This study estimated the influence of economic freedom in transition economies between the years 2000-2012 on economic growth by using panel data analysis. Economic freedom index developed by Fraser Institute was used in the study. The index values prepared by this institute do not cover all economies in transition. In addition, there is missing data for the periods that the study covers in terms of some countries. Thus, the analysis uses the data about 15 economies in transition. The study was conducted within the scope of two different models. In one of these models, the global economic crisis of 2009 was also included. As a conclusion, a negative relationship was found between economic freedom and economic growth when the crisis was not included; however, there was a positive but statistically insignificant relationship when the crisis was taken into consideration.
Relationship between Economic Freedom and Economic Growth in Some Selected Transition Economies: A Panel Data Analysis
