World economic freedom is again on the rise. Policy missteps that contributed to fiscal crisis and recession have been repudiated by voters in some countries and disciplined by market forces in others.
Countries that have stayed true to the principles of economic freedom are reaping the rewards: rapid recovery and renewed growth. In fact, average incomes in countries that gained economic freedom this year are projected to grow more than 4 percent!
However, this year the UK has fallen out of the top 15 most economically free countries in the world. The UK does particularly badly when ranked on fiscal freedom and government spending.
Commenting on the Index, Philip Booth, Editorial and Programme Director of the Institute of Economic Affairs, said:
“The decline in economic freedom in the UK is doing significant harm to business and the UK’s growth prospects. The coalition must