What are the main strengths and critiques of Why Nations Fail by Daron Acemoglu and James A. Robinson?

Why Nations Fail attempts to explain the wide gap between impoverished and affluent nations. This gap is much wider today than in previous historical eras. Nogales, a city that straddles the American-Mexican border, is put forth as an example of this economic discrepancy. Why Nations Fail, written by two eminent professors, can be read by both academics and laymen.
The central thesis of the book is that the nature of political institutions determines the level of economic prosperity of a country. Specifically, nations have either inclusive or extractive institutions. The former are found in democratic societies, and the latter, in authoritarian ones. An example of this is the case of North Korea and South Korea. The elite's interests prevail in North Korea and other countries with extractive institutions. Only fear of a revolution induces autocrats to evolve into a nation that allows inclusive institutions.
Even though Why Nations Fail has been widely praised, some reviewers have made critical observations of it. One potential counterpoint to the book is the rise of China in spite of its failure to reform politically. The authors contend that China's economy will stagnate because of its lack of inclusive institutions, but they do not adequately explain its phenomenal economic growth in recent decades. Another criticism is that inclusive and extractive institutions are vague in different historical eras, making comparisons difficult. These criticisms do not diminish what is a first-rate book, however.