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01 / 05
Is This the Best Time to Be Alive?

Blog Post | Wellbeing

Is This the Best Time to Be Alive?

Overwhelming evidence shows that we are richer, healthier, better fed, better educated, and even more humane than ever before.

Imagine, if you will, the following scenario. It is 1723, and you are invited to dinner in a bucolic New England countryside, unspoiled by the ravages of the Industrial Revolution. There, you encounter a family of English settlers who left the Old World to start a new life in North America. The father, muscles bulging after a vigorous day of work on the farm, sits at the head of the table, reading from the Bible. His beautiful wife, dressed in rustic finery, is putting finishing touches on a pot of hearty stew. The son, a strapping lad of 17, has just returned from an invigorating horse ride, while the daughter, aged 12, is playing with her dolls. Aside from the antiquated gender roles, what’s there not to like?

As an idealized depiction of pre-industrial life, the setting is easily recognizable to anyone familiar with Romantic writing or films such as Gone with the Wind or the Lord of the Rings trilogy. As a description of reality, however, it is rubbish; balderdash; nonsense and humbug. More likely than not, the father is in agonizing and chronic pain from decades of hard labor. His wife’s lungs, destroyed by years of indoor pollution, make her cough blood. Soon, she will be dead. The daughter, the family being too poor to afford a dowry, will spend her life as a spinster, shunned by her peers. And the son, having recently visited a prostitute, is suffering from a mysterious ailment that will make him blind in five years and kill him before he is 30.

For most of human history, life was very difficult for most people. They lacked basic medicines and died relatively young. They had no painkillers, and people with ailments spent much of their lives in agonizing pain. Entire families lived in bug-infested dwellings that offered neither comfort nor privacy. They worked in the fields from sunrise to sunset, yet hunger and famines were common. Transportation was primitive, and most people never traveled beyond their native villages or nearest towns. Ignorance and illiteracy were rife. The “good old days” were, by and large, very bad for the great majority of humankind. Since then, humanity has made enormous progress—especially over the course of the last two centuries.

How much progress?

Life expectancy before the modern era, which is to say, the last 200 years or so, was between ages 25 and 30. Today, the global average is 73 years old. It is 78 in the United States and 85 in Hong Kong.

In the mid-18th century, 40 percent of children died before their 15th birthday in Sweden and 50 percent in Bavaria. That was not unusual. The average child mortality among hunter-gatherers was 49 percent. Today, global child mortality is 4 percent. It is 0.3 percent in the Nordic nations and Japan.

Most of the people who survived into adulthood lived on the equivalent of $2 per day—a permanent state of penury that lasted from the start of the agricultural revolution 10,000 years ago until the 1800s. Today, the global average is $35—adjusted for inflation. Put differently, the average inhabitant of the world is 18 times better off.

With rising incomes came a massive reduction in absolute poverty, which fell from 90 percent in the early 19th century to 40 percent in 1980 to less than 10 percent today. As scholars from the Brookings Institution put it, “Poverty reduction of this magnitude is unparalleled in history.”

Along with absolute poverty came hunger. Famines were once common, and the average food consumption in France did not reach 2,000 calories per person per day until the 1820s. Today, the global average is approaching 3,000 calories, and obesity is an increasing problem—even in sub-Saharan Africa.

Almost 90 percent of people worldwide in 1820 were illiterate. Today, over 90 percent of humanity is literate. As late as 1870, the total length of schooling at all levels of education for people between the ages of 24 and 65 was 0.5 years. Today, it is nine years.

These are the basics, but don’t forget other conveniences of modern life, such as antibiotics. President Calvin Coolidge’s son died from an infected blister, which he developed while playing tennis at the White House in 1924. Four years later, Alexander Fleming discovered penicillin. Or think of air conditioning, the arrival of which increased productivity and, therefore, standards of living in the American South and ensured that New Yorkers didn’t have to sleep on outside staircases during the summer to keep cool.

