QUALITY. INDEPENDENCE. IMPACT. Brookings

1775 Massachusetts Avenue, NW Washington, DC 20036 Annual Report 2010

www.brookings.edu Contents 4 16 Economic Studies Balancing the potential need Governance Studies As they have through for stimulus spending with concerns about deficit and debt put every major political test of the last century, scholars in Governance many Economic Studies scholars in the national spotlight. Events, Studies offered a combination of public policy and institutional testimony, and papers provided steady innovative thought on long- recommendations. term economic growth. 20 8 Metropolitan Policy The Metropolitan Policy Global Economy and Development Program’s successful presentations of a demographically changing As countries shook with the impact of the world financial crisis, nation advanced signature projects and informed federal initiatives international talent in Global Economy and Development generated and investments. solid ideas on poverty, trade regimes, ­development assistance, and policy coordination. 24 Brookings 12 Impact and Strategy Brookings became the most trusted and influential think tank in the world by offering good advice From deployment of force and Foreign Policy for 94 years. Now we ask: How can Brookings help create a better, diplomacy in Afghanistan to negotiation of peace in the Middle East, more prosperous world in the next six? the research of Foreign Policy’s experts factored into debates and important conversations with major world leaders. 26 One Brookings, Four Priorities Under the broad call for governance and renewal, four substantive Institution-wide priorities emerged: growth through innovation, 2 President’s Message opportunity and well-being, sound energy and climate policy, and managing global change. 3 Chairman’s Message 34 Trustees 28 Support for Brookings Even in the midst of 38 Financial Summary economic setbacks, unsettled national security, and public disapproval of all three branches of U.S. government, Brookings’s supporters clearly saw the way forward, not just for economic recovery, but also for global transformation. Editors: Susan Kellam and Melissa Skolfield Copyright ©2010 The Brookings Institution 1775 Massachusetts Avenue, NW PRODUCTION COORDINATOR: Adrianna Pita Washington, DC 20036 Design and Print Production: TMG Telephone: 202.797.6000 Jeffrey Kibler, Adriana Guevara, Brenda Waugh Fax: 202.797.6004 www.brookings.edu Printing: Jarboe Printing Library of Congress Card Number: 84-641502 Cover Photograph: Mathew Borkoski 1 President’s Message Chairman’s Message

n a year of political tumult and economic anxiety at home and abroad, the hen I traveled to Washington during the past year to partici- 400 professionals who make up the Brookings community found numer- pate in Brookings events, I was struck by how vital to the ous, diverse, and often innovative ways to fulfill our mission of conducting life of the nation’s capital our work is—not just in its sub- high-quality research that influences policymakers and educates the pub- stance, but in the tone of open-mindedness and rationality lic. Our scholars lead that effort through their research and outreach. Oth- that prevails in our cluster of buildings on ­Massachusetts ers support that work and enhance its impact through publications, public Avenue. events, and increasing use of new media. Or, by helping us raise funds, During the long run-up to the midterm elections, the they shore up our ability to recruit and retain the best talent and maintain Falk Auditorium and our other meeting rooms served as Iour independence. Wcommon ground for the airing of opposing views on a variety of topics. Administration This year the Institution rose to another challenge as well, one that is at the officials, from President Obama on down, came to Brookings to explain and discuss very heart of who we are, what we do, and how we do it. Picking up on what their policies. So did leading Republicans. In moderating these sessions with visiting John says in his letter on the opposite page, I too am struck, every day I come speakers, Brookings experts probed for potential consensus and fresh, nonpartisan to work, by how our scholars develop, advocate, and debate ideas in a way that approaches. upholds the principles of nonpartisanship, fact-based analysis, and civil public Similarly, in offering a global platform for policy discussions, Brookings used its discourse—three virtues that have been in jeopardy in the political arena and in good offices and intellectual capital to foster progress in areas where governments the media. have been at odds—in the Arab-Israeli conflict, on the thorny issue of how to deal American politics have often been raucous and fractious. What we’ve come with Iran’s nuclear program, in the effort to coordinate Chinese and American clean to call partisanship is older than the two major parties themselves. But the energy policy, and, crucially, in the predicament facing the international community phenomenon verged on the pathological this past year, and it’s at its worst two on both sides of the Khyber Pass. miles from Brookings, on Capitol Hill. It’s not just one of the most acute prob- The presidents of two former Soviet republics that were briefly but dangerously lems facing the nation—it’s making those problems harder to solve. There is a at war in 2008—Dmitry Medvedev of Russia and Mikheil Saakashvili of Georgia— commitment on the part of all of our scholars to combat poisonous rancor and participated in Brookings events during the nuclear safety summit in April. And the demagoguery. The best antidote is pragmatism. When Brookings scholars analyze prime ministers of Greece and Turkey, as well as the president of Cyprus, addressed a policy or a piece of legislation, the question they ask is will it work?—not who’s Brookings audiences on the disputes that continue to roil the Eastern Mediterranean for it and who’s against it? The next question they ask is how can it work better? as well as the broader issues that are testing the European Union. It was in that spirit that Brookings’s Engelberg Center for Health Care This past year, Brookings upheld its long tradition of supporting America’s role as Reform prepared its report on “Bending the Curve,” which was widely credited an architect of the international system. At the United Nations General Assembly, as being the most constructive contribution to the conversation about how to at the World Bank/IMF meetings and at the G-20 summit, Brookings scholars were ensure that reform focused on the long-term financing challenges. Governance at work behind the scenes, helping diplomats improve the efficacy of international Studies’ “GovWatch” series offered data on how the public views our political institutions. institutions, accompanied by steady commentary about how to rebuild trust in Brookings stepped up its work on the global threats facing humanity, particularly government. poverty, nuclear proliferation, and climate change. One of the leading spokesmen on The Metropolitan Policy program’s “MetroMonitor” helped track the uneven environmental issues—His All Holiness Bartholomew, Archbishop of Constantinople, recovery across the United States. The Global Economy and Development and New Rome, and Ecumenical Patriarch of the Orthodox Christian Church—addressed Foreign Policy programs monitored trends around the world. And much of the a capacity crowd in Falk on the responsibility of all religious communities to edu- aul aul morigi data assembled by our scholars have been brought together in the Brookings Index, p cate their followers on what it means to be good “stewards of creation.” Strobe and which appears regularly in the Washington Post. It measures “How We’re Doing” Bill Antholis contributed to public understanding of this issue with their book Fast

in meeting the goals set by the U.S. Constitution of providing for the common by Photo ­Forward: Ethics and Politics in the Age of Global Warming, the inaugural volume in the defense, promoting the general welfare, and securing the blessings of liberty. new Focus series of the Brookings Institution Press. As we look ahead, the effort to restore effective governance and renew our I’m pleased to report that this year saw further engagement of our Trustees in the national and international institutions will be at the heart of our updated stra- life of the Institution—and in the political life of the nation. My colleagues on the tegic plan. Intended to guide us through our centennial in 2016, that effort Board had input into President Obama’s Jobs and Economic Growth Forum at the clusters our work under four overarching categories: climate and energy, growth White House. And our own work helped spur the creation of a Center for Technology through innovation, opportunity and well-being, and managing global change. In Innovation. developing that agenda, we will continue to increase the impact of our work and Trustee Ann Fudge, along with Senior Fellow Alice Rivlin, is a member of the to reach out to broader audiences—thereby bringing the right messages to the National Committee on Fiscal Responsibility and Reform. Three other Trustees— right people with the right tools. Dominic Barton, Steve Denning and Glenn Hutchins—have worked with our We are confident in our ability to keep that commitment in no small measure ­ research programs to suggest how American firms can better compete in world because of the advice, encouragement, and financial support that have come from markets. Dan Yergin and Shirley Jackson participated in the public event Back to the Trustees and the many friends of the Institution. We end the year as we began it, Future: The Prospects for Climate and Energy in 2010. according to a survey of our peers—as the No. 1 think tank in the world. That’s a Beyond the Board of Trustees, many of our other supporters found ways to take an credit to you as well as to my colleagues at Brookings. Strobe Talbott, Brookings President John L. Thornton, Brookings Chairman active role in the Institution’s work. Thanks to all of you for being part of this effort. 2 3 After a year in turmoil, on September 15, 2009, Federal Reserve Chairman Ben Bernanke gives a keynote Economic address at Brookings on the status of financial markets and the regulatory reforms needed to prevent the next financial Studies Innovative thinking for crisis. long-term prosperity Photo by Sharon Farmer by Photo

> Economic Studies Co- Director Ted Gayer (right) moderates a lunch discussion with Douglas Elmendorf, director of the Congressional Budget Office, on U.S. domestic action to reduce carbon emissions.

