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The Great Escape

The Great Escape

Health, Wealth, and the Origins of Inequality
by Angus Deaton 2013 362 pages
3.82
2k+ ratings
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Key Takeaways

1. The Great Escape: Humanity's journey from deprivation to prosperity

The Great Escape of this book is the story of mankind's escaping from deprivation and early death, of how people have managed to make their lives better, and led the way for others to follow.

Historical context: For thousands of years, humanity struggled with poverty, disease, and short lifespans. The Great Escape began in the mid-18th century with the onset of the Industrial Revolution and the Enlightenment. This transformation brought unprecedented improvements in living standards, health, and longevity for many, but not all.

Key developments:

  • Scientific and technological advancements
  • Improvements in sanitation and public health
  • Spread of education and knowledge
  • Economic growth and increased productivity

However, this escape has been uneven, creating new inequalities between those who have escaped and those left behind. The challenge now is to extend these benefits to all of humanity while addressing the unintended consequences of progress.

2. Measuring progress: The complexities of assessing global wellbeing

Wellbeing cannot be judged by its average without looking at inequality, and wellbeing cannot be judged by one or more of its parts without looking at the whole.

Multidimensional approach: Assessing global wellbeing requires considering multiple factors beyond just economic indicators. Key dimensions include:

  • Health and life expectancy
  • Education and knowledge
  • Political freedom and civic participation
  • Environmental quality
  • Social connections and relationships

Challenges in measurement:

  • Data limitations, especially in developing countries
  • Difficulty in comparing across cultures and time periods
  • Balancing objective measures with subjective experiences

The author emphasizes the importance of looking at both averages and distributions, as well as considering how different aspects of wellbeing interact. This holistic approach provides a more accurate picture of human progress and highlights areas where further improvement is needed.

3. Health revolution: Dramatic improvements in life expectancy worldwide

In the past century, life expectancy in the rich countries increased by thirty years, and it continues to increase today by two or three years every ten years.

Drivers of health improvements:

  • Germ theory of disease and improved sanitation
  • Vaccines and antibiotics
  • Better nutrition and living conditions
  • Advances in medical technology and treatments

Global disparities: While overall life expectancy has increased dramatically, significant gaps remain between rich and poor countries. For example:

  • Life expectancy in Japan: 84 years
  • Life expectancy in Sierra Leone: 54 years

The health revolution has been one of humanity's greatest achievements, but challenges remain in extending these benefits to all. Future progress will depend on addressing emerging health threats, improving healthcare systems in developing countries, and reducing health inequalities within and between nations.

4. Economic growth: The engine of prosperity and inequality

Economic growth has been the engine of international income inequality.

The double-edged sword of growth:

  • Positive effects: Lifting millions out of poverty, improving living standards, funding technological advances
  • Negative effects: Creating new inequalities, environmental degradation, social disruption

Key factors in economic growth:

  • Technological innovation
  • Investment in human and physical capital
  • Institutional quality and good governance
  • International trade and globalization

The author argues that while economic growth has been crucial for improving human wellbeing, it has also created new challenges. The benefits of growth have been unevenly distributed, both within and between countries. Addressing this inequality is essential for ensuring sustainable and inclusive development in the future.

5. The paradox of aid: Good intentions, unintended consequences

Aid and aid-funded projects have undoubtedly done much good; the roads, dams, and clinics exist and would not have existed otherwise. But the negative forces are always present; even in good environments, aid compromises institutions, it contaminates local politics, and it undermines democracy.

The aid dilemma:

  • Positive impacts: Funding essential infrastructure, providing emergency relief, supporting health initiatives
  • Negative impacts: Undermining local institutions, creating dependency, distorting economic incentives

Challenges in aid effectiveness:

  • Misalignment of donor and recipient priorities
  • Lack of accountability and transparency
  • Difficulty in measuring long-term impacts
  • Unintended consequences on local politics and economies

The author argues for a more nuanced approach to foreign aid, recognizing both its potential benefits and its limitations. He suggests focusing on initiatives that support local capacity-building, promote good governance, and address root causes of poverty rather than symptoms.

6. Global poverty: Challenges and successes in reducing extreme deprivation

The escape of hundreds of millions from a traditional and long-established poverty qualifies as the greatest escape of all.

