Institutions of State a barrier to prosperity

Former British prime minister Harold Macmillan famously replied to the question of what was most likely to trip up governments with “events, dear boy, events”, demonstrating the random way in which small things can spiral. 

Angus Deaton this past week won the Nobel Prize in Economics for a lifetime theorising and evaluating development and the role of institutions and for looking at how consumption and income are related.

The way in which the Government has reacted and acted shows that these issues are related.