Economic freedom influences economic growth and unemployment: an analysis of the Eurozone

Figures & data

Table 1. Definition of variables, calibration values and descriptive statistics.

Outcomes and conditions^1	Calibration values^2	Abbrev.	Mean	S.D.	Min.	Max.
5-year GDP Growth Rate (%)	(4; 1; 0)	GDPGro	0.82	0.15	0.43	1.00
Unemployment (%)	(16; 7; 4)	Unempl	0.31	0.28	0.01	0.97
Government Integrity	(86.0; 43.7; 19.6)	GovInt	0.71	0.24	0.08	0.97
Tax Burden	(94.8; 77.6; 50.0)	TaxBur	0.29	0.22	0.03	0.69
Business Freedom	(89.5; 64.5; 31.4)	BusFree	0.69	0.23	0.03	0.94
Labour Freedom	(85.3; 59.6; 30.7)	LabFree	0.44	0.28	0.01	0.97

¹ Data source: Index of Economic Freedom (the original name of the indicators remains).

² (full membership; crossover; non-full membership); N = 23; all outcomes and conditions are calculated as the 5-year mean (from 2015 to 2019) of the indicators in the original database.

Source: Authors’ own elaboration.

Table 2. Necessary conditions analysis.

Outcome	GDPGro		∼ Unempl
Conditions	Consistency	Coverage	Consistency	Coverage
GovInt	0.79	0.90	0.83	0.80
∼ TaxBur	0.75	0.86	0.81	0.79
BusFree	0.76	0.90	0.78	0.78
LabFreed	0.53	0.998	0.56	0.90

File: authentic europe 19 ampliada sin ruma hung bulg.csv.

Source: Authors’ own elaboration.

Table 3. Intermediate fsQCA solution: configurations leading to the GDP growth rate.

Sol.	Path	Raw coverage	Unique coverage	Consistency
1	GovInt * ∼TaxBur* BusFree → GDPGro	0.65	0.19	0.92
2	GovtInt * BusFree * LabFree → GDPGro	0.51	0.05	0.998

Solution coverage: 0.70; Solution consistency: 0.93; ∼ = set negated.

Source: Authors’ own elaboration.

Table 4. Intermediate fsQCA solution: configurations leading to full employment.

Sol.	Path	Raw coverage	Unique coverage	Consistency
1	GovInt * ∼TaxBur* BusFree → ∼Unempl	0.69	0.19	0.83
2	GovInt * BusFree * LabFree → ∼Unempl	0.55	0.05	0.92

Solution coverage: 0.74; Solution consistency: 0.84; ∼ = set negated.

Source: Authors’ own elaboration.