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Economic Freedom in Sweden 1950-2002

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Abstract

The Economic Freedom of the World Index (EFI) is presently available for the years 1970-2002 for Sweden. In this paper I present Swedish Economic Freedom Index (SEFI), an attempt to create a corresponding index for the period 1950-70. By combining EFI and SEFI, it is possible to see the changes in the economic freedom in Sweden for the longer period 1950-2002. On an aggregate level, the economic freedom seems to have been fairly constant 1950-80, then increasing somewhat 1980-95, but seems to have been falling slightly since 1995. The overall level is, however, rather moderate. The most conspicuous decline in economic freedom during the period is related to the size of government and it’s growth. A certain amount of stabilization has occurred in this area, but the overall level is still considerably lower than the already moderate level of 1950. The decline in economic freedom since 1995 is also associated with infringements of the freedom to exchange with foreigners. Only in one case has the economic freedom been increasing considerably from an earlier low level of economic freedom, namely when it comes to the less restricted foreign capital market exchange (i.e. possibilities to own foreign currencies, at home and abroad).

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  • Johnsson, Richard, 2004. "Economic Freedom in Sweden 1950-2002," Ratio Working Papers 55, The Ratio Institute.
    • Handle: RePEc:hhs:ratioi:0055
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    1. Johnsson, Richard, 2004. "Taxation and Domestic Free Trade," Ratio Working Papers 40, The Ratio Institute, revised 07 Jun 2004.
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      Keywords

      Economic freedom; Freedom index; Sweden;
      All these keywords.

      JEL classification:

      • E60 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - General
      • H10 - Public Economics - - Structure and Scope of Government - - - General
      • N10 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - General, International, or Comparative
      • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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