If the Obama administration nationalizes the mortgage, automotive, and health industries, and the tax burden becomes intolerable, where can we go? Isn't the United States the last, best hope? The freest nation on earth?
Well, not exactly. The
Heritage Foundation each year ranks the countries of the world on the basis of ten
economic freedoms. And the United States, although ranking fairly well, is not always at the top of the list.
Of course economic freedom is only half the bargain—you need political freedom as well, and a basic respect for human rights. But there's a link between the two, and without economic freedoms, political freedom may only mean the right to complain about a bad situation.
Herewith are the top ten countries in terms of each of the ten economic freedoms.
Property RightsThe ability of individuals to accumulate private property, secured by law.
- Hong Kong
- Singapore
- Ireland
- Australia
- United States
- New Zealand
- Canada
- Chile
- Switzerland
- United Kingdom
This is also the overall ranking. That is, the top ten countries tied in terms of secure property rights, and so the secondary sort — by overall ranking — dominated.
Trade FreedomThe absence of tariff and non-tarff barriers that affect imports and exports.
- Hong Kong
- Singapore
- Croatia
- Namibia
- Switzerland
- Canada
- United States
- Turkey
- Taiwan
- Israel
Labor FreedomThe ability of workers and businesses to interact without restriction by the state.
- Denmark
- Georgia
- Singapore
- Australia
- Uganda
- Hong Kong
- United States
- Nigeria
- Chile
- Thailand
Financial FreedomBanking security as well as independence from government control.
- Hong Kong
- Ireland
- Australia
- United Kingdom
- Denmark
- Netherlands
- Bahrain
- United States
- New Zealand
- Canada
Business FreedomThe ability to create, operate, and close an enterprise quickly and easily.
- New Zealand
- Denmark
- Singapore
- Canada
- Finland
- Sweden
- Iceland
- Belgium
- Ireland
- United States
Investment FreedomThe free flow of capital, especially foreign capital.
- Hong Kong
- Ireland
- United Kingdom
- Denmark
- Estonia
- Netherlands
- Luxembourg
- Belgium
- Singapore
- Australia
- United States
In this and the following lists we had to expand the ranks to include the United States.
Monetary FreedomCombines a measure of price stability with an assessment of price controls.
- Japan
- Singapore
- Finland
- Hong Kong
- Netherlands
- Denmark
- Niger
- Peru
- Macedonia
- Cyprus
... - United States
Freedom from CorruptionThe absence of governmental corruption in the business environment.
- Finland
- New Zealand
- Iceland
- Denmark
- Singapore
- Sweden
- Switzerland
- Norway
- Netherlands
- Australia
... - United States
This and the next go hand-in-hand. The larger the government, the more opportunity for corruption.
Government SizeAll government expenditures, including consumption and transfers.
- Burma
- Guatemala
- Chad
- Cambodia
- Singapore
- Cameroon
- Haiti
- Bangladesh
- Hong Kong
- Laos
... - United States
Interesting that a military dictatorship ranks highest here. If size of government is your sole criteria you could worse than place the opposition under house arrest. Very efficient.
Fiscal FreedomThe tax burden in terms of the top tax rate and the overall tax as a portion of GDP.
- Kuwait
- United Arab Emirates
- Qatar
- Saudi Arabia
- Bahrain
- Oman
- Paraguay
- Bahamas
- Kyrgyz Republic
- Hong Kong
... - United States
A large government requires a heavy tax burden, unless you belong to an oil cartel.