26/01/2005 5:26:38 pm
You Want Economic Growth? Choose Economic Freedom! In my recent op-ed, which has now been published in eight Swedish dailies, I compared the Economic Freedom in the World Index with GDP per capita. More precisely, I showed that in EU-25, 11 countries have improved their relative economic freedom since 1996 - and 8 of those have also improved their relative GDP per capita position. That is one piece of evidence that shows the connection between freedom and prosperity. In a scientific article in the Independent Review, Niclas Berggren of the Ratio Institute, does more of that. He compiles empirical research results from economic science. Clearly economic freedom - with a limited government that leaves much space for free economic relations - is the source of growth. He also argues that economic freedom does not bring economic inequality, on the contrary low growth does.
Read the article here (pdf) - >