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9 - Economic Freedom

The F-Index

from Part IIB - The Transition of the Economic System

Published online by Cambridge University Press:  07 August 2021

Martin Paldam
Affiliation:
Aarhus Universitet, Denmark
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Summary

The Fraser F-index of economic freedom measures the freedom to run a private business, measured as an aggregate of many primary indices organized in five groups. It begins in 1970, but it has only a couple of observations from the countries of the Soviet Bloc before 1990, and they are not convincing. The index shows a strong rise from 1975/80 to 2000 and stability since then. The data have a highly significant transition curve. However, it is almost linear over the full range. The main direction of causality is from income to the F-index, but there is some simultaneity. The B- and the F-indices have a correlation of only 0.2, so they do not measure the same. However, the transition curves are very similar.

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Publisher: Cambridge University Press
Print publication year: 2021

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  • Economic Freedom
  • Martin Paldam, Aarhus Universitet, Denmark
  • Book: The Grand Pattern of Development and the Transition of Institutions
  • Online publication: 07 August 2021
  • Chapter DOI: https://doi.org/10.1017/9781009025898.014
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  • Economic Freedom
  • Martin Paldam, Aarhus Universitet, Denmark
  • Book: The Grand Pattern of Development and the Transition of Institutions
  • Online publication: 07 August 2021
  • Chapter DOI: https://doi.org/10.1017/9781009025898.014
Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

  • Economic Freedom
  • Martin Paldam, Aarhus Universitet, Denmark
  • Book: The Grand Pattern of Development and the Transition of Institutions
  • Online publication: 07 August 2021
  • Chapter DOI: https://doi.org/10.1017/9781009025898.014
Available formats
×