This chapter sums up and takes stock of the present findings. The entire project in this book is theory-driven with a core model at the heart of the approach. It ties together three different, but related, facets of development: breaking out of poverty, building a state strong enough to support markets and provide public goods, and putting an end to violent political conflicts. The chapter also defines and computes a Pillars of Prosperity Index, based on empirical counterparts to the central outcomes emphasized by the developed theory. It uses the theory—as summarized in the Anna Karenina matrix of Chapter 5—to predict the values of this index, based on empirical counterparts of the central determinants uncovered by the theory. Comparing the actual and predicted values of the Pillars of Prosperity Index for 150 countries, we learn about successes as well as failures of the theory.
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