Tuesday, October 23, 2012

Comparison of Economic Freedoms around the World

What do these countries all have in common

The Communist-hypercapitalist autonomous city of Hong Kong
The national conservative capitalist state of Singapore
Torn between Laborism and Neoliberalism New Zealand
Federalist Switzerland
Mixed with various economic ideologies on all sides Australia
The captalistic klepocracy of Bahrain (though I doubt this should truly be on the list)

Give up?  They all are economically freer than the United States according to Fraser Institute's Free the World. From the 1980s to early 2000s the United States usually ranked third but it has fallen to 18th due to the increases in eminent domain (ab)use, increases in the role of government in the economy, and other factors.

While the United States has fallen a bit, it has not suffered the most in the last ten years.  Populist socialist Venezuela, soft national socialist Argentina, and neoliberal turned old school social democratic Iceland have initiated the worst falls from economic freedom in the last decade.

The writers at Online Business Degree (usually a site I ignore due to spam reasons) created an actual enjoyable/interesting infographic on the economic freedom around the world

I personally doubt that Hong Kong's success will last as the Chinese Communist Party slowly starts to implement its socialistic reforms in the region with help of its growing political base inside the city.

Economic freedoms are important.  While economic freedoms do not automatically equal personal freedoms, there is a strong relationship between restricting economic freedoms and losing personal freedoms.  There are also positive realtionships between quality of life, income equality, and economic freedom.


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