Hong Kong remains the world's freest economy, according to the 2012 Index of Economic Freedom. However, it is worth considering exactly what this title means for the people.
According to British political theorist Isaiah Berlin, there are two types of freedom - positive and negative. Negative freedom is defined in terms of the absence of any external interference. So, in terms of economic freedom, interference can include things like taxation and a minimum wage.
Minimal taxes, therefore, imply a high degree of negative freedom. Essentially, people have more control over their finances. Indeed, strong proponents of this kind of freedom, such as Robert Nozick, view taxation as tantamount to forced labour and the welfare state as a form of theft.
Unless they need to be bailed out by the state, businesses obviously thrive on having a free economy. Indeed, the wealthier you are, the more likely you are to benefit from a lack of state economic interference.
The other form of freedom, according to Berlin, is positive freedom. This is defined as 'self-mastery', namely, the ability to do certain things. So, for example, while higher taxes might imply a lower level of negative liberty, they also enable certain portions of society to have things they wouldn't otherwise get without assistance from the state, such as health care, housing and food.
Strong positive freedom generally involves greater state intervention and generally benefits the more disadvantaged sections of society the most.