The Institute of Economic Affairs

One of the most impressive examples of the dissemination of ideology through educational activities has been performed by the UK- based Institute of Economic Affairs (IEA), founded in 1955. Dedicated to the idea of free-markets the IEA from the beginning saw the "education" of the public as a key element in the distribution of their ideology. "The philosophy of the market economy must be widely accepted; this requires a large programme of education ..."

Aiming at the wide acceptance of their ideas, the IEA undertook an extensive publishing program with the objective to make the fairly complex concepts of economic liberalism and monetarism available to a student or sixth-form audience. In the 1960s IEA papers normally reached the hands of students through the university Conservative Associations.

The work that the IEA did in this field reaped a rich harvest during the 1970s and 1980s, as many of the younger political activists who staffed the various free-market think-tanks, such as the Center for Policy Studies, the Freedom Association an the Selsdon Group, received their education from the IEA. Especially at St. Andrews university, where Ralph Harris, the first director of the IEA, had been a lecturer, the IEA ideas had a strong impact. St. Andrews over the years did not only produce a generation of free-market Conservative MPs (Member of Parliament), but also influenced former St. Andrews students like Stuart and Eamonn Butler and Madsen Pirie, who went to set up the Adam Smith Institute (ASI) in London in 1976.

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Funding Sources and Revenues

While most progressive think tanks acquire their funding through many different sources, for conservative think tanks financing by corporations prevails. Among the think tanks receiving a considerable amount of corporate money are the Cato Institute (U.S. conservative/libertarian), the Brookings Institution (U.S. centrist), the Heritage Foundation (U.S. conservative), the American Enterprise Institute (U.S. conservative) and the Competitive Enterprise Institute (U.S. conservative).

Also, whereas the combined revenue base of such conservative multi-issue policy institutions as the Heritage Foundation, the American Enterprise Institute, Free Congress Research and Education Foundation, the Cato Institute, and Citizens for a Sound Economy exceeded US$ 77 million in 1995, the roughly equivalent U.S. progressive Institute for Policy Studies, the Economic Policy Institute, Citizens for Tax Justice, and the Center for Budget and Policy Priorities had only US$ 9 million at their collective disposal in 1995.

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Major U.S. Think Tanks: RAND Corporation

In 1948 RAND was created at the urging of its original sponsor, the Air Force. After World War II, RAND focused especially on research in national security. Today RAND operates on a broad front, making its research available to public policy makers at all levels, private sector leaders in many industries, and the public at large. RANDs research and analysis aims to: provide practical guidance by making policy choices clear and by addressing barriers to policy implementation; develop solutions to complex problems by bringing researchers in all relevant academic specialities; dissemination of research findings. RAND has more than 500 employees.

Official Organizational Status: Independent Institute

Political Orientation: U.S. Center-right

Scope/Research Areas: RAND specializes in: Foreign relations and diplomacy, security and defense, economic issues, regional studies, science sand technology, labor and human resource development, social issues, education and health and welfare.

Funding Sources: 1998 Budget: US$ 113.5 million. National, local and state government (83 %) and private donations (17 %).

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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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Table: Publishing Programs of Think Tanks



Think Tank

Periodicals

Publication of Research Findings

Brookings Institution (Washington D.C., US)

Brookings Review, Brookings Papers on Economic Activities

Recent titles include: Hess, Frederick M.: Spinning Wheels. The Politics of Urban School Reform. (1998). Haass, Richard N.: The Bureaucratic Entrepreneur. How to be Effective in Any Unruly Organization. (1998).

Heritage Foundation (Washington D.C., US)

Policy Review

Publication of journals, newsletters, magazines, research reports, policy/issue briefs, video, CD-ROM, website.
Recent publications include: Holmes, K. and J. J. Przystup: Between Diplomacy and Deterrence. Strategies for U.S. Relations with China. (1997). Holmes, K. and T. Moore (eds.): Restoring American Leadership. (1996).

American Enterprise Institute (Washington D.C., US)

The American Enterprise, Newsletter

Types of publications are newsletters, magazines, monographs and books.
Recent titles include: Income Inequality and IQ. (1998). Morrisey, Michael (ed.): Managed Care and Changing Health Care Markets. (1998).

Cato Institute (Washington D.C., US)

Regulation, Cato Journal, Policy Report

Research findings are published in the form of: journals, newsletters, magazines, research reports, monographs and policy/issue briefs.
Some recent publications include: Moore, Thomas: Gale Climate of Fear. Why We Shouldn't Worry About Global Warming. (1998). Carpenter, T. G. and B. Conry (eds.): NATO Enlargement. Illusions and Reality. (1998).

RAND Corporation (Santa Monica, CA, US)

RAND Research Review, RAND Journal of Economics

Types of publications are journals, newsletters, magazines, research reports, working/discussion papers, monographs and policy/issue briefs. An important outlet is the RAND publication series. In 1997, RAND published 73 reports and papers in this series. Many RAND studies also appear as books from commercial publishing houses and university presses, and as articles in professional, scholarly, and technical journals.