< Karen Dynan, vice president and co-director of Economic Studies, leads a discussion on innovative ideas in the Hamilton tradition with Senior Fellow Michael M or s e M or s e Greenstone, the new Hamilton Project director, at a forum that featured Photo by Paul Paul by Photo Photo by Paul Paul by Photo Vice President Joe Biden. 4 5 Economic Studies FDA Commissioner Margaret Hamburg offers keynote remarks on the agency’s active medical product surveillance activities at a public workshop hosted by the Engelberg Center ith eco- merits of a carbon tax. for Health Care Reform nomic One of the major debates that in January. indicators shaped up over the year was how showing to balance the potential need for a slow new stimulus spending with con- and halt- cerns about deficit and debt. ingW recovery in the aftermath of Widely cited new estimates the worst downturn since the on the mid- and long-term budget Great Depression, scholars in the outlook by Senior Fellow William Economic Studies program con- G. Gale, the Arjay and Frances tinued to help shape the national Fearing Miller Chair in Federal debate with testimony, papers Economic Policy, and Alan Auer- and events geared to bolstering bach of the University of Califor- the recovery and promoting con- nia, Berkeley concluded that in ditions for long-term economic 2020, the deficit is projected to

growth. be between 5 and 7 percent of Sharon Farmer by Photo “It may be half a dozen years gross domestic product and the or more before the economy debt/GDP ratio is projected to President Barack Obama lays out his plan for jobs and economic returns to full employment,” exceed 90 percent. growth on December 11 at Brookings. said Karen Dynan, who became Senior Fellow Alice Rivlin vice president and co-director of was asked to co-lead the newly curve” in health care spending led by Senior Fellow ­Martin Baily, Economic Studies in September launched Bipartisan Policy while also improving quality. Some the Bernard L. Schwartz Chair in 2009. “Our goal is to conduct Center’s Debt Reduction Task of the report’s principles became Economic Policy Development— M or s e the kinds of research that point Force with former Senator enshrined in the new health care with Senior Fellow Robert Litan M origi toward sound policies for putting Pete Domenici. She was also law and others remain high on the and Fellow Douglas Elliott— the nation back on track—and appointed by President Obama to policy agenda. wrote extensively on the legisla- Photo by Paul Paul by Photo then to communicate our insights the Bipartisan National Commis- Health experts at Brook- tion and held timely forums and Paul by Photo to policymakers as well as to the sion on Fiscal Responsibility and ings also contributed advice private briefings. broader public,” added Dynan, Reform; Trustee Ann M. Fudge and leadership to First Lady Senior Fellows Ron Haskins Discussing the burden of debt, Rep. Paul Ryan of Wisconsin outlines an action plan to lead the also the Robert S. Kerr Senior also serves on the president’s Michelle Obama’s childhood and Isabel V. Sawhill, the Cabot United States to a more certain economic future. Senior Fellow Ron Haskins led the discussion, Fellow. commission. obesity campaign, particularly Family Chair, released their book, which was sponsored by the program’s Budgeting for National Priorities project. “Given the immense strains At the Brookings Papers on Lawrence Kocot, a visiting fel- Creating an Opportunity Society on the economy at this time, our Economic Activity spring 2010 low and deputy director of the (Brookings Institution Press, program has been focused on conference, former Federal Engelberg Center, who serves on 2009) to wide praise. It was analysis of current and proposed Reserve Chairman Alan Green- an advisory board for the First named as a finalist in the Fore- policy responses, as well as on span presented a paper on the Lady’s initiative. Senior Fellow Word Book of the Year awards. recruiting outstanding experts to causes of the financial crisis that Ross ­Hammond published a criti- Donald Kohn, former Federal research key national policy ques- was immediately picked up by the cal study on how to use dynamic Reserve Vice Chairman, joined tions,” said Ted Gayer, co-director Wall Street Journal, plus over 100 modeling to combat the trend the program as a senior fellow. of the program and the Joseph A. other media outlets. toward excessive and unhealthy And Economic Studies now Pechman Senior Fellow. During a year that heralded weight. Hammond replaced houses the Climate and Energy House Majority Leader In their joint leadership role, landmark health care reform leg- Joshua Epstein as director of the ­Economics project, co-directed Steny Hoyer of Maryland Dynan and Gayer concentrated islation, the Engelberg Center for newly renamed Center on Social by Nonresident Senior Fellows greets former colleague Rep. this year on issues critical to Health Care Reform stood out as Dynamics and Policy. Warwick McKibbin and Pete William Frenzel, now a guest the nation’s long-term stability: a leading source of analysis for Financial regulatory reform ­Wilcoxen, with Fellow Adele scholar at Brookings, as Senior Dynan on household consump- transforming the way we deliver faced a rough ride through Con- Morris as policy director. Michael Fellow Alice Rivlin watches. tion and savings, as well as on and pay for medical services. Led gress this year before securing Greenstone, 3M professor of At a Budgeting for National the need for better data for our by Senior Fellow Mark McClellan, final passage in July. Offering ­economics at MIT, became a Priorities event on fiscal evolving economic and financial the Leonard D. Schaeffer Chair in some of the most influential anal- senior fellow and the new direc- responsibility in March, Hoyer wang system; Gayer on the housing Health Policy Studies, the center ysis on how the proposed rules tor of the Hamilton Project. said that “never in my decades A l s al p h market—foreclosure preven- released a report that drew con- might prevent future crises with- Adam Looney also joined as a in Congress have I seen a R tion programs and the first-time sensus from a wide spectrum of out curbing growth, the Initiative senior fellow and policy director public so outraged by deficits

homebuyer’s tax credit—and the experts on steps to “bend the cost on Business and Public Policy, for the Hamilton Project. n and debt.” by Photo 6 7 < World Bank President Robert Zoellick joins Senior Fellow Homi Kharas on Global Economy stage at a November event on the global food crisis. Zoellick addressed the need for increased investment in agriculture to prevent andAchieving Development equitable further food shortages.

< Prime Minister of Greece George Papandreou spoke at growth in all communities Brookings on Greece’s fiscal challenges and their potential impact on other European and world economies. Vice President and Director of the Global Economy and Development program Kemal Dervis¸ (left) moderated the discussion; Brookings

M origi President Strobe Talbott (center) introduced the prime minister. Photo by Paul Paul by Photo

< Following a talk on jobs and the economy at Brookings, President Barack Obama greets Vice President and Director of the Global Economy and Development program Kemal Dervis¸ as (from left) Brookings Managing Director William Antholis,

Brookings Trustee wang Daniel Yergin and A l s al p h

Brookings Trustee R James D. Wolfensohn Photo by Sharon Farmer by Photo look on. by Photo 8 9 Global Economy and Development

he framework for global economic decision-making global economic and policy coordination. and development Senior Fellow Eswar Prasad, cooperation came the New Century Chair in Inter- under pressure national Trade and Economics, led this year as coun- the program’s efforts to track the Education can help mitigate violence, < Ttries grappled with the impacts economic recovery in advanced especially in countries like Pakistan. Senior of the world financial crisis and and emerging market economies. Fellow Rebecca Winthrop, director of the the on­going recovery. Vital to the In collaboration with the Financial Center for Universal Education, talks about discussions, Global Economy and Times, Prasad produced the Track- the report on the links between Pakistan’s Development scholars provided ing Indexes for the Global Eco- education system and the rising militancy new and innovative thinking for nomic Recovery (TIGER) interac- across the country.

achieving equitable, sustainable tive online feature, which shows I rvin

growth for the global community. how growth in trade and industrial A lex “With top international tal- production are recovering more

ent at the core of our program, strongly than employment and by Photo now in its fifth year, we can fully gross domestic product. scale the range of global issues Cases of corruption and poor At the seventh annual Brookings Blum Roundtable in Aspen, that confront international forums governance in both developing and Colorado, Trustee Richard C. Blum speaks with Helen Clark, and institutions,” said Kemal developed countries were also a administrator of the United Nations Development Programme and

