Which of the following are used to calculate economic freedom of a country? Options: A . &nbspGross domestic product, Regulatory Efficiency, Market Openness, Foreign Direct Investment B . &nbspRule of Law, Regulatory Efficiency, Market Openness, Government Size C . &nbspRule of Law, Inflation, Gross domestic product growth rate, Government Size D . &nbspRule of Law, Regulatory Efficiency, Inflation, Foreign Direct Investment

Which of the following are used to calculate economic freedom of a country?

Question

Which of the following are used to calculate economic freedom of a country?

Options:

A . Gross domestic product, Regulatory Efficiency, Market Openness, Foreign Direct Investment

B . Rule of Law, Regulatory Efficiency, Market Openness, Government Size

C . Rule of Law, Inflation, Gross domestic product growth rate, Government Size

D . Rule of Law, Regulatory Efficiency, Inflation, Foreign Direct Investment

Answer: Option D
Answer: (d)
The economic freedom of a country is calculated using the Economic Freedom Index that focuses on four key aspects of the economic environment over which governments typically exercise policy control:
Rule of law (property rights, freedom from corruption);
Government size (fiscal freedom, government spending);
Regulatory efficiency (business freedom, labour freedom, monetary freedom); and
Market openness (trade freedom, investment freedom, financial freedom).

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