“Today, we live in the most prosperous time in human history,” notes the the Index of Economic Freedom, an annual guide published by The Wall Street Journal and The Heritage Foundation. “Poverty, sicknesses, and ignorance are receding throughout the world, due in large part to the advance of economic freedom.”
The Index covers 10 freedoms – from property rights to entrepreneurship – in 186 countries. So why should we care about economic freedom around the world? Because it is a key to alleviating global poverty:
Countries with higher levels of economic freedom continue to outperform others in reducing poverty, achieving greater prosperity, and ensuring broader progress in many dimensions of social and human development. As the Index has catalogued, nations with higher degrees of economic freedom prosper because they capitalize more fully on the ability of the free-market system not only to generate, but also to reinforce dynamic growth through efficient resource allocation, value creation and innovation. Policies that promote freedom, whether through improvements in the rule of law, the promotion of competition and openness, or suitable restraints on the size and economic reach of government, turn out in practice to advance practical solutions to a wide range of economic and social challenges.