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A reservation economic freedom index

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  • T. Stratmann

    (George Mason University)

Abstract

Several disciplines in social sciences have shown that institutions that promote cooperation facilitate mutually beneficial exchanges and generate prosperity. Drawing on these insights, this paper develops a Reservation Economic Freedom Index that classifies institutions on a sample of Indian reservations concerning whether these intuitions will enhance the prosperity of Indians residing on these reservations. The development of this index is guided by the research of political scientists, economists, other social science disciplines, and research in law. When correlating this index with Indian incomes, the evidence shows a statistically significant positive correlation between reservations with prosperity-enhancing institutions and their economic prosperity.

Suggested Citation

  • T. Stratmann, 2024. "A reservation economic freedom index," Public Choice, Springer, vol. 199(3), pages 213-231, June.
    • Handle: RePEc:kap:pubcho:v:199:y:2024:i:3:d:10.1007_s11127-023-01088-3
    DOI: 10.1007/s11127-023-01088-3
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    References listed on IDEAS

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    1. Peter J. Boettke & Christopher J. Coyne & Peter T. Leeson, 2015. "Institutional stickiness and the New Development Economics," Chapters, in: Laura E. Grube & Virgil Henry Storr (ed.), Culture and Economic Action, chapter 6, pages 123-146, Edward Elgar Publishing.
    2. Terry L. Anderson & Dominic P. Parker, 2008. "Sovereignty, Credible Commitments, and Economic Prosperity on American Indian Reservations," Journal of Law and Economics, University of Chicago Press, vol. 51(4), pages 641-666, November.
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    5. Claudia Williamson, 2009. "Informal institutions rule: institutional arrangements and economic performance," Public Choice, Springer, vol. 139(3), pages 371-387, June.
    6. R. Warren Anderson, 2016. "Native American reservation constitutions," Constitutional Political Economy, Springer, vol. 27(4), pages 377-398, December.
    7. Cornell, Stephen & Kalt, Joseph P., 2000. "Where's the glue? Institutional and cultural foundations of American Indian economic development," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 29(5), pages 443-470.
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