Asked by Katelyn Goodridge on Jul 05, 2024
Verified
Which of the following variables of economic freedom index in the Heritage Foundation determines the degree of regulatory efficiency in a country?
A) Labor freedom
B) Trade freedom
C) Investment freedom
D) Financial freedom
Economic Freedom Index
A measure of the ease of conducting business in a country, based on factors like trade freedom, investment freedom, and property rights.
Regulatory Efficiency
The effectiveness and efficiency with which regulations are designed and implemented, minimizing costs and burdens to businesses while accomplishing regulatory goals.
Investment Freedom
Investment freedom refers to the ease with which individuals and corporations can move their resources into and out of a country's financial market without encountering barriers or restrictions.
- Acquire knowledge about what drives the economic independence of countries.
Verified Answer
CA
Cameron AdamsJul 10, 2024
Final Answer :
A
Explanation :
Labor freedom is a measure of the efficiency of labor regulations, including aspects like minimum wages, laws inhibiting layoffs, severance requirements, and measurable regulatory restraints on hiring and hours worked. It directly impacts the regulatory efficiency in a country by determining how freely labor markets operate.
Learning Objectives
- Acquire knowledge about what drives the economic independence of countries.