Economic freedom leads to economic prosperity

Dan Mitchell:

Whether it’s North Korea vs. South KoreaCuba vs. Chile, or Ukraine vs. Polandnations with bigger governments and more intervention inevitably decline compared to market-oriented alternatives.

The chart at right shows how Botswana has surpassed most other African nations in economic prosperity. It cannot be coincidence that Botswana rates higher than the rest not just in economic prosperity but also in economic freedom.

Economic freedom is a necessary prerequitiste to economic prosperity simply because the natural order of a society cannot be achieved by bureaucrats making decisions for other people. The best outcomes always derive from free markets and in which free people can make economic decisions for themselves with as little interference from government as possible. It may be counterintuitive that allowing people to make their own economic choices for themselves leads to a growing economy that is more orderly and is better for everyone. Socialism requires people to conform to decisions made by the elite in their interest, and not in the interest of ordinary people.

Venezuela is heading for the fourth circle of statist hell:

Statism-Circles-of-Hell


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