Product Details

• Amazon Sales Rank: #5324 in Books
• Published on: 2007-08-03
• Number of items: 1
• Binding: Hardcover
• 440 pages

Review
Clive Crook, Financial Times "... As absorbing, as memorable and as well written as Mr Diamond's remarkable bestseller. It deserves to be as widely read." --Financial Times

Review
The Economist "It could well be the subject of debate for years to come." --The Economist

Synopsis
Why are some parts of the world so rich and others so poor? Why did the Industrial Revolution - and the unprecedented economic growth that came with it - occur in eighteenth-century England, and not at some other time, or in some other place? Why didn't industrialization make the whole world rich - and why did it make large parts of the world even poorer? In "A Farewell to Alms", Gregory Clark tackles these profound questions and suggests a new and provocative way in which culture - not exploitation, geography, or resources - explains the wealth, and the poverty, of nations. Countering the prevailing theory that the Industrial Revolution was sparked by the sudden development of stable political, legal, and economic institutions in seventeenth-century Europe, Clark shows that such institutions existed long before industrialization. He argues instead that these institutions gradually led to deep cultural changes by encouraging people to abandon hunter-gatherer instincts-violence, impatience, and economy of effort-and adopt economic habits-hard work, rationality, and education.

The problem, Clark says, is that only societies that have long histories of settlement and security seem to develop the cultural characteristics and effective workforces that enable economic growth. For the many societies that have not enjoyed long periods of stability, industrialization has not been a blessing. Clark also dissects the notion, championed by Jared Diamond in Guns, Germs, and Steel, that natural endowments such as geography account for differences in the wealth of nations. A brilliant and sobering challenge to the idea that poor societies can be economically developed through outside intervention, "A Farewell to Alms" may change the way global economic history is understood.

Customer Reviews

A brilliant beginning
A strange and memorable book by an author, who repeatedly tells his readers, not to have a theory of his subject and yet he most adroitly nudges us into a direction, where truth most probably can be found.

Clark divides the economic history of mankind into a Malthusian stage with stagnant real income per head and a phase of modern growth since 1800 with a steady increase in real income per head unimpeded by a strong growth of population figures.

This book excells for three reasons:

1. he smashes many defective ideas

No, former former hunters and gatherers were not "dumber" than modern man, they may have been more intelligent.
No, Karl Marx has got it ridiculously wrong, he completely missed the strong gains in real income per head disproportinately dished out to unqualified labour.
No, institutions have become helpful to economic change only after the event, after the industrial revolution was well on it`s way!
No the black death did not kill indiscriminately, the desease followed the classic Darwinian concept of killing the sick and the rehabs.
No the waves of plague starting out from 1347 to run through Europe were a good thing, because it raised the per capita income levels of labouring man.
No, slavery was not an inefficient "mode of production" (in Marx` lingo)
No, if underdeveloped countries cannot make productive use of modern technology, there is not "bad management" to blame, it's "bad labour"!
no, preindustrial economies were not stagnant, they were moving forward in subtle but measurable ways.

2. Prof.Clark adds genetic change and natural selection as new variables to explain economic development. This was needed sorely (my opinion) to arrive at better explanations.

3. The best thing I learned: we don`t understand the Malthusian world too well and still less do we know about the rules of the new economic order past 1800.

This book gives a summary of what we sensibly have to know from research on economic development so far. It collects an awesome range of evidence, much of it from the author`s original research. We have Cobb-Douglas and we have the hunting exploits of the Ache in it.
And yet: this ist not the crowning "state" of the discipline, ist`s a brilliant beginning!

Both great and naif
Since the sixteenth century the scholarly community in the West has accepted the existence of scientific laws. Over the past four centuries modern science has been preoccupied with the discovery and practical application of these laws. This has revolutionized both the natural sciences and human civilization. While the humanities have also made progress during this time, their results have been less remarkable. They have been unable to account for the forces underlying the changing fortunes of human society. The book by Gregory Clark is another heroic attempt to discover the laws underlying the course of human history.

In 1930 Corrado Gini published his Harris Foundation lecture: "The Cyclical Rise and Fall of Population". Gini understood much of the wheel of history, but made - because of the lack of empirical data - the wrong assumption, that the well-to-do have always fewer children than the poor. Indeed, such is the situation since the last quarter of the nineteenth century until up to today. For theoretical reasons Oded Galor and Moav Omer in their seminal paper "Natural Selection and the Origin of Economic Growth" (2002) came to the conclusion that before 1850 the upper and medium stratum of society must have been more surviving children than the poor. Clark could confirm this assumption with empirical data of his own, and he makes this finding to the cornerstone of his theoretical derivations.

