IDEAS home Printed from https://ideas.repec.org/a/ssi/jouesi/v11y2023i2p419-432.html
   My bibliography  Save this article

Empirical analysis of the impact of economic freedom on economic growth in the Slovak Republic, the Czech Republic and Singapore

Author

Listed:
  • Katarína Belanová

    (University of Economics in Bratislava, Slovakia)

  • Rudolf Sivák

    (University of Economics in Bratislava, Slovakia)

  • Boris Dziura

    (University of Economics in Bratislava, Slovakia)

  • Silvia Bastyr

    (University of Economics in Bratislava, Slovakia)

  • Miriana Šípová

    (University of Economics in Bratislava, Slovakia)

Abstract

A quality business environment is considered a key factor that affects the competitiveness and growth of the market economy. The article provides an evaluation of the development of the business environment in the Slovak Republic and its comparison with selected countries using the Index of Economic Freedom from the Heritage Foundation. The aim is to verify the influence of individual sub-indexes of the Index of Economic Freedom on the economic growth of the Slovak Republic, the Czech Republic and Singapore, measured by the GDP per capita growth (%), through a panel analysis. By choosing these three countries over a period of 20 years, the article brings new knowledge that appropriately complements already conducted empirical studies in the researched area. As a result, two of the twelve sub-indexes of the economic freedom index, namely the labor freedom sub-index and the monetary freedom sub-index, demonstrated an impact on the economic growth of the surveyed countries. In addition to them, the dependent variable is also influenced by the control variables foreign direct investment and gross capital formation. However, economic freedom is a complex indicator, so importance should also be attributed to other sub-indexes of the Index of Economic Freedom as a manifestation of the synergy of all its basic elements in the creation of macroeconomic policy.

Suggested Citation

  • Katarína Belanová & Rudolf Sivák & Boris Dziura & Silvia Bastyr & Miriana Šípová, 2023. "Empirical analysis of the impact of economic freedom on economic growth in the Slovak Republic, the Czech Republic and Singapore," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 11(2), pages 419-432, December.
    • Handle: RePEc:ssi:jouesi:v:11:y:2023:i:2:p:419-432
    DOI: 10.9770/jesi.2023.11.2(28)
    as

