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While pro‐market economic institutions are a strong and causal predictor of economic development, such institutions are not expected to have the same impact across countries. Furthermore, there are actually a few instances where countries that enacted market‐friendly reforms had negative economic growth soon after. Examining 49 cases of large and sustained increases in economic freedom over a five year window, we find 10 cases that were followed by low/negative economic growth thereafter. We consider various potential determinants of failed reforms by comparing different measures between the successful and failed reforming countries. Our strongest evidence points to the following as plausible reasons for failed reforms: culture (high levels of power distance, low levels of individualism, and low levels of generalized trust), areas of economic freedom that countries reformed (less focus on sound monetary policy, more focus on limiting the size of government, and more variance between the five areas), and autocratic political institutions. [ABSTRACT FROM AUTHOR]

We examine the effect of a place-based policy in China, the Northeastern Revitalization Program. In 2003 the State Council of the People's Republic of China initiated the program in northeastern China by removing an agricultural tax, enhancing the urban social security system, facilitating foreign investment, and restructuring state-owned enterprises in the region. Using the synthetic control method, we find that the program had no significant effect on GDP per capita in all three regions. Liaoning had slightly worse GDP per capita post-treatment, as did Heilongjiang (albeit to a lesser extent). While the multiple synthetic control analysis shows that economic outcomes were worse post-treatment, the impact of this program was heterogeneous across the three regions. We argue the lackluster performance likely comes from the continuing dominance of inefficient state-owned enterprises in the provinces. [ABSTRACT FROM AUTHOR]

Although there is substantial agreement how microeconomic forces—income, risk aversion—shape public health outcomes, there is substantial disagreement about the relationship between macroeconomic forces—market liberalization and economic freedom—on public health. In this paper, we investigate the relationship between public health, economic freedom, and wealth using a large sample of metropolitan‐level data from the United States. We find that economic freedom does have a statistically significant and positive impact on general, physical, and mental health, but the overall results are small in magnitude. When we disaggregate the three areas of economic freedom, we find that areas with lower government spending and freer labor markets have the strongest positive effect on physical and mental health. However, our results are strongest for the richest group of respondents, suggesting that the economic freedom‐health relationship is perhaps indirect, and shown through income. [ABSTRACT FROM AUTHOR]

The Xinjiang Uyghur Autonomous Region (XUAR) has recently experienced a series of policies seeking economic development and intensive methods of social coercion. A unique leader, Chen Quanguo, brought these changes to the XUAR in 2016. This paper seeks to examine the effects of Chen's regime. We specifically examine three outcomes: GDP per capita, arrest rates, and spending on public security. Using the synthetic control method, we find that Chen's regime had no significant effect on the development. However, his policies led to much higher rates of arrest and larger spending on public security. [ABSTRACT FROM AUTHOR]

Numerous studies have found that income inequality reduces the chances of upward relative mobility (i.e., climbing up the income ladder). However, most of this work ignores the role played by institutional quality (namely, economic freedom) in determining mobility and increasing the individual's set of choices. We fill this gap by empirically testing the direct and indirect (through economic growth) impacts of economic freedom on intergenerational income mobility. We find that economic freedom has both direct and indirect effects on intergenerational income mobility, while income inequality is a strong predictor of downward income mobility. When we incorporate findings about the purely mechanical relationship between inequality and intergeneration income mobility, we find that the legal system and property rights component of economic freedom matters more than inequality. These results suggest that good institutions can increase intergenerational income mobility. [ABSTRACT FROM AUTHOR]