­Dervis¸ , vice president and director dominant theme this year. Senior former prime minister of New Zealand. wang A l s of the program. “Those include Fellow Daniel Kaufmann assessed s burrough G eorge al p h macroeconomic policy coordina- global trends in development ness (Brookings Institution Press, brought on Katherine Sierra, a R hot by by s hot tion, trade regimes, financial performance, aid flows to develop- 2009). leading expert on climate change, Screen Screen regulation, foreign development ing countries, political funding Exploring regional impacts, energy and international develop- by Photo assistance and climate change,” and lobbying, regulatory and state the Latin America Initiative, led ment, as a senior fellow.

added ­Dervis¸ , also the Edward M. capture of institutions, conflicts by Senior Fellow and Director Global also reached out to key > Brookings Senior Fellow ­Bernstein Scholar. of interest, and “legal corruption.” Mauricio Cárdenas, engaged lead- stakeholders to recommend policy and Africa Growth Initiative The emergence of the G-20 Several of his policy recommen- ing policymakers in Latin America reforms and responses needed to Director Mwangi Kimenyi as the “premier forum for inter- dations were adopted by Trans- and the United States. The Africa bring the world’s poorest out of discusses how to sustain growth national economic cooperation” parency International, his work Growth Initiative, under the lead- poverty and instability. Senior Fel- in sub-Saharan Africa at an was an important focus this year informed the Chilean government ership of founding director and low and Director of the Center event highlighting the need for and several scholars provided rec- in Chile’s accession to the OECD, Senior Fellow Ernest Aryeetey— for Universal Education Rebecca African nations to restore the ommendations on how the G-20 and his research on governance and now Senior Fellow Mwangi ­Winthrop and Fellow Corinne kind of growth they experienced could overcome current global and public debt garnered consider- Kimenyi—established new part- Graff authored a report assess- prior to the global financial governance and economic chal- able media attention in relation to nerships with six African think ing the links between Pakistan’s crisis. lenges. Nonresident Senior Fellow the Greek crisis. tanks to build leading research education sector and growing mili- Domenico Lombardi discussed Global’s research on inter- capacity and impact in the conti- tancy in the country. The report what the G-20 could, and could national trade policy included nent. The Middle East Youth Ini- helped inform USAID on its edu- not, do to help Europe. Nonresi- the release of three books: Non- tiative contributed groundbreaking cation programs in Pakistan. dent Senior Fellows Colin Bradford resident Fellow Paul ­Blustein’s research on social entrepreneur- At the seventh annual Brook- Efforts to rebuild Chile in the and Johannes Linn continued to Misadventures of the Most Favored ship that was recognized by Secre- ings Blum Roundtable in August, aftermath of the earthquake promote the evolving replacement Nations: Clashing Egos, Inflated tary of State Hillary Clinton at the over 40 leading experts met to engage Sebastián Piñera (right), of the G-7 by the G-20 to include a Ambitions, and the Great Shambles U.S. Presidential Entrepreneur- consider the changing shape of the the newly elected president, more diverse group of countries. of the World Trade System (Public ship Summit in April. global development agenda over and Mauricio Cárdenas, Senior Ahead of this year’s G-20 Affairs, 2009); Nonresident Fel- International action on climate the next decade. Ongoing work Fellow and Director of the summits in Toronto and South low Chad P. Bown’s Self-Enforcing change continued to be a critical by Senior Fellow Homi Kharas, Latin America Initiative, in Korea, the program hosted a Trade: Developing Countries and issue this year and Global’s experts deputy director of the program, on a lively question-and-answer

high-level conference with the WTO Dispute Settlement (Brook- were part of the dialogue. In the how to achieve aid effectiveness in session with a Brookings wang Korea Development Institute and ings Institution Press, 2009), spring, the program published a a landscape with a rapidly growing audience. At the April event, A l s al p h Canada’s Centre for International and Global’s former director Lael report on tackling climate change number of international develop- President Piñera also discussed R Governance and Innovation on Brainard’s edited volume, Climate against the backdrop of the global ment actors helped to frame the his future economic plans for

the emerging role of the G-20 in Change, Trade, and Competitive- economic crisis. And Global discussions. n Chile. by Photo 10 11 Russian Federation President Dmitry Medvedev speaks at Brookings shortly after the Foreign signing of the New START Treaty. The Center on the United States and Europe hosted the event. Policy Research that world leaders heed

Martin Indyk listens as former UN Ambassador Richard Holbrooke, President Obama’s Special Representative to both Afghanistan and Pakistan, speaks about the current situation in the two countries. Indyk (right), vice president and director of the Foreign Policy program, sits next to Senior Fellow Bruce Riedel; Stephen A lswang Cohen, also a senior fellow, is at the far left. Photo by p h Ral by Photo

In Doha to address the U.S.-Islamic World Forum, an annual meeting organized by Brookings and the government of Qatar, U.S. Secretary of State Hillary Clinton is accompanied by the Emir of Qatar, His Highness Sheikh Hamad bin Khalifa Al Thani, and Brookings President Strobe Talbott (right). President Obama addressed the forum in a videotaped message. A lswang A lswang Photo by p h Ral by Photo 12 p h Ral by Photo 13 Foreign Policy > Marking a new strategic partnership, Indian Foreign Secretary Nirupama Rau and U.S. Undersecretary of State Bill Burns were among the policy experts convened by resident Obama’s the John L. Thornton China Brookings and the Federation second year in Center and the China Institute of Indian Chambers of office was marked of Strategy and Management co- Commerce and Industry on by difficult foreign hosted the Strategic Forum for the day after the governments policy dilemmas— U.S.-China Clean Energy Coop- of the United States and whether to send eration. Former U.S. Vice Presi- India held their first strategic Pmore troops to Afghanistan, how dent Al Gore and Chinese Vice dialogue on the official level. to curb Iran’s nuclear program, Premier Li Keqiang, together how to build new partnerships with Obama administration with Russia and China, how to ­officials, addressed the forum. > make peace in the Middle East, In May, the Center for Javier Solana, former and how to shape an emerging Northeast Asian Policy Studies European Union High multipolar world order. Across and the China Center organized Representative for Foreign the spectrum of these global a conference to discuss the and Security Policy, takes

challenges, Foreign Policy at growing prominence of global Mo r igi Paul by Photo notes while U.S. Secretary of Brookings played a prominent issues in the U.S.-China bilateral State Hillary Clinton lays out role in the policy debate, with relationship, featuring a keynote Improving the U.S. Response to Internal Displacement, an the administration’s National its diverse array of distinguished address by Deputy Secretary of event moderated by Senior Fellow Elizabeth Ferris (right), co-director Security Strategy at Brookings researchers generating and State and former Brookings vice of the Brookings-Bern Project on Internal Displacement, also includes in May. Solana joined deploying ideas that helped president James B. Steinberg. Deputy Assistant Secretary of State Kelly T. Clements. Foreign Policy this year as a improve policy. Led by Senior Fellow Richard C. distinguished senior fellow. A lswang “This was a year when our in- Bush, the Michael H. Armacost The event was hosted by the depth research—a dozen books, Chair, the Center for North- an address by General David Within days of the devastat- Managing Global Insecurity

over 100 articles and papers, and east Asian Policy Studies also Petraeus. ing earthquake in Haiti, the project. p h Ral by Photo 250 opinion pieces—factored hosted six visiting fellows from The 21st Century Defense Brookings-Bern Project on Inter- into every major foreign policy the region who collaborated on Initiative continued to serve as nal Displacement examined the debate,” said Martin Indyk, vice research focused on alternative a hub for research and discus- response. Latin America Initia- president and director of Foreign sources of energy. sion of emerging defense policy tive director ­Mauricio Cárdenas Policy. “It was also a year marked The Saban Center for Middle issues. The initiative organized wrote about the need to rebuild by many important conversations East Policy convened top Israeli more than 40 events, ranging the capacity of its government, with major world leaders con- and American policymakers in from public speeches by all the as well as Haiti’s infrastructure. vened by Brookings.” Jerusalem for the sixth annual military service chiefs to private The devastating oil spill in the Soon after signing the New Saban forum, which included sessions with civilian aid experts Gulf of Mexico once again raised START Treaty, which cut U.S. a session in Ramallah hosted returning from Afghanistan. The concerns about our energy future. and Russian strategic offensive by Palestinian Prime Minister initiative’s director, Senior Fellow Led by Senior Fellow Charles forces, Russian President Dmitry Salam Fayyad. Among those who Peter W. Singer, was named one Ebinger, the Energy Security Medvedev gave a lively speech delivered remarks at the forum of the Top 100 Thinkers in the Initiative published reports on to a capacity crowd at Brook- were Israeli Prime Minister world by Foreign Policy magazine the changing responsibilities of ings. Senior Fellow Steven Pifer ­Benjamin Netanyahu, former after he published his best- the nuclear industry, intellectual wrote in the Brookings Up Front U.S. President Bill ­Clinton, selling book, Wired for War: The property and clean technology, Blog: “There’s an image in the Israeli Defense Minister Ehud Robotics Revolution and Conflict and an assessment of the Arctic West—perhaps a bit of a stereo- Barak, and U.S. Senators in the 21st Century (Penguin melt, among other topics.

