G-20 Countries

This chapter applies the ? model to the G-20 countries. The model suggests that the group is not homogenous. Some G-20 countries are economically efficient, while others are not. The jurisdictional footprints of these countries help explain the efficiency differences. The chapter introduces an evolutionary construct, the Red Queen Effect (RQE) to further explain the evolutionary stability of the world-system. The chapter also provides a brief analysis of the efficiency relativities of European countries.

Author(s):  
Daron Acemoglu ◽  
James A. Robinson

Fragility arises when states are ineffective and when they are also illegitimate and unaccountable. These features are interconnected. People don’t want to cooperate with, or cede resources to, a state they cannot influence. We present a simple framework where the key to exiting fragility is a balance between the state and society. The state needs to develop more capacity, but to do this society needs to develop the ability to discipline and control it. We emphasize the existence of this type of “virtuous circle”—a phenomenon we call the “Red Queen effect.” We argue that the way of thinking about state-building is in terms of both widening the corridor in which the Red Queen effect operates and devising strategies to get into the corridor. We show how the framework helps account for the diminishing fragility of the state in post-apartheid South Africa, Somaliland, Sierra Leone, and Colombia.


2005 ◽  
Vol 23 (1) ◽  
pp. 37-49 ◽  
Author(s):  
Sven Voelpel ◽  
Marius Leibold ◽  
Eden Tekie ◽  
Georg von Krogh

2008 ◽  
Vol 51 (1) ◽  
pp. 61-80 ◽  
Author(s):  
Pamela J. Derfus ◽  
Patrick G. Maggitti ◽  
Curtis M. Grimm ◽  
Ken G. Smith

Author(s):  
A.I. ILYINSKY ◽  

This paper examines the competition and co-evolution of FinTech and RegTech2 in the global financial ecosystem using the methods of evolutionary economics. A simple agent-based model is built on the NetLogo platform and the emergence of cycles of technological dominance in the ecosystem is shown. The paper also discusses the “technological arms race” of regulators and system participants as a result of the co-evolution and competition of two technology groups, known as the red queen effect.


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