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Ever freer union: The association between EU membership and economic freedom
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
2016 (English)Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
Abstract [en]

This paper studies the association between membership in the European Union and economic freedom. A country is economically free when there are stable judicial and political institutions and limited governmental interference in markets. The association is studied with a fixed effects model which in different specifications controls for country fixed effects, year fixed effects and country specific trends along with other variables. We find a statistically and economically significant association between EU membership and average economic freedom in most specifications of our model. In the preferred specification, EU membership is found to have a positive association with the areas of Sound Money and Freedom to Trade Internationally but no clear association with Size of Government, Legal System and Property Rights and Regulation.

Place, publisher, year, edition, pages
2016.
Keyword [en]
Economic freedom, European Union, Institutions
National Category
Economics
Identifiers
URN: urn:nbn:se:uu:diva-297510OAI: oai:DiVA.org:uu-297510DiVA: diva2:942147
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Available from: 2016-06-23 Created: 2016-06-23 Last updated: 2016-06-23Bibliographically approved

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