Institute of Economic Affairs

This article is part of the Tobacco portal on Sourcewatch funded from 2006 - 2009 by the American Legacy Foundation.

The Institute of Economic Affairs (IEA) is a London-based, influential, right-wing think tank. It is part of a very wide international network of similar organisations, offering financial, operational and strategic support to a large number of these. IEA is an "associate member of the State Policy Network (SPN) and among many other groups, via its founders Antony Fisher, Ralph Harris, Oliver Smedley and Arthur Seldon, it spawned the Atlas Economic Research Foundation, the University of Buckingham, and the International Policy Network, which the IEA appears to fund and run directly. Members of the IEA founded the Centre for Research into Post-Communist Economies in 1983.

The IEA enjoyed its highest influence during the right-wing Tory administration of Margaret Thatcher. Milton Friedman believes the IEA's intellectual influence was so strong that "the U-turn in British policy executed by Margaret Thatcher owes more to him (i.e., Fisher) than any other individual.

The IEA describes itself as, "the UK’s original free-market think-tank, founded in 1955. Our mission is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems" IEA is also a global partner of the Atlas Network.

Associated Organisations (past and present)

U.K. and Europe

• Mont Pelerin Society - runs the Davos Conference of libertarians in Switzerland each year.
• Le Cercle
• Ludwig von Mises Institute
• International Policy Network
• State Policy Network (UK and USA)

UK tobacco/lobbying organisations

• FOREST - Freedom Organisation for the Right to Enjoy Smoking Tobacco (run for the tobacco industry by Lord Harris of High Cross (Ralph Harris) and Stephen Eyers
• ESEF - European Science & Environment Forum (run by Roger Bate for Philip Morris)
• Social Affairs Unit (SAU) run for any corporation with the funding by Digby Anderson.

USA - the main nodes in libertarian network

• Atlas Economic Research Foundation (one of the first US think-tanks founded by Fisher)
• Atlas Network (aka Atlas Group network) which links together the hundreds of libertarian think-tanks around the world
• Pacific Research Institute (one of the first US think-tanks founded by Fisher) - now a primary node in the network
• Coalition on Human Needs (CHN) (one of the first US think-tanks founded by Fisher) it has over 100 organisations in the coalition
• Fraser Institute (the Canadian think-tank first used by Fisher)

State Policy Network

SPN is a web of right-wing “think tanks” and tax-exempt organizations in 48 states, Washington, D.C., Puerto Rico, and the United Kingdom. As of June 2024, SPN's membership totals 167. Today's SPN is the tip of the spear of far-right, nationally funded policy agenda in the states that undergirds extremists in the Republican Party. SPN Executive Director Tracie Sharp told the Wall Street Journal in 2017 that the revenue of the combined groups was some $80 million, but a 2022 analysis of SPN's main members IRS filings by the Center for Media and Democracy shows that the combined revenue is over $152 million. Although SPN's member organizations claim to be nonpartisan and independent, the Center for Media and Democracy's in-depth investigation, "EXPOSED: The State Policy Network -- The Powerful Right-Wing Network Helping to Hijack State Politics and Government," reveals that SPN and its member think tanks are major drivers of the right-wing, American Legislative Exchange Council (ALEC)-backed corporate agenda in state houses nationwide, with deep ties to the Koch brothers and the national right-wing network of funders.

In response to CMD's report, SPN Executive Director Tracie Sharp told national and statehouse reporters that SPN affiliates are "fiercely independent." Later the same week, however, The New Yorker's Jane Mayer caught Sharp in a contradiction. In her article, "Is IKEA the New Model for the Conservative Movement?," the Pulitzer-nominated reporter revealed that, in a recent meeting behind closed doors with the heads of SPN affiliates around the country, Sharp "compared the organization’s model to that of the giant global chain IKEA." She reportedly said that SPN "would provide 'the raw materials,' along with the 'services' needed to assemble the products. Rather than acting like passive customers who buy finished products, she wanted each state group to show the enterprise and creativity needed to assemble the parts in their home states. 'Pick what you need,' she said, 'and customize it for what works best for you.'" Not only that, but Sharp "also acknowledged privately to the members that the organization's often anonymous donors frequently shape the agenda. 'The grants are driven by donor intent,' she told the gathered think-tank heads. She added that, often, 'the donors have a very specific idea of what they want to happen.'"

