Daron Acemoglu returns for his second appearance with a new book, What Happened to Liberal Democracy?, which Tyler reads as an attempt to redefine and revitalize liberalism for our times. Where Daron's first visit was about how states and societies contend for the narrow corridor in which liberty survives, this one asks what liberals themselves got wrong, and the answer implicates the educated elite—that is to say, you. Tyler and Daron discuss what's wrong with social contract theories and Rousseau's general will, whether Acemoglu is more objectivist than Rorty, why he blames left liberalism's own establishment power for its collapse, what standard is left once you refuse to have a book of higher values, nondomination versus noninterference, who counts as working class, why automation alone will not lead to widespread prosperity, how he can call himself a free speech absolutist while wanting to regulate social media, why he worries we've given up on educating Americans, whether teachers' unions need to be reconstituted, what the life expectancy for an educated twenty year old is today, whether open-source models undercut the centralization worry, what pro-worker AI actually means, why the fertility crisis leaves him strangely close to a real business cycle position, whether AI will raise his own already prodigious paper output, why Armenia has disappointed economically, what he wants to learn next, and more. Read a <a href= "https://conversationswithtyler.com/episodes/daron-acemoglu-2/">transcript</a> enhanced with helpful links, or watch the <a href= "https://youtu.be/e5O1Y-5phEU">full video</a> on YouTube. Recorded July 15th, 2026. Other ways to connect <ul class="dIYekRGT_0ZS9Tag_LeS"> <li class= "e-10750-text encore-text-body-medium encore-internal-color-text-subdued _G3k1eIg6LFgvvq0Lxhg" data-encore-id="text">Follow us on <a href= "https://x.com/cowenconvos">X</a> and <a href= "https://www.instagram.com/cowenconvos/?hl=en">Instagram</a></li> <li class= "e-10750-text encore-text-body-medium encore-internal-color-text-subdued _G3k1eIg6LFgvvq0Lxhg" data-encore-id="text">Follow <a href= "https://x.com/tylercowen">Tyler</a> on X</li> <li class= "e-10750-text encore-text-body-medium encore-internal-color-text-subdued _G3k1eIg6LFgvvq0Lxhg" data-encore-id="text">Follow <a href= "https://x.com/DAcemogluMIT">Daron</a> on X</li> <li class= "e-10750-text encore-text-body-medium encore-internal-color-text-subdued _G3k1eIg6LFgvvq0Lxhg" data-encore-id="text"><a href= "https://mercatus.tfaforms.net/5060931">Sign up for our newsletter</a></li> <li class= "e-10750-text encore-text-body-medium encore-internal-color-text-subdued _G3k1eIg6LFgvvq0Lxhg" data-encore-id="text">Join our <a href= "https://discord.com/invite/JAVWP7vTxt">Discord</a></li> <li class= "e-10750-text encore-text-body-medium encore-internal-color-text-subdued _G3k1eIg6LFgvvq0Lxhg" data-encore-id="text">Email us: <a href= "mailto:cowenconvos@mercatus.gmu.edu">cowenconvos@mercatus.gmu.edu</a> </li> <li class= "e-10750-text encore-text-body-medium encore-internal-color-text-subdued _G3k1eIg6LFgvvq0Lxhg" data-encore-id="text">Learn more about Conversations with Tyler and other Mercatus Center podcasts <a href= "https://www.mercatus.org/podcasts">here</a>.</li> </ul> Timestamps: 00:00:00 - Intro 00:08:57 - On the working class vs. the elite 00:13:16 - On automation 00:22:33 - On free speech 00:27:22 - On immigration 00:31:08 - On artificial intelligence 00:50:36 - On Armenia 00:53:22 - On what comes next 00:54:51 - Outro Image credit: Bryce Vickmark

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