Welcome to the IEA Weekend Newsletter!

• Getting Top Marks
• 30 Years on from the fall of the Berlin Wall 
• i on the Media
• Best of the blog
• You’re Invited!

Getting Top Marks

Know any sixth formers getting anxious about their fast-approaching ‘mock’ A-levels?  If so, help could be at hand…   

Our latest edition of EA magazine - sent to schools and students throughout the UK - features our guide to ‘GETTING TOP MA*RKS’ in A-level Economics.   

Written by George Vlachonikolis – a principal examiner and also Head of Economics at Headington School – the article contains invaluable tips and tricks for students seeking that coveted A* grade. 

You can read our essential guide here. 

Whilst EA is aimed primarily at students, it features the work of some of the world’s best writers on economic freedom. In this edition, award-winning author Eamonn Butler summarises his latest IEA book School of Thought – 101 great liberal thinkers and Matt Ridley, acclaimed author of The Rational Optimist, asks why people seem to prefer being irrationally pessimistic…  

 

All that, plus articles on executive pay, intellectual property, China’s rapid rise in economic and political power and much more. 

The latest edition - and all previous editions - can be downloaded for free here.   

30 Years on from the fall of the Berlin Wall 

The 9th November marks the 30th anniversary of the fall of the Berlin Wall.

Built to stop the flow of people from East to West, the wall came to symbolise the ideological divide between the communist Soviet bloc and western democratic capitalism. Years on, East Germany still economically lags the West.

Whilst West Germany experienced a Wirtschaftswunder and became one of the world’s economic powerhouses, the East German economy lay in shambles. 

But is this perception correct, or is it sometimes overblown?  

Today, many people in Central and Eastern Europe say they miss the “good old days” of socialism, or at least important aspects of it. Does this show that capitalism is not that great, after all? If people still look back fondly on the days of state socialism, has capitalism really won the day? 

It’s true to say that socialist ideas have had somewhat of a resurgence in the UK. Proponents – often young people – argue that this time around socialism will be different. When challenged, they say Marx never advocated any of the terror, coercion and loss of life incurred under Soviet rule, nor did Marx demand a wall be built through the German capital.  

Is it therefore inevitable that Marxism leads to coercion and the stamping out of freedoms? 

Joining the IEA’s Digital Manager Darren Grimes on the podcast this week to discuss the legacy of the Berlin Wall's fall is the IEA’s Head of Political Economy Dr Kristian Niemietz, author of ‘Socialism: The Failed Idea That Never Dies’. 

Click here to listen to the podcast, and subscribe to our channel for all episodes on Apple podcasts.

i on the Media

IEA Director General Mark Littlewood appeared on Channel 4 News to discuss Boris Johnson’s renegotiated Brexit deal and the economic opportunities for post-Brexit Britain. 



Mark argued that leaving the EU should be an opportunity for Britain to reconsider existing EU regulations and decide if they are fit for purpose. He pointed to some financial services regulations which, while well-intentioned, go too far and make it difficult for “new challenger businesses to tackle long-standing rich incumbents”.

Watch his appearance here.

Mark also penned an article for his fortnightly Times column calling for a National Trust-style membership model to replace the current BBC licence fee.  

This follows the release of an IEA report by Senior Academic Fellow Philip Booth, in which he argues restructuring the corporation along the lines of the National Trust could solve the BBC’s funding problem and provide more consumer freedom.



Read the full report here. 

The research was also picked up by The Guardian and The Daily Express, both reporting that former Culture Secretary Nicky Morgan was "open-minded" to scrapping the BBC TV licence fee in favour of a subscription service. 



Associate Director Kate Andrews appeared on BBC Question Time, alongside former Chancellor of the Exchequer Lord Lamont, Labour's Richard Leonard MSP, the Liberal Democrat's Caroline Voaden MEP, and film director Ken Loach.

The panel discussed the ongoing Brexit debate, the future of employment in areas like the North East, the pros and cons of the gig economy, and the tragic deaths of 39 people, found in the back of a lorry this week. Catch up here.



Kate also reviewed the papers on both Sky News and BBC News. She spoke to talkRADIO about the most recent gender pay gap stats published by the ONS, arguing that the figures are deeply misleading, as they fail to compare like-for-like in terms of role, experience, background and other important variables.

Staying on the same theme for her City AM column, Kate noted that while the overall pay gap has widened negligibly, for people under 40 it's close to zero, and shrinking fairly rapidly for women in their forties. 

Meanwhile, Head of Communications Emma Revell made the case in the City AM for a single, legal age of adulthood to replace the current situation whereby a person can have sex and buy a lottery ticket at sixteen but has to wait until 18 to vote, buy their own alcohol or place a bet in a bookmakers. Read the full piece here. 

Emma also spoke to BBC Radio Humberside on the collapse of British Steel.

Our Head of Lifestyle Economics Christopher Snowdon wrote for Spiked! about how the makers of Irn-Bru - once the “blue-eyed boy” of the public health lobby who boasted of their drinks reformulations designed to remove sugar - have reaped the economic consequences with falling sales and complaining customers.

