The Microsoft Case

Shortly after Microsoft was faced with federal antitrust charges, full-page newspaper ads supporting Microsoft's claim of innocence were run by the Independent Institute. The ads took the form of a letter signed by 240 academic experts and purported to be a scholarly, unbiased view of why the government had gone overboard in its case against the company. According to an article published in the New York Times, Microsoft had not paid for the ads, but was in fact the single largest donor to the Independent Institute, a conservative organization, that has been a leading defender of the company since it first came under fire from federal prosecutors.

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Think Tanks and Corporate Money

Looking at the financial situation of think tanks, different funding patterns can be found. While financial contributions from foundations play an important role especially for conservative think tanks, also contributions from governments are made to certain institutions. Yet one of the most important funding sources are corporate donors and individual contributors. Although the extent to which - in most cases conservative - think tanks rely on corporate funding varies, from the US$ 158 million spent by the top 20 conservative think tanks, more than half of it was contributed by corporations or businessmen.

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Major U.S. Think Tanks: Cato Institute

Founded in 1977, the institute is named for Cato's Letters, libertarian pamphlets that were widely read in the American Colonies since the early 18th century and played a major role in laying the philosophical foundation for the American Revolution. Cato is a public policy research foundation seeking to "broaden the parameters of public policy debate" to allow consideration of more options that are consistent with the traditional American principles of limited government, individual liberty, free markets and a special focus on deregulation issues.

In recent years, the Cato Institute has become one of the most cited and quoted think tanks in the U.S. news media, while also becoming a key resource for Republican leaders. Catos board of directors not only includes John C. Malone - president and CEO of Tele-Communicaitons Inc. (TCI), the largest cable operator in the United States - but, since autumn 1997, also media titan Rupert Murdoch.

Official Organizational Status: Independent Institute

Political Orientation: U.S. Conservative/Libertarian

Scope/Research Areas: Catos research areas include development studies, science and technology, economic issues, health and welfare, foreign relations and diplomacy. Priority issues are Social Security privatization, fundamental tax reform, limited constitutional government, free trade and term limits. Recent publications include: Kelley, David A.: Life of One's Own. Individual Rights and the Welfare State. (1998). Ferrara, P.J. and M. D. Tanner: A New Deal for Social Security. (1998).

Funding Sources: 1998 Budget US$ 11 million. Corporate and private donations (especially from corporations and executives in the highly regulated industries of financial services, telecommunications and pharmaceuticals industries) and sales of publications.

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Chase Manhattan

American holding company incorporated Jan. 22, 1969, to acquire, as its main
subsidiary, The Chase Manhattan Bank, NA, and to develop other related financial services and operations. The Chase Manhattan Bank itself had resulted from the merger in 1955 of the Bank of the Manhattan Company (founded 1799) and The Chase National Bank (founded 1877). Its headquarters are in New York City.

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Exxon

Formerly (until 1972) Standard Oil Company, Exxon is one of the world's largest corporations in terms of sales, with investments and operations in petroleum and natural gas, coal, nuclear fuels, chemicals, and such ores as copper, lead, and zinc. It also operates pipelines and one of the world's largest fleets of tankers and other ships. Exxon engages in every phase of the petroleum industry from oil fields to service stations. It is headquartered in Irving, Texas, a suburb of Dallas.

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COMECON

The Council for Mutual Economic Aid (COMECON) was set up in 1949 consisting of six East European countries: Bulgaria, Czechoslovakia, Hungary, Poland, Romania, and the USSR, followed later by the German Democratic Republic (1950), Mongolia (1962), Cuba (1972), and Vietnam (1978). Its aim was, to develop the member countries' economies on a complementary basis for the purpose of achieving self-sufficiency. In 1991, Comecon was replaced by the Organization for International Economic Cooperation.

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