YEREVAN (A.W.)—Armenia ranked 39 out of 184 countries in the Index of Economic Freedom, an annual guide published by the Wall Street Journal and the Heritage Foundation. The index is meant to measure the potential economic success of countries.
Armenia’s overall score of 68.8 placed it in the moderately free category, along with Georgia and Turkey. The country scored 87.8 (out of 100) in business freedom; 85.4 in trade freedom; 89.3 in fiscal freedom, 74.9 in government spending; 73.1 in monetary freedom; 75 in investment freedom; 70 in financial freedom; and 76 in labor freedom. Armenia scored poorly in property rights (30, and in freedom from corruption (26).
Armenia’s 2012 score was slightly lower than its 2011 score of 69.7. Its score went up in business freedom, but fell in fiscal freedom (from 89.2 in 2011 to 89.3 in 2012), government spending (85.7 to 74.9), and monetary freedom (76 to 73.1).
Neighboring Georgia ranked 34 with a score of 69.4. Georgia scored especially well in labor freedom (92.1). Its scores were weak in property rights (40) and freedom from corruption (38).
Turkey ranked 73, with a score of 62.5. Its lowest scores were in property rights (50), freedom from corruption (44), and labor freedom (40).
Azerbaijan fell under the “Mostly Unfree” category, with its 58.9 score that ranked it 91. Like Armenia, Azerbaijan, too, scored poorly in property rights (20) and in freedom from corruption (24).
The index is based on economist Adam Smith’s theories, laid out in The Wealth of Nations (1776). The 10 components measured by the Heritage Foundation are indicative of freedom in four general areas: Rule of Law (property rights, freedom from corruption); Limited Government (fiscal freedom, government spending); Regulatory Efficiency (business freedom, labor freedom, monetary freedom); and Open Markets (trade freedom, investment freedom, financial freedom).
We Armenians need to learn to disregard these subjective at best or politically motivated at worst “studies”, “ratings”, “rankings”, “polls” and “survey” and simply concentrate on learning how to be proactive in nation-building in Armenia.
We Armenians need to learn to appreciate these objective and independent rankings that demonstrate our success in nation-building.
Mr. Dourgarian do you also appreciate the “objective and independent” ranking of Forbes magazine that somehow managed to determine that Armenia allegedly has the 2nd worst economy in the world ?
Just above Madagascar (the worst) ?
For reference: (CIA Factbook)
Madagascar: GDP – per capita (PPP): $900 (2010 est.)
Armenia: GDP – per capita (PPP): $5,700 (2010 est.)
Georgia: GDP – per capita (PPP): $4,900 (2010 est.)
Very few, if any, of these rankings are objective or independent.
Most, if not all, have ulterior motives. (ill motives vis-a-vis countries like RoA)
For every one bone the Anglo-American-Zionist global establishment throws at us Armenians… they throw ten piles of dung as well. And our self-destructive peasantry enthusiastically feasts on the dung. Forget their politically-motivated and self-serving ratings and standards and concentrate on nation-building in Armenia. Armenia is going through a lot of natural growing pains, it is our responsibility as its children to be understanding, positive, constructive and patient.
Bravo Harutik and Avery!
I won’t defend the specific findings of Forbes. Armenia and Armenians on the wrong side of their energy, aerospace, defense and infrastructure advertisers.
However, Baron Dourgarian has a point. There is no rule of law, the government is
Corrupt, etc. etc.
Avery, the Forbes ranking has received its deserved drubbing elsewhere, and personally I find the magazine a Cosmo for junior managers. So yes you’re right to view with skepticism trolling of any kind including country ratings.
However, the overall ranking by Heritage fits in with my experience having lived or visited several dozen of the countries in the top 50. Not yours?
Mr. Dourgarian:
Part1 [Heritage]
I was not stating whether I agree or disagree with the ranking. I was and am stating that the list was created using subjective, not objective, criteria.
I am familiar with the Heritage Foundation and their biases. (maybe grist for another post)
Allow me to demonstrate how absurd and subjective the Heritage Freedom index is:
To remove my pro-Armenian bias, I will use other countries.
(PPP figures from CIA Factbook)
(Lower number on Heritage list is Better)
http://www.heritage.org/index/ranking
#75 Heritage – Madagascar (yep, the same Madagascar that Forbes says is #1 Worst Economy in the World).
GDP – per capita (PPP): $900 (2010 est.)
#84 Heritage – Ghana
GDP – per capita (PPP): $2,500 (2010 est.)
#90 Heritage – Lebanon (last in the Moderately Free group)
GDP – per capita (PPP): $14,400 (2010 est.)
