Showing posts with label economic freedom. Show all posts
Showing posts with label economic freedom. Show all posts

Wednesday, April 11, 2018

You Keep Using That Phrase, I Do Not Think It Means What You Think It Means

Statue of liberty in a cage An article published this week in Foreign Policy brought to mind the memetic line of Inigo Montoya from The Princess Bride, "You Keep Using That Word, I Do Not Think It Means What You Think It Means."

Writing under the headline "Economic Rights Are Human Rights," Yale University's Samuel Moyn shows by the second paragraph of his article that he doesn't know what he's talking about:

For 40 years, America’s human rights policy has focused narrowly on political and civil liberties and has been coupled with a free market libertarian agenda for the world. By neglecting social and economic rights and the vast disparities both within and among nations, U.S. policy has exacerbated many of the evils it set out to eradicate. It needs an overhaul.

A "free market libertarian agenda for the world" is exactly what has promoted economic rights and liberties for the past generation. By promoting free market policies around the world, poverty has been reduced to a tiny fraction of what it was only 40 years ago. People nearly everywhere are healthier, wealthier, and better educated than their parents and grandparents were.

Why only "nearly everywhere"? Because some countries have refused to liberalize their economies, thus perpetuating and deepening the poverty experienced by all but the political elites and their cronies in the limited business sector. Compare, for instance, Botswana and Zimbabwe -- neighboring countries but one is politically free and economically prosperous while the other is both politically oppressed and economically depressed.  The conditions on both sides of the Botswana-Zimbabwe border are inextricably intertwined.

Check out anything posted to HumanProgress.org if you are skeptical of my claims.

By the way, I clicked on the article;s link because I agree with the headline: Economic rights are, indeed, human rights.  In fact, I addressed that issue from a somewhat different angle way back in 1991, just as the economic freedom revolution began to advance around the globe.

Saturday, October 28, 2017

Guest Post: Free Speech Leads to Tolerance and Prosperity

by James Devereaux

J.S. Mill was an early advocate for our current view of free speech. He wrote, “If all mankind minus one were of one opinion, and only one person were of the contrary opinion, mankind would be no more justified in silencing that one person than he, if he had the power, would be justified in silencing mankind.”

Such a rule is likely rhetorically supported in many liberal democracies, and beyond as Greg Lukianoff from FIRE notes, however there exist variations to the rule. European countries permit more restriction on speech and have adopted, by convention or individually, some form of prohibition on hate speech, no longer allowing it, unlike the American system. Hate speech as a category has always been difficult to define and is hued in ambiguity, but generally, it limits speech aimed at people based on race, nationality, ethnic origin, religion, sex, and sexual orientation. The United States has advocates intent on including this as a form of unprotected speech, a category which has been previously unrecognized.

Additionally, information from Pew shows a stronger culture of free speech in the United States when compared to other regions, reflecting the few narrow exceptions to free speech legally permitted now.

free speech press freedom internet

Not only is the United States an exception in terms of legal protections for free speech, a product of the First Amendment, but it embraces concepts of free speech to a greater degree than most of the rest of the world. This indicates a culture of free speech which is partially rooted in the legal protections but not solely.

To further illustrate the point that the U.S. is quite exceptional in regards to free speech, consider this survey which found the U.S. at the top of 38 nations.

free expression survey
What we see in the United States is not only a strong legal presumption in favor of speech but strong cultural and political acceptance of free speech as well.

The Consequences Thereof
I suspect John Stuart Mills got it right, or his version is close enough, as a matter of what speech policy yields the best outcomes. Consider this 2016 Pew Survey from their Global Attitudes Survey.

diversity Global Attitudes Survey

Among the polled countries, the U.S. didn’t just come out ahead, it came out far ahead with only seven percent saying that growing diversity makes the U.S. a worse place to live. This is not reported enough, in my opinion, despite the limited use.

At the very least one should be dubious, in light of this contrast, when claims are made that the U.S., unique in its level of speech protection and tolerance, should adopt the European model of speech laws.

