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Economic freedom improves income mobility: evidence from Canadian provinces, 1982–2018.

Authors :
Dean, James
Geloso, Vincent
Source :
Journal of Institutional Economics; Oct2022, Vol. 18 Issue 5, p807-826, 20p
Publication Year :
2022

Abstract

Economic freedom is robustly associated with income growth, but does this association extend to the poorest in a society? In this paper, we employ Canada's longitudinal cohorts of income mobility between 1982 and 2018 to answer this question. We find that economic freedom, as measured by the Fraser Institute's Economic Freedom of North America (EFNA) index, is positively associated with multiple measures of income mobility for people in the lowest income deciles, including (a) absolute income gain; (b) the percentage of people with rising income; and (c) average decile mobility. For the overall population, economic freedom has weaker effects. [ABSTRACT FROM AUTHOR]

Details

Language :
English
ISSN :
17441374
Volume :
18
Issue :
5
Database :
Complementary Index
Journal :
Journal of Institutional Economics
Publication Type :
Academic Journal
Accession number :
159628927
Full Text :
https://doi.org/10.1017/S1744137421000850