A set of coordinated fundraising proposals obtained and released by The Guardian in early December 2013 confirm many of these SPN members' intent to change state laws and policies, referring to "advancing model legislation" and "candidate briefings." These activities "arguably cross the line into lobbying," The Guardian notes.

News

In 2014, the IEA received the Atlas Network’s 2014 Sir Antony Fisher International Memorial Award for the book,"Foundations of a Free Society" by Eamonn Butler.

History

In 1945 Antony Fisher went to the London School of Economics to see F. A. Hayek. Fisher shared Hayek's belief in the dangers growing government power presented for the future. He was determined to embark on a political and parliamentary career in order to shift discussion and policy away from the prevailing consensus on planning and Keynesian economics. Hayek dissuaded Fisher from politics by arguing that the decisive influence in the battle of ideas rested with intellectuals, and hence, the way forward would be to establish a body which could engage in research and influence 'intellectual' opinion in order to win over the opinion of those in the universities, the schools and the media.

Ten years after that initial meeting with Hayek, Fisher was financially in a position to create the research institute they had discussed. Ralph Harris [later appointed Lord Harris] and Arthur Seldon were instrumental in establishing the IEA.

The IEA's goal is to explain free-market ideas to the public, including politicians, students, journalists, businessmen, academics and anyone interested in public policy.

The core belief of free-marketeers is that people should be free to do what they want in life as long as they don't harm anyone else. On the whole, society's problems and challenges are best dealt with by people and companies interacting with each other freely, without interference from politicians and the State. This means that government action, whether through taxes, regulation or laws, should be kept to a minimum. IEA authors and speakers are therefore always on the lookout for ways of reducing the government's role in our lives.

The IEA's main activity is a programme of researching and publishing books (up to 20 a year) and a quarterly journal on various public policy issues. The IEA usually commissions outside authors to do the work, though some is done in-house by IEA staffers. The IEA holds an extensive series of conferences, seminars, lectures and working lunches to discuss its themes (50-80 events a year). There is also a student outreach programme.

The IEA is a registered educational and research charity. As such it is entirely funded by voluntary donations from individuals, companies and foundations who want to support its work, plus income from book sales and conferences. It does no contract work, accepts no money from government and is independent of any political party.

Gerald Frost's book, ANTONY FISHER: Champion of Liberty. provides an historical overview of the Institute of Economic Affairs.

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Publications

The Institute of Economic Affairs features several publications on their website, including:

• Research Articles
• Co-Published Books
• Economic Affairs, Journal of the Institute of Economic Affairs
• EA Magazine

Specialized Projects:

• Brexit Unit
• The Shadow Monetary Policy Committee (SMPC)
• The Paragon Initiative
• EPICENTER, the European Policy Information Center

Funding

Between 1996 and 2013, the Institute of Economic Affairs (IEA) received $1,409,096 in donations.

Top Donors:

• Earhart Foundation - $1,044,796
• Pierre F. and Enid Goodrich Foundation - $190,000
• John Templeton Foundation - $131,900
• Lynde and Harry Bradley Foundation - $22,400
• Roe Foundation - $20,000

The IEA also received $596,540 through the American Friends of the Institute of Economic Affairs between 1996 and 2013.

Top Donors:

• DonorsTrust - $284,900
• Chase Foundation of Virginia - $145,140
• Lovett and Ruth Peters Foundation - $99,000
• Exxon Mobil - $50,000
• Aequus Institute - $10,000
• Atlas Economic Research Foundation - $7,500

Core Financials

2015

• Incoming Resources: £1,693,000
• Total Resources Expended: £2,132,000
• Net Reduction of Funds: £258,000

2014

• Incoming Resources: £1,922,000
• Total Resources Expended: £2,408,000
• Net Resources Expended: £486,000

2013

• Incoming Resources: £1,527,000
• Total Resources Expended: £1,566,000
• Net Resources Expended: £39,000

2012

• Incoming Resources: £1,059,000
• Total Resources Expended: £1,194,000
• Net Resources Expended: £135,000

2011

• Incoming Resources: £1,020,000
• Total Resources Expended: £1,178,000
• Net Resources Expended: £158,000

