The most common reason why nations fail today is because they have extractive institutions. […] their extractive economic institutions do not create the incentives needed for people to save, invest, and innovate. Extractive political institutions support these economic institutions by cementing the power of those who benefit from the extraction. Extractive economic and political institutions, though their details vary under different circumstances, are always at the root of this failure.
Daren Acemoglu and James A Robinson, Why Nations Fail. The Origins of Power, Prosperity, and Poverty (Crown Business Books 2012) 368 and 372