Trends in the modern world imply the idea of economic freedom, income mobility, and system transparency. The globalization of political and economic relations is actively going on; therefore, collecting and analyzing information for further actions is required. Economic freedom is an important indicator and benchmark for the level of income of companies or individual citizens of a country. It also gives an idea of the standard of living in a country and freedom in economic activity.
Economic freedom is closely related to income mobility and standards of living. If a person has low earnings and poor housing conditions, then with a rigid corruption system that artificially restricts economic freedom, they have practically no chance of increasing their income. The report shows that the first places of economic freedom belong to Singapore and Hong Kong (Gwartney et al.). These countries have one of the lowest levels of economic inequality and mobility among residents, regardless of their social status. The difference in income may still be quite significant, but much less than in the Democratic Republic of the Congo or Venezuela, which are at the bottom of the list. The United States ranks 6th in the new Economic Freedom (Gwartney et al.). It points to well-designed systems for all social strata, open markets, and freedom of choice in business and everyday life.
Economic freedom consists of freedom of choice, social and income mobility, and support for market openness. To increase economic flexibility and free up an overburdened system, governments need to enact laws protecting property rights and focusing exclusively on sound money. They should also support open markets and fair trade domestically and for export. Modern living standards depend on entrepreneurial activity and the profitable exchange of resources.
Work Cited
Gwartney, James, et al. Economic Freedom of the World.Cato Institute, 2017.