Economics: Here's something worthy of public protest: The U.S. isn't even in the top 10 in the world when it comes to economic freedom. That's bad for anyone in this country struggling to make ends meet.
Each year, the Cato Institute puts out a comprehensive ranking of more than 150 countries based on five measures of economic freedom: the size of government, the legal system and property rights, sound money, trade policies, and regulation.
Throughout the 1980s and 1990s, the U.S. ranked in the top 5. By 2008, the country had slipped into sixth place.
But then came the Obama years. His big-spending, tax-hiking, regulating policies were, by his own estimation, supposed to quickly end the recession and drive annual economic growth up to 4%.
Instead, it knocked the U.S. way down on the freedom ranking. In Obama's first year, the U.S. fell from sixth place to 10th. The next year it fell again, to 18th.
The country made some gains on the economic freedom ranking since then, but it still ranks 11th — tied with Canada, but behind Hong Kong, Singapore, New Zealand, Switzerland, Ireland, Australia, even Estonia. The Cato's rankings are for 2015, which is the latest year for which it can get the global data it uses.
According to the report, the U.S. does particularly poorly on the size of government (where it comes in 80th place — down from 43rd in 2008), followed by free trade (63rd) and credit market regulations (44th).
Why does this matter? Because economic freedom and prosperity go hand in hand. The more free a country is, the wealthier, healthier and happier its people are. That's the finding of this and other studies that look at economic liberty, whether it's across nations or among U.S. states.
Cato notes that the freest 20% of nations have an average per capita GDP of $42,463. For the 20% that are least free, per capita GDP averages just over $6,000. Freedom and life expectancy are also linked, as it is to civil liberties and happiness.
Of course, these correlations don't prove causation. But the longer term data show a causal connection as well. Venezuela, to cite one example, went from 48th place on the freedom index in 1990 to dead last in 2015, as a result of the socialist policies imposed by Hugo Chavez and Nicolas Maduro. The once relatively prosperous Venezuelans now suffer chronic deprivation.
The U.S. is another example. The 1980s and 1990s were not only periods of great economic freedom, but strong growth and prosperity, across the board.
Under Obama, however, annual GDP growth never reach 3% for his entire eight years.
President Trump may have already made some inroads in boosting economic freedom since taking office in January, by cutting regulations as much as possible. Now he's proposing to sharply cut taxes, most importantly corporate income taxes. (His protectionist impulses, however, would work against those gains, to the extent that he pursues them.)
Various economists have been arguing that the days of 3% annual GDP growth are behind us. That might be true, but only because it's hard to run when you're carrying a millstone around your neck.
Increase freedom and the economy will get up on its feet and take off. Guaranteed.
Maybe pro football players can make the case for that during their pregame ceremonies.