Sept 2013 — The Property Rights Alliance (PRA) has released the 2013 International Property Rights Index (IPRI), which measures the intellectual and physical property rights of 131 nations from around the world.
Finland retained its rank at the top, with a score of 8.6, followed by New Zealand and Sweden. Singapore at 7, was the top ranked country from Asia, although its rank had slipped from 3 in 2012, when it had tied with Norway. Bangladesh is ranked at 126, Burundi, Haiti, Libya, and Venezuela at 127, and Republic of Yemen at 131, bring up the rear.
India is ranked at 58, in 2013, along with China, with a score of 5.5, which is a step below Brazil (ranked 56, with a score of 5.6) among the 131 countries assessed. Compared to 2012 Index, India's rank has improved 4 places, with a score of 5.4. In the inaugural edition of this index in 2007, India's rank was higher at 33, with a score of 5.2, when China was ranked at 45, with a score of 4.4, among the 70 countries assessed that year.
The Index provides an important source of information for policymakers and business communities who want to understand how the three core components of property rights systems (Legal and Political Environment; Physical Property Rights; Intellectual Property Rights) are protected or affected in the world:
- The IPRI emphasizes the great economic differences between countries with strong property rights and those without. Nations in top quintile such as Finland, Australia, and the United States enjoy an average national GDP per capita of $38,288 while nations in the second quintile, such as Ireland, Chile, and Malaysia have an average GDP per capita of $26,680. The third, fourth, and fifth quintile averages are $15,693, $5,141, and $5,545 respectively.
- This year the Index also presents four case studies on the status of property rights in four countries: Tunisia, Venezuela, China, and Thailand. The case study on Tunisia and the Arab Spring represents research conducted by Hernando de Soto's team and explains why the lack of a fair property rights system represents one of the main reasons behind the uprising of the Arab Spring.
- The United States marked a slight improvement in its annual ranking, from the 18th position in 2012 to a current rank of 17th, with a score of 7.6 out of 10.0. According to the report, the most significant improvement is seen in the Legal and Political Environment (LP) component, increasing 0.1 points to a score of 7.6. The United States' highest score was in Intellectual Property Rights (IPR) with a score of 8.6.
"The IPRI highlights the key role played by property rights not only in keeping an economic system fair and transparent but also in representing the backbone of any free market economy," said Lorenzo Montanan, Executive Director of the Property Rights Alliance. "The four case studies presented in this report highlighted how different countries such as Tunisia, Venezuela, China and Thailand have been affected by lack of a fair and transparent property rights system. Counterfeit and pirated products and insufficient land registration are the most common problems affecting the economies of developing countries."
This year, 74 international organizations, including Liberty Institute in New Delhi, partnered with the PRA in Washington, DC and its Hernando de Soto Fellowship program to produce the seventh annual IPRI. The study was authored by PhD Candidate Francesco De Lorenzo, who served as this year's Hernando de Soto Fellow.
Published annually since 2007, the IPRI was the first international comparative study to measure the significance of both physical and intellectual property rights and their protection for economic well-being.The International Property Rights Index will provide researchers and policymakers around the world with a tool for comparative analysis and future research on global property rights. The Index seeks to assist underperforming countries to develop robust economies through an emphasis on sound property law.
2013 IPRI Partners
• Afghanistan's Economic and Legal Studies Organization (AELSO), Afghanistan • Albanian Socio Economic Think Tank, Albania • Fundacion Atlas 1853, Argentina • Fundacion Liberdad y Progreso, Argentina • Fundacion Libertad, Argentina • Institute for Public Affairs, Australia • Austrian Economics Center, Austria • F.A. v. Hayek Institut, Austria • The Nassau Institute, Bahamas • Populi, Bolivia • Instituto Liberdade, Brazil • Institute for Market Economics, Bulgaria • Centre Des Affaires Humaines (CEDAH), Burkina Faso • Frontier Centre for Public Policy, Canada • Fundacion para el Progreso, Chile • Libertad y Desarrollo, Chile • Cathay Institute of Public Affairs, China • Unirule Institute of Economics, China • Asociacion de Consumidores Libres, Costa Rica • IDEAS, Costa Rica • Adriatic Institute for Public Policy, Croatia • Centre de Analisis para Politicas Publicas (CAPP), Dominican Republic • Instituto Ecuatoriano de Economia Politica, Ecuador • New Economic School, Georgia • Friedrich Naumann Foundation, Germany • Institute for Free Enterprise, Germany • IMANI Center for Policy and Education, Ghana • CIEN, Guatemala • The Lion Rock Institute, Hong Kong • Centre for Civil Society, India • Centre for Policy Research, India • Liberty Institute, India • Iraq Institute for Economic Reform, Iraq • Jerusalem Institute for Market Studies, Israel • Columbia Institute, Italy • Competere, Italy • Institute for Development and Economic Affairs (IDEA), Kazakhstan • Center for Free Enterprise, Korea • Bishkek Business Club, Kyrgyz Republic • Central Asian Free Market Institute, Kyrgyz Republic • OHRID Institute for Economic Strategies and International Affairs, Macedonia • Institute for Democracy and Economic Affairs (IDEAS), Malaysia • Center of Research and Development (CIDAC), Mexico • Fundacion Idea, Mexico • EBI Think Tank Institute, Mongolia • Center for Entrepreneurship and Economic Development (CEED), Montenegro • Center for Mozambican and International Studies, Mozambique • Limited Government, Nepal • Samriddhi Foundation, Nepal • Initiative for Public Policy Analysis, Nigeria • Civita, Norway • International Research Foundation (IRF), Oman • Alternate Solutions Institute, Pakistan • Pal-Think for Strategic Studies, Palestinian Territories • Fundacion Libertad, Panama • Institute for Liberty and Democracy, Peru • Instituto de Libre Empresa, Peru • Minimal Government Thinkers, Inc., Philippines • Ludwig von Mises Institute, Poland • Polish-American Foundation for Economic Research and Education (PAFERE), Poland • Forum Obywatelskiego Rozwoju, Poland • Center for Institutional Analysis and Development (CADI), Romania • Center for Liberal- Democratic Studies, Serbia • F. A. Hayek Foundation, Slovakia • The Free Market Foundation, South Africa • Civisimo, Spain • Eudoxa, Sweden • Timbro, Sweden • Liberales Institute, Switzerland • Institute of Future Studies for Development (IFD), Thailand • Association for Liberal Thinking, Turkey • The Ukrainian Reform Support Foundation, Ukraine • Property Rights Alliance, USA • Center for the Dissemination of Economic Knowledge (CEDICE), Venezuela • Zambia Institute for Public Policy Analysis (ZIPPA), Zambia