In Why Nations Fail (New York: Crown Business, 2012), Daron Acemoglu and James Robinson argue that sustained growth depends primarily on “inclusive institutions” that bring pluralism into government. It is these political and economic structures, more than resource endowments, knowledge, financing, foreign aid, or a variety of other factors, that the authors believe account for a country’s prosperity or poverty. This paper looks at Pakistan through their lens. There is good evidence that Pakistan lacks the kind of institutions the authors associate with lasting prosperity. However, Pakistan’s troubles are compounded by some factors that the authors do not take into account, such as stubborn insecurity and ethnic fragmentation. Encouraging entrepreneurship and expanding the middle class may be the most effective long term remedy.