Competitive Enterprise Institute

Competitive Enterprise Institute
CompetitiveEnterpriseInstitutelogo.png
Abbreviation CEI
Motto Free Markets and Limited Government
Formation 1984
Type Public Policy Think Tank
Headquarters 1899 L St NW,
Washington, DC 20036
Location Washington, D.C.
President Lawson Bader
Budget $ 4 million (2009) [1]
Website http://cei.org

The Competitive Enterprise Institute (CEI) is a non-profit American, libertarian think tank founded on March 9, 1984 in Washington, D.C. by Fred L. Smith, Jr that aims to advance economic liberty by fighting what it sees as excessive government regulation. CEI's stated belief is that people are best helped not by government regulation of commercial interests, but by a free marketplace in which entrepreneurship and innovation truly thrive. CEI states that it "promotes liberal ideals through analysis, education, coalition-building, advocacy," and when appropriate, "litigation."[2] CEI offers or has offered analysis and advocacy on public policy issues such as energy, environment, biotechnology, pharmaceutical regulation, chemical risk, telecommunications, insurance, transportation, tobacco regulation, constitutional issues, economic policy and securities law.[3] On November 1, 2012, CEI announced[4] the selection of a new president, Lawson Bader,[5] who began his new role in January, 2013. Bader was formerly a vice president at the Mercatus Center at George Mason University. Smith retains a role at CEI as chairman and as director of CEI's Center for Advancing Capitalism.[6]

General activityEdit

CEI consists of five centers: the Center for Advancing Capitalism, the Center for Economic Freedom, the Center for Energy and Environment, the Center for Law and Litigation, and the Center for Technology and Innovation.[7] CEI cites its major issues of concern as environmental policy, regulation and economic liberty, legal and constitutional matters, and health and safety. Among the methods used to implement the organization's agenda are various press releases and policy papers, testifying at governmental hearings, paid advertising, editorial and op-ed pieces, open letters, books, NGO operations, and "when appropriate," litigations. Their legal actions have included lawsuits challenging the constitutionality of statutes, interstate agreements, and onerous regulations, and suing government agencies to force the disclosure of public information.[8]

CEI's last television ad campaign (to date), entitled A Bright Future For Some,[9] focused on energy policy and global warming, criticizing policies advocated by former Vice President Al Gore. The CEI ad aired nation-wide in March and April, 2008.

Policy areasEdit

Environmental policyEdit

CEI promotes environmental policies based on limited government regulation and property rights. The organization's Center for Energy and Environment focuses on energy policy, chemical risk policy, Clean Air Act regulation, land and water regulation, the Endangered Species Act, and private conservation policies.

CEI is an outspoken anthropogenic climate change skeptic and an opponent of government action that would require limits on greenhouse gas emissions. It favors free-market environmentalism, and supports the idea that market institutions are more effective in protecting the environment than is government.

In March 1992, CEI’s founder Fred Smith said of anthropogenic climate change: "Most of the indications right now are it looks pretty good. Warmer winters, warmer nights, no effects during the day because of clouding, sounds to me like we’re moving to a more benign planet, more rain, richer, easier productivity to agriculture."[10]

In May 2006, CEI's global warming policy activities attracted attention as it embarked upon an ad campaign with two television commercials [10]. These ads promote carbon dioxide as a positive factor in the environment and argue that global warming is not a concern. One ad focuses on the message that CO2 is misrepresented as a pollutant, stating that "it’s essential to life. We breathe it out. Plants breathe it in... They call it pollution. We call it life."[11] The other states that the world's glaciers are "growing, not melting... getting thicker, not thinner."[11] It cites Science articles to support its claims. However, the editor for Science stated that the ad "misrepresents the conclusions of the two cited Science papers... by selective referencing". The author of the articles, Curt Davis, director of the Center for Geospatial Intelligence at the University of Missouri-Columbia, said CEI was misrepresenting his previous research to inflate their claims. "These television ads are a deliberate effort to confuse and mislead the public about the global warming debate," Davis said.[12]

In 2009, CEI's director of energy and global warming policy told The Washington Post, "The only thing that's been demonstrated to reduce emissions is economic collapse".[13]

Some of CEI's work on global warming policy includes:

  • Participating in and reporting on[14] the UNFCCC negotiations in Montreal as an NGO in December 2005.
  • A letter to the Archbishop of Canterbury in 2006, after the Archbishop urged Christians to take action to reduce greenhouse gas emissions. The CEI wrote that reducing these levels, even in "baby steps," would "result in the deaths of more people in the U.S. than global warming would worldwide."[15]
  • The book Blue Planet in Green Shackles: What is Endangered, Climate or Freedom?. Published in May 2008, it was written by Václav Klaus, President of the Czech Republic and keynote speaker at CEI's annual dinner in 2008. Klaus argues that the politics of global warming policy are about human freedom, not the environment.
  • The Cooler Heads Coalition, which operates the website globalwarming.org.[16] The chairman is Myron Ebell, the Director of CEI's Center for Energy and Environment.

In 2010, coincident with CEI's financial ills, the pace of CEI's work on climate change slowed significantly: national advertising campaigns ceased and, through the first half of the year, CEI's only studies on the topic were two letters written to regulators.[17]

Government regulationEdit

CEI uses think tank and advocacy methods to support activities in various areas, such as antitrust and government regulation, in matters including corporate welfare, Internet and E-Commerce, and Privacy and Security. They have written comments involving Corporate Average Fuel Economy (CAFE), rent control, the U.S. Food and Drug Administration (FDA) proposals, and the Federal Trade Commission (FTC). CEI publishes an annual report on the cost burden imposed by government regulations, entitled "10,000 Commandments: An Annual Snapshot of the Federal Regulatory State".[18]

On December 19, 2012, CEI released a "Regulatory Report Card" on the Environmental Protection Agency. The report, authored by Ryan Young, CEI Fellow in Regulatory Studies, attempts to assess the EPA’s regulatory activity and its impact on the U.S. economy.[19] The report estimates that regulations cost Americans $353 billion per year.

Legal and constitutionalEdit

CEI has also been active in the legal aspects of antitrust and government regulation. As part of its "Control Abuse of Power" (CAP) project,[20] CEI launched lawsuits challenging the constitutionality of the 1998 tobacco Master Settlement Agreement (MSA) and the Public Company Accounting Oversight Board (PCAOB), respectively. The project's web page has been dormant since 2008. The lawsuit challenging the MSA ended in March, 2011, when the United States Supreme Court declined to hear the case on appeal from the United States Court of Appeals for the Fifth Circuit.[21] The lawsuit challenging the constitutionality of the PCAOB, Free Enterprise Fund v. Public Company Accounting Oversight Board, reached the Supreme Court in 2010. On June 28, 2010, the court held, on a 5-4 vote, that the method through which PCAOB members are removed from the board violates the United States Constitution's separation of powers.

The Project on Technology & Innovation, now incorporated into the Center for Technology and Innovation, extends CEI's efforts into antitrust in high tech and network industries, privacy, e-commerce, intellectual property, and telecommunications.

In July 2012, CEI filed an amici curiae in support of a petition for writ of mandamus by the Electronic Privacy Information Center (EPIC), in an effort to compel the Transportation Security Administration to begin a court-ordered rulemaking proceeding on the agency's use of full-body scanners in airports. CEI was joined in this action by Robert Crandall, former Chairman and CEO of AMR Corporation and American Airlines, the National Association of Airline Passengers, Americans for Tax Reform’s Digital Liberty, Electronic Frontier Foundation, The Rutherford Institute, Center for Individual Freedom, Cyber Privacy Project, Center for Financial Privacy and Human Rights, and the Liberty Coalition.[22]

Also in July, 2012, CEI joined the State National Bank of Big Spring, Texas, and the 60 Plus Association as plaintiffs in a lawsuit challenging the constitutionality of provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The lawsuit, filed on July 21, 2012 in the U.S. District Court for the District of Columbia, asks the court to invalidate the law.[23] Plaintiffs argue that the law gives the federal government unprecedented, unchecked power. The lawsuit was amended on September 20, 2012 to include as plaintiffs the states of Oklahoma, South Carolina, and Michigan.[24] PDF The states are asking the court to review the constitutionality of the Orderly Liquidation Authority established under Title II of Dodd-Frank.

CEI has opposed a range of regulatory intervention into commercial activities including bans on alcohol advertising, fuel economy mandates and proposals to mitigate global warming. CEI supports constitutional checks over government's power over corporations.

Health and safetyEdit

CEI previously criticized health and safety regulation and argued through its Death by Regulation project that overregulation itself can be deadly. Previously, CEI has claimed that automotive downsizing due to federal fuel economy standards increased road accident deaths, and criticized the delayed availability of new medical therapies due to Food and Drug Administration rules. CEI scholars have also claimed that the health risks of secondhand smoke have not been adequately proven, and thus restrictions on smoking are unwarranted.[25]

CEI eventsEdit

Annual dinnerEdit

Every year CEI hosts an annual dinner gala and presents the Julian L. Simon Memorial Award. The Simon award honors the work of the late economist, winner of the Simon–Ehrlich wager.

Award winners include:

CEI projectsEdit

Warren T. Brookes Journalism FellowshipEdit

In 1991, CEI established the Warren T. Brookes Fellowship to identify and train journalists who wish to improve their knowledge of environmental issues and free market economics. In this manner, the program seeks to perpetuate the legacy of Warren Brookes, who was a longtime journalist with the Boston Herald and the Detroit News and a nationally syndicated columnist.

Former and current fellows:

1993-1994 Ronald Bailey
1994-1995 Michael Fumento
1995-1996 Michelle Malkin
1996-1997 James Bovard
1997-1998 Jesse Walker
1999-2000 Brian Doherty
2000-2001 Sean Paige
2001-2002 Eileen Ciesla-Norcross
2002-2003 Hugo Gurdon
2003-2004 Neil Hrab
2004-2005 John Berlau
2005-2006 Timothy Carney
2006-2007 Jeremy Lott
2007-2008 Lene Johansen
2008-2009 Silvia Santacruz
2009-2010 Ryan Young
2010-2011 Kathryn Ciano
2011-2012 Matt Patterson
2012-2013 Matthew Melchiorre
2013-2014 Bill Frezza

BureaucrashEdit

Bureaucrash was a special outreach and activist project of CEI, described as an international network of pro-freedom activists working to promote a political ideology based on personal and economic freedom. Bureaucrash conducted political activism using new media, creative marketing, and education campaigns. Bureaucrash maintained a website (bureaucrash.com) and a channel on YouTube, Bureaucrash TV,[26] which featured short videos on political topics. Begun as an independent organization, Bureaucrash was absorbed into CEI and, for a time, maintained full-time staff as part of CEI's staff. In mid-2010, coincident with CEI's financial ills, Bureaucrash transferred its only full-time staffer to an open position on CEI's communications staff leaving Bureaucrash itself without any full-time staff.

CEI StudiosEdit

CEI Studios was the organization's video project. It produced short-format videos on current public policy issues, from the 2008 financial crisis to flood insurance to global warming and many other topics. It stopped producing original videos in 2011, using its site instead as a repository for videos of CEI events and occasional TV appearances by CEI fellows.[27]

During 2011 and 2012, CEI released a series of short video commentaries called "Fred Weekly," with Fred L. Smith, Jr. addressing public policy topics such as the Law of the Sea Treaty,[28] regulation of oil refineries,[29] and "assaults on capitalism".[30] The "Fred Weekly" video series is posted to CEIondemand.org[31] and to the organization's YouTube channel.[32]

In November, 2012, CEI released an animated short film adaptation of "I, Pencil," an essay written by Leonard Read.[33] "I, Pencil" tells the story of the making of a pencil as a lesson in the economic concept of spontaneous order. The short film was produced and directed by Nick Tucker, and the screenplay was written by Nicole Woods Ciandella.

CEI staffEdit

GovernanceEdit

The organization is governed by a board of directors. The current board of directors consists of: Lawson Bader, Michael Gleba, W. Thomas Haynes, James R. Von Ehr, James Curley, Michael Greve, Todd J. Zywicki, Kerry Halferty Hardy, Jean Claude Gruffat, Fred Smith, Frances Smith (the wife of Fred L. Smith), Leonard Liggio (Member Emeritus), and Thomas Gale Moore (Member Emeritus).[34]

Scholars and affiliatesEdit

CEI lists its adjunct scholars as well as full and part-time staff members on its website and major area of responsibility on its website.[35] Some notable full-time staff working out of CEI's Washington, D.C. offices include:

  • Lawson Bader - President
  • Fred Smith (director) - Founder and Chairman
  • Wayne Crews - Director of CEI's Center for Technology and Innovation
  • Myron Ebell (since 1999) - Director of CEI's Center for Energy and Environment - specializes in climate change*
  • Sam Kazman General Counsel and Director of CEI's Center for Law and Litigation
  • Iain Murray - Director of CEI's Center for Economic Freedom

Other individuals affiliated with CEI include:

FundingEdit

CEI is funded by donations from individuals, foundations and corporations. Past and present funders include the Scaife Foundations, Exxon Mobil, the Ford Motor Company Fund, Pfizer, and the Earhart Foundation.[36]

CEI's revenues for the fiscal year ending 6/30/12 were $6,354,832 against expenses of $5,385,796; for the fiscal year ending 6/30/11 were $5,349,662 against expenses of $4,863,897. [37]

Salaries and benefits to its top employees were reported on its year-ending 6/30/12 tax return as:

  • Fred L. Smith, President, $236,300 salary, $11,710 benefits
  • C. Wayne Crews, Director of Tech, $161,500 salary, $10,137 benefits
  • Sam Kazman, General Counsel, $122,800 salary, $10,115 benefits

According to page nine of an undated, but prior to 2001 brochure from the CEI contained on the University of California, San Francisco's Legacy Tobacco Documents Library (LTDL), the following companies and foundations were among those listed as supporting CEI's work with annual contributions of at least $10,000, currently the CEI's "Entrepreneurs" level:

Aequus Institute, Amoco Foundation, Inc., Lynde and Harry Bradley Foundation, Coca-Cola Company, E.L. Craig Foundation, CSX Corporation, Earhart Foundation, Fieldstead and Co., FMC Foundation, Ford Motor Company Fund, Gilder Foundation, Koch Family Foundations (including the Charles G. Koch Charitable Foundation, David H. Koch Charitable Foundation, and Claude R. Lambe Charitable Foundation), Philip M. McKenna Foundation, Inc., Curtis and Edith Munson Foundation, Philip Morris Companies, Inc., Pfizer Inc., Precision Valve Corporation, Prince Foundation, Rodney Fund, Sheldon Rose, Scaife Foundations (Carthage Foundation and Sarah Scaife Foundation), and Texaco, Inc. (Texaco Foundation).

Other documents in the LTDL show that CEI has received funding directly from various tobacco companies.[38][39] For example, the listing on the Philip Morris Glossary of Names: C[40] gives the note "Received public policy grant from Philip Morris (1995); Pro-market public interest group dedicated to advancing the principles of free enterprise and limited government."

ExxonMobil Corporation was a major donor to CEI, with over $2 million in contributions between 1998 and 2005. In 2002, the company gave $405,000;[41] in 2004, it gave CEI $180,000 that was earmarked for "global climate change and global climate change outreach." [42] In 2006, the company announced that it had ended its funding for the group.[43]

United States IRS forms 990 for Competitive Enterprise Institute
Organization Name State Year Total Assets Form Pages EIN
Competitive Enterprise Institute - 2002

DC

2002

$1,466,817

990

17

52-1351785

Competitive Enterprise Institute - 2003

DC

2003

$1,957,912

990

30

52-1351785

Competitive Enterprise Institute - 2004

DC

2004

$1,801,154

990

18

52-1351785

Competitive Enterprise Institute - 2005

DC

2005

$1,865,080

990

18

52-1351785

Competitive Enterprise Institute - 2006

DC

2006

$2,182,380

990

19

52-1351785

Competitive Enterprise Institute - 2007

DC

2007

$2,144,222

990

22

52-1351785

Competitive Enterprise Institute - 2008

DC

2008

$2,736,320

990

23

52-1351785

Competitive Enterprise Institute - 2009

DC

2009

$2,125,439

990

40

52-1351785

Competitive Enterprise Institute - 2010

DC

2010

$2,063,906

990

40

52-1351785


Financial illsEdit

In late 2009, the Competitive Enterprise Institute reported a budget gap of at least $450,000[44] and the loss of its profitable Center for Risk, Regulation and Markets to The Heartland Institute. Shortly thereafter, CEI reported a year-over-year decline in its program spending, coupled with a large increase in its fundraising spending. As a result, the website Charity Navigator cut CEI's four star rating to two stars.[45] CEI also contracted its web presence significantly in the wake of its financial ills, leaving sites including controlabuseofpower.org, ethanolfacts.org, and enjoybottledwater.org dormant. In 2010, CEI's production of reports and papers dropped significantly. Whereas the think tank had produced 20 studies during the first six months of 2009, it produced only 10 during the first six months of 2010.[17]

