Economic Freedom of the World
economic-freedom-of-the-world-2016
economic-freedom-of-the-world-2016
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South Africa<br />
Chapter 2: Country Data Tables • 161<br />
1980 1990 2000 2005 2010 2013 2014<br />
Rating (Rank) Rating (Rank) Rating (Rank) Rating (Rank) Rating (Rank) Rating (Rank) Rating (Rank)<br />
Summary Ratings (Rank) 5.84 (32) 5.56 (55) 7.08 (42) 6.87 (71) 6.73 (87) 6.74 (93) 6.64 (105)<br />
Rating (Data) Rating (Data) Rating (Data) Rating (Data) Rating (Data) Rating (Data) Rating (Data)<br />
Area 1. Size <strong>of</strong> Government 5.97 6.32 6.45 5.99 5.60 5.55 5.54<br />
A. Government consumption 5.61 (20.94) 4.46 (24.83) 5.17 (22.42) 4.76 (23.83) 4.26 (25.50) 4.41 (25.00) 4.37 (25.13)<br />
B. Transfers and subsidies 9.26 (3.20) 8.83 (4.80) 8.62 (5.55) 8.69 (5.31) 8.62 (5.57) 8.30 (6.74) 8.30 (6.74)<br />
C. Government enterprises and investment 7.00 (24.60) 7.00 (20.30) 8.00 (17.80) 6.00 (25.60) 4.00 (35.50) 4.00 (34.90) 4.00 (36.34)<br />
D. Top marginal tax rate 2.00 5.00 4.00 4.50 5.50 5.50 5.50<br />
(i) Top marginal income tax rate 2.00 (60) 5.00 (45) 4.00 (45) 5.00 (40) 6.00 (40) 6.00 (40) 6.00 (40)<br />
(ii) Top marginal income and payroll tax rate 5.00 (45) 4.00 (45) 4.00 (41) 5.00 (41) 5.00 (41) 5.00 (41)<br />
Area 2. Legal System and Property Rights 6.18 2.93 6.54 5.87 5.70 5.81 5.79<br />
A. Judicial independence 7.18 7.63 6.62 7.40 7.41<br />
B. Impartial courts 8.02 7.62 6.46 6.76 6.89<br />
C. Protection <strong>of</strong> property rights 5.82 7.97 7.15 7.67 7.45<br />
D. Military interference in rule <strong>of</strong> law and politics 8.33 8.33 8.33 8.33 8.33<br />
E. Integrity <strong>of</strong> <strong>the</strong> legal system 3.33 4.17 4.17 3.33 3.33<br />
F. Legal enforcement <strong>of</strong> contracts 3.93 3.93 3.93 3.93<br />
G. Regulatory costs <strong>of</strong> <strong>the</strong> sale <strong>of</strong> real property 6.64 7.72 7.53 7.46<br />
H. Reliability <strong>of</strong> police 3.88 4.38 4.39 4.39<br />
I. Business costs <strong>of</strong> crime 2.70 2.52 2.92 2.95<br />
Area 3. Sound Money 5.29 5.81 7.85 7.98 8.18 8.17 8.04<br />
A. Money growth 7.86 (10.69) 6.75 (16.24) 7.87 (10.66) 8.60 (6.98) 9.22 (3.90) 8.83 (5.85) 8.93 (5.33)<br />
B. Standard deviation <strong>of</strong> inflation 8.12 (4.71) 9.49 (1.27) 9.60 (0.99) 9.01 (2.48) 9.37 (1.57) 9.52 (1.20) 9.49 (1.28)<br />
C. Inflation: most recent year 5.18 (24.12) 6.98 (15.09) 8.93 (5.34) 9.32 (3.40) 9.15 (4.27) 9.34 (3.31) 8.72 (6.38)<br />
D. <strong>Freedom</strong> to own foreign currency bank accounts 0.00 0.00 5.00 5.00 5.00 5.00 5.00<br />