type—that speeches by Russian Joseph ­Lieberman and Press, 2009). Best-selling author and col- Mo r igi Paul by Photo officials to foreign audiences will Lindsey Graham. Michael O’Hanlon, direc- umnist Robert Kagan joined For- be stiff, staid and long-winded Led by Senior Fellow Ken- tor of research for the Foreign eign Policy as a senior fellow in Fiona Hill, director of the Center for the United affairs. Medvedev shattered that neth Pollack, the Saban Center Policy program and the Sydney September. Kagan will work on States and Europe, joins Philip Gordon, assistant mold.” also hosted a widely reported Stein, Jr. Chair in International U.S. foreign policy in the Center secretary of state for European Affairs and former director As director of the Arms crisis simulation focusing on the Security, released another impor- on the U.S. and Europe. Abroad, of Brookings’s Center on the U.S. and Europe, at the ­Control Initiative, Pifer was a diplomatic and military rami- tant book on Afghanistan, co- the Brookings Doha Center and annual Sakip Sabanci Lecture that addressed the growing main driver in the debate about fications of an Israeli military authored with Hassina Sherjan, the Brookings-Tsinghua Center A lswang importance of Turkey in the Eastern European region. the Obama administration’s strike against the Iranian nuclear an Afghan American business- for Public Policy in Beijing both “reset” of relations with Moscow. program, and organized a confer- woman and educator living in continued to expand their reach

In Beijing in October 2009, ence on Iran’s future featuring Kabul. (See Press, page 40.) and activities. n p h Ral by Photo 14 15 Governance Studies A century of political judgment m er Sharon Far by Photo

His All Holiness Bartholomew (left), Archbishop of Constantinople, New Rome, and Ecumenical Patriarch of the Orthodox Christian Church, addresses how global environmental challenges relate to the role of faith and religious freedom in public life at a Brookings convocation. His Eminence Archbishop Demetrios of America is second to left.

> Faith and the role of religion in politics, immigration policy, and even money spurred columnist and Senior Fellow E.J. Dionne Jr. to moderate a wide range of conversations at Brookings this year, which included disparate speakers such as Sojourners President and CEO Jim Wallis and HSBC Chairman Stephen Green.

< White House Senior Advisor Valerie B. Jarrett offers concluding remarks at the Brookings Forum on Growth through Innovation in November 2009 as Brookings Chairman of the Board John L. Thornton (middle) and Darrell West, vice president and

Photo by Steve Purcell Steve by Photo director of Governance Studies, listen. Mor s e Paul by Photo 16 17 Governance Studies

he Obama admin- Julius Genachowski twice: in istration shifted September 2009, as he delivered into its second remarks on preserving the open- year with the ness and freedom of the Internet; country still fac- and again in March, when the ing economic chairman discussed the FCC Tand foreign policy crises, politi- survey of consumer attitudes on cal sparring, and an unfinished broadband.

legislative agenda. If that were Cloud computing services Morigi Paul by Photo not enough, debates began on emerged as a potential spur to judicial nominations, immigra- government efficiency. West At Brookings’s public assessment of the stimulus at six tion, education policy, and more. detailed his findings in a paper months, Grover J. “Russ” Whitehurst, senior fellow and director As they have through every major that analyzed the governmental of the Brown Center on Education Policy, tells New York Times political test of the last century, cost-saving potential. Similarly, he national correspondent Jackie Calmes that only 13 percent of the Governance Studies scholars explored technological advances education money has been sent to states. took on those challenges directly, in health care by outlining a vision offering a combination of public for a new system based on mobile unveiled a joint statement about mapped the emerging contours of policy and institutional reform health, remote monitors, elec- current U.S. laws on religious the nascent law on military deten- wang recommendations. tronic medical records, social net- expression. tion by analyzing the courts’ work. A l s al p h “Solutions to complex issues working sites, video conferencing As the landmark No Child Senior Fellow Sarah Binder R from technology and health care and Internet-based recordkeeping. Left Behind law awaited reau- and her colleague from George

to intergovernmental relations Arizona’s controversial new thorization, Brown Center on Washington University, Forrest by Photo and constitutional rights require immigration law underscored the Education Policy Director Grover Maltzman, highlighted in The proven ideas from experienced need for federal action. In Octo- “Russ” Whitehurst, who also Struggle to Shape the Federal Judi- Senator Ron Wyden of Oregon (center) speaks with Brookings’s Darrell West, Sarah Binder, and Thomas Mann as well as American people,” said Darrell West, vice ber 2009, the Brookings-Duke holds the Herman and George R. ciary (Brookings Institution Press, Enterprise Institute Scholar Norman Ornstein (far left) and Steven Smith of the Washington University in St. Louis (right) prior to an president and director of Gov- Immigration Policy Roundtable Brown Chair in Education Stud- 2010) a process beset by deepen- event on the state of the Senate, which focused on both the filibuster and the emergence of the 60-vote majority. ernance Studies. “We provided released six policy changes to ies, argued in a series of policy ing partisan polarization, obstruc- opportunities for those ideas to break the immigration stalemate. proposals that parents be afforded tionism, and deterioration of the surface by bringing government Senior Fellow William A. Galston, the maximum degree of choice practice of advice and consent. officials together with experts the Ezra K. Zilkha Chair in Gov- in elementary and secondary Further illustrating the reach at major events, releasing well- ernance Studies, a co-convener education and that an “America’s of the high court, Senior Fellow timed reports and, perhaps most and one of the authors of the Teacher Corps” be created. Thomas Mann, the W. Averell important, gauging the challenges report, led a public discussion Despite the importance of Harriman Chair in American ahead.” among roundtable members. media coverage for public under- Governance, expressed his dismay Amid troubling signs of a Galston joined Senior Fellow standing of education, two new in January at the outcome of the downward trend in American E.J. Dionne Jr. in June to co- reports this year by Whitehurst, case Citizens United v. Federal innovation, the program convened moderate ­a discussion that exam- West and Dionne found scant Election Commission, calling the the inaugural A. Alfred Taubman ined the policy implications of a news reporting on schools. Since decision “an egregious exercise of wang Forum in June with three White new phenomenon: religious lead- there is virtually no national cov- judicial activism.” A l s al p h House technology officials, Brown ers demonstrating a remarkable erage of education, they wrote, In a number of research R University President Ruth Sim- degree of unity across theology, the public cannot easily follow reports and opinion articles,

mons, House Committee on Sci- denominational and ideological the issues at stake in education Senior Fellows Pietro Nivola, who by Photo ence and Technology Chairman lines for comprehensive immigra- debates nor understand how to holds the Douglas Dillion Chair (left) Bart Gordon of Tennessee, and tion reform. improve school performance. in Governmental Studies, ­Galston Intel President and CEO Paul S. Otellini and Federal Communications Chairman Julius others. Later that month, West Continuing its role as a conve- With the Guantánamo deten- and Mann continued their work Genachowski (right) share a moment of levity with became founding director of the ner of religion and politics issues, tion facility still open, and inac- on the impact of political polariza- Darrell West, who hosted separate public discussions Center for Technology Innovation Governance Studies hosted a pub- tion by the White House and tion on modern-day governance. with both men that day at Brookings in February. at Brookings. lic session with Joshua DuBois, Congress, judges were tasked And the program continued With the Federal Communica- director of the White House with writing the rules govern- “GovWatch,” which monitors and Photo by Paul Morigi Paul by Photo tions Commission charged with Office of Faith-based and Neigh- ing military detention of terrorist analyzes key economic indicators, developing a national broadband borhoods Partnerships. In early suspects. Senior Fellow Benjamin public opinion polls and legisla- White House technology officials Aneesh Chopra (left), Vivek Kundra policy by early 2010, Governance January, a diverse working group Wittes and Nonresident Senior tion to gauge progress in meeting and Phil Weiser outline the administration’s vision for spurring health care Studies hosted FCC Chairman of religious and secular leaders Fellow Robert M. Chesney various public policy challenges. n innovations, smart grid implementation, and the national broadband plan. 18 19 Metropolitan Policy Ideas into action for the next economy

Bruce Katz, vice president and founding director of Metropolitan Policy, welcomes hundreds of participants to a gathering on the future of auto-based communities and their transition to the next economy. He describes an economy “where we export more, waste less, innovate in what matters, produce and

deploy more of what Morigi Paul by Photo

we invent and finally < that works for working On the status of the recovery plan, families.” Vice President Joe Biden says in September 2009 that “we’re not there yet, but we are trying.” Brookings President Strobe Talbott moderates as Trustee Antoine van Agtmael, chairman of the International Advisory Council (left), Trustees Daniel Yergin and William Coleman, and Metropolitan Policy Deputy Director Amy Liu (front row) participate in the discussion.