It is a pity that neither Galor and Moav nor Clark are aware of a large body of historical data, supporting their fundamental assumptions and claims. For example, in 1990 a preliminary summary on the "Social and Demographic Originis of the European Proletariat" was published in which we can read: "The data show that rural and urban proletarians are formed from the socially downward mobile sons and daughters and grandchildren of peasants." Despite Clark's staying of one sabbatical year at the Wissenschaftskolleg (Institute for Advanced Study) in Berlin, he does not cite any German source. In the Inventory of the German Central Office for Genealogy. Part IV (second edition, 1998, ISBN 3-7686-2099-9), he could find not only a complete bibliography of historical demography of Central Europe, based on local family reconstitutions, but also an exhaustive review (p. 74-176) of studies of differential fertility supporting his core argument. Clark could strengthen his point immediately, if he were able to read original papers and books in French, Dutch, German and Swedish, because the development in West, Central and Northern Europe was in principle the same as in England. - By the way, Ernst Engel undertook not studies of Prussian but of Saxonian working-class budgets.

Nevertheless, Clark wrote a couragous book of high originality, enriched with a large number of very interesting figures and tables, touching with their overall message the borderline of political incorrectness. But he should have better nothing written about the last decades. The last two chapters of his book are extraordinarily weak.

Despite his awareness (Table 14.4) of a general negative relationship between the number of surviving children and the social status of their parents in the modern world - the so-called demographic-economic paradox - in sharp contrast to the preindustrial world, where more children of the rich survive, Clark does not dare to draw any conclusion from this. For example, as Francis Galton became aware of this paradox, he founded the eugenic movement. Clark, too, understands the centuries where larger numbers of children in the households of the rich survived also as a process of a genetic enrichment of the cognitive basis of society. Could be the turning point (in England already about 1850, in Germany three or four decades later) in differential fertility also be the turning point of the cycle of industrialized society? Could it be, that the rich because of their rising social density would be the first to regulate their numbers in a cyclic fashion? What does or could this mean for the Aristotelian cycle of political constitutions, for the future of democracy? What are the differences and the similarities of the industrialized society with the rise and fall of the Roman empire and the repeated cycles within China?

"Why Isn't the Whole Word Developed?" is the caption of last chapter of this book. In agreement with his overall message and insight Clark could maybe find a contribution to the answer in the books by Richard Lynn and Tatu Vanhanen IQ and the Wealth of Nations and IQ and Global Inequality as well as in the most recent papers by Heiner Rindermann, Erich Weede and Garett Jones. Seen from this point of view Clark has written the first part of a new world history. To imagine and to write the second part should not be an impossibility. However, it will also be a dangerous look into our future.
Most important in this respect is the article "The Population Cycle Drives Human History ... ", published in The Journal of Social, Political and Economic Studies (Number Fall 2007).

Physical scientists are able to observe the natural world more objectively, because the observer is not identical to the observed. Science is not a potential battlefield for the survival of the individual scientist, as history is for the historian. This is the root cause for the failure of the human sciences to generate any laws governing history. I am sure, anyone who discovers such a general law or even the dynamics of the cycle of population and constitutions of the global industrialized society will be doomed to drain the hemlock cup to the dregs as Socrates.

Elegant and clear analysis of the wealth and poverty of nations
The topic of this thrilling book, 20 years in the making, is nothing less than the history of civilization, from the Neolithic Revolution to the Industrial Revolution to today. Rather than relating history as a story of kings, Caesars, popes, prelates and presidents, Gregory Clark tells the story through economic data, much of which is the result of his own analysis of documentary evidence. Almost every other page contains a beautiful graph, table or chart illuminating some dimly lit bit of history. And Clark's detours are almost as wonderful as his main argument. His writing is elegant and clear, his sense of humor present but not annoying. While this book has outraged some commentators, it's hard to see why, given the caution with which Clark presents his conclusions. Most likely, the flash point is his stress on culture as enabling and retarding economic growth - views that sometimes get wrongly equated with racism. We recommend this book to anyone who wants to quantitatively enhance his or her conception of human history.