Institute of Economic Affairs (London, UK)

Economic Affairs, Newsletter

Research findings are published in the form of journals, newsletters, magazines, research reports, working/discussion papers and monographs. Some recent titles include: Regulation Utilities. Broadening the Debate . (1997). The Conservative Government's Economic Record. (1998).

Adam Smith Institute (London, UK)

ASI Bulletin

Some recent publications are: Singapore versus Chile. Competing models for welfare reform. The Eastern Market. The Future of the Post-Communist Countries.

Center for Policy Studies (London, UK)

CPS Newsletter

Types of publications are newsletters, magazines, research reports and policy/issue briefs. Recent titles include: Selbourne, David: One Year On. The "New Politics" of Labour. Eltis, Walter: Further Considerations on EMU. It will Create Instability and Destroy Employment.



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Media Relations

Another difference that can be noted between right and left-wing think tanks concerns their media appearance and media relations. While in 1997 53 % of the U.S. media references made to think tanks involved conservative institutions, progressive think tanks accounted for only16 % of the media citations made to think tanks (32 % centrist institutions). This suggests that the media agenda is markedly influenced by conservative issues and ideology, and therefore leads to a considerable imbalance within the spectrum of political views.

On the other hand the financial resources of right- and left- wing media associated with think tanks also differ appreciably. While conservative foundations provided US$ 2,734,263 to four right-of-center magazines between 1990 and 1993 including The National Interest, The Public Interest, The New Criterion, and The American Spectator, over the same time period four left-of-center publications, namely The Nation, The Progressive, In These Times, and Mother Jones received only US$ 269,500 from foundations.

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Major U.S. Think Tanks: Heritage Foundation

Heritage was started to counter what it perceived as the liberal intellectual climate of Washington in the 1970s. The Heritage Foundations mission is to formulate and promote conservative public policies based on the principles of free enterprise, limited government, individual freedom, traditional American values, and a strong national defense. Heritage pursues this mission by performing research addressing key policy issues and effectively marketing these findings to its primary audiences: members of Congress, key congressional staff, policymakers in the executive branch, the nation's news media, and the academic and policy communities.

Official Organizational Status: Independent research and educational institute.

Political Orientation: U.S. Conservative

Scope/Research Areas: The Heritage Foundation's research areas include: economic issues, health and welfare, education, culture and religion, security and defense, foreign policy and international relations/institutions. Priority is given to issues, such as: Social Security reform, fundamental tax reform, livable cities, ballistic missile defense, education reform, domestic and economic policy and foreign and defense policy. Recent publications include: Feulner, Edwin J.: The March of Freedom. (1998). Holmes, K. et.al.: 1999 Index of Economic Freedom. (1998).

Funding Sources: 1998 Budget: US$ 26 million. Private donations (47 %), foundations (21 %), investment income (21 %), corporate donations (4 %). Among others US$ 1 million from the Korea Foundation - funded by South Korea's foreign ministry.

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Educational Programs

As the dissemination of ideologies and ideas is crucial to think tanks they apply different strategies to reach as many audiences as possible. Therefore also the concept of education plays an important role. Educational and training programs are aimed at the influencers and future influencers of public opinion and shall lead to the acceptance of think tanks respective social, economical and political ideas. The label "educational activities" thus very often stands for nothing less than the dissemination of ideology.

Most think tanks regularly organize conferences, symposia and seminars to deliver their findings and ideas to a broader audience. RAND for example also runs a Ph.D. program at its Graduate School.

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Conservative vs. Progressive Think Tanks

The political orientation of think tanks is as broad as in every other kind of institutions or organizations. It ranges from conservative over centrist to progressive. Still it can be noted, that there are considerable differences between the right and the left wing of think tanks, especially concerning funding sources and revenues as well as media relations, which have considerable consequences on their perception and influence on the public as well as on policy makers.

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Ron Rivest

Ronald L. Rivest is Webster Professor of Electrical Engineering and Computer Science in MIT's EECS Department. He was one of three persons in a team to invent the RSA public-key cryptosystem. The co-authors were Adi Shamir and Leonard M. Adleman.

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Galileo Galilee

Galileo Galilee (1564-1642), the Italian Mathematician and Physicist is called the father of Enlightenment. He proofed the laws of the free fall, improved the technique for the telescope and so on. Galilee is still famous for his fights against the Catholic Church. He published his writings in Italian instead of writing in Latin. Like this, everybody could understand him, which made him popular. As he did not stop talking about the world as a ball (the Heliocentric World System) instead of a disk, the Inquisition put him on trial twice and forbid him to go on working on his experiments.

