Mont Pelerin Society

The Mont Pelerin Society (MPS) is an international neoliberal[2] organization composed of economists, philosophers, historians, intellectuals and business leaders.[3] The members see the MPS as an effort to interpret in modern terms the fundamental principles of economic society as expressed by classical Western economists, political scientists and philosophers. Its founders included Friedrich Hayek, Frank Knight, Karl Popper, Ludwig von Mises, George Stigler and Milton Friedman.[3] The society advocates freedom of expression, free market economic policies and the political values of an open society. Further, the society seeks to discover ways in which free enterprise can replace many functions currently provided by government entities.

Mont Pelerin Society

Abbreviation	MPS
Formation	1947 (1947)
Type	Economic policy think tank
President	John B. Taylor
Revenue (2015)	$165,781[1]
Expenses (2015)	$113,886[1]
Website	montpelerin.org

Aims

In its "Statement of Aims" on 8 April 1947, the scholars were worried about the dangers faced by civilization, stating the following:

Over large stretches of the Earth’s surface the essential conditions of human dignity and freedom have already disappeared. In others they are under constant menace from the development of current tendencies of policy. The position of the individual and the voluntary group are progressively undermined by extensions of arbitrary power. Even that most precious possession of Western Man, freedom of thought and expression, is threatened by the spread of creeds which, claiming the privilege of tolerance when in the position of a minority, seek only to establish a position of power in which they can suppress and obliterate all views but their own.[4]

The group also stated that it is "difficult to imagine a society in which freedom may be effectively preserved" without the "diffused power and initiative" associated with "private property and the competitive market" and found it desirable inter alia to study the following matters:[4]

1. "The analysis and exploration of the nature of the present crisis so as to bring home to others its essential moral and economic origins.
2. The redefinition of the functions of the state so as to distinguish more clearly between the totalitarian and the liberal order.
3. Methods of re-establishing the rule of law and of assuring its development in such manner that individuals and groups are not in a position to encroach upon the freedom of others and private rights are not allowed to become a basis of predatory power.
4. The possibility of establishing minimum standards by means not inimical to initiative and functioning of the market.
5. Methods of combating the misuse of history for the furtherance of creeds hostile to liberty.
6. The problem of the creation of an international order conducive to the safeguarding of peace and liberty and permitting the establishment of harmonious international economic relations."[4]

The group "seeks to establish no meticulous and hampering orthodoxy", "conduct propaganda" or align with some party. It aims to facilitate "the exchange of views [...] to contribute to the preservation and improvement of the free society".[4]

Name

The MPS was created on 10 April 1947 at a conference organized by Friedrich Hayek. Originally, it was to be named the Acton-Tocqueville Society. After Frank Knight protested against naming the group after two "Roman Catholic aristocrats" and Ludwig von Mises expressed concern that the mistakes made by Acton and Tocqueville would be connected with the society, the decision was made to name it after Mont Pèlerin, the Swiss resort where it convened.[5]

History

In 1947, thirty-nine scholars, mostly economists with some historians and philosophers, were invited by Friedrich Hayek to meet to discuss the state and possible fate of classical liberalism, his goal being an organization which would resist interventionism and promote his conception of classical liberalism.[6] He wanted to discuss how to combat the "state ascendancy and Marxist or Keynesian planning [that was] sweeping the globe". The first meeting took place in the Hotel du Parc in the Swiss village of Mont Pèlerin, near the city of Vevey, Switzerland. Funding for the conference came from various sources including the William Volker Fund thanks to Harold Luhnow[7] and the Bank of England owing to the help of Alfred Suenson-Taylor.[8]^:84 William Rappard, a Swiss academic, diplomat and founder of the Graduate Institute of International Studies, addressed the society's inaugural meeting. In his "Opening Address to a Conference at Mont Pelerin",[9] Hayek mentioned "two men with whom I had most fully discussed the plan for this meeting both have not lived to see its realisation", namely Henry Simons (who trained Milton Friedman, a future president of the MPS, at the University of Chicago) and John Clapham, a British economic historian.

The MPS aimed to "facilitate an exchange of ideas between like-minded scholars in the hope of strengthening the principles and practice of a free society and to study the workings, virtues, and defects of market-oriented economic systems". The MPS has continued to meet regularly, the General Meeting every two years and the regional meetings annually. The current president of the MPS is Pedro Schwartz Giron. It has close ties to the network of think tanks sponsored in part by the Atlas Economic Research Foundation.

Influence

Hayek stressed that the society was to be a scholarly community arguing against collectivism while not engaging in public relations or propaganda. The society has become part of an international think tank movement and Hayek used it as a forum to encourage members such as Antony Fisher to pursue the think tank route. Fisher has established the Institute of Economic Affairs (IEA) in London during 1955, the Manhattan Institute for Policy Research in New York City in 1977 and the Atlas Economic Research Foundation in 1981. Now known as the Atlas Network, they support a wide network of think tanks, including the Fraser Institute.