Welcoming U.S. Homeland Security Secretary Janet Napolitano and Mexico’s Secretary of the Interior, Fernando Gómez-Mont, to Brookings, Senior Fellow Audrey Singer says that the debate over immigration raises important questions, from how we control our borders to how we define ourselves as a Photo by Paul Morigi Paul by Photo Photo by Paul Morigi Paul by Photo nation. 20 21 Metropolitan Policy

< Former Talking Heads musician and longtime cycling advocate David Byrne offers his thoughts on politics, history and the urban landscape at hio, New The 2010 reauthorization of a Brookings event to Orleans, the the America COMPETES Act launch Cities for Cycling, Great Lakes, includes both of the program’s a National Association the Intermoun- recommendations for regional of City Transportation tain West, and innovation clusters and energy Officials project to break other regions hubs, the latter of which has down barriers to bicycle- Ocoping with economic setbacks already been embraced by the friendly street design in and slow recovery told their sto- Department of Energy in its U.S. municipalities. ries this year through high-level 2010 budget. convenings, in-depth reports Providing an early glimpse of and key news stories. The the 2010 Census in May, Metro Metropolitan Policy Program’s released “The State of Metro- successful presentations of a politan America,” the program’s demographically changing nation inaugural biannual report that Morigi Paul by Photo

advanced signature projects and comprehensively documents the Morigi Paul by Photo informed federal initiatives and changing nature of American investments. society through the lens of the World Habitat Day 2009 put cities in the spotlight. UN-HABITAT “We saw a lot of our ideas nation’s 100 largest metropolitan Executive Director Anna Tibaijuka tells a Brookings audience that, transformed into action this areas. The report, a launch event while we are discussing housing here, “a house is an empty shell if year,” said Bruce Katz, vice and an interactive indicator map you don’t have food. People move away from houses if there is no food president and founding direc- generated significant attention … You will find that, with environmental deterioration, we are now tor of the Metro program and that included a David Broder confronted with the challenge of rapid and chaotic urbanization.”

the Adeline M. and Alfred I. column in the Washington Post Morigi Paul by Photo

Johnson Chair in Urban and and a POLITICO opinion piece Metro also launched the as capital budgeting and the < Metropolitan Policy. “Many of by Katz and Rockefeller Founda- Metropolitan Opportunity Series National Infrastructure Bank. As A Partnerships in Innovation our metropolitan partners helped tion President Judith Rodin. this year to offer a geographic outlined by Metro experts, the forum in May, co-sponsored by make these reforms possible by Led by Senior Fellow Alan view of American poverty. 2010 budget proposed $5 bil- the Metropolitan Policy Program, articulating their on-the-ground Berube, the program’s research Berube and Elizabeth Kneebone lion for innovative infrastructure featured U.S. Labor Secretary experience when participating in director, Metro’s major demo- found that unemployment rose projects. Hilda Solis (center) and (from discussions with White House graphic analysis revealed that equally in both the cities and MetroMonitor—a signature left) Sen. Carl Levin (D-Mich.), and agency leaders.” our nation now faces a series of suburbs during the recession. piece of work on the next Ameri- Rep. Sandy Levin (D-Mich.), The Metro voice was critical “new realities” about who we are, By 2008, in fact, suburbs had can economy—continued this Michigan Governor Jennifer in the development of the new where and with whom we live become home to the largest and year as a quarterly barometer of Granholm, United Auto Workers White House Office of Urban and how we provide for our own fastest-growing poor population the health of metropolitan econ- President Ronald Gettelfinger, Affairs, especially as the office welfare, as well as that of our in the country. Metro’s analysis omies. With five reports pub- and Chairman and CEO of established its general prin- families and communities. on these trends received atten- lished to date, along with Great Cascade Engineering Fred Keller. ciples, goals, and policy options. Senior Fellows William Frey tion from the New York Times, Lakes and Intermountain West Likewise, Metro matters found and Audrey Singer contributed to Wall Street Journal, C-SPAN, versions, the Metro program receptive audiences at various the report and were often cited and ABC News. established the benchmarks on federal policy roundtables on in the media throughout the year Senior Fellow Robert regional recovery. topics that included neighbor- for their insights on key popula- Puentes, with Adie Tomer and Testing the next economy hoods of opportunity, sustain- tion trends. Emilia Istrate, explored innova- framework with corporate audi-

able communities, post-disaster Released to coincide with tive policy solutions on such ences, a February event in recovery policies, and economic the 2010 Census count, Andrew pressing transportation and infra- Palo Alto, Calif., with Lazard, < and physical transformation in Reamer’s “Counting for Dollars” structure challenges as the smart convened high-level CEOs Rockefeller Foundation auto-dependent communities. explained how the decennial grid, future investments, and with California Governor President Judith Rodin Metro’s research and “Clus- Census affects the distribution broadband. Highlights included Arnold Schwarzenegger, Penn- engages Michael Nutter, the ters and Competitiveness” report of nearly $500 billion in federal “Expect Delays,” an examina- sylvania Governor Edward mayor of Philadelphia, in a light became the economic framework funding to states and localities, tion of U.S. air travel trends and ­Rendell, and others to generate moment after the unveiling of for a wide range of programs at providing a first-of-its-kind spend- another report, released at an ideas on building an economy “State of Metropolitan America,” the Department of Energy, the ing breakdown for the 50 states, event featuring U.S. Transporta- that is export-oriented, low- a landmark report that documents Commerce Department and the the 100 largest metropolitan areas, tion Secretary Ray LaHood, that carbon, innovation-fueled and a decade of dynamic economic

Small Business Administration. and the 200 largest counties. explored investment ideas such ­opportunity-rich. n and social change. Morigi Paul by Photo 22 23 Impact and Strategy Brookings’s tenth decade embraces governance and renewal his year the and publications examined the such as global financial imbal- the United States with co-author Board of Trust- key question on everyone’s mind: ances, the rise of new economic Carol Graham. Three months ees and the When economic spending should powers, and global financial later, as the gross domestic Brookings com- stop and deficit reduction begin. regulation. Metropolitan Policy product fell, Economic Studies munity spent “Brookings became the most experts are looking at ways to co-directors Karen Dynan and time answering trusted and influential think affirmatively build the post- Ted Gayer monitored the fallout perhaps the largest question in tank in the world by offer- recession economy. To do that, from the European debt crisis T G eri Kodey our history: After a confidence- ing good advice for 94 years, the program will examine the on U.S. credit markets. shattering­ global economic and we intend to redouble our key elements of the “next econ- All of these activities have Photo by by Photo

