This book brings together a number of previously published articles by Stanley L. Engerman and Kenneth L. Sokoloff. Its essays deal with differences in the rates of economic growth in Latin American and mainland North America, specifically the United States and Canada. It demonstrates how relative differences in growth over time are related to differences in the institutions that developed in different economies. This variation is driven by differences in major institutions - suffrage, education, tax policy, land and immigration policy, and banking and financial organizations. These factors, in turn, are all related to differences in endowments, climate, and natural resources. Providing a comprehensive treatment of its topic, the essays have been revised to reflect new developments and research.