Think tank

A think tank (or policy institute) is an organization that conducts research and engages in advocacy in areas such as social policy, politicalstrategy, economy, science or technology issues, industrial or business policies, or military advice. Many think tanks are non-profitorganizations, which some countries such as the United States and Canada provide with tax exempt status. Other think tanks are funded by governments, advocacy groups, or businesses, or derive revenue from consulting or research work related to their projects.

However, this definition has been challenged by recent research on the various functions played by think tanks in different societies.  For instance, work in Latin America showed that think tanks can play a number of functions depending on their origins, historical development and relations to other policy actors. In this study, Orazio Bellettini from Grupo FARO suggests that they:

1. Seek political support for policies – This is an accepted definition of the main role of think tanks across the world.
2. Legitimise policies – This has been clearer in Ecuador, Bolivia and Peru. New governments in Ecuador and Peru have approached think tanks for support for already defined policies. In Bolivia, the government led by Evo Morales has been working with NGOs and other research centres to do the same. However, in the Chilean context, many think tanks during the 1990s appeared to support and maintain the legitimacy of policies implemented during the previous decade by the dictator Augusto Pinochet.
3. Spaces of debate – In this case think tanks serve as sounding boards for new policies. In Chile, during the Pinochet dictatorship, many left wing intellectuals and researchers found ‘asylum’ in think tanks. In Ecuador, think tanks are seen as spaces where politicians can test the soundness of their policies and government plans.
4. Financial channels for political parties or other interest groups – In Ecuador and Bolivia, German foundations have been able to provide funds to think tanks that work with certain political parties. This approach has provided support to the system as a whole rather than individual CSOs.
5. Expert cadres of policy-makers and politicians – In Peru after the fall of the Fujimori regime, and in Chile after the fall of Pinochet, think tank staff left to form part of the new governments. In the U.S., the role of leading think tanks is precisely that: host scholars for a few months or years and then see them off to work in policy.

How a think tank addresses these largely depends on how they work, their ideology vs. evidence credentials, and the context they operate in (including funding opportunities, the degree and type of competition they face, their staff, etc.).

This functional approach addresses the inherit challenge of defining a think tank. As Simon James aptly noted in 1998, "Discussion of think tanks…has a tendency to get bogged down in the vexed question of defining what we mean by ‘think tank’ – an exercise which often degenerates into futile semantics. It is better (as in the Network Functions Approach) to describe what the organisation should do. Then the shape of the organisation should follow to allow this to happen. The following framework (based on Stephen Yeo’s description of think tanks’ mode of work) in the described in Enrique Mendizabal's blog: onthinktanks.

First, think tanks may work in or based their funding on one or more ways, including:

1. Independent research: this would be work done with core or flexible funding that allows the researchers the liberty to choose their research questions and method. It may be long term and could focus on ‘big ideas’ with no direct policy relevance. On the other hand, it could focus on a key policy problem that requires a thorough research and action investment.
2. Consultancy: this would be work done through commissions with specific clients and addressing one or two key questions. Consultancies often respond to an existing agenda.
3. Influencing/advocacy: this would be work done through communications, capacity development, networking, campaigns, lobbying, etc. It is likely to be based on research based evidence emerging from independent research or consultancies.

Second, think tanks may base their work or arguments on:

1. Ideology, values or interests
2. Applied, empirical or synthesis research
3. Theoretical or academic research

According to the National Institute for Research Advancement, a Japanese think tank, think tanks are "one of the main policy actors in democratic societies ..., assuring a pluralistic, open and accountable process of policy analysis, research, decision-making and evaluation".  A study in early 2009 found a total of 5,465 think tanks worldwide. Of that number, 1,777 were based in the United States and approximately 350 in Washington DC alone.

History

Since "think tank" is a term that has only found use since the 1950s, there is still some debate over what constitutes the first think tank. One candidate is the Institute for Defence and Security Studies (RUSI), founded in 1831 at the initiative of the Duke of Wellington. Another is theFabian Society, which dates from 1884. Until around 1910, there were no more than a few dozen think tanks, mostly focused on offering non-partisan policy and military advice to the United States government, and generally with large staffs and research budgets.

After 1930, the number of think tanks exploded, as many smaller new think tanks were formed to express various issue and policy agendas. Until the 1940s, most think tanks were known only by the name of the institution. During the Second World War, think tanks were referred to as "brain boxes" after the slang term for the skull. The phrase "think tank" in wartime American slang referred to rooms in which strategists discussed war planning.

The term think tank itself, however, was originally used in reference to organizations that offered military advice, most notably the RAND Corporation, founded originally in 1946 as an offshoot of Douglas Aircraft and which became an independent corporation in 1948.