democracy. But also, it could lead to stagnation and economic breakdown if the shift from extractive political and economic institutions to inclusive ones was not completed. At this point, I see the American challenge is to push towards the more inclusive institutions instead of allowing the exclusive institutions to evolve into extractive ones. Acemoglu, Robinson, Hacker, and Pierson emphasized the importance of the interventionist government in the market failures rather than to certain economic practices. correcting support The American challenge is to restore their government from these organized interests. References Acemoglu, D., & Robinson, J. A. (2012a). Why nations fail: The origins of power, prosperity, New York, NY: Crown Business. and poverty. Acemoglu, D., & Robinson, J. A. (2012b). Is State Capitalism Winning?. Project Syndicate, 31. Retrieved from Ammous, S., & Phelps, E. S. (2012). Blaming Capitalism for Corporatism. Project Syndicate. Retrieved from Bartels, L. M. (2008), New Unequal Democracy: The Political Economy of the New Gilded Age. York, NY: Russell Sage Foundation and Princeton, NJ: Princeton University Press. Benabou, R., & Ok, E. A. (2001). Social mobility and the demand for redistribution: the POUM hypothesis. 447-487. The Quarterly Journal of Economics, 116(2),
democracy. But also, it could lead to stagnation and economic breakdown if the shift from extractive political and economic institutions to inclusive ones was not completed. At this point, I see the American challenge is to push towards the more inclusive institutions instead of allowing the exclusive institutions to evolve into extractive ones. Acemoglu, Robinson, Hacker, and Pierson emphasized the importance of the interventionist government in correcting the market failures rather than to support certain economic practices. The American challenge is to restore their government from these organized interests. References Acemoglu, D., & Robinson, J. A. (2012a). Why nations fail: The origins of power, prosperity, and poverty. New York, NY: Crown Business. Acemoglu, D., & Robinson, J. A. (2012b). Is State Capitalism Winning?. Project Syndicate, 31. Retrieved from Ammous, S., & Phelps, E. S. (2012). Blaming Capitalism for Corporatism. Project Syndicate. Retrieved from Bartels, L. M. (2008), Unequal Democracy: The Political Economy of the New Gilded Age. New York, NY: Russell Sage Foundation and Princeton, NJ: Princeton University Press. Benabou, R., & Ok, E. A. (2001). Social mobility and the demand for redistribution: the POUM hypothesis. The Quarterly Journal of Economics, 116(2), 447-487.