So far, I have chiefly focused only on material improvements. Technological change, which drives material progress forward, is cumulative. But the unprecedented prosperity that most people enjoy today isn’t the most remarkable aspect of modern life. That must be the gradual improvement in our treatment of one another and of the natural world around us—a fact that’s even more remarkable given that human nature is largely unchanging.

Let’s start with the most obvious. Slavery can be traced back to Sumer, a Middle Eastern civilization that flourished between 4,500 BC and 1,900 BC. Over the succeeding 4,000 years, every civilization at one point or another practiced chattel slavery. Today, it is banned in every country on Earth.

In ancient Greece and many other cultures, women were the property of men. They were deliberately kept confined and ignorant. And while it is true that the status of women ranged widely throughout history, it was only in 1893 New Zealand that women obtained the right to vote. Today, the only place where women have no vote is the Papal Election at the Vatican.

A similar story can be told about gays and lesbians. It is a myth that the equality, which gays and lesbians enjoy in the West today, is merely a return to a happy ancient past. The Greeks tolerated (and highly regulated) sexual encounters among men, but lesbianism (women being the property of men) was unacceptable. The same was true about relationships between adult males. In the end, all men were expected to marry and produce children for the military.

Similarly, it is a mistake to create a dichotomy between males and the rest. Most men in history never had political power. The United States was the first country on Earth where most free men could vote in the early 1800s. Prior to that, men formed the backbone of oppressed peasantry, whose job was to feed the aristocrats and die in their wars.

Strange though it may sound, given the Russian barbarism in Ukraine and Hamas’s in Israel, data suggests that humans are more peaceful than they used to be. Five hundred years ago, great powers were at war 100 percent of the time. Every springtime, armies moved, invaded the neighbor’s territory, and fought until wintertime. War was the norm. Today, it is peace. In fact, this year marks 70 years since the last war between great powers. No comparable period of peace exists in the historical record.

Homicides are also down. At the time of Leonardo Da Vinci, some 73 out of every 100,000 Italians could expect to be murdered in their lifetimes. Today, it is less than one. Something similar has happened in Belgium, the Netherlands, Switzerland, Germany, Scandinavia, and many other places on Earth.

Human sacrifice, cannibalism, eunuchs, harems, dueling, foot-binding, heretic and witch burning, public torture and executions, infanticide, freak shows and laughing at the insane, as Harvard University’s Steven Pinker has documented, are all gone or linger only in the worst of the planet’s backwaters.

Finally, we are also more mindful of nonhumans. Lowering cats into a fire to make them scream was a popular spectacle in 16th century Paris. Ditto bearbaiting, a blood sport in which a chained bear and one or more dogs were forced to fight. Speaking of dogs, some were used as foot warmers while others were bred to run on a wheel, called a turnspit or dog wheel, to turn the meat in the kitchen. Whaling was also common.

Overwhelming evidence from across the academic disciplines clearly shows that we are richer, live longer, are better fed, and are better educated. Most of all, evidence shows that we are more humane. My point, therefore, is a simple one: this is the best time to be alive.

Blog Post | Human Development

The Rediscovery of Human Progress

A new movement promoting scientific, technological, and economic solutions to humanity's problems emerges.

Summary: The modern world is built on centuries of progress, yet many take its comforts and opportunities for granted. A new movement aims to redefine our understanding of advancement, and focuses on celebrating humanity’s achievements to shape an optimistic narrative for the future. From fostering technological innovation to advocating for economic growth, this coalition strives to combat cultural pessimism and inspire a renewed belief in the potential for a better world.


“The tragedy of today is that we are the heirs and the beneficiaries of thousands of years of progress and we take it for granted. You wake up in a nice soft bed. You go get fresh milk and orange juice from the fridge. You take a shower under hot running water. You hop on the train or car to work. You take the elevator up to the 40th floor. You earn your living by typing on a computer behind big plate glass windows in an air-conditioned building. You relax in the evening by streaming movies and music or catching up with friends from around the world in your real-time video calls. None of this existed a couple centuries ago. A lot of it didn’t exist a few decades ago. And yet it’s just so easy to go through your days enjoying all of that without giving a second thought to where it all came from or how, or how challenging it was to bring all of those amazing inventions into the world.”

