Friedman Facts.com

Lars Hansen, economics professor at the University of Chicago, posted a statement (PDF) on his website about the Friedman Institute.  The statement gives an excellent explanation of MFI’s goals and motivations.

Goals of MFI:

The Milton Friedman Institute will serve two important functions. First, it will preserve and indeed significantly enhance Chicago’s economics programs by supporting the research of some of its best faculty and help us to compete in recruiting top scholars of various vintages. Second, the Friedman Institute will encourage interaction across some of the best and most exciting areas of research related to economics.

On naming the institute after Friedman:

Milton Friedman joined the Economics faculty in 1946 and remained closely associated with the University throughout his life. He received every honor an economist can be awarded…. There was no point in his career when he was not regarded as one of a handful of scientific leaders in his field. To portray him as anything else misses completely his intellectual stature among economists, including economists like Paul Samuelson who differed with him on various issues. Describing Friedman’s contributions as merely “technical” completely misses their ambition and influence on the discipline of economics. It is most appropriate that Friedman be honored by the University.

Why should markets be a concentration at the MFI?

Market economies are pervasive. As a consequence, economics as a discipline studies the role of markets in the allocation of resources and uses markets as an analytical tool. In assessing empirical and policy implications, we develop and use models that typically, but not always, include markets; and we consider the incentives of individuals, groups and institutions as they interact. …

Dismissing our research ambitions as the naïve and uncritical embracement of free market ideology misses the point, and it reflects simplistic and uninformed criticism of economic research that is currently done on campus. We are proud of our openness and are only too happy to compare it to that of other departments and disciplines on campus.

I encourage you to read the entire statement (PDF).