Practice question · Sort into groups
Sort each factor into its school of thought.
Groups: Institutions (Acemoglu) · Geography (Sachs) · Human capital
- Landlocked location and distance from markets
- Years of schooling and literacy rates
- Extractive vs inclusive political systems
- Malaria burden in the tropics
- Property rights and rule of law
Hints
- The three schools emphasise rules, location and people.
- One argues that constraints are physical rather than institutional.
Show the answer
Institutions (Acemoglu): Property rights and rule of law, Extractive vs inclusive political systems
Geography (Sachs): Malaria burden in the tropics, Landlocked location and distance from markets
Human capital: Years of schooling and literacy rates
Why
Three schools, overlapping but distinct: institutions create incentives, geography imposes constraints, and human capital determines what labour can do.
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