Jason Crawford, founder of the Roots of Progress project, is one of the leaders of a new pro-progress movement that is coalescing in a collection of think tanks, websites, and other intellectual incubators. It celebrates humanity’s achievements so far. It judges progress not in technocratic terms but with an eye on outcomes for individual human beings. And it imagines, again in Crawford’s words, an “ambitious technological future that we want to live in and are excited to build.”

Rethinking Progress

These groups promoting economic growth spurred by scientific, technological, and industrial progress are quite distinct from modern political progressives. Contemporary progressives trace their ideological lineage back to the Progressive movement that arose in American politics around the turn of the 20th century as a response to the consequences of mass urbanization, mass immigration, increasing economic inequality, and rapid industrial growth.

Fundamental then as it is today among modern progressives is their certainty that they know the direction in which “progress” must go and that exercise of government power guided by a technocratic elite is central to achieving their version of “progress.” Princeton University historian Thomas C. Leonard observes that early 20th century “progressives believed in a powerful, centralized state, conceiving of government as the best means for promoting the social good and rejecting the individualism of (classical) liberalism.” In addition, he says, they believed in “the disinterestedness and incorruptibility of the experts who would run the technocracy they envisioned, and a faith that expertise could not only serve the social good, but also identify it.”

A hundred years later, one illustrative distillation of modern progressivism is “The Progressive Promise” manifesto issued by the 101 members of the Congressional Progressive Caucus. “We believe that government must be the great equalizer of opportunity for everyone,” forthrightly states the Promise. “We support bold policies to close the gap between the rich and everyday Americans and ensure our government delivers essential services to every person in this country.” They envision “transformational change” that includes “ending poverty and income inequality,” and “advancing racial justice and equity in every policy.” It is notable that unlike their early 20th century forebears’ belief in technological progress and economic growth, this essentially redistributionist manifesto nowhere mentions policies aimed at advocating and promoting either in the 21st century. In their view, uncontrolled economic growth is leading to environmental catastrophe and to appalling social consequences.

The contours of the new progress movement stretch from the Human Progress project at the libertarian Cato Institute to the “eco-modernist” initiatives at the Breakthrough Institute and the Pritzker Innovation Fund. Four relatively new groups at the forefront of the pro-progress forces are The Roots of Progress, the Institute for Progress, The Progress Network, and Works in Progress. Together, they are—as The Progress Network puts it—”building an idea movement that speaks to a better future in a world dominated by voices that suggest a worse one.”

Cultural Pessimism

There are indeed many voices who say our future is bleak. William Rees, a population ecologist at The University of British Columbia, claimed last year that “collapse is not a problem to be solved, but rather the final stage of a cycle to be endured.” Also last year, Stanford University biologist and indefatigable population doomster Paul Ehrlich told 60 Minutes “that the next few decades will be the end of the kind of civilization we’re used to.” A 2022 paper in the Proceedings of the National Academy of Sciences declared that climate change could “result in worldwide societal collapse or even eventual human extinction.” Last year an article in the Journal of Industrial Ecology suggested that civilizational collapse is likely this decade and certain by 2040.

These dire prognostications are reflected in bleak public attitudes, especially in rich developed countries. A YouGov poll in 2016 found only 6 percent of Americans thought the world was getting better. Other rich countries had even lower scores: Germany and the United Kingdom were at 4 percent, Australia and France at 3 percent. (The Chinese were the most optimistic, with 41 percent saying the world was getting better.) In 2017, a Pew Research Center poll reported that 41 percent of Americans thought that life today was worse than it was 50 years ago, compared to 37 percent who thought it was better.

