From Territorial Consolidation to Bureaucratic Dominance: The Long Arc of State Development

Our understanding of state development—a term that encompasses both state formation and state building—has grown significantly in the last two decades. In this review, I outline the foundations of the literature and identify major conceptual and analytical advancements since the early 2000s, including the development of capacity investment models, the notion of intermediate institutions, and the emphasis on political agency. This review builds on research employing diverse methodologies, draws on examples from advanced economies and developing countries, and is intended for both novice and experienced readers. After taking stock of the state of the field, I discuss and reflect upon three avenues for further research—the big unknowns: Do civil wars make or break the state? How do economic openness and international hierarchy shape the incentives and opportunities for state building? And what are the perils that highly capable states pose for liberal rights and democratic governance?