Denmark one of the most economically free nations in the world
Denmark is ranked 14th in the world when it comes to being economically free, according to the ’Economic Freedom of the World’ index by the Fraser Institute.
The index, which is created by a number of experts – including the Nobel prize winners Milton Friedman, Gary Becker and Douglas North – scored Denmark just ahead of Taiwan (15), the US (17) and Germany (19).
"Denmark is strong when it comes to economic freedom," Martin Kyed, a consultant at the think-tank CEPOS, said in a press release.
"It may surprise some people that we score higher in economic freedom than the USA, and that's despite our huge public sector dragging it down considerably."
Public sector a drag
The size of Denmark's public sector hampers Denmark in the rankings. The Danes are ranked 145th out of 152 in this area – public spending, public transactions and high taxes particularly take their toll on the Danish position in the index.
Kyed highlighted several positives, including Danish society being based on a free and open market economy, a healthy financial system, limited general business regulation and a solid judicial system that respects property ownership.
Hong Kong finished top of the index, followed by Singapore, New Zealand, Switzerland and the United Arab Emirates, while Mauritius, Finland, Canada, Bahrain and Australia rounded up the top ten.