Abstract
Prosperity comes from growth. But growth can also be harmful. For example, when growth becomes an end in itself, to which other values are subordinated. That is why there are regular calls to limit growth. But how is this demand compatible with the idea of individual freedom, the development of which is ultimately the engine of economic development? Freedom has its limits where third parties are harmed. A good system ensures that rules are established and enforced in cases of undesirable harm, so that economic actors can rely sufficiently on non-harm. Good boundaries, therefore, generate good growth, i.e. growth that does not harm anyone. How narrow, strict and controlling these boundaries need to be – or, in other words, how much bureaucracy is required – depends not least on how respectfully people treat each other.