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Nietzschean Development Failures

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  • Arye L. Hillman

Abstract

Government policies, and substantial external resources and technical assistance provided over the course of decades, have neither eliminated broad poverty nor resulted in equitable income distributions in the poorer countries of the world. This paper explains the development failures with reference to Nietzschean behavior where the strong act without ethical restraint and the rule of law does not protect the weak. While Nietzschean behavior violates principles of social justice, there are also inefficiencies. The Nietzschean strong who rule have no incentive to adopt efficiency-enhancing policies. Efficiency in a Nietzschean society is also greater, the higher the leisure preference of the weak and the less the weak are capable of producing. Labor productivity is low because the weak do not consistently work. These are the outcomes when the strong behave as roving bandits. When the strong behave as stationary bandits, efficiency is enhanced but income distribution can be expected to remain unequal. The Nietzschean perspective on development failure is compared with alternative explanations for the sustained plight of the poor in poor countries and the unequal distributions of income and wealth.

Suggested Citation

  • Arye L. Hillman, 2004. "Nietzschean Development Failures," Public Choice, Springer, vol. 119(3_4), pages 263-280, June.
    • Handle: RePEc:kap:pubcho:v:119:y:2004:i:3_4:p:263-280
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    Cited by:

    1. Niklas Potrafke, 2016. "Policies against human trafficking: the role of religion and political institutions," Economics of Governance, Springer, vol. 17(4), pages 353-386, November.
    2. repec:elg:eechap:15325_21 is not listed on IDEAS
    3. Arye L. Hillman & Heinrich W. Ursprung, 2016. "Academic exclusion: some experiences," Public Choice, Springer, vol. 167(1), pages 1-20, April.
    4. Dorothee Schmidt, 2005. "Morality and Conflicts," Discussion Paper Series of the Max Planck Institute for Research on Collective Goods 2005_12, Max Planck Institute for Research on Collective Goods.
    5. Bjornskov, Christian & Bogetic, Zeljko & Hillman, Arye & Popovic, Milenko, 2014. "Trust and Identity in a Small, Post-Socialist, Post-Crisis Society," EconStor Preprints 95968, ZBW - Leibniz Information Centre for Economics.
    6. Niklas Potrafke, 2012. "Islam and democracy," Public Choice, Springer, vol. 151(1), pages 185-192, April.
    7. Arye Hillman, 2009. "Hobbes and Samuel: reply," Public Choice, Springer, vol. 141(1), pages 13-15, October.
    8. Gonzalez, M. & Wen, W., 2007. "The Supply of Social Insurance," Cambridge Working Papers in Economics 0772, Faculty of Economics, University of Cambridge.
    9. Facchini, Francois & Couvreur, Stéphane, 2015. "Inequality: The original economic sin of capitalism? An Evaluation of Thomas Piketty's "Capital in the twenty-first century"," European Journal of Political Economy, Elsevier, vol. 39(C), pages 281-287.
    10. repec:elg:eechap:15325_2 is not listed on IDEAS
    11. Arye L. Hillman, 2021. "Harming a favored side: an anomaly with supreme values and good intentions," Public Choice, Springer, vol. 186(3), pages 275-285, March.
    12. Dreher, Axel & Kotsogiannis, Christos & McCorriston, Steve, 2007. "Corruption around the world: Evidence from a structural model," Journal of Comparative Economics, Elsevier, vol. 35(3), pages 443-466, September.
    13. Yongjing Zhang & Mei Wang, 2014. "Towards Behavioral Political Economy of Institutional Change: With Field Facts from China," CESifo Working Paper Series 4956, CESifo.
    14. Arye L. Hillman, 2021. "Stefan Voigt, Constitutional Economics: A Primer. Cambridge, U.K.: Cambridge University Press, 2020. ix + 138 Pages. USD 25.99 (paperback)," Public Choice, Springer, vol. 188(1), pages 289-292, July.
    15. Raphaël Franck & Arye Hillman & Miriam Krausz, 2005. "Public Safety And The Moral Dilemma In The Defense Against Terror," Defence and Peace Economics, Taylor & Francis Journals, vol. 16(5), pages 347-364.
    16. Cooray, Arusha & Potrafke, Niklas, 2011. "Gender inequality in education: Political institutions or culture and religion?," European Journal of Political Economy, Elsevier, vol. 27(2), pages 268-280, June.
    17. Rogers, Douglas B. & Smith, Adam C. & Wilson, Bart J., 2013. "Violence, access, and competition in the market for protection," European Journal of Political Economy, Elsevier, vol. 29(C), pages 1-17.
    18. Rosenberg, Jacob & Weiss, Avi, 2012. "Property rights and institutions in biblical society: The purchase of the Cave of the Patriarchs," European Journal of Political Economy, Elsevier, vol. 28(3), pages 279-285.
    19. Arye Hillman, 2007. "Economic and security consequences of supreme values," Public Choice, Springer, vol. 131(3), pages 259-280, June.
    20. Hillman, Arye L., 2010. "Expressive behavior in economics and politics," European Journal of Political Economy, Elsevier, vol. 26(4), pages 403-418, December.
    21. Beekman, Gonne & Bulte, Erwin H. & Nillesen, Eleonora E.M., 2013. "Corruption and economic activity: Micro level evidence from rural Liberia," European Journal of Political Economy, Elsevier, vol. 30(C), pages 70-79.
    22. Peter Nannestad, 2021. "Salem with and without witches, and also Geneva and Berlin," Public Choice, Springer, vol. 186(3), pages 229-239, March.

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