crisis, how can Brookings help efforts over the next six,” notes omy”; deliver a policy playbook consciously focused on outreach Morigi Paul by Photo < create a better, more prosper- ­Thornton. “To shape our goals, for federal, state and metro and impact, notes Managing < ous world in the years leading the Institution’s leadership and leaders to help create jobs in Director William Antholis. Continuing to Madeleine Albright, former U.S. up to the Institution’s 100th its Board of Trustees this year the short term while restructur- “Impact has several dimen- expand Brookings’s Secretary of State, discusses the NATO anniversary? developed the second phase of ing the economy for the long sions, from setting national and reach outside Strategic Concept’s Group of Experts and “Looking ahead, we are well the Brookings Strategic Plan to haul; and seek to identify and and international agendas, to the Washington its recommendations for the future at a aware that the troubles of the capitalize on Brookings’s heri- inform a network of pragmatic shaping how particular policy Beltway, Brookings Brookings meeting. last two years could escalate,” tage and affirm the core values leaders who can help transform issues are framed, to designing this year launched said Strobe Talbott, president of of quality, independence, and the economy. very specific policies,” he said. Brookings Brookings. “So we have recom- impact.” Foreign Policy’s research “Its also means making optimal Mountain West—a mitted ourselves to the goal In addition to identifying agenda will target war and use of our publications and con- platform to ­Robert Brookings and other four key areas of “all-Brookings” peace, shifting templates, and vening power, our access to poli- advance the full Palestinian Authority President Mahmoud < supporters laid out in 1916: research, the strategic plan transnational issues and global cymakers and opinion leaders, range of Brookings Abbas displays a copy of the Arab Peace Improving the institutions and encompasses blueprints from the governance. With the United and our use of the latest com- research programs Initiative, an agreement he was instrumental practices necessary to govern five research programs that iden- States engaged in two counter- munications technologies.” and priorities to in negotiating. Speaking at a Saban Center ourselves.” tify specific research agendas, insurgency wars in a bid to To broaden and deepen rela- the fast-growing for Middle East Policy event shortly after the That focus was evident this priorities, and long-term invest- defeat al Qaeda-related terror- tionships with an increasingly Intermountain West flotilla crisis off the coast of Gaza in June, year in everything from private ment opportunities. ism, a renewed effort to resolve global audience for Brookings’s region. Managing Abbas stressed the importance of a dialogue

meetings to public events to new For example, Governance the Arab-Israeli conflict, and a work, the Institution made a Director William Morigi Paul by Photo between Israel and Palestine.

forms of communication. And Studies will tackle questions of multilateral attempt to curb the number of new investments this Antholis speaks < it was rewarded by recognition public-sector innovation, revolv- nuclear programs of Iran and year, from new content in Span- at the University Outgoing White House Office from professionals at other think ing in part around a new Cen- North Korea, security issues ish, Arabic and Chinese to new of Nevada, Las of Management and Budget tanks and the media, who rated ter for Technology Innovation lie at the crux of the program’s mobile “apps” for the iPhone, Vegas, where the Director Peter Orszag gave Brookings as the No. 1 think established this year. Looking agenda. BlackBerry and Android devices. office is located. his final public speech at tank in the United States and beyond business-cycle concerns, As part of the broader stra- Partnering with the popular Joining him on Brookings in July, noting the the world. Economic Studies will explore tegic plan, “all-Brookings” work news outlet POLITICO, Brook- the riser are (from important work ahead for the President Barack Obama pre- economic policies aimed at sup- achieved considerable success ings scholars were featured live left) Brookings National Commission on Fiscal sented his plan for creating jobs porting growth and economic last year with the quarterly pub- in interactive web chats on top- Trustee Brian L. Responsibility and Reform. and spurring economic growth at security over the longer run with lication of the composite “How ics ranging from the conundrum Greenspun, UNLV That commission includes Brookings in December 2009—a a focus on how to reform regula- We’re Doing” Index on the Sun- of Tax Day on April 15 to the President Neal Trustee Ann Fudge as well as plan influenced by the thinking tory policy to remedy market fail- day opinion page of the Wash- economic ramifications of the J. Smatresk, and Senior Fellow Alice Rivlin—like of the Institution’s scholars and ures without crimping produc- ington Post. Martin Indyk, vice Gulf oil spill. And new audio Lindy Schumacher, Orszag, a Brookings scholar an influential group of private- tive behavior among firms and president and director of Foreign and video podcasts showcased director of Nevada who went on to run both the sector leaders brought together households. Policy, weighed in on the key experts’ analysis and recommen- Giving for the Lincy Congressional Budget Office by Board Chairman John L. Global scholars will analyze domestic and global indicators dations on the most pressing Foundation. and the Office of Management

Thornton. And a series of events the policy implications of issues to gauge the shifting position of policy issues of the day. n and Budget. Morigi Paul by Photo 24 25 Ethics and Politics in the Age of Global Warming, which urges an Executive approach to international action on global warming that would put One Brookings, the United States and other key Education nations at the forefront of bend- ing the curve on carbon emis- n its first year of collaboration, sions. (See Press, page 40.) Brookings and Washington Univer- Over 350 participants in the sity in St. Louis brought Brookings Brookings “Back to the Future” Executive Education full circle forum on energy and climate to one of the Institution’s original Four Priorities change generated more discourse educational missions—developing at this crucial time. “It was an Igovernment leaders. ideal platform to showcase the Senior Fellow Sarah Binder, who breadth and depth of our own served as Brookings liaison to the Execu- research capabilities as well as tive Education program, applauded the

nder the broad our capacity to bring together Morigi Paul by Photo new partnership with Washington Uni- call for gov- high-level experts, including two versity as a solid academic merger. “In ernance and of our own Trustees, in the field White House National Economic Council’s Diana the coming year we will be looking to renewal, the of climate policy,” said Antholis, Farrell expounds on growth through innovation with find new ways of incorporating Brookings next phase of the Brookings’s managing director. Martin Neil Baily (center), director of the Initiative on scholars into its programming,” she said. Brookings strate- At the forum, Todd Stern, Business and Public Policy, and Trustee Edgar Rios. “Building bridges between the research Ugic plan lays out four substantive U.S. Special Climate Envoy and educational communities at Brook- Institution-wide priorities: growth at the Department of State, ings is the goal.” through innovation, opportunity responded to the question of Jackson A. Nickerson, the Frahm and well-being, sound energy international governance and laid Family Professor of Organization and and climate policy, and manag- out a new paradigm for climate Strategy at the Olin Business School and ing global change. Large strides diplomacy. Douglas Elmendorf, a nonresident senior fellow at Brookings, were taken this year to develop director of the Congressional continued as director of the new executive and promote recommendations in Budget Office and former Brook- education initiative. Brookings President these priority areas. ings senior fellow, explained the Strobe Talbott and Senior Fellows Martin Examining growth through most cost-efficient mechanisms Indyk and Ken Pollack are among those innovation, Brookings convened for reducing greenhouse gas emis- who offered instruction last year in the 30 scholars and business lead- sions. Brookings Trustee Shirley executive education classrooms.

