The Origins of the IEA

John Blundell looks back at the IEA's very first publication and a pivotal article in Newsweek by Henry Hazlitt

The Origins of the IEA - A Pivotal Moment, July 25th 1955

By John Blundell

In late June or early July 1955 the Batchworth Press Ltd, 54 Bloomsbury St, London WC1, published The Free Convertibility of Sterling by city journalist George Winder. It was published for "The Institute of Economic Affairs" and the introduction signed by Antony Fisher, Director, went as follows:

"The issue of whether Great Britain should return to the free convertibility of sterling or continue Exchange Control is rapidly becoming a live and vital political issue. As, in the long run, the people themselves have to decide this very important question it is extremely desirable that they make their decision with a knowledge of the facts and a full understanding of the economic and moral issues involved.

For this reason the Institute of Economic Affairs has asked George Winder, well known in the City of London for his articles in the Press on economic matters, to write this booklet. It is of special interest to business men, and of value to students, but it is also, of course, of vital concern to all those who are interested in their own freedom and the freedom of their country. If England is again to take up her position as the business centre of the world, it is to sound economic principles we must return, and there is no excuse for the delay."

In what is in fact the very first IEA publication, the Institute was described as follows:

"The Institute of Economic Affairs is a non-profit making body which has for its object the education of the British public in the knowledge of Economic and Social problems and their solution.

The Institute is not necessarily in agreement with the opinions expressed in this booklet, which is published by them as a contribution to the attainment of the object of the Institute.

Further particulars may be obtained from:

The Secretary

The Institute of Economic Affairs

24 Austin Friars, London, E.C.2

Telephone: LONdon Wall 1804"

A copy found itself across the Atlantic and into the hands of Henry Hazlitt who wrote the weekly economic commentary in Newsweek . Under the headline "Abolish Exchange Control" here is what he wrote:

"Since the new Conservative victory at the polls, there is once more serious discussion of Britain’s abandonment of exchange control. If the government is to act, it should act now, when its victory is fresh and its prestige high, and when Labor cannot threaten to restore controls.

Recent discussion of British abandonment of exchan