Applied to [Jared] Diamond's prototypic contrast between Eurasia and New 
Guinea, our theory suggests that the crucial distinction between these 
two regions is that farming in Eurasia relied on the cultivation of 
cereals, while in New Guinea it relied mostly on the cultivation of 
tubers (yam and taro, and, more recently, sweet potato) and bananas, 
where long-term storage is neither feasible (due to perishability) nor 
necessary (because harvesting is essentially non-seasonal). This 
provided farmers in New Guinea with sufficient immunity against bandits 
and potential tax collectors. More generally, we contend that the 
underdevelopment of tropical areas is not due to low land fertility but 
rather the reverse. Farmers in the tropics can choose to cultivate 
highly productive, non-appropriable tuber crops. This inhibits both the 
demand for socially provided protection and the emergence of a 
protection-providing elite. It is a curse of plenty.

full: http://www.voxeu.org/article/neolithic-roots-economic-institutions
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