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As we see it, there are 3 recent theories that hit on important aspects of the divergence...
1/
New CEPR Discussion Paper - DP15802
— CEPR (@cepr_org) February 14, 2021
Culture, Institutions & the Long Divergence@albertobisin @nyuniversity, Jared Rubin @jaredcrubin @ChapmanU, Avner Seror @SerorAvner @amseaixmars @univamu, Thierry Verdier @PSEinfohttps://t.co/lhs6AJb7jE#CEPR_DE, #CEPR_EH, #CEPR_ITRE pic.twitter.com/FtMzAELljJ
One set of theories focus on the legitimating power of Islam (Rubin, @prof_ahmetkuru, Platteau). This gave religious clerics greater power, which pulled political resources away form those encouraging economic development
But these theories leave some questions unanswered...
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Religious legitimacy is only effective if people
care what religious authorities dictate. Given the economic consequences, why do people remain religious, and thereby render religious legitimacy effective? Is religiosity a cause or a consequence of institutional arrangements?
3/
Another set of theories focus on the religious proscriptions of Islam, particular those associated with Islamic law (@timurkuran). These laws were appropriate for the setting they formed but had unforeseeable consequences and failed to change as economic circumstances changed
4/
There are unaddressed questions here, too
Muslim rulers must have understood that Islamic law carried proscriptions that hampered economic development. Why, then, did they continue to use Islamic institutions (like courts) that promoted inefficiencies?
5/
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