An easy reading history of how the modern business world was created. ( )

Fairly standard account of the world's economic history since the industrial revolution. Starts with the value of John Harrisons's newly invented chronometer (to compute longitude) to seafarers in the 18th century. The invention was the result of a prize offered by the British parliament to improve navigation at sea.

Bernstein talks about four essential factors: property rights, scientific rationalism, effective capital markets, efficient transportation and communication needed for prosperity. First a little bit in 16th century Holland, then spread.

Argues that the communication revolution took place with the electrical telegraph from around 1840-bigger change from before that than from the telegraph to internet. I liked the hypothesis that cheap cotton underwear lead to a decline in infectious diseases such as cholera and typhoid.

Repeated side remarks about less development in non-western cultures and the dangers of cultures crashing do not add to the discussion and just drag the book substantially down. ( )

:William J. Bernstein is an American financial theorist, known for pioneering research in the field of Modern Portfolio Theory.
Pros: comprehensive; monumental attempts; informative
Cons: fit evidence into theory; simplistic thinking; lack of treatment of competing theories; occasionally taking other people's work as his own without references; generally lack of good references ( )

The Roots of Prosperity
This book explores the cultural and historical factors that converged during the early 1800s to ignite today’s economic boom.

The author cites four ingredients: Property rights, scientific rationalism, capital markets and improvements in transportation and communication. He identifies when and how, beginning in the 1820s, each played an accelerating role in our growth.

Bernstein’s examination of the role these effects had on people’s personal lives adds to this book’s value. By identifying the causes of our prosperity, Bernstein provides the reader with a personal platform to assess where we are currently headed.

Surprisingly, the author argues progress has been slowing since 1850. The average resident of the Western world alive in 1950 would have no trouble accepting the technology of the year 2000. This was not the case in 1800. The horse was the fastest moving object then. By 1837, the telegraph’s instant communication changed the world forever. ( )

A very readable explanation of how we got where we are today. A must read for all liberals! ( )