Niall Ferguson, in his book "The Great Degeneration: How Institutions Decay and Economies Die," argues that Western institutions have significantly deteriorated over time. To illustrate this decline, he examines four critical areas, which he refers to as black boxes: democracy, capitalism, the rule of law, and civil society. By analyzing these institutions closely, he reveals how they have become less effective and more problematic in contemporary society.

Through this exploration, Ferguson aims to shed light on the systemic issues that contribute to the weakening of these foundational pillars. He posits that understanding these black boxes is essential for grasping the broader implications for economic stability and social cohesion in the West. Ferguson's analysis serves as a warning about the potential consequences of neglecting the integrity of these institutions.