Wednesday, September 21, 2011

Declining Economic Freedom in the US

As Jeffrey Ellis points out (The Thinker):

Economic freedom clearly improves the human condition — including lowering poverty — whereas government growth, no matter how well-intentioned, results in reduced prosperity.
In response to Ian Vasquez's notes (Cato @ Liberty):
[T]he United States has had one of the largest declines in the past decade. It now ranks in 10th place compared to 3rd in 2000, largely due to higher government spending and lower ratings on “rule of law” measures. The report documents the strong, positive relationship between economic freedom and a range of indicators of standard of living including wealth, economic growth, longer life spans, better health care, lower poverty, civil and political liberties, and so on. Economic freedom is central to human progress. As the response of activist governments to financial and ongoing debt crises fails to address underlying issues responsible for low growth and high unemployment, this report is an important empirical reminder about the wide-ranging consequences of politics or markets in determining the use of resources.

No comments: