How does one invest in ideas? Fortunately, a superbly effective vehicle to do that has emerged in recent years – the public policy research institute, or "think tank." Dozens of them are springing up all over America. They are the futures markets of the idea business – where one can hedge against unfavorable shifts in opinion and policy.
Until recently, the think tank market was dominated by those whose ideological persuasion could be described as "interventionist." They turned out studies, commentaries, and reams of other documents and held conferences and seminars intended to provide intellectual thrust and justification for bigger government, more public spending, and new regulation of private enterprise. Far from helping, such policies closed the doors of opportunity for millions of Americans hoping to find employment or pursue their dreams as entrepreneurs.
The 1970s and 1980s, however, produced a burst of diversity and the rise of "free market" think tanks. First to arrive were those on the national scene, devoted to making the case for "less government" policy alternatives in Washington. Much of the inspiration and intellectual grist for the tax and spending cuts of the Reagan years came from the scholars and thinkers at these research institutes.
An even newer, more "grass roots" dimension of the free market think tank phenomenon is taking shape now in the states. Groups committed to advancing a free market perspective on issues at the state level are springing up from coast to coast – at least 40 at last count.
The issues these groups are moving to the front burner of public discussion include educational choice, tort reform, privatization, economic development, streamlining government, environmental quality, deregulation, and labor law reform. Through their publications and programs, they are getting their free market message across to the media, to legislators, to educators, and to the public at large – injecting a refreshing and much–needed antidote to what used to be an "interventionist" viewpoint monopoly in many state capitals.