Economic Theory and Economic Progress

The Heritage Foundation ranks 180 countries from the “Freest” (Hong Kong is #1 as freest though they
currently face challenges from China) to “Repressed” (North Korea is #180 as most repressed) The United
States is ranked 12 as “mostly free.” Your text uses “free market” and “state-directed” in a similar analysis.
Thread 1:
The type of economic system a nation has is the result of the culture in that nation. The systems change as the
culture evolves and different social and economic issues arise. Is a free-market system or a state controlled
system the better choice to solve both economic prosperity issues as well as social issues?
Thread 2:
Are there economic and social problems in the United States that could be reduced with a slight move to more
state control? The key word is “slight move” which would move the country closer to a country like Denmark
which Heritage ranks as #14.

Sample Solution