Prominent MPS members who advanced to policy positions included the late Chancellor Ludwig Erhard of West Germany, President Luigi Einaudi of Italy, Chairman Arthur F. Burns of the Federal Reserve Board and Secretary of State George Shultz. Among prominent contemporary political figures, former President Václav Klaus of the Czech Republic and acting politicians, such as Prime Minister Ranil Wickremasinghe of Sri Lanka, former Chancellor of the Exchequer Sir Geoffrey Howe of the United Kingdom, former Italian Minister of Foreign Affairs and Minister of Defence Antonio Martino, Chilean Finance Minister Carlos Cáceres and former New Zealand Finance Minister Ruth Richardson, are all MPS members. Of 76 economic advisers on Ronald Reagan's 1980 campaign staff, 22 were MPS members.

Several leading journalists, including Pulitzer Prize-winning columnist Walter Lippmann, former radical Max Eastman (then roving editor at Reader's Digest), John Chamberlain (former editorial writer for Life magazine), Henry Hazlitt (former financial editor of The New York Times and columnist for Newsweek), John Davenport (holder of editorial posts at Fortune and Barron's) and Felix Morley (Pulitzer Prize-winning editor at The Washington Post), have also been members. Members of the MPS have also been well represented on the Committee for the Prize in Economic Sciences in Memory of Alfred Nobel.[10]

Eight MPS members, Friedrich Hayek, Milton Friedman, George Stigler, Maurice Allais, James M. Buchanan, Ronald Coase, Gary Becker[11] and Vernon Smith have won the Nobel Memorial Prize in Economic Sciences. Graeme Maxton and Jørgen Randers note that it is no surprise that so many MPS members have won a Nobel Memorial Prize in Economic Sciences because the MPS helped to create that award, specifically to legitimize free-market economic thinking.[12]

In the 2014 Global Go To Think Tank Index Report (Think Tanks and Civil Societies Program, University of Pennsylvania), the MPS is noted as having the 9th (out of 55) "Best Think Tank Conference".[13]

In 2018, the Swiss blockchain banking Fintech company Mt Pelerin has named itself after the Mont Pelerin Society as an hommage to the values that the organization advocates.[14]

Past presidents

Numerous notable economists have served as president of the MPS:[15]

• Friedrich Hayek – United Kingdom, 1947–1961
• Wilhelm Röpke – Switzerland, 1961–1962
• John Jewkes – United Kingdom, 1962–1964
• Friedrich A. Lutz – Germany, 1964–1967[16]
• Bruno Leoni – Italy, 1967–1968
• Günter Schmölders – Germany, 1968–1970
• Milton Friedman – United States, 1970–1972
• Arthur Shenfield – United Kingdom, 1972–1974
• Gaston Leduc – France, 1974–1976
• George Stigler – United States, 1976–1978
• Manuel Ayau – Guatemala, 1978–1980
• Chiaki Nishiyama – Japan, 1980–1982
• Lord Harris of High Cross – United Kingdom, 1982–1984
• James M. Buchanan – United States, 1984–1986
• Herbert Giersch – Germany, 1986–1988
• Antonio Martino – Italy, 1988–1990
• Gary Becker – United States, 1990–1992
• Max Hartwell – United Kingdom, 1992–1994
• Pascal Salin – France, 1994–1996
• Edwin Feulner – United States, 1996–1998[17]
• Ramón Díaz – Uruguay, 1998–2000
• Christian Watrin – Germany, 2000–2002
• Leonard P. Liggio – United States, 2002–2004
• Victoria Curzon-Price – Switzerland, 2004–2006
• Greg Lindsay – Australia, 2006–2008
• Deepak Lal – United States, 2008–2010
• Kenneth Minogue – United Kingdom, 2010–2012
• Allan H. Meltzer – United States, 2012–2014
• Pedro Schwartz – Spain, 2014–2016
• Peter Boettke – United States, 2016–2018[18]
• John B. Taylor – United States, 2018–present

Other notable participants

• Maurice Allais – French physicist and economist
• Karl Brandt – German-American agricultural economist
• Götz Briefs – German economist
• Aaron Director – professor at the University of Chicago Law School
• Ludwig Erhard – Minister of Economics and Chancellor of postwar West Germany
• Frank Graham – American economist
• Henry Hazlitt – American journalist
• F. A. Harper – American economist
• Trygve Hoff – Norwegian economist and journalist
• Bertrand de Jouvenel – French philosopher and political economist
• Václav Klaus – Czech economist and politician
• Frank Knight – Chicago school economist
• Fritz Machlup – Austrian-American economist
• Salvador de Madariaga – Spanish diplomat and writer
• Loren Miller – American civic reformer and libertarian activist
• Ludwig von Mises – Austrian economist
• Felix Morley – American journalist
• Michael Polanyi – Hungarian/British chemist, economist and philosopher of science
• Karl Popper – Austrian/British philosopher
• William Rappard – American academic and diplomat
• Leonard Read – American founder of Foundation for Economic Education
• Lionel Robbins – British economist
• Herbert Tingsten – Swedish political scientist and journalist
• Cicely Wedgwood – British historian