So let me ask a subjective question to all Armenians: if you had a choice between Madagascar and Lebanon as a destination for immigration (only those 2), where would you choose to go ? You say Lebanon is unfair because of large Armenian community ? OK try Madagascar vs Belize (#77).
(Don’t rely on PPP alone: check the other quality-of-life metrics as well, such as Physicians per 1000, Infant Mortality rates, etc)
Note: Mr. Dourgarian – please do not take my Replies as directed against
you personally. Just an opportunity for me to counter rife Anti-Armenian
and Anti-Armenia disinformation in the blogosphere (not by you).
We all want what’s best for RoA and Artsakh.
Mr. Dourgarian:
Part2 [Forbes]
Your personal opinion of Forbes may be that of Cosmo for junior managers. However Forbes magazine is one of the flagship magazines and advocates of American capitalism (Barron’s, Fortune, are others). Steve Forbes was considered a serious US presidential candidate. Steve Forbes is a prominent talking head on many serious financial discussions. His Flat Tax proposals are taken seriously. So I am not sure about the Cosmopolitan comparison.
The Forbes 400 List is not considered equivalent to Cosmo’s list of “400 ways to spice up your sex life” (I made that up).
And I have not seen any public drubbing of Forbes’ hit-piece.
Maybe there are, but haven’t seen any.
All I have seen is parroting of the Forbes disinformation, even by Armenian news sites, [here: http://news.am/eng/news/66915.html ]
and at best lame attempts to explain it.
[here: http://news.am/eng/news/67124.html ]
How about attacking it head on, by citing CIA Factbook figures like I did ?
Because Forbes carries weight. They are a serious magazine. So they can slip in a hit-piece every so often, and it will not be questioned.
Uninformed RoA authority figures will reflexively go on the defensive.
How about going on the offensive ? Why not ask:
“How come our next door neighbor Georgia that has lower Per Capita GDP (PPP) than Armenia is not on the list but we are ?”
“How come Ukraine with a PPP $6,700 (2010 est.) is on the list, but Georgia with a PPP of $4,900 (2010 est.) isn’t ?”
Answer:
Because Georgia is a Neocon West darling: it has to be propped up as a shining example of Western orientation for the other post-Soviet republics to follow.
Armenia is not under the control of the Neocon West: so it has to be demonized, to make them change their errant ways.
Same with Ukraine: the Neocon engineered Orange Revolution failed: Ukraine is returning to Russia’s orbit; can’t have that. Start demonizing Ukraine also.
So manufacture some subjective metric of Economy, mix in some other inconsequential countries not to make your agenda too obvious, use a prestigious US Magazine to plant the meme – and voila.
Even Armenia’s own gullible government types swallow it hook line and sinker.
Forbes is idealogical and sucks. The EVI does not appear as extreme as Forbe’s evaluation. I went over the evaluation and found it to be close to my impressions of Armenia based on the news and my visits to Armenia.
Some people just can’t seem to handle reading negative sounding evaluations of Armenia.
In the end though, such evaluations and indexes are an afterthought is not necessary in motivating us to help improve Armenia. Many of us follow the news and have connections in Armenia, from which we can develop a view of the situation in Armenia.
Only unity of Armenian of the world will make Armenia stronger and better for out future generation!!
Greg, your experience living in those countries is just that, your experience and hence subjective.
Hey Guys,
Please stop bickering and being insolent to each other. Nothing is really gained.
Look at the positive side. After a relatively short period of independence, Armenia is ranked 39th out of 184.Simply put, there are 145 countries rated lower than Armenia, and 38 better. In my humble view that is not a shabby record. Can we do better, most definitely.
Armenia’s lowest score, which is affectng the overall rating is sadly “corruption”. This unfortunately is a factual reality in Armenia and not the machinations of the foreign biased press, or the politically motivated studies by some mysterious anti-Armenian organization. To improve, and to make progress, we cannot merely be emotional and reject, or find excuses for the shortcomimgs.
I am confident that with the growing pains and the maturity of the electorate in Armenia, corrupt officials will be voted out, or forced out. We need to be supportive of our Fatherland, and provide all the support we can give, morally and financially to the organizations in Armenia that are attempting to enlighten the electorate and rout out corruption(Primarily the remnants of the communist regine). It will take time, but it will happen. Have faith in the Armenian spirit and be a bit patient.
Vart Adjemian
Here’s something even more subjective: Aronian the greatest chess player ever is leading the TATA Steel Chess Tournament. http://www.tatasteelchess.com/tournament/standings/year/2012/group/1
Go Armenia!