Why Nations and Economies Can Fail

The world is currently in a relatively peaceful state with billionsof people living under a comfortable roof and feels warmenough during winter nights. Many do not suffer, but it is verypossible for all these things to be flipped over in a matter ofdays. The economy and 'peaceful' nations that we see todayare not forever. Take Greek, for example, a nation that used topossess the highest level of civilization is now drowning in debt.
The extractive economy (a system that relies on harvesting andexporting raw or low-processed materials) that various countriesfall into due to lack of means to process raw materials aresigns of the danger. It is a vicious cycle that was pointed outby Daron Acemoglu in his book 'Why Nations Fail: The Originsof Power, Prosperity, and Poverty'. And this is only the tip ofthe iceberg that might surface anytime soon according to thebook.