Investigating the relationship between economic freedom and social welfare in Iran, based on Amartya Sen of social welfare
One of the macroeconomic goals of countries is to create the necessary conditions to promote social welfare. One of the factors affecting the welfare of economic freedom. In this way, the freedom of the economy through the use of a set of solutions seeks to achieve some goals that increase the level of welfare through these goals. The aim of this study was to investigate the relationship between economic freedom and social welfare in Iran using the ARDL model. This study was based on seasonal data during 2002-2019. The results showed that by increasing economic freedom by one percent, the social welfare index increased by 0.105 percent. and increasing per capita income increases the social welfare index by 0.142 percent. The effect of an increase in the unemployment rate by one percent reduces the social welfare index by -0.122 percent. The effect of a 1% increase in college education was followed by an increase in the social welfare index of 0.283. Also, as the population over 65 years of age, the social welfare index declines by -0.673 percent. The effect of increasing government size also reduces the social welfare index by -0.427 percent. Finally, the effect of increasing tax revenues by one percent, social welfare index by 0.361 percent. According to the results, it can be said that economic freedom can increase social welfare and equity by removing the constraints and limitations of economic pursuits.
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