The Links Between Economic Freedom and American Leadership in International Security

Ted Bromund / January 13, 2011

The 2011 Index of Economic Freedom is out, and the news is not good. For the second year in a row, America became less economically free. The U.S. is now just the ninth-freest economy in the world. The decline in the U.S. ranking was driven by skyrocketing government spending, new regulatory uncertainty associated with Obamacare, and government intervention in housing and financial markets.

Economic freedom matters for many reasons. It is the way societies create wealth: government is necessary, but it provides only the framework within which autonomy can flourish. It is also an inherent liberty: the right to do what you will with the fruits of your labor is among the most basic of human freedoms. As the Index demonstrates, economic freedom also correlates strongly with overall well-being, cleaner environments, and democratic governance. (more…)