In 2021, The Lancet published a poll of 10,000 young people (ages 16 to 25) in 10 countries (Australia, Brazil, Finland, France, India, Nigeria, Philippines, Portugal, the U.K., and the USA) asking how they felt about climate change that found pervasive pessimism about the future. About 75 percent reported that “they think the future is frightening,” with more than 55 percent agreeing that “humanity is doomed” and 39 percent saying they are “hesitant to have children.” About 45 percent responded that “their feelings about climate change negatively affected their daily life and functioning.” A YouGov poll in 2022 found more than 30 percent of American adults thinking climate change will lead to extinction of the human race.

In 2023, 76 percent of Americans in an NBC survey were “not confident that life for our children’s generation will be better than it has been for us.” That same year, a Wall Street Journal poll similarly reported that 78 percent of Americans believe that life for their children will not be better than it was for themselves. A November poll by the European Council on Foreign Relations found only 24 percent of Americans were optimistic about their country’s future. These are the headwinds that the emerging progress movement is combating.

The Optimistic Opposition

There is a division of labor between the pro-progress groups. The Roots of Progress is focused on creating a new philosophy of progress and promoting young intellectuals who propound it. In an essay outlining what that might look like, Crawford argues for “a renewed vision of the future” that accelerates technological progress to provide humanity with cheap, abundant, clean fusion energy, permanent settlements in space, and cures for diseases and even aging itself using advanced biotech. “A future where we don’t just end poverty, but create new levels of wealth so fantastic that they make today’s wealth look like poverty in comparison—just as was done over the last two hundred years,” he writes.

“We are going to need a large body of intellectuals, of writers, creatives, educators, and journalists,” says Crawford. To develop this cadre, the group has created a fellowship program as “a career accelerator for progress intellectuals.” There were over 500 applicants for the first cohort, of which 19 were selected. The selected fellows analyze how to remove the regulatory roadblocks that stymie infrastructure and clean nuclear power deployment, how to incentivize countries to welcome more immigration, and how to overcome pervasive risk aversion in awarding research grants.

The Institute for Progress (IFP), co-founded by Caleb Watney and Alec Stapp, focuses on finding public policy ideas that can boost innovation sooner rather than later. “Because of the unique position of the United States, we have a moral call to really take the lead and embrace our role as the world’s R&D lab,” argues Watney. The U.S., he notes, has particular advantages when it comes to scientific and technological progress: the concentration of the world’s top universities, the fact that the world’s top scientific minds want to immigrate here, a huge and dynamic economy that enables the rapid iteration and prototyping of new technologies.

“The Institute for Progress is not an organization focused on mass politics,” Watney adds. “We are not going to get people to hold up banners saying, ‘I want total factor productivity growth to be higher.'” Instead, it’s “a very incrementalist organization” that looks “for issues that are important. If you were to change them, would they really matter? Are they tractable? Does it seem like you could actually move the needle on them in a useful way in, say, the next five years?” Among other activities, IFP researchers engage in such nitty-gritty work as filing detailed comments on federal agency proposals. For example, the IFP recently advised the Biomedical Advanced Research and Development Authority on how to hasten the development of more effective coronavirus vaccines. Also, the IFP signed an agreement last year to partner with the National Science Foundation to help the agency develop faster mechanisms for funding high-risk, high-reward research proposals.

Meanwhile, Works in Progress publishes long-form case studies on how entrepreneurs, inventors, researchers, and others have successfully made progress in fixing various problems. It also prints proposals for how to ameliorate those still unresolved. Among the topics covered in recent articles: overcoming obstacles to tapping geothermal energy, upzoning in New Zealand to address housing shortages, how advance market commitments could have spurred the development of an effective malaria vaccine more quickly, and—in an article by Reason‘s own Peter Suderman—how mixologists surmounted the problem of boring drinks.

