#111 – Mushtaq Khan on using institutional economics to predict effective government reforms

If you’re living in the Niger Delta in Nigeria, your best bet at a high-paying career is probably ‘artisanal refining’ — or, in plain language, stealing oil from pipelines.

The resulting oil spills damage the environment and cause severe health problems, but the Nigerian government has continually failed in their attempts to stop this theft.

They send in the army, and the army gets corrupted. They send in enforcement agencies, and the enforcement agencies get corrupted. What’s happening here?

According to Mushtaq Khan, economics professor at SOAS University of London, this is a classic example of...