ers for a two-day conference in Morigi Paul by Photo Ann Jackson, president of Rens- Starting July 1, Washington Univer- November under the co-chair- selaer Polytechnic Institute, led sity’s Olin Business School began offering manship of four Brookings Trust- At an all-Brookings “Back to the Future” forum on energy and climate change, a panel of a panel that explored technology a Master of Science in Leadership (MSL) experts discusses science, policy and regulation. They include, from left, Jonathan Epstein, counsel ees—John L. Thornton, Chair innovations and another Trustee, Morigi Paul by Photo through Brookings Executive Education. of the Board; Dominic Barton, to Senator Jeff Bingaman of New Mexico; Senior Fellow Mark Muro; Senior Fellow Charles K. Daniel Yergin, Chairman of Cam- This new degree is designed to develop managing director of McKinsey Ebinger; Nonresident Senior Fellow Barry Rabe; and Trustee Shirley Jackson, president of Rensselaer bridge Energy Research Associ- Beyond these research Trustee Glenn leaders for service as senior federal execu- & Company; Steven A. Denning, Polytechnic Institute. ates, offered his perspective. priorities, the strategic plan Hutchins, co-founder tives and to improve the capacity of chairman of General Atlantic How to manage global reiterates the Institution’s and co-CEO of Silver incumbent members of the Senior Execu- LLC; and Glenn Hutchins, co- growth strategy needs to go from being “all-Brookings” priority recover from the Great Recession change? On the fourth priority, commitment to quality, Lake, examines tive Service. founder and co-CEO of Silver the global to the national to the looks at social and economic of 2008–2009. scholars from across Brookings independence, and impact—the research findings on In addition, BEE offered over 30 Lake. Recommendations from local—and back again. issues through a different lens: Sound energy and climate are rethinking some of the newest core values that are Brookings’s small business policy courses in five locations, as well as the that meeting, shared with top In June, Brookings revisited How do individuals and fami- policies have long been a prior- trends in global politics, including hallmark, both among scholars at a growth through Legis Congressional Fellowship, the policymakers, led to President the growth through innovation lies continue to find and create ity at Brookings—and this year both the rise of emerging powers and policymakers. innovation event in women’s leadership program, and custom Obama’s speech at Brookings in concept during a two-day event opportunities for advancement? featured extensive work and a and the drivers of global con- “These policy questions pose June. classes created by Brookings and Wash- December on the economy. on building a long-term national The pursuit of happiness—that robust public debate on energy flict that emerge below national new opportunities and obligations ington University for both public- and New growth strategies are strategic plan. Discussions cen- is, opportunity and well-being—is issues. A full-day Brookings forum governments. Based on those for the Institution’s brand of private-sector organizations. needed, the executives concluded, tered on small business finance, a common feature of all commu- in May that tackled the prospects trends, scholars worked together agenda-shaping research; for our The custom courses allow organiza- if the United States is going to energy innovation, improving nities within the United States for climate and energy in 2010 on how to develop more realistic efforts to develop imaginative, tions to provide employees with the ben- return to a period of innovation- governance, and spurring innova- and abroad. Not surprisingly, all coincided with the introduction approaches and more effective practical recommendations efits of instruction specifically tailored driven productivity that creates tions through education—each of five Brookings research programs of new climate change legisla- means of ending intractable old for policymakers; for our to their goals. For example, the National good jobs, pays off our debt, raises which generated Brookings policy have perspectives to share. These tion in the Senate and heated conflicts and to prevent new ones. commitment to communicating Institutes of Health turned to Brookings living standards, and enables us papers that were widely dissemi- issues are particularly relevant hearings on the Gulf oil spill. As Terrorists and illicit traffickers, broadly and clearly; and for our Executive Education for their Executive to enter into a period of sustained nated on the Brookings web site given the current range of eco- the national debate sharpened, not to mention nuclear weapons, emphasis on fostering informed Leadership Program. n and shared prosperity. and to the media. nomic challenges, as communi- Strobe Talbott and William continued to dominate the policy and civil public debate,” noted More broadly, a national The opportunity and well- ties around the world struggle to Antholis published Fast Forward: agenda. Board Chair Thornton. n 26 27 General David Petraeus joins the International Advisory Council and Board Support for of Trustees for an in- depth conversation on the conflicts in Afghanistan and Pakistan in May. IAC Donors Member Rahul Bajaj, Brookings chairman of Bajaj Auto Limited in India, provide essential resources to listens. sustain excellence Photo by Paul Morigi Paul by Photo

> Trustee Crandall C. Bowles, chairman of Springs Industries, Inc., offers her thoughts at a forum on building a long-term national strategic plan for growth through innovation with Brookings Honorary Trustee James D.

Robinson III. > The inaugural A. Alfred Taubman Forum in June convened leaders from government, higher education, and business to confront troubling signs of a downward trend in American innovation. Darrell West (second from left), vice president and director of Governance Studies, sits between Brown University President Ruth Simmons (left) and Judy Taubman. Al Taubman is Photo by Paul Morigi Paul by Photo Photo by Paul Morigi Paul by Photo at the far right. 28 29 Support for Brookings

ven in the midst of looked ahead to how U.S. foreign range of subjects. Brookings was economic setbacks, policy should seek to manage pleased to welcome many new unsettled national global change. The next day, at and returning companies to the security, and public lunch, New York Times columnist Council in 2010, a testament to disapproval of all David Brooks discussed what the the value that Brookings brings to three branches of Obama administration would face ­decision-makers. EU.S. government, Brookings’s in its second year. Northern Trust Corporation, supporters clearly see the way At the Board of Trustees Siemens, and Pioneer Natural forward, not just for economic meeting in March, shortly after a Resources USA became new recovery, but for global transfor- special election in Massachusetts members of the Council, while mation. Productive themes of put Republican Scott Brown in industry leaders such as R.R. governance and renewal drove the U.S. Senate seat long held Donnelley & Sons Company, conversation at this year’s gath- by the Kennedy family, Brookings Dow Corning Corporation, Glaxo- Photo by Paul Morigi Paul by Photo erings of the Institution’s core vice presidents Darrell West and SmithKline, Hewlett-Packard Morigi Paul by Photo backers. Bruce Katz interpreted what Mas- Company, NTT Corp. Inc., Sun- Thanks to the support of its sachusetts foretold for the mid- Brookings Chairman John Thornton (left) and George David, Trust Banks, Inc., Vale, and Veri- (from left) Trustee Steven A. Denning, International Advisory Council Member Roger Agnelli, and chairman of Coca-Cola Hellenic Bottling Company, Greece listen donors, both financial and intel- term elections. zon Communications re-joined Honorary Trustee Charles W. Robinson review documents during the spring meetings. to presentations at the International Advisory Council meeting lectual, Brookings has expanded At a joint meeting of the the Council to support Brook- in May. its impact beyond the Beltway, International Advisory Council ings experts and their innovative created a Center for Technology and the Board of Trustees in research. Innovation, had a stronger voice May, briefings with both Admiral create Brookings Mountain West. an expansive program of research, As a longtime supporter of in nuclear arms control, and Michael G. Mullen and General With the support and encourage- writing and events to examine the Brookings, Microsoft Corpora- much more. David Petraeus elucidated grow- ment of Trustee Brian Greenspun critical issues in arms control and tion deepened its engagement Active exchanges at Brookings ing concerns on global security and a generous grant of $3 mil- non-proliferation. this year in all five of Brookings’s forums allowed questions to be challenges and the conflicts in lion from the Lincy Foundation, The Foreign Policy program research programs. Microsoft framed and challenges presented. Afghanistan and Pakistan. At a scholars across Brookings’s five received a generous grant of executives are playing an active At the Board of Trustees meeting lunch with former U.S. Secretary research programs are spend- $500,000 from the ACE Chari- role in the Institution, participat- in November, Brookings Presi- of the Treasury Henry Paulson, ing time in residence at UNLV, table Foundation to help sup- ing in the program leadership dent Strobe Talbott presented the the talk revolved around the peo- conducting research and giving port the work of the John L. committees that provide guidance second phase of the strategic plan ple and politics that influenced lectures to students and others in Thornton China Center and the on research agendas and engag-

to take the Institution through its the financial crisis. Former U.S. the community. Brookings Moun- Brookings-Tsinghua Center for ing in substantive dialogue with of Mi c rosoft Courtesy centenary in 2016. He explained Secretary of State Madeleine tain West also serves as a regional Public Policy in Beijing, which leading experts. At a Governance how cross-program research takes Albright discussed the NATO platform for the Metropolitan have continued their high-impact Studies event in January, Micro- Microsoft Senior Vice distinctive advantage of Brook- Strategic Concept’s Group of Policy Program’s Intermountain work in that country. Under the soft Senior Vice President and President and General ings’s depth and breadth, which Experts and its recommendations West Initiative and its “Mountain leadership of Senior Fellow Ken General Counsel Brad Smith Counsel Brad Smith discusses is especially suited to tackle the for the future. As it was only Megas” report, which focuses on Lieberthal, the Thornton China delivered a keynote address on the role of government and multidimensional issues of our weeks after the oil spill in the the challenges and opportunities Center convened a number of the role of the government and corporations in developing and time. (See Impact and Strategy, Gulf region, Brookings Trustee facing the rapidly growing met- high profile events in China private sector in developing and promoting cloud computing at a Brookings forum.