Head of Political Economy Dr Kristian Niemietz’s latest book “Socialism: The Failed Idea That Never Dies" was featured extensively in The Washington Post. 

Meanwhile, Head of Regulatory Affairs Victoria Hewson spoke to CNNi ahead of the Government’s most recent attempt to get its Brexit deal through Parliament, while Kate Andrews wrote for the New York Post on the economic merits of the new Brexit deal, and what it could mean for international trade. 



The BBC News website covered IEA research on cannabis legalisation, which highlights the possible tax revenue that could be collected by taking the product off the black market. 

Lastly, Shanker Singham, Director of the International Trade and Competition Unit (ITCU), spoke to BBC Radio 4 about the potential benefits of an independent agricultural policy post Brexit. 

Best of the blog

This week on the IEA blog, our Head of Political Economy Dr Kristian Niemietz asked why neoliberalism has become so unpopular in Chile, despite its demonstrable success. 

In his article, Kristian considers the recent reports of mass protests in Chile against the economic liberalisation of the last four decades. 

However, despite spurious claims to the contrary, Chile’s economy has gone from strength to strength since the fall of Marxist president Salvador Allende in 1973.  

Chile’s real GDP per capital has quadrupled, while Venezuela’s has fallen by more than half. Put differently, in 1975, Venezuela was three times richer than Chile. Today, it is almost exactly the other way around. 

Kristian asks why, if the story of Chile’s relative economic liberalisation is such a huge success story, it remains so unpopular? 

Read the full blog here. 

You're Invited!

Plan A+: Debate and discussion

The IEA will be hosting a panel discussion on our report ‘Plan A+: Creating a prosperous post-Brexit UK’ on Monday 18th November, from 6-8pm. 
 
The opportunity before the UK as a result of Brexit is a great one: but if the UK squanders it, what has been described as the ‘new normal’ of limited economic growth could prevail, with an EU system that does not appear to be responding on a competitive level to the challenges of the modern economy. 
 
‘Plan A+’ proposes the adoption of a four-pillared trade policy strategy, taking unilateral, bilateral, plurilateral and multilateral action to deliver a more competitive and thriving UK economy. 
 
Please email [email protected] to register for what is sure to be a lively discussion about the possible options for Britain’s post-Brexit future, including those proposed in ‘Plan A+’.  

Drinks will be served! 


Zero-Hours Contracts: Empowerment or Exploitation

We are delighted to host a panel discussion on ‘Zero-Hours Contracts: Empowerment or Exploitation?’ on Wednesday 20th November, from 6-8pm. 
 
Zero-hours contracts have been a subject of controversy in recent years. 

The contracts are the subject of the latest film by acclaimed director Ken Loach, which our Director General Mark Littlewood was asked to review by The Observer. 
 
Proponents argue their flexibility allows people to work as and when they choose – fitting employment around commitments like children, education, and other jobs. But critics argue they are exploitative, leaving people without a secure source of income and used by companies to avoid their legal rights to employees. 
 
Labour Party policy is the ban their use; but polls show people working on ZHCs are often happier with their work than those on standard full- and part-time contracts. 
 
What is the best way forward? 

The panel currently includes IEA Director General Mark Littlewood, IEA Chief Operations Officer Andy Mayer (chair) and Head of Policy for Union Blue, Nick Denys. More names to be announced soon!
 
If you would like to attend, please email [email protected] to register. 
 
Drinks will be served! 

Hayek 2019

The Institute of Economic Affairs will soon be hosting US author Professor Bryan Caplan, who is delivering our 2019 Hayek Memorial Lecture, on 3rd December at Church House, starting at 6.30pm. 

The acclaimed author of The Myth of the Rational Voter - hailed as ‘the best political book of the year’ by the New York Times - will unveil his latest project, POVERTY - Who’s to Blame?

Bryan Caplan is Professor of Economics at George Mason University, Virginia. He’s also author of The Case Against Education and Selfish Reasons to Have More Kids.  He’s featured in many publications - from the Wall Street Journal to the Washington Post - and appeared on ABC, BBC, Fox News and more.

                  

Our thanks to CQS for their generous sponsorship of the Hayek Memorial Lecture.

If you’d like to attend this must-see event, RSVP [email protected] or call 020 7799 8900
 

UK launch of the 2019 International Property Rights Index 

We are delighted to invite you to the UK launch of the 2019 International Property Rights Index and the first edition of the International Trade Barrier Index, both produced by Property Rights Alliance. 

The event will take place on Thursday 5th December, from 6-8pm at the IEA.

The International Property Rights Index (IPRI) scores the underlining institutions of a strong property rights regime: the legal and political environment, physical property rights, and intellectual property rights. Covering 129 countries the 2019 IPRI reports on the property rights systems affecting 98 percent of world Gross Domestic Product and 94 percent of world population. 
 
The International Trade Barrier Index (TBI) was created to compliment the IPRI, both serving as barometers of essential freedoms for market economies. The TBI covers 86 countries and measures the three most direct barriers to trade: Tariffs, Non-Tariff Measures, and Services Restrictions. A fourth component, Facilitation, captures elements necessary to allow international trade to occur. 

If you would like to attend, please email [email protected] to register.