The Progress Network—based at New America, a liberal-leaning think tank—aims to bring together an ideologically diverse set of pro-progress scholars and pundits. Its founder, money manager Zachary Karabell, says he’s aiming to “create a cohort of people who are united by a sensibility, but certainly not united by a monolithic view of what’s working and what isn’t.” Its cohort of associates includes the Cato Institute’s Mustafa Akyol, MIT economist Erik Brynjolfsson, George Mason University economist Tyler Cowen, Harvard psychologist Steven Pinker, journalist Matthew Yglesias, Columbia University linguist (and New York Times columnist) John McWhorter, Depolarization Project CEO Alison Goldsworthy, and Pritzker Innovation Fund chief Rachel Pritzker. Other Network members include the founders of both The Roots of Progress and the Institute for Progress. Karabell ruefully acknowledges that it is hard to get the independent “idea entrepreneurs” he has recruited into the Progress Network to collaborate. For now, the Network has assembled 120 or so members whose voices make the constructive point that the world, on the whole, is getting better. The Network highlights stories detailing the actuality of progress “from around the world that get kind of buried under the avalanche of negative stories” through its What Could Go Right? podcast, a daily newsletter, and social media.

The heads of all four organizations cite the animating influence of the July 2019 Atlantic article “We Need a New Science of Progress,” written by Cowen and Patrick Collison, the billionaire founder of the internet payments company Stripe. “The success of Progress Studies will come from its ability to identify effective progress-increasing interventions and the extent to which they are adopted by universities, funding agencies, philanthropists, entrepreneurs, policy makers, and other institutions,” Cowen and Collison argued. “In that sense, Progress Studies is closer to medicine than biology: The goal is to treat, not merely to understand.”

Cowen and Collison are involved in the movements in other ways too. Both The Roots of Progress and Works in Progress have received grants from the Emergent Ventures project, administered by Cowen. Works in Progress became part of Stripe Press in 2022.

How Progress Got a Bad Reputation

Why did progress fall out of favor? Crawford suggests the strong belief in economic, technological, and social improvement that characterized 19th century Europe and America was dented by the next century’s bloody world wars. “People before World War I had hoped that technology and economic growth would actually lead to an end to war and that we were entering a new era of world peace,” he says. “That proved to be disastrously wrong. Not only had technology not led to an end to war, it had actually made war all the more horrible and destructive. It had given us the machine gun, chemical weapons, the atomic bomb.”

Crawford also notes the 20th century saw the emergence of institutions featuring “top-down control by a technical elite.” This, he argues, prompted “a countercultural idea that saw progress as linked to this authoritarianism and rejected both.”

Watney points to the negative externalities that have accompanied technological development and economic growth—air and water pollution, climate change, deforestation—and suggests these have contributed to the disillusionment with progress as well. On top of that, he says, a spirit of complacency and safetyism has emerged in rich developed countries, adding new roadblocks.

“We have become the victims of our success, to a certain extent,” Watney argues. “As you get increasing levels of wealth and productivity, you’re more inclined to keep hold of the safety and the gains that you already have and less likely to risk a little bit to gain a lot more.” Or as Karabell puts it, “If you’re more worried about the unknown negative consequences than you’re excited about unknown positive consequences, you’re basically going to be sclerotic and not do anything.”

You should not confuse this appreciation for past progress with a belief that progress is complete. Karabell stresses that he doesn’t believe “we should just shut up and recognize” everything that’s going right. It’s just that “we are demonstrably able to create problems and we’re demonstrably able to solve them.”

Crawford thinks progress has slowed in recent decades. Two big reasons for the slowdown, he argues, are “the growth of the regulatory state” and “the centralization and bureaucratization of research, and in particular the funding of research.” Both impose unnecessarily constraining limits on scientific freedom and the types of opportunities and inventions that can be pursued.

“It’s totally fair to be frustrated with a lot of the excesses of the regulatory state,” says Watney. More hopefully, he adds: “If you’re so pessimistic about the current state, that means there should be lots of low-hanging fruit. Small changes could actually lead to really large increases.”

