ISBN: 978-1-009-42783-8
Kristian Skrede Gleditsch
University of Essex & PRIO
This book highlights the problem of ‘left-behind’ places, ranging from former industrial powerhouses in wealthy countries struggling after the decline of traditional industries to countries caught up in poverty traps and spirals of decline, falling further and further behind. Collier argues that regions fall behind due to a combination of excessive blind faith in the ability of market forces and political mismanagement, corruption, and theft. To identify what can be done he examines a wealth of cases where we have seen revivals, and he argues on an optimistic note that decline can be reversed through fostering stronger sense of community, more capable and responsive states, and bounds of moral decency. Left-behind places are clear to see, with heartbreaking implications, and serious broader consequences. The book provides consistently interesting and insightful discussions of cases of decline and revival. But it does not fully deliver in delivering a new economics. I would have liked to see more systematic analysis of the causes of falling behind and potential remedies. Market failure and government failure seems like conceptually very different mechanisms. The successful cases reviewed by Collier are often attributed ex post to ‘good leadership’ and ‘strong communities’. Markets alone may not solve problems, but clearly government intervention is not a silver bullet, and can make things worse, even when well-intended, and some cures may be worse than the disease. I was left wanting to learn more about what interventions may work, what is unlikely to be effective, and key constraints and pitfalls.