Nogales, Mexico, and Nogales, Arizona, are twin cities. The U.S.-Mexico border divides them. But the character of each city differs depending on which side of the wall one is on. The Mexican Nogales is too familiar with crime and poverty. On the Arizona side, people enjoy a better life expectancy, and most children graduate from high school.
According to three researchers, this isn’t a random occurrence. The American half of Nogales prospers because its government protects personal dignity and freedom. The other half suffers because corruption abounds. The people don’t have the same ability to change laws in favor of promoting opportunity and peace.
Daron Acemoglu and Simon Johnson are both professors at the Massachusetts Institute of Technology. James A. Robinson teaches economics at the University of Chicago. The three won the Nobel Prize for Economics in October for explaining what makes a country successful.
The economic prize has a long name: The Bank of Sweden Prize in Economic Sciences in Memory of Alfred Nobel. Alfred Nobel was a Swedish businessman and chemist. He’s known for inventing dynamite and creating awards for research in physics, chemistry, and medicine, as well as contributions to literature and peace. The prize for economics was established in 1968 as a memorial Nobel. Along with the honor, the three winners of the economic category will split a $1 million award.
The three researchers found that healthy societies often function because of a democratic system of government. This type of government allows citizens to have much say in important decisions. In the United States, for example, citizens vote on leaders to be their representatives. The United States also protects freedoms like the right to own property, to share ideas through free speech, to gather for peaceful assembly, and to worship freely.
The researchers looked at history going back to the 1600s. They examined policies that Great Britain and Spain set up when those nations colonized other parts of the world.
Some societies developed “inclusive” economic and political institutions. This meant that power didn’t automatically go only to the government. Instead, some authority was shared by the populace. Those free structures encouraged people to take part in society. For example, in the United States, many British settlers arrived. They introduced or kept institutions that promoted long-term prosperity. Those also promoted a democratic government.
Other societies created “extractive” institutions. This gave power to only a few. Everyone else was seen as a worker. In Mexico, the colonizing Spanish government sent fewer settlers. It was more focused on ensuring its own gain. The local population had less economic and political freedom. Even though Mexico is now officially a democracy, the government has often continued to hold on to much power. We can also see similar structures in societies like North Korea and Uzbekistan. Most people there are extremely poor while a handful of leaders grow extremely wealthy.
The values that allow a people to have a role in self-government have much in common with Christianity. Christians believe that God made the world and designed human beings to be the best part of His creation. He imparted to people dignity, conscience, and creativity.
Along with the salvation gospel, Christians spread the good news that people are valuable, capable, and should be treated with respect. Under those truths, members of a society may thrive.
Why? God made societies to function well when they follow His design.
Recommended Reading: For more about democratic ideals, read Thomas Paine's Common Sense.