The Political Economy of Economic and Productivity Growth: An Interview with Daron Acemoglu and James Robinson, Authors of "Why Nations Fail"

In fast-growing developing countries, rapid productivity growth is largely driven by economic growth. Consequently, an understanding of the reasons for this strong productivity growth requires a broader perspective on the dynamics of the overall growth process. In early 2012 Daron Acemoglu, an economist at MIT and James A. Robinson, a political scientist and economist at Harvard University, published "Why Nations Fail: The Origins of Power, Prosperity, and Poverty". With great historical detail, the book makes the case that it is man-made economic and political institutions that underlie economic success by creating incentives for wealth creation, rewarding innovation and allowing widespread participation in economic opportunities. This article is an edited transcript of an interview with the two authors on the major issues addressed in their book.