January 15, 2008
2008 Index of Economic Freedom is Out
Posted by Daniel Sokol

Apropos to my earlier post on LLSV, the most recent Index of Economic Freedom is out as of today.  Like the LLSV literature, the Index of Economic Freedom too makes a number of assumptions on how property rights and rule of law among other things get measured.  It relies on a number of sources, a number of which are quite subjective (and I would argue that the "objective" data is also subjective).  Nevertheless, if I were a firm looking to invest around the world and wanted to get a sense of which jurisdictions were business friendly, this list roughly matches what I would assume to be the case.  The "Ten Freedoms" that the index measures are: Business Freedom, Trade Freedom, Monetary Freedom, Freedom from Government, Fiscal Freedom, Property Rights, Investment Freedom, Financial Freedom, Freedom from Corruption, and Labor Freedom.

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