United States drops drastically in Economic Freedom of the World Index

The United States has experienced a drastic decline in economic freedom from 2000 to 2010 according to report released Tuesday by libertarian think tank the Cato Institute.

The Economic Freedom of the World Index report, which is based on data from 2010, states the U.S. reached an all-time low in economic freedom in 2010, ranking 19 out of the 144 nations studied. In 2000, the U.S. was ranked second, but slid down during the economic recession and George W. Bush’s two terms as president, placing eighth in 2005 and twelfth in 2009. The U.S. continued to drop in status throughout President Barack Obama’s first year in office, dropping six spots in one year to 18 in 2010, which is the last year data is currently available for.

This is the lowest the U.S. has ranked in the report since Cato first began publishing it in 1996. According to the report’s executive summary, the index “measures the degree to which the policies and institutions of countries are supportive of economic freedom” and is based on the work of famed economist Milton Friedman.

“It is a travesty that our country is spiraling away from the principles that have made us an economic beacon for the world,” said Tim Phillips, president of economic freedom advocacy organization Americans for Prosperity , in a press release.  ”This report shows what many fiscal conservatives have known all along, that our long term growth is being threatened because big-government economic policies have grown the size of government, increased regulation and are now reducing our economic freedom and future prosperity.”

The average country scored 6.83 on a scale of one to 10 in 2010, up from 6.79 in 2009, but the 2012 report reveals that many first-world countries have struggled with how to respond to the global economic recession while maintaing economic freedom domestically. Since Obama took office in 2009, the U.S. had its largest single drop in the standings, scoring 7.69 in 2010 versus 7.71 in 2009.

Little known countries such as Bahrain and Mauritius ranked higher than the U.S. in 2010, while Hong Kong has retained the top spot in the world standings. Singapore, New Zealand, Switzerland and Australia are also among the top five. Surprising, nearly every first-world country scored worse than one would expect of a modern democracy in 2010, with the United Kingdom ranking 12, Japan 20, Germany 31 and Italy, 83. Perhaps less surprisingly was that France ranked 47, Russia 95 and China 107.

Clearly, drastic changes need to occur in U.S. economic policy to cease this downward trend. However, with Congress at a stalemate and the future of the elected officials in the legislative and executive branches currently uncertain, positive changes are not likely to occur this year.

Comments

Polititainment

Celebs gin up youth votes for midterms
THE HILL – With young voters more apathetic about voting and government than ever, several organizations are trying to woo the “selfie generation” to the polls this fall. “About half of those who vote in presidential elections do not vote in midterms,” explained Andy Bernstein, executive director of HeadCount, a non-partisan organization that partners with musicians […]
Maher to Cheney: light yourself on fire

As Hunter S. Thompson despised Richard Nixon with every drug-influenced fiber of his being, so Bill Maher carries on the torch for media provocateurs.

Colbert announces plan to defeat ISIS
President Barack Obama might not have a strategy for defeating ISIS in Syria, but never fear,  comedian Stephen Colbert has him covered. Colbert announced a unique plan Thursday night that involves raising Ronald Reagan from the grave, a captive radio audience and Monty Python-esque horse sound effects. “Remember in 1938 the radio broadcast of ‘War […]
Brand: ISIS better than conservatives
Actor Russell Brand took to Youtube Wednesday to compare terrorist group ISIS to conservatives, eventually coming to the conclusion that conservatives in power were worse than ISIS. Brand was recording yet another video aimed at attacking Fox News when he made the statements about ISIS. He was responding to Fox host Greg Gutfeld’s comments about Brand’s […]
Biden congratulates 'Veep' on Emmy win
From one Vice President to another… Vice President Joe Biden took to Twitter Tuesday to congratulate actress Julia Louis-Dreyfus on her Emmy win. Louis-Dreyfus snagged her third consecutive Outstanding Actress in a Comedy series win Monday for her portrayal of a fictional vice president on HBO’s “Veep.” Last year, the VP picked up the phone […]

White House

White House scrambles to control the fallout from Obama’s ‘We don’t have a strategy yet’ comment
It’s hard to imagine that there was any other reaction than full panic from White House staffers after President Obama uttered a fateful gaffe Thursday afternoon, “We don’t have a strategy yet.” The line quickly exploded on Twitter and on television — though not quite as much as the president’s tan suit — as it […]
GOP: ‘He’s not a king’
THE HILL – Whether lamenting the so-called vacationer-in-chief’s swing of a golf club or criticizing his handling of the healthcare rollout, Republicans are getting in the habit of comparing President Obama to a monarch. “It’s one thing after another. You know he says he has no choice but to act. He says he has a pen […]
Obama’s Democratic fundraising just might ruin Labor Day weekend for the rest of us

Barely having returned from a 15-day vacation on Martha's Vineyard, Massachusetts, Obama will spend is Labor Day weekend traveling to support his Democratic friends. The problem is, this means that Americans planning to take seaplanes to East Hampton, Montauk, Martha's Vineyard or Nantucket won't be able to travel themselves.

White House flirt Joe Biden turns on the charm for 108-year-old veteran Lucy Coffey

Joe Biden continues to brand himself the White House flirt. In a recently released video of Biden's July 25 meeting with Lucy Coffee, the vice president kisses the 108-year-old war veteran on the cheek and hand and tells her, "I'm the guy that loves you."

Congress

Cruz highlights issues for 2014, 2016 elections
Sen. Ted Cruz (R-Texas) elicited huge cheers from the audience at the Americans For Prosperity’s “Defending the American Dream Summit” Saturday when he vowed Republicans would take back control of the U.S. Senate and “retire” Senate Majority Leader Harry Reid. “I’m convinced we’re going to win in 2014 and 2016 is going to be even better,” […]
IRS says Lerner's Blackberry 'destroyed'

A senior IRS lawyer has said in a sworn declaration that Lois Lerner's BlackBerry was intentionally destroyed after Congress had begun to investigate her involvement in IRS targeting of conservative groups.

Youth impact reason enough to pass jobs bills
The U.S. House Committee on Ways and Means is in the midst of releasing 40 reasons over the course of 40 days that the Senate should take up the 40 jobs bills the House has already passed. While most of their reasons have focused on general unemployment and economic growth statistics, they turned their attention […]
UNEARTHED: Archival footage of Harry Reid smiling

From appearances, Senate Majority Leader Harry Reid derives little pleasure from his job, perhaps a deputy to the paragon of joylessness. But Red Alert Politics has dug into the archives to demonstrate that it wasn't always like this.

Rubio: Obama action would kill immigration reform
Sen. Marco Rubio (R-Fla.) is urging President Barack Obama to forego taking executive action on immigration, warning that would kill any chance for comprehensive immigration reform. “If indeed you move forward on such a decision, I believe it will close the door to any chance of making progress on immigration reform for the foreseeable future,” […]