Sierra LeoneGlobal Capitalism Index Released
The University of Virginia has published a first-in-kind data set offering insights into capitalism conditions in every country. The index shows a global reduction in capitalist conditions over the past 16 years.
Global Newsflix 2 min read
The University of Virginia has published the Global Capitalism Index, a data set that measures capitalism on a global basis. The index was assembled from more than 200 data sets across eight key pillars.
The data shows a global incremental reduction in capitalist conditions over the past 16 years, from 2009 to 2025. The index will be updated annually.
Regional divergences are widening, with improvements in Central Asia and declines in Latin America and Western Europe. Capital markets and banking are the weakest universal pillars across all countries.
Property rights are the most differentiating feature. Case studies of key economies, such as China, Germany, and India, paint nuanced pictures of notable recent country-level changes.
Scott Miller, Assistant Professor of Business Administration at Darden, said the index can have real-world implications for policymakers and business leaders. Miller is the lead author on the project.
The index makes it easier for individual countries to identify what conditions are conducive to capitalism and which are not. Using China as an example, the index provides insights into the country's capitalist conditions.
The Global Capitalism Index was rigorously assembled by an interdisciplinary cohort of researchers led by the Karsh Institute of Democracy's Democracy and Capitalism Lab and UVA Darden's Institute for Business in Society.
Key facts
- The Global Capitalism Index measures capitalism on a global basis
- The index shows a global reduction in capitalist conditions over the past 16 years
- Regional divergences are widening, with improvements in Central Asia and declines in Latin America and Western Europe
- Property rights are the most differentiating feature
Three perspectives
Neutral
The Global Capitalism Index provides a new tool for understanding capitalism around the world. The index will be updated annually, allowing for ongoing analysis of capitalist conditions. Researchers and policymakers will be watching the index closely to see how it can inform decision-making.
Positive
The index can have real-world implications for policymakers and business leaders, providing insights into the conditions that are conducive to capitalism. The Global Capitalism Index can help countries identify areas for improvement and make informed decisions.
Negative
The index shows a global reduction in capitalist conditions over the past 16 years, which may be a cause for concern. The decline in capitalist conditions in certain regions, such as Latin America and Western Europe, may have negative implications for economic growth and development.
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