ECONOMIC FREEDOM AND ECONOMIC PERFORMANCE IN FORMER SOCIALIST COUNTRIES - PANEL APPROACH

Abstract

In this paper we will present the
results of our survey on Economic Freedom, and
impact of its individual categories on economic growth
in former socialist countries which have joined the
European Union (Bulgaria, Croatia, Czech Republic,
Estonia, Hungary, Latvia, Lithuania, Poland,
Romania, Slovak Republic and Slovenia). To measure
economic freedom we will use The Index of Economic
Freedom published by the Heritage Foundation in
cooperation with the Wall Street Journal. We find that
economic freedom has a positive, but statistically
insignificant impact on economic performance. Our
result also indicates that individual categories of the
Economic Freedom have a different impact on
economic performance.