On the relationship between economic freedom and economic growth

Jakob de Haan and Jan-Egbert Sturm

No 199903, CCSO Working Papers from University of Groningen, CCSO Centre for Economic Research

Abstract: Often it is maintained that economic freedom may further high levels of economic growth. This paper compares various indicators for economic freedom. It is concluded that although these measures differ somewhat in their coverage, they show similar rankings for the countries covered. Some elements in these measures are, however, questionable. The robustness of the relationship between freedom and growth is also examined. Our main conclusion is that more economic freedom fosters economic growth.

Date: 1999
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