The IFP’s chief aim is to pick that low-hanging fruit by cutting down the overburden of regulation and reforming the stodgy processes that encrust science funding. So the group is working to streamline the National Environmental Policy Act so that it no longer blocks for years the building of critically needed infrastructure: roads, pipelines, electrical lines, and nuclear, renewable, and geothermal energy projects. The institute also wants to speed up the approval processes at the Food and Drug Administration and the Nuclear Regulatory Commission—in the first case to get new treatments to patients more quickly, and in the second to deploy modern nuclear reactors faster. It is pushing to reform the science funding programs at the National Institutes of Health (NIH) and the National Science Foundation. For example, researchers associated with the IFP note that NIH peer review grant evaluations now tend to focus on the probability that research proposals will achieve their primary outcomes. Thus this evaluation process generally steers funding away from high-risk, high-reward research. One IFP proposal to overcome this conservative bias is to have peer reviewers first assess how valuable the new cures and treatments stemming from the proposed research would be should it prove successful in developing new fundamental knowledge.

Trying To Make It Better

All these projects direct people’s attention to Gapminder, Human Progress, Our World in Data, and other efforts that comprehensively document how much progress is still being made today. These changes include increasing average life expectancy, cutting extreme poverty, reducing childhood mortality, increasing wealth, supplying greater access to education, and empowering women’s rights.

Yet merely pointing out the facts of progress isn’t enough to persuade a lot of folks. It would be great, says Karabell, if it worked just to tell people, “You should all just read the data and change your views.” But it usually doesn’t.

So another theme that unites these four efforts is their embrace of narrative as a way to restore cultural faith in progress. “You can’t throw facts in the face of people’s emotions, or at least you’ve got to be very careful about how you do that,” says Karabell. “You can’t tell people that they should feel better just because the data tells them they should.” Crawford agrees: “Narratives have a lot of power and they have more power than charts and graphs.”

Saloni Dattani of Works in Progress explains, “One of the reasons that we started Works in Progress was we wanted to allow people to really go deep into some area that they were interested in and make a stronger case and longer case for something that they thought could improve the world or something that they thought was a challenge.” Examples include a recent long article, “Watt lies beneath,” that details how advances in geothermal energy could provide humanity with essentially unlimited supplies of clean energy, and the short video “Gentle Density: Brooklyn” describing how Brooklyn, New York, evolved into the second-most-densely populated county in the U.S.

As another example, Zurich-based Roots of Progress Fellow Alex Telford suggests over at his Liveware newsletter on Substack that the static concepts of health and disease are barriers to progress toward perfecting precision medicine aimed at maintaining bodily homeostasis. In her co-authored Salt Lake Tribune op-ed, “We should pay farmers to save the Great Salt Lake,” Roots of Progress fellow Jennifer Morales explains how water markets can stop that body of water from drying up.

Karabell continues: “How one writes that story about the future is part and parcel of shaping that future. If you begin with ‘We’re fucked,’ it’s really hard to solve your problems because you’re basically convinced that you can’t.”

These proponents of progress do not think that they will change the world overnight. “You have to create a critical mass,” says Karabell, “and ideas take a long time to have an effect on society. But things do change, cultural attitudes do change.” Dattani describes herself as an “impatient optimist.”

“Pessimism is more arrogant than optimism,” Karabell concludes. “Optimism is simply that we know for a fact that we are capable of solving problems. Pessimism is the conviction that we are not. The future isn’t worse unless people stop trying to make it better.”

This article was published at Reason on 4/6/2024.

Blog Post | Economic Growth

Measuring Freedom and Flourishing | Podcast Highlights

Chelsea Follett interviews Leandro Prados de la Escosura about the long term trends in wellbeing, inequality, and freedom.

Listen to the podcast or read the full transcript here.

Let’s discuss your latest book, Human Development and the Path to Freedom.

I have spent many years working on economic performance in the long run, and while I don’t have anything against GDP, I was always uneasy with the idea of using GDP per head as a shortcut for wellbeing. GDP is a good indicator of output but a very deficient indicator of wellbeing.

Most economists say, “This is true, but it’s highly correlated with non-economic dimensions of wellbeing.” There is also a tendency to produce a dashboard of indicators, basically GDP and some additional measures that create a more nuanced picture.

I was unhappy with that. Then I realized that, since the beginning of modern national accounts in the 1950s, there have been attempts to produce alternative measures. More than 30 years ago, the United Nations Development Programme produced the Human Development Index. I was very interested, but at the same time, I was frustrated when I saw that countries with no freedom at all ranked very highly in the index.

