The author's key argument is that extractive institutions lead to state failure. Like most theories of state failure, there's some good examples but enough weak or counter examples to discredit it as 'the' answer. At best, I'd argue that extractive institutions are a block to success: countries with them have one fewer barrier to overcome.

I recently researched the thorny issue of what consititutes art, and the leading idea in that field is a cluster theory: a set of ten ideas which commonly associated with things accepted as art. Some objects don't have all ten, but together they provide a powerful guide. My point in mentioning this is that state failure seems to follow the same pattern. Geography (ie Jared Diamond's theory) is a factor in state success and failure. Culture is another factor. Economic system and the nature of institutions (extractive or inclusive) are two more factors. (And there's bound to be a few more).

A state can succeed with only a couple of these. Lacking them all is a sure sign of failure. Having them all likely comes as close to guaranteeing success as possible. But thinking there's some single indicator that determines state failure is a doomed project.