Board of Directors 2008–2010

• Deepak Lal – President (United States/United Kingdom)
• Greg Lindsay – Senior Vice President (Australia)
• Eamonn Butler – Vice President (United Kingdom)
• J.R. Clark – Vice President (United States)
• Victoria Curzon-Price – Vice President (Switzerland)
• Peter Kurrild-Klitgaard – Vice President (Denmark)
• Michael Zoeller – Vice President (Germany)
• Carl-Johan Westholm – Secretary (Sweden)
• Edwin J. Feulner – Treasurer (United States)
• Enrique Ghersi – Director (Peru)
• Giancarlo Ibarguen – Director (Guatemala)
• Hiromitsu Ishi – Director (Japan)
• Suri Ratnapala – Director (Australia)
• Veselin Vukotic – Director (Montenegro)
• Linda Whetstone – Director (United Kingdom)

Other noted members

• Armen Alchian[19]
• Martin Anderson (economist)[19]
• John A. Baden[20]
• Danny Julian Boggs[19]
• Rhodes Boyson[19]
• William L. Breit[19]
• Yaron Brook[21]
• William F. Buckley Jr.[22]
• Steven N. S. Cheung[19]
• Warren Coats[19]
• Harold Demsetz[19]
• Donald J. Devine[19]
• Ross Eckert
• John Exter[19]
• David D. Friedman[19][23]
• Hannes Hólmsteinn Gissurarson[19]
• Otto von Habsburg[19]
• Ronald Hamowy[19]
• Steven F. Hayward[24]
• George Hilton[19]
• Israel Kirzner[19]
• Charles G. Koch[19]
• Henri Lepage[19]
• Leon Louw[19]
• Henry Maksoud[19]
• Henry Manne[19]
• Paul McCracken[19]
• Marcel van Meerhaeghe[19]
• Ernst-Joachim Mestmäcker[19]
• Maurice Newman[19]
• John O'Sullivan[19]
• J. Howard Pew[25]
• William H. Peterson[19]
• Madsen Pirie[19]
• Richard Posner[26]
• Enoch Powell[27]
• Alvin Rabushka[19]
• Richard W. Rahn[28]
• Alan Reynolds[19]
• Ljubo Sirc[19]
• Beryl W. Sprinkel[19]
• Gordon Tullock[19]
• Mario Vargas Llosa[29]
• Leland B. Yeager[19]

