Today's pace of innovation in law and governance is slow because we do not allow for entrepreneurial innovation in it. Think of it this way: we set up a legal and political system so that markets work and entrepreneurs can solve tons of problems. Entrepreneurs everywhere work in parallel. They try different things from the ground up. Markets are problem-solving machines, bringing good ideas to life. Millions of people all search through trial-and-error for a solution to a customer's problem. We accept this as natural in most areas of our lives.
But we don't accept this in the most important area: the way we structure communities themselves. We marvel at the problem-solving ability of entrepreneurs. But we’re also always complaining about corruption or poverty in our legal and political systems.
We don’t have progress in law and governance because we don’t allow startup entrepreneurship to bring new solutions to citizens.