The contrast in attitudes regarding tolerance is so stark that even the least tolerant in the United States appears to match more closely with the most tolerant in other countries. Consider the ideological analysis below parsing out how diversity is viewed within similar groups.

ideological right diversity

Though much in society, both the good and bad, is multi-factorial and difficult to parse, it appears that broad protection of free speech either does not impact tolerance or it does not increase intolerance, at least when compared to other regimes (this comparison is limited, and temporal comparisons would help draw a more certain conclusion). This may appear counter-intuitive, but I suspect two things occur that help increase tolerance as people are exposed to various types of speech, including offensive speech. First, they see the consequences of offensive or inappropriate speech and adjust their behavior accordingly. Second, they are exposed to various views and are better able to compare them against the alternatives.

The benefits of speech also extend to economic activity and human welfare. Many have extolled the value of speech in economic growth and human flourishing. From science to the exchange of ideas, to the changing view that commerce should be pursued rather than shunned- as it, as well as finance, were once viewed as second-rate economic activity, the ability to converse has been central to human progress.

Deidre McCloskey argues that rhetoric and dignity help explain the Great Enrichment, the period wherein real income, per head “increased, in the face of a rise in the number of heads, by a factor of seven — by anything from 2,500 to 5,000 percent.” No such event in history compares in terms of human flourishing. That this coincided with a rise of traditional liberal values, free speech included, appears to be more than coincidence.

Here the Great Enrichment is graphically represented from Tyler Cowen and Alex Taborrock’s Principles of Economics.

economic growth GDP per capita

This should amaze you.

That speech is tied to economic development has an intuitive appeal when considering that much of wealth creation is done via communication. From prices to ideas, economic activity is often tied to speech, not only to find benefits but to avoid costs. Whether to find wares, move resources, or spur innovation, speech is crucial to economic growth and prosperity.

Sliding Away From Free Speech
There is a serious concern regarding the future of free speech in the United States. College campuses have become the battlegrounds for much of this cultural battle over how much speech should be permitted. Students and activists on the left and right use the Heckler’s Veto to shut down speech with which they disagree, creating an illiberal turn in our free speech culture.

This attitude appears to be spreading beyond a few activist groups. A 2015 survey found that 40% of Millennials would support bans on certain types of offensive (but currently protected) speech. This in contrast to the, somewhat ironically, low levels of support from the Silent generation, which suggests that about 12% of those polled would support bans on offensive speech.

millennials hate speech

I do want to be careful to not overstep here in concluding too much from this data. First, I think that since the concerns of the time, the so-called topic du jour, changes from one generation to another it seems likely that what once was considered a speech taboo is no longer relevant and no new taboo arose to replace the outdated one for older generations. Combined with other variables such as the perspective of having seen the positive benefits of speech, such as the end to the draft, perhaps attitudes drift towards more speech tolerance as time goes on.

Nonetheless, these illiberal anti-speech attitudes have been confirmed more recently by Brookings, where free speech was shown again to have unusually low support from college-age adults, not only endorsing bans on speech but demonstrating support for heckling and interrupting a speaker with whom you disagree.

Which again turns us to the culture of free speech. Free speech is as much a cultural phenomenon as it is a legal guarantee. Make no mistake, I believe the fact that the United States is foremost in speech protection and tolerance is closely related, a reflecting glass of sorts, where our moments of speech antagony are met with the protections of the First Amendment allowing us to culturally realign with the underlying message and expand tolerance towards each other and diverse, even wrong, ideas.

However, an illiberal cultural development is possible. We have seen it time again with free trade. Despite the overall benefits, we continue to find anti-trade attitudes bubbling up into our politics and policy, pushing away long-term economic development to alleviate the fears that a few may lose employment. Same is true for the Luddites among us who insist that efficiency and prosperity is a poor trade-off for a static employment regime and scarcity, and wage war against automation.

