> In Capitalism and Freedom (1962), Friedman developed the argument that economic freedom, while itself an extremely important component of total freedom, is also a necessary condition for political freedom. He commented that centralized control of economic activities was always accompanied with political repression.
> He argues that, with the means for production under the auspices of the government, it is nearly impossible for real dissent and exchange of ideas to exist. Additionally, economic freedom is important, since any "bi-laterally voluntary and informed" transaction must benefit both parties to the transaction.
So for example, if something like free speech is limited, economic transactions are no longer free if either side has limited information. Or if you are investing money and the government has manipulated public perception about the market or the economy itself, there is a hazard.
> In Capitalism and Freedom (1962), Friedman developed the argument that economic freedom, while itself an extremely important component of total freedom, is also a necessary condition for political freedom. He commented that centralized control of economic activities was always accompanied with political repression.
> He argues that, with the means for production under the auspices of the government, it is nearly impossible for real dissent and exchange of ideas to exist. Additionally, economic freedom is important, since any "bi-laterally voluntary and informed" transaction must benefit both parties to the transaction.
http://en.wikipedia.org/wiki/Capitalism_and_Freedom
So for example, if something like free speech is limited, economic transactions are no longer free if either side has limited information. Or if you are investing money and the government has manipulated public perception about the market or the economy itself, there is a hazard.