Progress in poverty reduction:

  • Extreme poverty rate (living on less than $1.90/day):
    • 1990: 36% of global population
    • 2015: 10% of global population

Key factors in poverty reduction:

  • Economic growth, particularly in China and India
  • Improvements in health and education
  • Technological advancements benefiting the poor
  • Global efforts like the Millennium Development Goals

Remaining challenges:

  • Persistent pockets of extreme poverty, especially in sub-Saharan Africa
  • Rising inequality within countries
  • Vulnerability to economic shocks and climate change

While significant progress has been made in reducing global poverty, the author emphasizes that much work remains to be done. He argues for a focus on inclusive growth, improving governance, and addressing structural barriers that keep people in poverty.

7. The future of development: Rethinking our approach to helping the poor

What surely ought to happen is what happened in the now-rich world, where countries developed in their own way, in their own time, under their own political and economic structures.

Shifting paradigms:

  • Moving away from top-down, donor-driven approaches
  • Empowering local communities and governments
  • Focusing on building institutions and capacity

Key areas for future focus:

  • Investing in education and skills development
  • Promoting good governance and fighting corruption
  • Supporting technological innovation and adaptation
  • Addressing global challenges like climate change

The author argues for a fundamental rethinking of development approaches, emphasizing the importance of local ownership and context-specific solutions. He suggests that rich countries should focus on removing barriers to development, such as unfair trade policies, rather than imposing their own visions of progress. Ultimately, sustainable development must come from within countries themselves, with external support playing a facilitating rather than directing role.

Last updated:

FAQ

What's The Great Escape by Angus Deaton about?

  • Human Progress: The book explores humanity's journey from deprivation and early death to improved living standards, focusing on health and wealth.
  • Health-Wealth Connection: Deaton emphasizes the interdependence of health and wealth, showing how advancements in one often lead to improvements in the other.
  • Inequality and Progress: It discusses how progress can lead to inequality, as not everyone benefits equally, and examines the implications of this disparity on global wellbeing.
  • Global Improvements: The book highlights significant global improvements in health, wealth, and happiness, especially since World War II, while acknowledging the persistent inequalities.

Why should I read The Great Escape by Angus Deaton?

  • Insightful Analysis: The book offers a comprehensive analysis of historical and contemporary factors influencing health and wealth, relevant for understanding global issues.
  • Interdisciplinary Approach: Deaton combines economics, public health, and history, providing a unique perspective that transcends traditional academic boundaries.
  • Challenging Beliefs: It challenges conventional wisdom on foreign aid, encouraging critical thinking about its effectiveness and motivations.
  • Moral Considerations: The book prompts readers to consider their moral obligations to help those still trapped in poverty and poor health.

What are the key takeaways of The Great Escape by Angus Deaton?

  • Uneven Progress: While many have escaped poverty, significant portions of the global population remain in deprivation, highlighting the uneven nature of progress.
  • Role of Knowledge: Knowledge and innovation are crucial for driving improvements in health and living standards, particularly in the context of disease understanding.
  • Inequality Matters: Understanding and addressing inequality is essential for ensuring that progress benefits everyone, not just a select few.
  • Questionable Aid Effectiveness: Deaton argues that foreign aid often fails to achieve its goals and can perpetuate corrupt regimes, suggesting a need for reevaluation.

How does Angus Deaton define wellbeing in The Great Escape?

  • Comprehensive Definition: Wellbeing includes material wellbeing (income and wealth), physical and psychological health, education, and civic participation.
  • Interconnected Components: Improvements in one area can lead to enhancements in others, but neglecting any can hinder overall progress.
  • Measurement Challenges: Measuring wellbeing accurately is difficult, particularly in terms of income and health, affecting policy and practice implications.

What historical context does The Great Escape by Angus Deaton provide?

  • Evolution of Wellbeing: Deaton traces human health and wellbeing from hunter-gatherer societies through the agricultural revolution to modern times.
  • Industrial Revolution Impact: The Industrial Revolution initiated significant economic growth and health improvements but also increased inequality.
  • Mortality Trends: The book discusses historical mortality trends, from high child mortality in pre-industrial societies to chronic diseases in wealthier nations.