It is to our benefit to remember that speech brings varied, hard-to-replicate benefits to ourselves and society. Recently, the great American classic, To Kill A Mockingbird was banned in a Mississippi school district as the racially tinged language “[made] people uncomfortable.” It is hard to argue this book has not brought net benefits to many, including myself, despite the fact that it may induce discomfort. So it is with speech. Indeed there are downsides, but they are far outweighed by the benefits, which stretch unseen into our relatively prosperous lives.

Reprinted from Medium


James Devereaux is an attorney.  All views are his own and not representative of employers or affiliations.

This article was originally published on FEE.org. Read the original article.




Tuesday, July 26, 2016

From the Archives: Index of Economic Freedom shows global progress for 2015, while USA loses ground

Publisher's note: This article was originally published on Examiner.com on February 2, 2015. The Examiner.com publishing platform was discontinued July 1, 2016, and its web site was scheduled to go dark on or about July 10, 2016.  I am republishing this piece in an effort to preserve it and all my other contributions to Examiner.com since April 6, 2010. It is reposted here without most of the internal links that were in the original.

Index of Economic Freedom shows global progress for 2015, while USA loses ground

For 21 years, the Heritage Foundation and the Wall Street Journal have collaborated to publish the annual Index of Economic Freedom, a list ranking nearly every country in the world on the basis of various criteria like rule of law, regulations, corruption, and openness to investment.

The 2015 Index was released on January 27, and two days later, the Charlottesville Libertarian Examiner spoke by telephone to one of its compilers, Charlotte Florance, who is research associate for economic freedom in Africa and the Middle East at the Heritage Foundation.

In the interview, Florance explained that the Index “scores the metrics in four broad categories for every country in the world,” drawing on statistics gathered by the World Bank and other organizations.

Analytical categories
The four broad categories that the Index uses are, she said, “rule of law, government size, regulatory efficiency, and open markets.”

Those four categories are broken down further into sub-categories.

For instance, Florance explained, rule of law includes “property rights and freedom from corruption. Government size includes fiscal freedom and government spending. Regulatory efficiency includes business freedom, labor freedom, and monetary freedom. And then open markets include trade freedom, investment freedom, and financial freedom.”

This methodology, she continued, “covers a broad spectrum of the economies of countries around the world. Scores in each category are aggregated to create an overall score and then countries are ranked on that score.”

The rankings are then divided up among five additional categories: “free, mostly free, moderately free, mostly unfree, and repressed.”

The “repressed” category, she noted, refers to countries like Venezuela, Cuba, and Zimbabwe, “some of the most closed off economies in the world, with North Korea being the bottom of countries ranked.”

United States is 12
Florance noted that people are surprised to find out that the United States is not in the “free” category, and does not even have one of the ten most free economies in the world.

“The United States is actually twelfth,” she said, “in the mostly free category and it falls behind countries such as Hong Kong, Singapore, New Zealand, Chile, Canada, and even a very small African country, Mauritius.”

That last country, she explained, is “an island but still part of sub-Saharan Africa and it is actually ranked tenth – so a very tiny economy is actually ranked more free than the United States.”

In the past two decades, according to the annual Index of Economic Freedom, the world as a whole has become increasingly free. The United States is something of an exception in that it has become less free.

This year was the first year in seven years, Florance said, in which the United States “was bumped up slightly in its score.” While economic freedom has been declining here in the United States, she said, global economic freedom has been improving.

She cautioned, however, that “there are certain cases around the world where certain authoritarian regimes do certain things that hinder economic freedom.”

Florance noted how it is “a good message that in 21 years of measuring economic freedom, globally it's getting a lot better.”

She pointed to sub-Saharan Africa as “a region where, although you do have the most repressed economies in the world, there has been significant improvement over the past 21 years.”

Africa south of the Sahara, she said, “remains one of the leading regions in overall improvement year after year,” even though, she added, there is “still a lot to be done.”

SUGGESTED LINKS

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Five reasons to be a libertarian
South African author Greg Mills offers solutions to African poverty

Original URL: http://www.examiner.com/article/index-of-economic-freedom-shows-global-progress-for-2015-while-usa-loses-ground