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  • Welcome to America, Land of the Less Free?

    Just one year after President Barack Obama took office, we released the 16th edition of the Index of Economic Freedom in both Hong Kong and Washington. Once again, it provides empirical evidence that economic freedom is the pathway to prosperity.

    The good news is that despite the global economic crisis, the overall level of global economic freedom remained about the same. Some countries improved while others declined.

    The bad news is that the United States is one of the economies that declined. For the first time since we began measuring economic freedom, the United States fell out of the top tier of free economies into a lower “mostly free” tier, now ranked with countries like Belgium, Botswana and Sweden. The United States’ loss of economic freedom was worst among among the 20 major economies of the world.
    Why? The bailouts, massive stimulus spending, and other dangerous interventionist decisions in Washington since 2008 are hamstringing our economy and costing jobs—85,000 jobs in December alone, and 3.4 million since this time last year.

    We’ve heard a lot of talk about the need for still more regulation and greater government spending, even about abandoning the free enterprise/capitalist system. The data in the Index and other studies clearly do not support that route. Thankfully, other countries are not buying it. Around the world, countries are still cutting taxes, strengthening property rights, deregulating, and reducing government spending, and they’re reaping the benefits, including an cushion that helped them survive the economic crisis.

    Americans have been in this situation before, and we were able to turn things around. There’s no reason we can’t do it again. That’s the compelling story in the pages of the Index: if you improve economic freedom and let the markets work, rising prosperity will follow. The choices Washington makes in the next few years will matter. They will determine whether we continue to decline in economic freedom or are able to continue calling America the land of opportunity and the land of the free.

    Posted in Ongoing Priorities [slideshow_deploy]

    7 Responses to Welcome to America, Land of the Less Free?

    1. J.C. Hughes, Texas says:

      Kim's statement " … if you improve economic freedom and let the markets work, rising prosperity will follow." defines the intended meaning of the U.S. Constitution's Preamble wherein it states " … promote the general Welfare …". Leftist have corrupted this wording to imply redistribution of wealth.

    2. J.C. Hughes, Texas says:

      Kim's statement " … if you improve economic freedom and let the markets work, rising prosperity will follow." defines the intended meaning of the U.S. Constitution's Preamble wherein it states " … promote the general Welfare …". Leftist have corrupted this wording to imply redistribution of wealth. Based on HF's index, it's fair to say our nation's founders fully appreciated an economic freedom paradigm as being beneficial to the general welfare of states and individuals.

    3. Santiago Cueto, Miam says:

      There is another factor not mentioned in the article that I believe contributed to the US’ lower ranking–the lack of confidence in our nation’s dispute resolution regime.

      Businesses are unwilling to wade into a pool of uncertainty to either prosecute or defend valid claims given the exorbitant cost of litigation. While inroads were made in the past decade towards the arbitration of business disputes, the trend has reversed itself under mounting pressure from special interest groups.

      While I have no empirical proof, I have a feeling that the top 7 nations have made great strides in their dispute resolution regimes. It's no surprise Hong Kong is number one given its focus on arbitration, which was the subject of an article on the International Business Law Advisor http://bit.ly/5Xm4RE

    4. Barbara F Delo says:

      America rose to become the leading nation of the twentieth century in large part do to the strength of its capitalist economic system. To restrain that system through improper government interference, as was done when government pressured banks to make unwise high risk morgages to achieve social goals, is the prescription for economic meltdown. In addition, the right of individuals and companies to private ownership is part of our Constitutional right to property. Capitalism and the private sector should be encourages to grow and flourish free of excessive government interference because doing so provides opportunities, jobs, and prosperity for so many Americans!.

    5. Bobbie Jay says:

      J.C., could you please interpret that to the American government?

    6. Pingback: Obama’s Deaf Ear May Cost His Success | Step Down Obama

    7. Pingback: Obama’s Deaf Ear May Cost His Success | The Foundry: Conservative Policy News.

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