-Because they have extractive political and economic institutions.
-These are di¢ cult to change though they can be successfully
challenged and altered during critical junctures.
-The roots of modern world inequality lie in the emergence of inclusive
institutions in Britain and the fruits of this - the industrial revolution -
spread to those parts of the world that had similar institutions (settler
colonies) or quickly developed them (Western Europe).
-Other parts of the world languished with extractive institutions which
have persisted over time and thus remain poor today.