Book Summary | Freedom to Choose (1980)

What is it about? Freedom to Choose:: A Personal Statement is Noble Prize Winner Milton Friedman's book published in 1980. Prof. Friedman explains the close relationship between human and economic freedom in the book. The book was based on the famous TV Series of the same name in 1980 and an updated version in 1990. 

Why bother? The book explores how freedom releases human energy and drives economic growth. The book examines the topics in-depth on the relationship between government programs and financial results. When we explore questions like why government programs failed to reach their goals. This a great book to read. ​

Key Ideas The following are key ideas from the book:

• Personal freedom and economic freedom are closely related. Humans naturally desire to be free - to make our own decisions, chase our own objectives, and choose what and how to accomplish our achievements. Freedom is hard to get, and relies on economic freedom to protect and promote it. 
• Voluntary cooperation is built on a society with people and economic freedom where opportunities and hope incentivize and release human energy. Voluntary cooperation rather than government regulation is more efficient and adaptive to changes in the economic environment. 
• Government, when overpowered, is dangerous. The budget needs to be set to control spending. 
• Equality of opportunity is more important than the equality of the outcome. 
• Major Evidence used by Prof. Friedman includes: 
  • ​Hong Kong: the average income per capita in Hong Kong was 28% of that of Britain in 1960, but 137% in 1997, the year of the handover to China.
  
  

Favorite Quotes (Related) ​

"There is one and only one social responsibility of business–to use its resources and engage in activities designed to increase its profits so long as it stays within the rules of the game, which is to say, engages in open and free competition without deception or fraud."  - Milton Friedman

Editor's Notes (12/18/2022): The concept of the free market is related to an ancient philosophical concept, "Wuwei" (无为）, which encourages politicians and government to withhold their ego,  stay away from interfering with the economy, and let the market work with  no tariff, flat tax, or a minimum of regulations. The economy will undergo constant renewals throughout the competition, the price system, and creative distractions.

References 

• Hong Kong: A two-stage economic experiment, 2017