Down With Binary Choices: Confederate Flag and State Capacity

Ran across a couple things which trigger me:

• a survey asking whether the Confederate flag was racist or heritage (symbol).  Why isn't it a racist heritage symbol?
• this post states one side of a dispute with Tyler Cowen: whether building "state capacity" (meaning having bureaucracies that provide public goods) leads to greater development or vice versa.  Why isn't this modeled as an iterative feed back process, where for example educating the population a bit more increases productivity which provides the money to increase state capacity?  

I've noted before, I've a personal aversion to conflict and binary choices; these are just another instance.