Posted on 01/05/2005 9:25:11 AM PST by LongsforReagan
U.S. Fails to Make List of World's Freest Economies
The United States is missing for the first time from an annual ranking of the world's 10 freest economies.
Story Continues Below
The Index of Economic Freedom, published by The Heritage Foundation and The Wall Street Journal since 1995, finds that the United States is letting Big Brother grow obese as other countries get lean and fit. Chile, Australia and Iceland improved enough to leave the U.S. in a tie with Switzerland for 12th place.
"The United States is resting on its laurels while innovative countries around the world are changing their approaches and reducing their roadblocks," said Marc Miles, a co-editor of the book, along with Ed Feulner and Mary Anastasia O'Grady. "The U.S. is eating the dust of countries that have thrown off the 20th-century shackles of big government spending and massive federal programs."
The index analyzes 50 economic variables in 10 categories. This year 86 countries showed improvement, 57 declined, and 12, including America, were unchanged.
Though out of the top 10, the U.S. still had scores good enough to be among the 17 "free" economies. Fifty-six nations were considered "mostly free," 70 "mostly unfree" and 12 "repressed."
The top 10: Hong Kong, Singapore, Luxembourg, Estonia (yes, the former Soviet "republic"), Ireland, New Zealand, U.K., Denmark, Iceland and Australia, followed by Chile.
Awwww: Saddam's Allies Fare Poorly
Among those that failed to make the list of the free: socialist Germany, 18th; Belgium, 21st; socialist Spain, 31st; Japan, 39th; and lowly France, 44th. Thanks to power-mad Vladimir Putin, Russia was only 124th, behind Rwanda.
The U.S. earned top scores in property rights, banking/finance and monetary policy. What hurt it: a miserable rating in fiscal burden of government, worse than all but 30 countries in the survey.
"This reflects poor scores in the area of taxation. The U.S. corporate tax rate ranks 112th out of the 155 countries scored, and its top individual tax rate ranks an only somewhat better 82nd. The fiscal burden rating also reflects the fact that federal spending that has reached levels not seen since World War II and that now costs the average household more than $20,000 per year," The Heritage Foundation announced.
Miles stated: "If we don't get federal spending under control, we'll continue to be passed by nations willing to take the steps necessary for dynamic financial growth. We all know it - now it's time for Congress to make it happen."
'Misery Has a Cure'
O'Grady wrote today in The Journal, in a column headlined "Hail Estonia!": "The lesson? Stand still on the highway to economic liberty and the world will soon start to pass you by. ...
"Policy makers who pay lip service to fighting poverty would do well to grasp the link between economic freedom and prosperity. This year the Index finds that the freest economies have a per-capita income of $29,219, more than twice that of the 'mostly free' at $12,839, and more than four times that of the 'mostly unfree.' Put simply, misery has a cure and its name is economic freedom."
Starting to foreward this to every member of congress and the President.
Soon all that will differentiate the parties is social issues and the military strategy.
sounds like Pakistan
It would be interesting to know how they arrived at the list, and how they measured economic freedom. I notice several of the countries listed are known for their social safety nets and high tax rates, I would not have thought of them as leading the list of free economies.
I don't find it surprising. Businesses in the U.S. are severely over regulated. Regulation was one of the factors weighed in the study. The U.S. is slipping in economic freedom.
Perhaps you need to re-visit your premise, and entertain the possibility that some EU nations are less "socialistic" than the U.S.
Part of the reason for "outsourcing" perhaps.
I'll guess that #1 = lowest. My understanding is that the U.S. corporate tax rate is comparitively one of the highest.
No.
Well, I gotta' tell 'ya . . . it's never been a secret that Estonia is a free-market heaven, and a good number of the new EU entrants have a flat (and low) income tax. Compared to us, well . . . enough said.
Just try to tell that to the lawyers, bureaucrats, and politicians dependent on economic unfreedom!
A free economic system that encourages entrepreneurial activities and allows "creative destruction" of outmoded industries is extremely complex. I don't know how you would measure it.
I also don't see how England can be near the top when it is subject to EU regulation. In England, for instance, farmers are required by EU fiat to provide toys for their pigs to play with, so they won't chew off their tails. Farm stands that sell vegetables by the pound instead of the kilo are subject to criminal prosecution. Pub owners are not supposed to sell beer by the pint. And so forth. I very much doubt whether even post-Thatcher England is as free as the U.S.
No. This article is saying we are taxed way too much. When you combine personal taxes with corporate taxes (which people really pay), the U.S. nearly taxes more per capita than any country on the planet.
And if it's credible and true, what are the economic results? Restrictions don't always work against us.
Also,for each and every pesticide I apply,I must keep records of where I applied,how much,what method was used,and what I applied for 3 years.I also must be insured for being a landscape contractor(no biggie,I would anyway,but it's the principal).When I renew my license,they have to know exactly how much I made last year,to the penny.They need copies of my insurance and state certifications.All of this,if not followed,will bring fines and jail time,plus the loss of ones business license.
We're not nearly as free as we think we are.
In relentless pursuit of a global corporate plutocracy, the Bush Administration has left intact an economically oppressive federal regulatory bureacracy while undermining American Middle Class business interests with importation of foreign goods and labor.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.