Nobel Prize-winning economist Milton Friedman (1912-2006) argued that the philosophy of the free market is key to preserving freedom—political, economic, and social. Free-market principles don’t just apply to business and entrepreneurship; they shape how individuals engage and interact in everyday life. At its core, the free market empowers people to cooperate voluntarily, without coercion or centralized direction. It is the driving force behind movements that aim to expand freedom and prosperity in Louisiana and our country. So, what exactly is the free market—and what does it mean for Louisiana?

Living in society requires cooperation with others. The free market enables that cooperation by allowing individuals to pursue their interests in ways that also benefit others. Often, self-interest is a motivating factor—but that’s not necessarily a bad thing. Consider a neighborhood resident who regularly volunteers to help maintain the local park—planting flowers, picking up trash, and organizing clean-up days. This is an example of “self-interest well understood.” By improving the park, the resident not only enhances their own surroundings but also helps increase property values, reduce crime, and foster a stronger sense of community. Their actions build social capital and contribute to the public good—all without being mandated by the government. The French observer Alexis de Tocqueville (1805-1859) recognized this dynamic as central to American democracy. The free market puts it into practice, encouraging mutual cooperation through voluntary action.

This idea also applies to public policy. When applied at the state level, free-market values provide a roadmap for reform that puts people first. In Louisiana, embracing these values means tackling a number of long-standing structural challenges.

Tax Reform

Louisiana’s tax system is overly complex and uncompetitive, with a patchwork of exemptions and carve-outs that benefit special interests rather than everyday citizens. The Pelican State’s combined local and state sales tax rate still ranks the highest in the nation. A truly free market doesn’t allow government to pick winners and losers. Reforming the tax code by reducing exemptions and broadening the base would allow for lower rates across the board. Eliminating the state personal income tax—to mirror more economically competitive states like Florida and Texas—would make Louisiana a more attractive place to live, work, and invest.

State Spending Discipline

Tax reform must be accompanied by smart spending and prioritizing. Louisiana has long struggled with a spending problem, where bloated budgets fail to produce meaningful outcomes. Local governments and non-governmental organizations have also come to rely on the state as an annual funder, so long as their lawmakers remain in good standing with leadership. Eliminating this practice and establishing a government growth limit that ties spending to inflation and population growth would help keep Louisiana’s budget in check—with what taxpayers can afford—and ensure fiscal responsibility. It would also protect taxpayers from being saddled with unsustainable debt and unfunded obligations.

Labor and Workforce Freedom

A dynamic economy needs a flexible workforce. Outdated regulations and labor mandates hold Louisianans back. Strengthening right-to-work laws ensures that no worker is forced to join, fund, or remain in a union. Repealing unnecessary occupational licenses—such as those for hair braiding or interior design—opens the door to entrepreneurship, especially for low-income individuals. The right to earn a living should not depend on permission slips from the government.

School Choice and Education Freedom

Finally, a robust education for children is foundational to a prosperous society. Every child is unique, and a one-size-fits-all education system doesn’t meet every child’s needs or those of their family. A free market in education empowers parents to choose the best learning environment for their children. School choice—through Education Savings Accounts (ESAs), scholarships, charter schools, and a la carte options leveraging a growing marketplace of educational providers—drives improvement through competition. Louisiana’s new LA GATOR program, although underfunded this year, is a step in the right direction.

Government as Umpire

We acknowledge that government has a role to play in the free market: it must ensure that all actors are playing by the rules of the game. It has the authority to maintain order and prevent individuals from causing harm to one another while allowing for healthy competition that drives development. However, it has obligations to transparency and accountability so that it may not become coercive and distort the market.

Allowing free-market principles to guide public policy in Louisiana is the surest path to freedom, innovation, and long-term prosperity. By embracing these values, Louisiana can become a model for reform—proving that limited government, personal responsibility, and economic opportunity lead to stronger communities and a brighter future. The power to drive this change rests with the people of our state. Let’s seize the moment—and make it happen.