Revisiting the environmental rewards of economic freedom

Christopher Hartwell and Don L. Coursey

Economics and Business Letters, 2015, vol. 4, issue 1, 36-50

Abstract: Previous research has detailed the positive link between economic freedom and environmental and public health outcomes. However, advances in the interim in our knowledge of how economic freedom affects various economic outcomes, as well as in the quantification of various economic institutions, calls for a re-examination of the results. Compiling a new panel data set that picks up where the prior analysis left off, we utilize FE-GLS methods to find that economic freedom writ large lead to a cleaner and healthier environment. Additionally, economic freedom as manifested in contracting institutions also correlates with positive health and environmental outcomes, even in the presence of differing control sets.Â

Date: 2015
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