What role does inequality play in The Great Escape by Angus Deaton?

  • Inequality as a Consequence: Inequality often arises from progress, as not everyone benefits equally from advancements in health and wealth.
  • Positive and Negative Effects: Inequality can motivate progress by providing incentives but can also hinder societal wellbeing when the wealthy protect their advantages.
  • Global Issue: Inequality is a global issue, with disparities in health and wealth persisting between countries and within populations.

How does Angus Deaton address the concept of economic growth in The Great Escape?

  • Growth and Wellbeing: Economic growth is essential for improving wellbeing, providing resources for better health, education, and living standards.
  • Uneven Benefits: Growth does not guarantee equal benefits for all, often leading to increased inequality.
  • Historical Context: The book places economic growth within a historical framework, illustrating varying growth rates and implications for health and wellbeing.

How does The Great Escape by Angus Deaton address the effectiveness of foreign aid?

  • Aid Often Misdirected: Foreign aid frequently fails to reach those who need it most, often tied to political interests rather than humanitarian needs.
  • Corruption and Dependency: Aid can foster corruption and create dependency, undermining local governance and institutions.
  • Need for Reform: Deaton calls for reevaluating aid distribution, suggesting that reducing aid may be more beneficial, advocating for empowering local populations.

How does Angus Deaton connect health improvements to economic growth in The Great Escape?

  • Health as a Growth Driver: Improvements in health, such as reduced child mortality, are crucial for fostering economic growth.
  • Investment in Health: Investing in health infrastructure and services supports economic development and improves living standards.
  • Feedback Loop: Improved health leads to better economic outcomes, which in turn supports further health improvements, creating a sustainable development cycle.

What are the implications of income inequality discussed in The Great Escape by Angus Deaton?

  • Inequality Affects Wellbeing: Rising income inequality can harm societal wellbeing, including health and social cohesion, leading to tensions and conflict.
  • Global vs. Local Inequality: The book distinguishes between global inequality (between countries) and local inequality (within countries), both impacting development and policy.
  • Political Consequences: Extreme inequality can undermine democratic institutions and lead to political instability, challenging governance and resource distribution.

How does The Great Escape by Angus Deaton suggest we can help those left behind?

  • Empower Local Populations: Empower individuals and communities in poor countries to drive their own development, emphasizing local knowledge and solutions.
  • Focus on Systemic Change: Address systemic issues like corruption and poor governance for sustainable development, strengthening institutions and promoting accountability.
  • Reevaluate Foreign Aid: Deaton suggests reevaluating foreign aid practices, advocating for supporting local initiatives and fostering self-sufficiency.

What are the best quotes from The Great Escape by Angus Deaton and what do they mean?

  • "Living standards are vastly higher today than a century ago.": Highlights the central theme of progress in health and wealth over time.
  • "Escapes leave people behind, and luck favors some and not others.": Explores inequality and the uneven distribution of benefits from progress.
  • "The story of human wellbeing is not well served by looking at only a part of what is important.": Emphasizes Deaton's interdisciplinary approach, advocating for a holistic view of wellbeing.
  • "The ‘stat’ in statistics is not there by accident.": Suggests that statistics are political, influencing policy decisions based on how poverty and success are measured.

Review Summary

3.82 out of 5
Average of 2k+ ratings from Goodreads and Amazon.

The Great Escape explores inequality, health, and wealth across nations. Deaton argues economic growth fuels inequality but has improved living standards globally. He critically examines foreign aid, suggesting it often harms rather than helps. Readers appreciate Deaton's data-driven approach and insights on development, though some find the writing dry. The book offers a balanced view of progress and lingering challenges in global health and poverty reduction. Reviewers praise Deaton's nuanced analysis but debate his conclusions on aid effectiveness.

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About the Author

Angus Stewart Deaton is a renowned economist who won the Nobel Memorial Prize in Economic Sciences in 2015 for his work on consumption, poverty, and welfare. Born in Britain, he later became an American citizen. Deaton's research has significantly contributed to understanding how individuals and households make economic decisions, particularly in developing countries. His work bridges economics with other social sciences, focusing on health, well-being, and economic development. Deaton's approach combines theoretical insights with empirical analysis, often challenging conventional wisdom in development economics and public policy.

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