For example, in the first report in 1990, they had a retrospect going back to 1975, and I found that Spain, under Franco’s dictatorship, ranked very highly in human development. How come? It wasn’t satisfactory to rank a nasty dictatorship so highly. And then I read the literature accompanying the report and found this very candid assertion: “The purpose of human development is to increase people’s range of choices. If they are not free to make those choices, the entire process becomes a mockery.”

This is an important philosophical point: Human development is not just about living longer or having a higher material standard of living. You can get that in a high-security prison in Norway. Choosing between alternative ways of life is what makes the difference.

To make a long story short, they have tried time and again to introduce freedom, but they never managed to do so because of strong political opposition from country members of the program. So, as an independent scholar, I thought, “Look, nobody is going to read it, but I have the freedom to introduce the freedom dimension.”

Tell me about what you found.

Perhaps what makes sense is to compare what I found to what you would get on the basis of per capita income. If you look at the average increase from 1870 to 2020, the growth in income and wellbeing is very similar.

But if you look closer, you realize there are large differences across different periods. During first globalization before 1913 and between 1970 and 2000, they are relatively close. During the last two decades, the difference is huge in favor of material living standards measured by per capita income. The first part of the 20th century is just the opposite.

What next? Well, try to provide an explanation.

I went in two steps. One was asking, “Why has this growth in human wellbeing happened? What is the intuition?” The intuition is that if you get richer, you’re going to become better fed, healthier, better educated, and freer. But you can also have different levels of wellbeing at the same income level, and the most important finding from a historical perspective is that at any point of income, you have higher wellbeing today than in the past.

If you compare 1870 to 1913, you see that for most of the income levels, you get the same association between health and income, but at high levels of income, you get higher levels of health. Improvements in health techniques and medical knowledge were restricted to the most advanced countries. But if you look at the 1950s, at any income level, you get higher levels of health than in 1913 or 1870. You also find this for education and freedom. If you move to 2000, there is another upward shift.

Of course, there are reversals. There have been four moments in time in which the progression, the positive progression of human development stopped or declined. One was the Great Depression. The second one was during Mao’s Great Leap Forward. Then there were the oil shocks in the early ’70s, but the most damaging one has been COVID. COVID is the first period in which wellbeing measured in terms of augmented human development has declined

However, over the long run, for any income level, whether you are rich or poor, nowadays you have higher wellbeing than in the past.

Those findings are fascinating. What would you say is the biggest implication of your work?

The first thing is that wellbeing, broadly defined, has expanded worldwide more steadily than per capita income.

Secondly, the phases in which we conventionally associate improvements in wellbeing are not necessarily the same as those in which actual wellbeing improved. For instance, there was an important improvement in the so-called interwar period, even though economic growth stagnated. In 20th-century India, before independence, there was a stagnation in real average income but a remarkable improvement in health. This was because of the discovery of the germ theory of disease, which brought simple hygienic practices like washing your hands before eating and not sleeping near animals.

We also tend to forget that the association between wellbeing and income is not fixed. There are movements along the function: if you are richer, other things being equal, you’re going to be healthier, more educated, and freer. But this is not the whole story. There are also upward and downward shifts.

For instance, you could say that in terms of freedom in 2020, we are worse off than we were 20 years ago. This doesn’t mean that people were richer 20 years ago—we’re richer now—but at the same income level, 20 years ago, people were freer than we are today.

So, it’s a nuanced picture. Overall, things are improving, but there are also worrying declines in freedom.

Exactly.

Can you talk about inequality?

In 1870, in the case of wellbeing, inequality was high, and it increased up to the end of the century, then went down. Then, because of World War I, it increased again. But from the late 1920s to the present, with the exception of a reversal because of World War II, there has been a steady decline in inequality of wellbeing.

In the case of per capita income, inequality increased until the end of the 20th century, around 1980, and only began declining after 1990.

