Lorenzo Montanari
Article 17
1. Everyone has the right to own property alone as well as in association with others.
2. No one shall be arbitrarily deprived of his property.
Universal Declaration of Human Rights (1948)
The 2024 International Property Rights Index, now in its eighteenth edition, offers a unique perspective on the correlation between the societies and economies of 125 countries accounting for 98% of the world’s GDP and 93% of the world's population. There are three main enduring questions behind the Index: What would the world be like without property rights? How would countries build and strengthen their property rights and improve their free-market economies without a fair and transparent legal and political environment? How would a company or a start-up defend its own trademarks and copyrights without a consolidated intellectual property rights system? Throughout the years, the index has tried to answer these three main questions and in fact, it confirms that there is a direct and strong correlation between property rights and different dimensions of economic development. The Index includes correlations between the IPRI scores and other measures of social and economic well-being, which are undoubtedly useful for researchers and policymakers. It is important to highlight that the IPRI shows a very strong correlation with the Global Talent Competitiveness Index (0.92) indicating its role in attracting and retaining talent for achieving growth and well-being, as well as very strong correlation with the Global Entrepreneurship Index, 0.9, establishing its crucial role in driving free enterprise. Last but not least, the IPRI shows outstanding correlations with the Global Innovation Index (0.88) and Government AI Readiness Index (0.85) emphasizing the importance and relevance of a robust property rights system for emerging societies.
The correlations affirm the indispensable role that classical liberal thinkers ascribe to private property rights. They allow business owners, inventors, artists, and those outside the formal economy to have the true value of their assets realized, allowing them to act in their best interests, as economies flourish, governance improves, and the environment benefits when property rights are clear, accessible, and enforced. Property rights are not only one of the most important pillars of any free society, but also human rights, as stated in Article 17 of the U.N. Universal Declaration of Human Rights.
This Index will serve as an important tool for policymakers and business communities to understand how the three main components of the property rights ecosystem (Legal and Political Environment, Physical Property Rights, and Intellectual Property Rights) interact to attract investment and nurture healthy institutions. As the economist Prof. Thomas Sowell stated: “Both free speech rights and property rights belong legally to individuals, but their real function is social, to benefit the vast numbers of people who do not themselves exercise these rights.”
On behalf of the Property Rights Alliance, I would like to thank all who contributed to the development of the 2024 International Property Rights Index. My true appreciation goes to Dr. Sary Levy-Carciente (Ph.D.), the 2024 Hernando de Soto Fellow and author of this year's index.
A special thanks to the authors of the 2022 IPRI case studies:
Artificial Intelligence, New Research Dynamics and Patents. By Prof. Cesare Galli & Dr. Mariangela Bogni, University of Parma (Italy)
Property Rights: Conservatism from Theory to Practice. By Dr. Sven R Larson, The European Conservative (Hungary)
The Risks of Rural Property in Colombia. By Dr. Katherine Flórez Pinilla, Lorena Garnica De La Espriella, Carlos Augusto Chacón Monsalve, Instituto de Ciencia Política Hernán Echavarría Olózaga (Colombia)
Pharmaceutical Patents in Argentina: A Practical Approach. By Prof. Lucas Matías Lehtinen, Universidad Austral (Argentina)
I'm very grateful to my colleague Christopher Butler, executive director of Americans for Tax Reform, and the Tholos Foundation, and to Philip Thompson, IP and Trade Specialist, for their support and suggestions for improving the Index every year.
A special thanks to PRA Associate Logan Schoen, his great assistance and for his outstanding work on reviewing the IPRI and developing a communications strategy.
I am especially thankful for Hernando De Soto’s longstanding and tireless efforts, and his intellectual support, as well as our long conversations about how to expand and strategize property rights protection in developing countries. The International Property Rights Index was made possible thanks to his inspiring work, and his support allows PRA to establish the eponymous fellowship responsible for this publication year after year.
Finally, a special recognition to Grover Norquist, president of Americans for Tax Reform, and Tholos Foundation for making this Index possible, I thank him for his support and commitment to promoting innovation, and defending property rights and intellectual property not only in the USA but worldwide.