    Download full text from publisher

    File URL: https://jssidoi.org/jesi/uploads/articles/42/Belanova_Empirical_analysis_of_the_impact_of_economic_freedom_on_economic_growth_in_the_Slovak_Republic_the_Czech_Republic_and_Singapore.pdf
    Download Restriction: no
    File URL: https://jssidoi.org/jesi/article/1150
    Download Restriction: no
    File URL: https://libkey.io/10.9770/jesi.2023.11.2(28)?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Scully, Gerald W & Slottje, Daniel J, 1991. "Ranking Economic Liberty across Countries," Public Choice, Springer, vol. 69(2), pages 121-152, February.
    2. Joshua Ang & Jason C. Patalinghug, 2021. "Property rights and economic growth: A dynamic GMM analysis," Economics Bulletin, AccessEcon, vol. 41(3), pages 1387-1398.
    3. Constantine Alexandrakis & Grigorios Livanis, 2013. "Economic Freedom and Economic Performance in L atin A merica: A Panel Data Analysis," Review of Development Economics, Wiley Blackwell, vol. 17(1), pages 34-48, February.
    4. Richard Cebula & Franklin Mixon, 2012. "The Impact of Fiscal and Other Economic Freedoms on Economic Growth: An Empirical Analysis," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 18(2), pages 139-149, May.
    5. Alexandra-Cristina Sirbu & Andreea-Oana Iacobuță-Mihăiță & Mircea Asandului & Madalina-Maria Brezuleanu, 2023. "Effects of Economic Freedom on Subjective Well-Being," Scientific Annals of Economics and Business (continues Analele Stiintifice), Alexandru Ioan Cuza University, Faculty of Economics and Business Administration, vol. 70(SI), pages 85-97, February.
    6. repec:bla:kyklos:v:53:y:2000:i:4:p:527-44 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tanin, Tauhidul Islam & Masih, Mansur, 2017. "Does economic freedom lead or lag economic growth? evidence from Bangladesh," MPRA Paper 79446, University Library of Munich, Germany.
    2. Olalekan Charles Okunlola & Anthony E. Akinlo, 2021. "Does economic freedom enhance quality of life in Africa?," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 68(3), pages 357-387, September.
    3. de Haan, Jakob & Sturm, Jan-Egbert, 2000. "On the relationship between economic freedom and economic growth," European Journal of Political Economy, Elsevier, vol. 16(2), pages 215-241, June.
    4. Coulange Pierre, 1994. "Institutions et developpement economique," Journal des Economistes et des Etudes Humaines, De Gruyter, vol. 5(1), pages 25-52, March.
    5. Jonas Rapsikevicius & Jurgita Bruneckiene & Mantas Lukauskas & Sarunas Mikalonis, 2021. "The Impact of Economic Freedom on Economic and Environmental Performance: Evidence from European Countries," Sustainability, MDPI, vol. 13(4), pages 1-20, February.
    6. José Manuel Cabello & Francisco Ruiz & Blanca Pérez-Gladish, 2021. "An Alternative Aggregation Process for Composite Indexes: An Application to the Heritage Foundation Economic Freedom Index," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 153(2), pages 443-467, January.
    7. Burcu ŞENALP, 2018. "Foreign Direct Investment, Economic Growth and Economic Freedom: A Literature Survey," Istanbul Journal of Economics-Istanbul Iktisat Dergisi, Istanbul University, Faculty of Economics, vol. 68(2), pages 301-336, December.
    8. repec:dgr:rugccs:199903 is not listed on IDEAS
    9. Chris Doucouliagos, 2005. "Publication Bias in the Economic Freedom and Economic Growth Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 19(3), pages 367-387, July.
    10. Noha Emara & Loreto Reyes Rebolledo, 2019. "On the Relationship between Economic Freedom and Output per Worker: The Case of Asia-pacific Countries," International Journal of Economics and Financial Issues, Econjournals, vol. 9(6), pages 184-194.
    11. Chang, Chong-Chuo, 2023. "The impact of quality of institutions on firm performance: A global analysis," International Review of Economics & Finance, Elsevier, vol. 83(C), pages 694-716.
    12. John W. Dawson, 2007. "The Empirical Institutions-Growth Literature: Is Something Amiss at the Top?," Econ Journal Watch, Econ Journal Watch, vol. 4(2), pages 184-196, May.
    13. Kubickova Marketa, 2016. "The Role of Government in Tourism: Linking Competitiveness, Freedom, and Developing Economies," Czech Journal of Tourism, Sciendo, vol. 5(2), pages 73-92, December.
    14. Cebula, Richard J. & Clark, J.R. & Mixon, Franklin G., Jr., 2013. "The Impact of Economic Freedom on Per Capita Real GDP: A Study of OECD Nations," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 43(1).
    15. de Haan, Jakob, 2003. "Economic freedom: editor's introduction," European Journal of Political Economy, Elsevier, vol. 19(3), pages 395-403, September.
    16. Knedlik, Tobias & Kronthaler, Franz, 2006. "Forced to Freedom? Empirical Relations between Aid and Economic Freedom," IWH Discussion Papers 8/2006, Halle Institute for Economic Research (IWH).
    17. Noha Emara (a) and Loreto Reyes Rebolledo (b), 2021. "Economic Freedom and Economic Performance: Does Good Governance Matter? The Case of APAC and OECD Countries," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 46(1), pages 1-32, March.
    18. Asim Iqbal & Aftab Anwar & Khalil Ahmad, 2023. "Institutional Development And Business Freedom: Insights From Developing Nations," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 12(2), pages 457-465.
    19. Jac C. Heckelman, 2000. "Economic Freedom and Economic Growth: A Short-Run Causal Investigation," Journal of Applied Economics, Taylor & Francis Journals, vol. 3(1), pages 71-91, May.
    20. Rajeev K. Goel, 2012. "Business regulation and taxation: effects on cross-country corruption," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 15(3), pages 223-242, September.
    21. Jakob De Haan & Susanna Lundström & Jan‐Egbert Sturm, 2006. "Market‐oriented institutions and policies and economic growth: A critical survey," Journal of Economic Surveys, Wiley Blackwell, vol. 20(2), pages 157-191, April.

    More about this item

    Keywords

    index of economic freedom; GDP per capita growth; business environment;
    All these keywords.

    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • P48 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Legal Institutions; Property Rights; Natural Resources; Energy; Environment; Regional Studies

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ssi:jouesi:v:11:y:2023:i:2:p:419-432. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Manuela Tvaronaviciene (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.