Different paths to different forms of development
Three economists explain how and why, despite starting from the same point, Europe and China have reached different outcomes
There are different paths to achieving well-being, which are a matter of rules and social ties, as well as production conditions. It is also a matter of culture in the fullest sense of the word, encompassing the culture of production, as well as all-round material and immaterial culture. It is precisely the social and economic conditions and developments that have led to the current situation that are examined in the recently published book ‘Due strade verso la prosperità. Mille anni di cultura e istituzioni in Europa e in Cina’ (Two roads to prosperity. A thousand years of culture and institutions in Europe and China), written by three prominent economists, Joel Mokyr, Guido Tabellini and Avner Greif.
The book conducts a parallel investigation into the two paths that have led to the current economic and social conditions in Europe and China. These findings form the basis of the discussion: in the eleventh century, when Europe was still a backwater and poor, China was a rich and sophisticated civilisation. And yet, it was Europe that became the cradle of democracy and the Industrial Revolution, leading the Great Enrichment, while China remained stagnant until the end of the 20th century, remaining under the governance of autocracies.
Mokyr, Tabellini and Greif’s literary work therefore traces the emergence of two distinct social organisations in pre-modern China and Europe: the clan and the corporation. It demonstrates their pivotal role in the significant economic and political disparities between these two civilisations. In both societies during the Early Middle Ages, non-state organisations provided public goods such as risk-sharing, religious worship, education and conflict resolution. However, the organisations performing these functions were very different in the two parts of the world. In China, cooperation was based on kinship ties within clans, whereas in Europe, weaker kinship ties led to the formation of corporations such as guilds, universities, and autonomous cities. Although these organisations performed similar functions, they were based on very different principles, with consequences that are still felt today.
This book thus answers one of the fundamental questions of economic and political history, showing that social and cultural relations are as fundamental as material ones, both in the past and today. In other words, as demonstrated by Mokyr, Tabellini and Greif, kinship ties in Chinese society facilitated the consolidation of autocracy, but hindered innovation and economic development. In contrast, corporations influenced the development of state institutions in Europe, paving the way for the Industrial Revolution. In addition, the authors also provide a valuable tool for understanding the importance and significance of human relationships, which is relevant even in the digital age.
Due strade verso la prosperità. Mille anni di cultura e istituzioni in Europa e in Cina
Joel Mokyr, Guido Tabellini, Avner Greif
Bocconi University Press, 2026
Three economists explain how and why, despite starting from the same point, Europe and China have reached different outcomes
There are different paths to achieving well-being, which are a matter of rules and social ties, as well as production conditions. It is also a matter of culture in the fullest sense of the word, encompassing the culture of production, as well as all-round material and immaterial culture. It is precisely the social and economic conditions and developments that have led to the current situation that are examined in the recently published book ‘Due strade verso la prosperità. Mille anni di cultura e istituzioni in Europa e in Cina’ (Two roads to prosperity. A thousand years of culture and institutions in Europe and China), written by three prominent economists, Joel Mokyr, Guido Tabellini and Avner Greif.
The book conducts a parallel investigation into the two paths that have led to the current economic and social conditions in Europe and China. These findings form the basis of the discussion: in the eleventh century, when Europe was still a backwater and poor, China was a rich and sophisticated civilisation. And yet, it was Europe that became the cradle of democracy and the Industrial Revolution, leading the Great Enrichment, while China remained stagnant until the end of the 20th century, remaining under the governance of autocracies.
Mokyr, Tabellini and Greif’s literary work therefore traces the emergence of two distinct social organisations in pre-modern China and Europe: the clan and the corporation. It demonstrates their pivotal role in the significant economic and political disparities between these two civilisations. In both societies during the Early Middle Ages, non-state organisations provided public goods such as risk-sharing, religious worship, education and conflict resolution. However, the organisations performing these functions were very different in the two parts of the world. In China, cooperation was based on kinship ties within clans, whereas in Europe, weaker kinship ties led to the formation of corporations such as guilds, universities, and autonomous cities. Although these organisations performed similar functions, they were based on very different principles, with consequences that are still felt today.
This book thus answers one of the fundamental questions of economic and political history, showing that social and cultural relations are as fundamental as material ones, both in the past and today. In other words, as demonstrated by Mokyr, Tabellini and Greif, kinship ties in Chinese society facilitated the consolidation of autocracy, but hindered innovation and economic development. In contrast, corporations influenced the development of state institutions in Europe, paving the way for the Industrial Revolution. In addition, the authors also provide a valuable tool for understanding the importance and significance of human relationships, which is relevant even in the digital age.
Due strade verso la prosperità. Mille anni di cultura e istituzioni in Europa e in Cina
Joel Mokyr, Guido Tabellini, Avner Greif
Bocconi University Press, 2026