See also

• Colloque Walter Lippmann
• Neoliberalism

References

1. "The Mont Pelerin Society" (PDF). Foundation Center. 25 August 2016. Retrieved 30 May 2017.
2. Slobodian 2018, p. 126.
3. Michael Novak, 'The Moral Imperative of a Free Economy', in The 4% Solution: Unleashing the Economic Growth America Needs, Bush Institute, Crown Business, 2012, p. 294
4. "Statement of Aims".
5. Ebenstein, Alan (2014). Friedrich Hayek: A Biography. St. Martin's Press. p. 146. ISBN 9781466886766.
6. Baird, Charles (2008). "Mont Pelerin Society". In Hamowy, Ronald (ed.). The Encyclopedia of Libertarianism. The Encyclopedia of Libertarianism. Thousand Oaks, CA: SAGE; Cato Institute. pp. 342–343. doi:10.4135/9781412965811.n210. ISBN 978-1412965804. LCCN 2008009151. OCLC 750831024.
7. Birch, Kean (2017). A Research Agenda for Neoliberalism. Edward Elgar Publishing. ISBN 978-1786433596. Retrieved 6 January 2018.
8. Shaxson, Nicholas (2011). Treasure islands : tax havens and the men who stole the world. London: Bodley Head. ISBN 978-1847921109.
9. F. A. Hayek, The Fortunes of Liberalism: Essays on Austrian Economics and the Ideal of Freedom (1992)
10. Offer, Avner; Söderberg, Gabriel (2016). The Nobel Factor: The Prize in Economics, Social Democracy, and the Market Turn (1st ed.). Princeton University Press. pp. 104–05.
11. Contemporary Authors, New Revision Series. Gale. 2004. Archived from the original on 29 March 2015. Retrieved 25 May 2013 – via HighBeam Research.
12. Graeme Maxton, Jorgen Randers (2016). Reinventing Prosperity: Managing Economic Growth to Reduce Unemployment, Inequality and Climate Change. Greystone Books. ISBN 978-1771642521, 978-1771642521. p. 77.
13. James G. McGann (Director) (4 February 2015). "2014 Global Go To Think Tank Index Report". Retrieved 14 February 2015.
14. https://www.mtpelerin.com/about-us.html
15. Past Presidents. The Mont Pelerin Society website.
16. Lutz was a professor at the University of Zurich in Switzerland during the time he was president.
17. Contemporary Authors, New Revision Series. Gale. 2008. Archived from the original on 29 March 2015. Retrieved 25 May 2013 – via HighBeam Research.
18. "Mont Pelerin Society Elects Peter Boettke as 2016-2018 President". 30 September 2016.
19. "Mont Pelerin Society Directory" (PDF). DeSmogBlog. Retrieved 28 January 2014.
20. Hopper, D. Ian (30 June 2013). "Judges Failed to Disclose Junkets". Associated Press. Archived from the original on 11 June 2014.
21. "Meet Our Experts". Retrieved 2 September 2016.
22. Contemporary Authors, New Revision Series. Gale. 2009. Archived from the original on 29 March 2015. Retrieved 25 May 2013 – via HighBeam Research.
23. Contemporary Authors, New Revision Series. Gale. 2009. Archived from the original on 11 June 2014. Retrieved 25 May 2013 – via HighBeam Research.
24. Contemporary Authors. Gale. 2004. Archived from the original on 29 March 2015. Retrieved 25 May 2013 – via HighBeam Research.
25. Mirowski 2009, p. 192.
26. Contemporary Authors, New Revision Series. Gale. 2009. Archived from the original on 29 March 2015. Retrieved 25 May 2013 – via HighBeam Research.
27. Churchill Archives Centre. The papers of Enoch Powell. File POLL 1/1/20.
28. "Economist Richard Rahn: Bulgaria Will Survive Financial Crisis". Sofia News Agency (Novinite Ltd). 11 November 2011. Archived from the original on 29 March 2015. Retrieved 25 May 2013 – via HighBeam Research.
29. Chafuen, Alejandro. "Away From Socialism: Mario Vargas Llosa Joins The Mont Pelerin Society".

Further reading

• R. M. Hartwell (1995), History of the Mont Pèlerin Society (Indianapolis: Liberty Fund). ISBN 978-0865971363. OCLC 32510484, 683676105
  • Reviewed in: William H. Peterson (July 1996), A History of the Mont Pelerin Society by R. M. Hartwell (book review), The Freeman, Foundation for Economic Education
• Daniel Stedman Jones (2012). Masters of the Universe: Hayek, Friedman, and the Birth of Neoliberal Politics. Princeton UP. ISBN 978-1400851836.
• Philip Plickert (2008): Wandlungen des Neoliberalismus. Eine Studie zu Entwicklung und Ausstrahlung der Mont Pèlerin Society. (Stuttgart: Lucius & Lucius Verlag). ISBN 978-3828204416. OCLC 243450906
• Philip Mirowski; Dieter Plehwe, eds. (2009). The Road from Mont Pèlerin: The Making of the Neoliberal Thought Collective (PDF). Harvard University Press. ISBN 978-0674033184. OCLC 257554337. OCLC 748925780
  • Reviewed in: Kaza, Greg (30 March 2010). "Deconstructing neo-liberal ideas (Commentary; Book Review)". The Washington Times. Retrieved 25 May 2013 – via Questia Online Library.
• Angus Burgin (2012), The Great Persuasion: Reinventing Free Markets since the Depression (Cambridge, MA: Harvard University Press) ISBN 978-0674058132. OCLC 791491622, 844090781
• Quinn Slobodian (2018). Globalists: The End of Empire and the Rise of Neoliberalism. Harvard University Press. ISBN 9780674979529. The postwar neoliberal movement was born in the midst of the ITO drama, and some of its members played a starring role in it. As delegates met in Geneva in the spring of 1947 to draft the world trade charter, a group of intellectuals gathered at the other end of the lake at the base of Mont Pèlerin. Taking their name from the location, the Mont Pèlerin Society (MPS) became the germ of what its organizer Hayek called 'the neoliberal movement.'

External links

• Mont Pelerin Society, the official site
• Organizational Profile – National Center for Charitable Statistics (Urban Institute)
• Mont Pèlerin Society (1947–…): Inventory of the General Meeting Files (1947–1998) – Liberaal Archief. 108pp.
• Greg Kaza, The Mont Pelerin Society’s 50th Anniversary, The Freeman, Foundation for Economic Education, June 1997.
• Guide to the Mont Pelerin Society Records and sound recordings of meetings online at the Hoover Institution Archives.