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Economic Freedom in Retrospect

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  • Leandro Prados de la Escosura

    (Universidad Carlos III de Madrid)

Abstract

This paper analyses economic freedom for a sample of 21 OECD countries over the past 170 years on the basis of a new thoroughly revised Historical Index of Economic Liberty (HIEL). Long-term gains in economic freedom reached two-thirds of its potential maximum. The expansion of economic freedom was abruptly interrupted by the world wars and resumed after 1950, to peak in 2000 and stagnate thereafter. International openness has been its main contributing dimension, especially after 1950. Stability in the country ranking coexisted with a narrowing of the distance between countries’ levels of economic freedom.

Suggested Citation

  • Leandro Prados de la Escosura, 2023. "Economic Freedom in Retrospect," Working Papers 0236, European Historical Economics Society (EHES).
    • Handle: RePEc:hes:wpaper:0236
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    References listed on IDEAS

    as
    1. Leandro Prados De La Escosura, 2016. "Economic freedom in the long run: evidence from OECD countries (1850–2007)," Economic History Review, Economic History Society, vol. 69(2), pages 435-468, May.
    2. Burhop, Carsten & Wolff, Guntram B., 2005. "A Compromise Estimate of German Net National Product, 1851–1913, and its Implications for Growth and Business Cycles," The Journal of Economic History, Cambridge University Press, vol. 65(3), pages 613-657, September.
    3. Vincent Geloso, 2019. "A price index for Canada, 1688 to 1850," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 52(2), pages 526-560, May.
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    5. Dennis P. Quinn & A. Maria Toyoda, 2008. "Does Capital Account Liberalization Lead to Growth?," The Review of Financial Studies, Society for Financial Studies, vol. 21(3), pages 1403-1449, May.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Economic Freedom; Property Rights; Price Stability; Openness; Regulation; OECD;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • N40 - Economic History - - Government, War, Law, International Relations, and Regulation - - - General, International, or Comparative
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy
    • N40 - Economic History - - Government, War, Law, International Relations, and Regulation - - - General, International, or Comparative
    • P14 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Property Rights

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