ReferencesEdit

  1. ^ "Competitive Enterprise Institute on Charity Navigator". charitynavigator.org. Retrieved March 4, 2012. 
  2. ^ Self-description on National Survey of Oncologists
  3. ^ Issues
  4. ^ [1]
  5. ^ [2]
  6. ^ [3]
  7. ^ [4]
  8. ^ "About CEI". The Competitive Enterprise Institute. Retrieved 27 November 2011. 
  9. ^ "A Bright Future For Some" (Video). 
  10. ^ "Consequences of Global Warming". NRDC. Retrieved 2011-08-25. 
  11. ^ a b Bank, Justin (2006-05-26). "Scientist to CEI: You Used My Research To "Confuse and Mislead"". FactCheck.org. Retrieved 2006-05-30. 
  12. ^ [5][dead link]
  13. ^ Europe Advises U.S. Officials on Climate By Juliet Eilperin, Staff Writer (March 6, 2009); Page A04 - Washington Post
  14. ^ "Dispatches from the Montreal U.N. Climate Conference | Competitive Enterprise Institute". Cei.org. Retrieved 2011-08-25. 
  15. ^ "Leader of Anglican Church Should Consider Effects of His Comments on World's Poor | Competitive Enterprise Institute". Cei.org. 2006-03-28. Retrieved 2011-08-25. 
  16. ^ "— Climate Change News & Analysis". Globalwarming.org. Retrieved 2011-08-25. 
  17. ^ a b "Studies | Publications | Competitive Enterprise Institute". Cei.org. Retrieved 2011-08-25. 
  18. ^ "Ten Thousand Commandments | Competitive Enterprise Institute". Cei.org. 2008-07-10. Retrieved 2011-08-25. 
  19. ^ http://cei.org/studies/regulatory-report-card-environmental-protection-agency
  20. ^ "Controlled Power | Not another 1984 please". Controlabuseofpower.org. Retrieved 2011-08-25. 
  21. ^ http://cei.org/news-releases/supreme-court-declines-hear-case-challenging-tobacco-settlement
  22. ^ http://cei.org/legal-briefs/brief-amici-curiae-supporting-epics-petition-writ-mandamus-epic-v-dhs
  23. ^ http://cei.org/sites/default/files/SNB%20v%20Geithner%20-%20Complaint.PDF
  24. ^ http://cei.org/legal-briefs/dodd-frank-challenge-amended-complaint
  25. ^ Jerome C. Arnett, Is the public health message on secondhand smoke based on science?[dead link] Skin and Allergy News, 38(2):13, 2007.
  26. ^ "Канал користувача bureaucrash". YouTube. Retrieved 2011-08-25. [dead link]
  27. ^ CEI On Demand
  28. ^ http://ceiondemand.org/2012/01/05/fred-weekly-law-of-the-sea-treaty/
  29. ^ http://ceiondemand.org/2012/01/20/fred-weekly-january-20-2012/
  30. ^ http://ceiondemand.org/2012/08/20/fred-weekly-assaults-on-capitalism/
  31. ^ http://ceiondemand.org/
  32. ^ https://www.youtube.com/ceidotorg
  33. ^ http://ipencilmovie.org/
  34. ^ [6][dead link]
  35. ^ [7][dead link]
  36. ^ The Tempest Washington Post, by Joel Achenbach, May 28, 2006
  37. ^ Competitive Enterprise Institute IRS Form 990, available at www.guidestar.com
  38. ^ "(qlh36e00)". Legacy.library.ucsf.edu. Retrieved 2011-08-25. 
  39. ^ http://legacy.library.ucsf.edu/tid/yzj60d00/pdf],[http://legacy.library.ucsf.edu/tid/pot72e00/pdf
  40. ^ [8][dead link]
  41. ^ [9][dead link]
  42. ^ Exxon-Mobil 2005 annual giving (donations) report: Competitive Enterprise Institute, Washington, D.C., General Operating Support 90,000, General Operating Support* 180,000, Total 270,000 2005 annual giving report[dead link]
  43. ^ "Exxon Mobil softens its climate-change stance". Post-gazette.com. 2007-01-11. Retrieved 2011-08-25. 
  44. ^ Newlin, Eliza. "CEI Losing Money and a 'Profit Center' - Under The Influence - Under the Influence". Undertheinfluence.nationaljournal.com. Retrieved 2011-08-25. 
  45. ^ "Charity Navigator Rating - Competitive Enterprise Institute". Charitynavigator.org. Retrieved 2011-08-25. 

External linksEdit

Last modified on 2 January 2014, at 08:10