destabilizes societies, as seen in the Maya city-states' collapse after a period of prosperity.
In simple terms: Elite rivalry fuels instability in extractive regimes.
Key Takeaway
Concentration of power breeds conflict and chaos.
Themes
political economy
institutional decay
elite competition
social instability
historical cycles
Mood
cautious
analytical
Type
historical analysis
theoretical insight
When to use this quote
- post‑boom elite power struggles
- societies facing institutional decay
- states transitioning from growth to collapse
Key Concepts
extractive institutions
elite incentives
political centralization
law and order
Practical Applications
- risk assessment for political stability
- design of inclusive institutions
Questions to Reflect On
- What mechanisms can prevent elite infighting in extractive systems?
- How might inclusive institutions alter the trajectory observed in the Maya?
