
DeLong's magisterial economic history reveals why unprecedented wealth creation between 1870-2010 failed to deliver utopia. Praised by Krugman and Wolf as essential reading, it brilliantly dissects the Hayek-Keynes-Polanyi debates that still shape our understanding of markets, prosperity, and inequality today.
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Between 1870 and 2010, humanity experienced the most dramatic transformation in its entire existence. For thousands of years, life had barely changed-a person from ancient Rome would recognize medieval Europe without much surprise. Then suddenly, within just 140 years, everything exploded. Wealth multiplied 21 times over. Life expectancy doubled. Extreme poverty plummeted from 70% to under 9%. Yet here's the puzzle: despite achieving material abundance beyond our ancestors' wildest dreams, we still haven't reached utopia. Depression, anxiety, and inequality plague even the wealthiest societies. What went wrong? Understanding this paradox isn't just academic curiosity-it's essential for anyone hoping to shape a better future. For millennia, humanity was stuck in what economists call the Malthusian trap. Any technological improvement-a better plow, a new crop-simply allowed more people to survive at the same miserable standard of living. Between the years 1 and 1500, technology improved at just 0.04% annually, barely perceptible across generations. Population growth consumed nearly all gains. People spent half their resources securing bare minimum calories, living in constant fear of famine. Disease was rampant, literacy rare, and life expectancy hovered around 30 years.
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