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Economic freedom and inequality: a survey of the empirical literature

In: Handbook of Research on Economic Freedom

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  • Daniel L. Bennett

Abstract

Inequality has become a central concern in global discourse. This chapter delves into the relationship between economic freedom and inequality, aiming to enhance our understanding of this crucial issue. While capitalism is often accused of exacerbating inequality, the chapter explores the role of economic freedom as a defining aspect of capitalism and its potential influence on resource distribution. By reviewing empirical studies from peer-reviewed journals, the chapter examines multidimensional measures of economic freedom and their association with various forms of inequality, including income inequality, as well as disparities in happiness, health, and across gender and racial lines. The chapter also investigates specific aspects of economic freedom, such as private property rights, regulation, and privatization. By consolidating and analyzing existing research, this chapter contributes to the ongoing discourse on economic freedom, inequality, and policy measures aimed at reducing disparities.

Suggested Citation

  • Daniel L. Bennett, 2024. "Economic freedom and inequality: a survey of the empirical literature," Chapters, in: Niclas Berggren (ed.), Handbook of Research on Economic Freedom, chapter 15, pages 208-224, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:21220_15
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    File URL: https://www.elgaronline.com/doi/10.4337/9781802206159.00025
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    Keywords

    Economics and Finance;

    Statistics

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