Hong Kong ranks first in Economic Freedom 2018 Rankings

Launched in 1995, the Economic Freedom Index by Heritage Foundation, evaluates countries in four broad policy areas that affect economic freedom: rule of law; government size; regulatory efficiency; and open markets. The economic freedom provides a formula for economic progress and success

The top three countries for economic freedom are Hong Kong, Singapore and New Zealand.

Top 10 The Most Free

1. Hong Kong
2. Singapore
3. New Zealand
4. Switzerland
5. Australia
6. Ireland
7. Estonia
8. United Kingdom
9. Canada
10. United Arab Emirates

Bottom 10 – The Least Free

180. North Korea
181. Venezuela
182. Cuba
183. Rep. of Congo
184. Eritrea
185. Equatorial Guinea
186. Zimbabwe
187. Bolivia
188. Algeria
189. Djibouti

There are 12 specific categories: property rights, judicial effectiveness, government integrity, tax burden, government spending, fiscal health, business freedom, labor freedom, monetary freedom, trade freedom, investment freedom, and financial freedom.  Scores in these categories are averaged to create an overall score.

Based on an average score, each of 180 countries graded in the 2018 Index is classified as “free” (i.e., combined scores of 80 or higher); “mostly free” (70-79.9); “moderately free” (60-69.9); “mostly unfree” (50-59.9); or “repressed” (under 50).