EconBuff Podcast #47 with Kevin Grier
Dr. Kevin Grier talks with me about the long road to good governance. Dr. Grier explains why so many countries are so poor for so long despite the path out of poverty being known. We discuss what these economic components are and Dr. Grier argues that it is the origin and development of the state that has made and continues to make it so hard to get good governance and national wealth. We explore the origin of governance, with Dr. Grier explaining how states arose to solve the problem of violence. Dr. Grier says this became a balancing act between elites, who had the power to address the violence, and the rents paid to these elites. Dr. Grier lays the framework for understanding modern governance by defining the natural state, or limited access orders, and open access orders. Finally we explore isomorphic mimicry, good enough governance, and second best institutions, and their potential ability to help poor nations reach better governance.
Author Dave Conner from Inverness, Scotland