Area 4. <strong>Freedom</strong> to Trade Internationally 6.49 6.22 7.35 7.04 6.97 7.04 6.71<br />
A. Tariffs 8.66 7.27 7.74 6.84 6.84 6.96 7.30<br />
(i) Revenue from trade taxes (% <strong>of</strong> trade sector) 9.20 (1.20) 8.53 (2.20) 9.01 (1.48) 8.59 (2.11) 8.79 (1.82) 8.71 (1.94) 8.71 (1.94)<br />
(ii) Mean tariff rate 8.12 (9.40) 7.80 (11.00) 9.01 (1.48) 8.30 (8.50) 8.46 (7.70) 8.48 (7.60) 8.48 (7.60)<br />
(iii) Standard deviation <strong>of</strong> tariff rates 5.48 (11.30) 5.92 (10.20) 3.63 (15.92) 3.29 (16.79) 3.71 (15.73) 4.71 (13.22)<br />
B. Regulatory trade barriers 7.56 6.07 5.89 6.88 4.94<br />
(i) Non-tariff trade barriers 6.62 6.67 6.13 6.25 6.22<br />
(ii) Compliance cost <strong>of</strong> importing and exporting 8.50 5.46 5.65 7.51 3.66<br />
C. Black-market exchange rates 8.80 9.40 10.00 10.00 10.00 10.00 10.00<br />
D. Controls <strong>of</strong> <strong>the</strong> movement <strong>of</strong> capital and people 2.00 2.00 4.12 5.25 5.16 4.31 4.60<br />
(i) Foreign ownership/investment restrictions 7.46 6.97 6.73 5.87 6.73<br />
(ii) Capital controls 2.00 2.00 0.77 0.77 0.77 0.77 0.77<br />
(iii) <strong>Freedom</strong> <strong>of</strong> foreigners to visit 8.00 7.97 6.29 6.29<br />
Area 5. Regulation 5.30 6.50 7.20 7.47 7.20 7.15 7.11<br />
A. Credit Market regulations 7.48 9.07 9.61 9.96 9.27 8.95 9.08<br />
(i) Ownership <strong>of</strong> banks 10.00 10.00 10.00 10.00 10.00 10.00 10.00<br />
(ii) Private sector credit 8.43 9.22 8.82 9.88 7.80 6.84 7.25<br />
(iii) Interest rate controls (negative real interest rates) 4.00 8.00 10.00 10.00 10.00 10.00 10.00<br />
B. Labor Market regulations 3.92 5.47 6.06 6.09 6.07 6.37<br />
(i) Hiring regulations and minimum wage 4.61 4.40 4.43 5.57 5.57<br />
(ii) Hiring and firing regulations 5.55 2.05 2.36 2.46 1.80 2.48<br />
(iii) Centralized collective bargaining 6.21 4.52 3.84 3.39 2.79 3.87<br />
(iv) Hours regulations 6.18 8.00 8.00 8.00 8.00<br />
(v) Mandated cost <strong>of</strong> worker dismissal 7.78 8.27 8.27 8.27<br />
(vi) Conscription 0.00 0.00 10.00 10.00 10.00 10.00 10.00<br />
C. Business regulations 6.53 6.38 6.23 6.44 5.89<br />
(i) Administrative requirements 6.92 3.29 2.88 3.05 3.15<br />
(ii) Bureaucracy costs 6.53 4.55 3.11 3.11 3.11<br />
(iii) Starting a business 5.88 8.81 9.39 9.39 8.52<br />
(iv) Extra payments/bribes/favoritism 6.77 7.54 5.46 5.32 4.20<br />
(v) Licensing restrictions 8.02 8.81 10.00 8.62<br />
(vi) Cost <strong>of</strong> tax compliance 6.08 7.76 7.76 7.76<br />
www.free<strong>the</strong>world.com • www.fraserinstitute.org • Fraser Institute ©2016
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