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10/12/05

CEO: Covert industry funding fuels the expansion of radical rightwing EU think tanks

CEO

Covert industry funding fuels the expansion of radical rightwing EU think tanks

Over the last few years, the EU capital Brussels has experienced a huge growth in the number of new think tanks seeking to influence the EU's political debate. A large number of these new players advocate radical "free market" ideology. The turn to the right in European politics over the last few years has boosted the self-confidence of think tanks in Europe who promote radical versions of laissez-faire capitalism. Groups that only a few years ago were marginal and isolated on the political fringes now appear self-assured, well funded and effectively networked at the European level, with strong Transatlantic links.

Concern about the rising political activity of these think tanks is accentuated not only because they adhere to an extreme right wing economic orthodoxy, but also because they have found well-heeled allies in the corporate sphere who are prepared to fund advocacy activities as part of their own corporate political strategy. As evidence presented in this report indicates, it is very difficult to obtain precise information about these corporate funding strategies, as neither the corporations, nor the think tanks are obliged to disclose comprehensive data about their financial activities. This secrecy enables corporations to play a double game of nurturing a public image of corporate social responsibility while at the same time funding think tanks that fight social, consumer protection and environmental legislation across the board. Furthermore, in principle, think tanks are not expected to engage in direct lobbying on specific legislation. However, research by Corporate Europe Observatory (CEO) shows that in practice the line between their activities and lobbying is blurred.

Ideologically, the right-wing think tanks emerging in Europe can be compared to powerful US think tanks like the Heritage Foundation and the Competitive Enterprise Institute. For decades, these Washington D.C. based institutions have played a major role in the US, shaping public debate and government policies. Their activities have to a large extent been financed by generous corporate donations.

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