Each year, the Index of Economic Freedom shows that economies and people are better off when trade is free and open. The correlations between free and open trade and healthy natural environments, higher GDP, political tranquility, and food security are undeniable. To improve their trade-freedom scores, countries should lower their domestic barriers to trade by eliminating tariffs and nontariff barriers. Eliminating tariffs gives the greatest boost to trade freedom, but entering into free trade agreements with other countries can also lower barriers. It is crucial that these agreements truly promote free trade rather than just manage trade flows through burdensome regulations. Countries must also remain dedicated to their World Trade Organization commitments while they seek reform of the organization.
To read the full report from The Heritage Foundation, please click here.