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Robot

Robot relates to any automatically operated machine that replaces human effort, though it may not resemble human beings in appearance or perform functions in a humanlike manner. The term is derived from the Czech word robota, meaning "forced labor." Modern use of the term stems from the play R.U.R., written in 1920 by the Czech author Karel Capek, which depicts society as having become dependent on mechanical workers called robots that are capable of doing any kind of mental or physical work. Modern robot devices descend through two distinct lines of development--the early automation, essentially mechanical toys, and the successive innovations and refinements introduced in the development of industrial machinery.

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RSA

The best known of the two-key cryptosystems developed in the mid-1980s is the Rivest-Shamir-Adleman (RSA) cryptoalgorithm, which was first published in April, 1977. Since that time, the algorithm has been employed in the most widely-used Internet electronic communications encryption program, Pretty Good Privacy (PGP). It is also employed in both the Netscape Navigator and Microsoft Explorer web browsing programs in their implementations of the Secure Sockets Layer (SSL), and by Mastercard and VISA in the Secure Electronic Transactions (SET) protocol for credit card transactions.

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MIT

The MIT (Massachusetts Institute of Technology) is a privately controlled coeducational institution of higher learning famous for its scientific and technological training and research. It was chartered by the state of Massachusetts in 1861 and became a land-grant college in 1863. During the 1930s and 1940s the institute evolved from a well-regarded technical school into an internationally known center for scientific and technical research. In the days of the Great Depression, its faculty established prominent research centers in a number of fields, most notably analog computing (led by Vannevar Bush) and aeronautics (led by Charles Stark Draper). During World War II, MIT administered the Radiation Laboratory, which became the nation's leading center for radar research and development, as well as other military laboratories. After the war, MIT continued to maintain strong ties with military and corporate patrons, who supported basic and applied research in the physical sciences, computing, aerospace, and engineering. MIT has numerous research centers and laboratories. Among its facilities are a nuclear reactor, a computation center, geophysical and astrophysical observatories, a linear accelerator, a space research center, supersonic wind tunnels, an artificial intelligence laboratory, a center for cognitive science, and an international studies center. MIT's library system is extensive and includes a number of specialized libraries; there are also several museums.

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Gottfried Wilhelm von Leibniz

b. July 1, 1646, Leipzig
d. November 14, 1716, Hannover, Hanover

German philosopher, mathematician, and political adviser, important both as a metaphysician and as a logician and distinguished also for his independent invention of the differential and integral calculus. 1661, he entered the University of Leipzig as a law student; there he came into contact with the thought of men who had revolutionized science and philosophy--men such as Galileo, Francis Bacon, Thomas Hobbes, and René Descartes. In 1666 he wrote De Arte Combinatoria ("On the Art of Combination"), in which he formulated a model that is the theoretical ancestor of some modern computers.

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cryptology

also called "the study of code". It includes both, cryptography and cryptoanalysis

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Automation

Automation is concerned with the application of machines to tasks once performed by humans or, increasingly, to tasks that would otherwise be impossible. Although the term mechanization is often used to refer to the simple replacement of human labor by machines, automation generally implies the integration of machines into a self-governing system. Automation has revolutionized those areas in which it has been introduced, and there is scarcely an aspect of modern life that has been unaffected by it. Nearly all industrial installations of automation, and in particular robotics, involve a replacement of human labor by an automated system. Therefore, one of the direct effects of automation in factory operations is the dislocation of human labor from the workplace. The long-term effects of automation on employment and unemployment rates are debatable. Most studies in this area have been controversial and inconclusive. As of the early 1990s, there were fewer than 100,000 robots installed in American factories, compared with a total work force of more than 100 million persons, about 20 million of whom work in factories.

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Blaise Pascal

b. June 19, 1623, Clermont-Ferrand, France
d. August 19, 1662, Paris, France

French mathematician, physicist, religious philosopher, and master of prose. He laid the foundation for the modern theory of probabilities, formulated what came to be known as Pascal's law of pressure, and propagated a religious doctrine that taught the experience of God through the heart rather than through reason. The establishment of his principle of intuitionism had an impact on such later philosophers as Jean-Jacques Rousseau and Henri Bergson and also on the Existentialists.

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PGP

A cryptographic software application that was developed by Phil Zimmerman at the Massachusetts Institute of Technology. Pretty Good Privacy (PGP) is a cryptographic product family that enables people to securely exchange messages, and to secure files, disk volumes and network connections with both privacy and strong authentication.

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IBM

IBM (International Business Machines Corporation) manufactures and develops cumputer hardware equipment, application and sysem software, and related equipment.

IBM produced the first PC (Personal Computer), and its decision to make Microsoft DOS the standard operating system initiated Microsoft's rise to global dominance in PC software.

Business indicators:

1999 Sales: $ 86,548 (+ 7,2 % from 1998)

Market capitalization: $ 181 bn

Employees: approx. 291,000

Corporate website: www.ibm.com

http://www.ibm.com/
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