they are the key components of our civilization. I want to show that inside these political, economic, legal and social black boxes are highly complex sets of interlocking institutions. Like the circuit boards inside your computer or your smartphone, it is these institutions that make the gadget work. And if it stops working, it is probably because of a defect in the institutional wiring. You cannot understand what is wrong just by looking at the shiny casing. You need to look inside.
Niall Ferguson, in "The Great Degeneration," argues that the essential foundations of our society are not merely visible structures but rather intricate institutions that function like the internal circuitry of technology. These institutions encompass the political, economic, legal, and social dimensions of civilization and are interlinked, creating a complex system that drives progress and innovation. When issues arise within society, it is often these foundational institutions that are at fault, hidden beneath the surface of apparent stability.
Ferguson emphasizes the need to delve deeper than mere appearances when assessing societal dysfunction. Just as one cannot diagnose a malfunctioning device by only examining its exterior, understanding the underlying problems requires an exploration of the institutional framework. This analogy underscores the importance of recognizing the complexities of our systems, as neglecting to analyze these core components may lead to overlooking critical issues that impact our civilization's health and prosperity.