American Friends of the Institute of Economic Affairs 2015

• Total Revenue: $163,731
• Total Expenses: $167,060
• Net Assets: $12,248

American Friends of the Institute of Economic Affairs 2014

• Total Revenue: $60,338
• Total Expenses: $176,025
• Net Assets: $3,221

American Friends of the Institute of Economic Affairs 2013

• Total Revenue: $112,941
• Total Expenses: $800
• Net Assets: $112,485

American Friends of the Institute of Economic Affairs 2012

• Total Revenue: $75,100
• Total Expenses: $83,241
• Net Assets: $344

American Friends of the Institute of Economic Affairs 2011

• Total Revenue: $35,600
• Total Expenses: $725
• Net Assets: $58,485

Personnel

Director General's Office

• Mark Littlewood, Director General
• Sam Collins, Policy Advisor to Mark Littlewood

Academic and Research Department

• Jamie Whyte, Research Director
• Dr. Richard Wellings, Deputy Research Director & Head of Transport
• Dr. Stephen Davies, Head of Education
• Julian Jessop, Chief Economist
• Dr. Kristian Niemietz, Head of Health and Welfare
• Christopher Snowdon, Head of Lifestyle Economics
• Terry Barnes, Lifestyle Economics Fellow
• Professor Philip Booth, Senior Academic Fellow
• Len Shackleton, Editorial and Research Fellow
• Diego Zuluaga, Financial Services Research Fellow and Head of Research, EPICENTER

Communications Department

• Stephanie Lis, Director of Communications
• Nerissa Chesterfield, Communications Officer, Media
• Chloe Mingay, Communications Officer, Public Affairs

Programmes Department

• Christiana Stewart-Lockhart, Director of Programmes
• Adam Bartha, Events & Outreach Officer, EPICENTER; Programmes Assistant, IEA
• Giovanni Caccavello, EPICENTER Research Fellow
• Sophie Sandor, Programmes Manager

Creative, Marketing and Development Department

• Glynn Brailsford, Managing Director
• Kate Andrews, News Editor
• Madeline Grant, Digital Officer
• Ellie Weston, Graphic Designer
• Angela Harbutt, Development Director
• Declan Pang, Development Manager
• Amy Horscroft, Development Officer
• Morgan Schondelmeier, Development Officer

Operations Department

• Clare Rusbridge, Office Manager and Company Secretary
• Christian Killoughery, Operations Officer

Trustees

• Neil Record, Chairman
• Kevin Bell
• Robert Boyd
• Sir Michael Hintze
• Professor Patrick Minford
• Professor Mark Pennington
• Bruno Prior
• Professor Martin Ricketts
• Robin Edwards
• Linda Whetstone
• Lord Nigel Vinson, Life Vice President and former Chair of the IEA Board of Trustees
• Professor D.R. Myddelton, Life Vice President and Former Chair of the IEA Board of Trustees

Advisory Council Members

• Robin Edwards, Chairman
• Lord Jamie Borwick
• Alex Deane
• Linda Edwards
• Lord Howard Flight
• Tom Harris
• Tessa Keswick
• John Longworth
• Christian May
• Jon Moynihan OBE
• Neil Record
• Alexander Temerko
• Lord Nigel Vinson
• Linda Whetstone

Former Personnel:

• Ralph Harris Founder President
• John Blundell Director General,
• Roger Bate Environment and Technology
• Julian Morris Environment and Technology
• James Tooley Education
• Richard D North Media Fellow
• Christine Blundell
• Colin Robinson, Editorial Director
• Clare Batty, Company Secretary
• Anne Colyer, Editorial Secretary
• Melissa Davis, Communications Manager/Press Officer
• Tom Miers, Development Director
• Adam Myers, Director of Marketing & Subscriptions
• Lisa MacLellan, Manager of Environment Unit
• Baron Vinson, former chair

Contact information

CHARITY NO. CC/235 351

Institute of Economic Affairs
2 Lord North Street (entrance on Great Peter Street)
Westminster
London
SW1P 3LB

Phone: 020 7799 8900
Website: https://iea.org.uk/
Blog: https://iea.org.uk/blog/
Facebook: https://www.facebook.com/ieauk/
Twitter: https://twitter.com/iealondon

External Articles

• Martin Morse Wooster, "Liberty's Quiet Champion", Philanthropy Magazine, July/August 2003.
• Richard Cockett, ''Thinking the unthinkable: think-tanks and the economic counter-revolution, 1931-1983'', Fontana Press, 1994. ISBN: 978-0006375869