Customer Reviews

The Birth of Plenty : How the Prosperity of the Modern World was Created

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Neurologist, investment fund manager, and best-selling author, William Bernstein, examines linkages to thriving democracies and the roots of economic prosperity, national well-being, and a nation's destiny in "The Birth of Plenty." The book is particularly noteworthy and informative in light of the "nation building" in Iraq and Afghanistan and the turmoil in Syria, Egypt, and other Middle Eastern hot-spots. "The Birth of Plenty" will also serve as useful guide for those considering investment in the BRIC countries and those concerned with the aftereffects ("The New Normal") of the "Great Panic of 2007-2009."

The premise of "The Birth of Plenty" is that prosperity flows naturally once a society institutionalizes four crucial institutions and can be sustained if the "paradox of success" - taxation, imperialism, tolerance for risk and adversity, entitlement growth, and disparity of wealth - do not become great threats. Prosperity is about these four institutions. They "provide the framework within which human beings think, interact, and carry on business. Bernstein examines these four factors - property rights, scientific rationalism, capital markets, and improvements in transport and communications - that are essential ingredients for igniting and sustaining economic growth and human progress."

The author then tells the story of how and why these institutions came into play: first in Holland, then in England and its cultural offspring, followed, in turn, by the rest of Europe, Japan, and, finally, the remainder of East Asia. "Prosperity's nursery lay in the area between Glasgow and Genoa." He finishes by plumbing the sociological, political, economic, and political consequences of the great disparities in personal and national wealth that have arisen from this birth of plenty, and what consequences growth will have in the future...What is the use of growing rich if wealth does not make us happier?"

This outstanding, well-researched work of history ranks with Diamond's "Guns, Germs, and Steel," Sowell's "Migrations and Cultures," and Boorstin's "The Discoverers." In it, Bernstein uniquely connects the dots, providing a new perspective on the "wealth of nations" and the sustainability of prosperity.

The Birth of Plenty is a truly excellent book on the history of economic growth. I recommend it very highly. The only downside is that the audio book is abridged. Next on my listening list is A Splendid Exchange (unabridged, thankfully) by the same author.