Fraser Institute released its new index of economic freedom.
The data shows that economic freedom in the world has been going down during the last two years of the study. Yet, the scores for “access to sound money” are as high as ever. I have yet to look at all the figures but on a score of 1 to 10, New Zealand, the silver medalist in sound money, scores 9.7. Countries in the Eurozone, score 9.58, beating Switzerland (9.29) and Hong Kong (9.28). The US scores 9.60, down from 9.78 in 2000 (almost perfect “sound money”). I love empirical analysis and I think the index is one of the best tools devised by economists during these last decades. The almost perfect scores on sound money, however, is a call for further study and reflection. Check Fraser’s methodology before passing judgment.
(disclosure: I am a trustee of the Fraser Institute)