Here, I’m referring to relative inequality. If we increase wealth by 10 percent everywhere, inequality in relative terms doesn’t change. Some people are a bit pickier and think, “If my income increases 10 percent and my income is 100, I get 110. If your income is 1000, you now get 1100.” This is absolute inequality.

Relative inequality in per capita income increased until 1980 and has declined since 1990. But absolute inequality in per capita income, the distance between rich and poor, continues growing.

Absolute inequality in wellbeing has declined since 1960. Today, it is similar to what you would find in 1938, 1913, or 1900, but higher than in 1870.

It’s also important to look at what happens to different parts of the distribution. Who are the winners and losers? Broadly speaking, the middle class of the world gained the most, and the lower classes and those at the top won relatively less. If you look at absolute gains, those who were at a higher level of wellbeing got more. But that changes for different dimensions. Those at the bottom, for example, were the main winners in terms of education, while those in the middle were the main winners in terms of health.

I know that your current focus is on freedom. Could you tell me a little bit about that?

I became interested in human development after reading Amartya Sen, who emphasizes what Isaiah Berlin would call positive freedom. Freedom to. But he also emphasizes negative freedom, the absence of coercion and interference. And I think this is interesting because many people think there is a trade-off between negative and positive freedom.

At the end of the day, everybody wants to have negative freedom, but there are those who think negative freedom has nothing to do with income, that would be Hayek, and those who think negative freedom can only be reached as a second stage once you provide for those who don’t have access. For some, positive freedom is a socialist lie to reduce negative freedom. For others, they are two faces of the same coin.

As an economic historian, I find this is an interesting topic for research. If you look at the world, and you can see this in the Human Freedom Index that Cato publishes, you see the countries at the top in terms of negative freedom are also at the top in terms of positive freedom. For instance, Denmark is at the top of the list in terms of economic freedom, but also in terms of education and health.

My question was, well, maybe this trade-off is only a short-run phenomenon. Maybe if you look at the long run, the trade-off doesn’t hold or only holds for a certain period. So why not construct two alternative sets of estimates, one for positive freedom and the other for negative freedom? And this is what I’m trying to do now.

My main discrepancy with the Fraser Institute economic freedom index is that I don’t take into account the size of government. I know this is a contentious issue. People say, “the larger the government, the less room for private initiative.” At a point in time, this is true. And if you look at similarly developed countries, this is true.

But if you take a cross-section at a point in time, you can see that there are countries in which the size of government is much, much smaller, that are not necessarily freer, in terms of absence of coercion and interference, than countries with larger governments. Look at, for instance, Latin American and Sub-Saharan African countries. Think of Somalia. Or think of my own country under Franco. It was a right-wing, but, in many aspects, very socialist dictatorship in which the government was everywhere. But the size of government was very small.

In 1980, do you know what percentage the income tax contributed to the revenues of the central government in Spain? Give me a figure. You would say 40 percent?

Sure, 40 percent.

2 percent.

Wow.

Nobody paid income tax. So, there was no redistribution.

My point is that the size of government matters less than the nature of government. Perhaps Denmark would have more economic freedom with a smaller government, but if you compare Denmark to other countries, you can see that even though the Danish government is larger, Denmark’s degree of economic freedom is higher. Why? Because the nature of government action is different. It doesn’t interfere as much as another government that is less intrusive in quantitative terms but more intrusive in qualitative terms.

So, if you are looking at a point in time, it makes sense to say, “mutatis mutandis, if a rich country nowadays has a smaller government, this country is going to be freer.” That is true. But the action of government varies from one case to another.

Get Leandro Prados de la Escosura’s book, Human Development and the Path to Freedom: 1870 to the Present, here.

The Human Progress Podcast | Ep. 48

Leandro Prados de la Escosura: Measuring Freedom and Flourishing

Leandro Prados de la Escosura, an emeritus professor of economic history at Carlos III University in Spain, joins Chelsea Follett to discuss long term trends in wellbeing, inequality, and freedom. To see the slides that accompany the interview, watch the video on YouTube.