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"Why Nations Fail," by Daron Acemoglu and James A. Robinson, argues that the prosperity or poverty of a nation is determined by its political and economic institutions, not by geography, culture, or luck. The book posits that "inclusive" institutions, which foster broad participation in political and economic life, lead to sustained growth, while "extractive" institutions, which concentrate power and wealth in the hands of a few, lead to stagnation and decline.
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