Yesterday, the Fraser Institute released its annual "Economic Freedom of the World" report analyzing data sets from 2010, and while economic freedom for the world continues to tick upward recovering from the global economic crisis of 2008 and 2009, the United States has fallen from the 10th most economically free country in the world in 2009 to 18th in 2010. Collectively, the world ranks 6.83 out of 10 in economic freedom. In 2007, at the height of world economic freedom, the Fraser Institute reported a ranking of 6.88 out of 10.
The report measures five key factors which the Fraser Institute identifies as indicators of an economically free society: 1. Size of Government, 2. Legal System and Property Rights, 3. Access to Sound Money, 4. Ability to Trade Internationally, and 5. Regulations.
The three most economically free countries are in the Pacific and no stranger to the top – Hong Kong, Singapore, and New Zealand – while the three least economically free countries are located on the African continent – Chad, Mozambique, and Burundi. Canada continues to be the most economically free country in North America and globally holds the number six spot.
It is certainly discouraging to see the United States slip so dramatically from the top ten but in an effort to put lipstick on the pig, Texas enjoyed an economic freedom ranking of 7.5 out of 10 in the Fraser institute's "Economic Freedom of North America" report (which used 2009 data sets) making Texas the 2nd most economically free place in North America. Tied for number one were Alberta, Canada and Delaware with a ranking of 7.9 out of 10.
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