The Power Puzzle of Pakistan’s Economic Trajectory: Lessons From the 2024 Nobel Prize in Economics
DOI:
https://doi.org/10.55737/rl.2025.44142Keywords:
Pakistan, Power Puzzle, Economic Trajectory, Nobel Prize, EconomicsAbstract
This paper analyses the exceptional influence of power on political and economic decision making, which emanates public policy necessary for the long-term prosperity of any nation. The inspiration of paper was taken from the comparative work of Daron Acemoglu, Simon Johnson, and James A. Robinson on Intuitions and prosperity (Makortoff, 2024). The analysis carried out in this paper based on wide range of literature on historic structures of power, decision, policy making ad role of institutions to create their connect and role in prosperity. The connection derived through seminal theoretical and empirical work to formulate a conceptual framework that evaluates how power of elites, state and institutional capacities influence public policies. After taking the extracts from the work of noble prize winners, this paper is the case analysis of Pakistan, identifying the loopholes in policy and institutional dynamics of Pakistan followed by policy recommendations tailoring political economy of Pakistan. This study infers policies leading to wider and inclusive welfare gains via augmenting non- discriminatory political system to elevate competency of state by inhibiting the elite capture.
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