The Virtuous & Vicious Cycles of Institutions
🔄 Virtuous Cycle
Inclusive political institutions
↓
Inclusive economic institutions
↓
Broad prosperity
↓
Political stability
↓
Strengthens inclusive institutions
↺
💀 Vicious Cycle
Extractive political institutions
↓
Extractive economic institutions
↓
Concentrated wealth
↓
Elite entrench power
↓
Blocks reform
↺
Once a cycle begins, it self-reinforces — which is why institutional change is so rare and revolution so disruptive.