page 24.) Dan Yergin joined Thomas ropolitan areas of Arizona, Colo- and the United States featuring promoting cloud computing. Morigi Paul by Photo “There is an overarching ques- Michaels, chief energy advisor to rado, Utah, Nevada, and New senior government and private Alcoa Foundation has been tion that Brookings has sought Senator Mary Landrieu of Louisi- Mexico. sector leaders discussing issues a longstanding supporter of the As the 2010 mid-term elections approach, Trustees Alan M. to answer from its founding,” ana, and Amy Liu, deputy direc- With the Nuclear Security ranging from clean energy to Institution and recently increased opment program in support of Dachs (left) and Suzanne Nora Johnson listen as Senior Fellow Talbott said. “How do we improve tor of Metropolitan Policy, for a Summit in Washington renewing China’s economy to education. its involvement with Brookings. the program’s work on the BRIC E.J. Dionne Jr. (right) questions Rep. Chris Van Hollen of the institutions and practices conversation on the spill’s impact attention to the role of nuclear The foundation has provided economies—particularly China Maryland, chairman of the Democratic Congressional Campaign necessary to govern ourselves?” on the region and on the politics weapons in national defense, Brookings Corporate Council critical resources to the Brook- and Russia—which are playing Committee. Responding, members of the of energy policy. the Brookings Arms Control In the difficult economy that ings Center for Northeast Asian an increasingly prominent role Board overwhelmingly approved Initiative—led by Talbott and has persisted since the financial Policy Studies for many years, in the global economy. Brookings ­Brookings in November 2009 ity of cities and metropolitan the plan’s carefully constructed Foundation Support Senior Fellow Steven Pifer— crisis of 2008, companies know helping establish the center as also welcomed Alcoa Chairman and June 2010. areas. In February, Metro joined strategies. Other sessions in As part of Brookings’s efforts to received important seed funding the importance of investing in Washington’s premier source of and CEO Klaus Kleinfeld to The Metropolitan Policy with Lazard to convene a con- November provided Trustees with spread its impact beyond the from the Ploughshares Fund and Brookings. The Brookings Cor- policy analysis and information the Board of Trustees, adding Program engages deeply with ference in Palo Alto, Calif., outside perspectives. At a recep- Beltway, the Institution estab- the John D. and Catherine T. porate Council offers leaders about the region. The Foundation his support and involvement business leaders throughout the to examine the energy and tion and dinner, Deputy U.S. lished a partnership with the Uni- MacArthur Foundation. The gifts opportunities to interact with has also made generous grants to in the growth through innova- country as part of its efforts to infrastructure investments Secretary of State Jim Steinberg versity of Nevada, Las Vegas to allow the Initiative to undertake Brookings experts on a wide the Global Economy and Devel- tion forums that took place at improve the health and prosper- that are needed to usher in 30 31 Support for Brookings

the next American economy— ­Massachusetts. Opening remarks one that is export-oriented, for the dinner were provided by low-­carbon, innovation-fueled Brookings Trustee Vernon Jordan Welcoming and ­opportunity-rich. Senior and welcoming remarks the next executives from the energy, day were provided by Metropoli- New ­infrastructure, finance and ven- tan Leadership Council member ture capital communities joined George Bilicic. Trustees with public sector leaders for a series of in-depth conversations Individuals Play a Vital Role uring the 2009–2010 focused on innovative policy Several individual donors stepped year, Brookings elected and business practices. Gover- up in 2010 with major gifts that Dsix new Trustees to the nors Arnold Schwarzenegger of enabled Brookings to undertake Board, where they joined a dis- California and Edward Rendell new projects and deepen the tinguished group of the nation’s of Pennsylvania both addressed bench of outstanding experts on leading business executives, Photo by Paul Morigi Paul by Photo the conference, along with staff. Howard Cox’s contribu- Morigi Paul by Photo academics, community leaders, Representative Ed Markey of tion of $200,000 to the Presi- and former government offi- dent’s Special Initiatives Fund Fiat Chairman John Elkann discusses economic growth as At the spring meeting, Trustee Benjamin R. Jacobs (left) welcomes Trustee Jamie Rubin to the cials. The Board, which meets enabled Brookings to bring on Trustees Glenn Hutchins (left) and Ezra K. Zilkha listen. Brookings board. three times a year, helps gov- Javier Solana, former European ern the business affairs of the Program Union High Representative for James and Elaine Wolfen- strong foundation for Brookings’s global economic earthquake has that there was a lack of political Institution, approves the fields the Common Foreign and Secu- sohn and the Wolfensohn family future. shifted from the United States will to implement unpopular of scholarly investigation and Leadership rity Policy and NATO Secretary also provided generous support. Hutchins’ gift, along with to Europe; the world is moving solutions. More specifically, they safeguards the independence of ­General, as a distinguished senior Wolfensohn was first elected to ­support from Trustee Antoine van from a paradigm dominated by expressed concern that what the Institution’s work. Brookings Committees fellow in Foreign Policy. His gift the Brookings Board of Trustees Agtmael, directly funded impact the G-8 to one now represented Brookings Senior Fellow Ben is proud to welcome its new- o provide Trustees and also supported the work of the in 1983 and has served as an activities such as public events by the G-20, with new actors Wittes called “the irredeemable est members to the Board of other leaders from the Africa Growth Initiative, which Honorary Trustee since 1990, and the creation of ­Brookings playing an increasingly impor- polarization” of U.S. politics has Trustees: Tnon-profit and for-profit Brookings launched in 2009 to providing strategic guidance applications for smartphones tant role on the world stage; and taken on a new and worrisome worlds with opportunities provide a forum for African econ- and support for the Institution. to reach busy policy­makers on “Obamamania” has given way character. Wittes pointed to the • Crandall Bowles for high-level engagement omists and policy experts to focus In 2006, a generous contribu- the go. to a sense—both in the United failed bombing of an airliner Chairman with the research programs, on attaining sustainable economic tion from the Wolfensohn family States and elsewhere—of a approaching Detroit as a case in Springs Industries, Inc. ­Brookings has established Pro- development and prosperity in launched the Wolfensohn Center IAC Plans for promise at risk. point. In the past, such a threat gram Leadership Committees. Africa. for Development, which has sup- a Post-Crisis World America’s growing debt also to the nation would probably • Paul L. Cejas The individual, corporate and A major commitment to ported the critical and timely Two years into a period of crisis dominated discussion. Admiral have seen Americans close ranks Chairman foundation members of these Governance Studies from Al research and dialogue of the management as intense as any in Mullen said debt is not merely an and shown “politics at its most PLC Investment, Inc. Committees provide valuable Taubman established the annual Middle East Youth Initiative, the the two decades since the end economic issue—it is the biggest consensus-oriented.” Instead, he insight and advice on the pro- A. Alfred Taubman Forum. The Early Child Development Initia- of the Cold War, the Brookings national security challenge con- said, the close call on Christmas • Klaus Kleinfeld grams’ research agendas and inaugural Taubman Forum in tive and other projects—all of International Advisory Council fronting the United States. U.S. Day elicited “blame-storming” Chairman and Chief help enhance the impact of June focused on science and which have followed Brookings’s met in May in Washington with Secretary of State Hillary Clinton and demagoguery. Executive Officer Brookings’s work through their technology innovation, with tradition of significant impact senior U.S. policymakers for sta- echoed that view in her remarks Several Brookings scholars at Alcoa, Inc. personal and professional net- remarks from U.S. Chief Tech- with policymakers, academics, tus briefings. Most members were at a public event at Brookings the meeting made the connec- works. The Program Leadership nology Officer Aneesh Chopra business leaders, NGOs, and struck by the deep persistence of later in the week. tion between the principal chal- • David M. Rubenstein Committees also contribute crit- and U.S. Chief Information other stakeholders from around economic and political challenges Some participants expressed lenges facing the world and the Co-Founder and Managing ical financial resources to the Officer Vivek Kundra. Brown the world. and how economic stress can concerns about the viability of Institution’s strategic plan. While Director­ programs, enabling investments University President Ruth Sim- The generosity of Brookings’s threaten social harmony, political the euro as a common currency individual research programs The Carlyle Group in new initiatives and providing mons and Eva Feldman, Direc- Trustees underpins much of the comity, the efficacy of the institu- and the durability of the Euro- and policy centers will continue core operational funding that tor of the A. Alfred Taubman work of the Institution’s experts. tions of governance, and national pean Union as a governing struc- pursuing their own agendas, • James S. Rubin

underpins Brookings experts’ Medical Research Institute at In particular, Glenn Hutchins security. Morigi Paul by Photo ture. Yet others, including Javier their work will be unified by four Partner work. In 2010, members of the the University of Michigan, made an extraordinary pledge IAC Chairman Antoine van Solana, voiced optimism that main priorities: achieving growth BC Partners Committees committed more also spoke. Chairman of the of support in 2010—$5 million Agtmael framed the agenda Honorary Trustee John C. the “European structures” could through innovation; advanc- than $10 million to the Institu- House Committee on Science over five years to a variety of for the meeting by suggesting Whitehead at the winter even be strengthened in the face ing opportunity and well-being; • Tracy R. Wolstencroft tion and Brookings is grateful and Technology Bart Gordon of programs, including the growth three ways in which the world meeting. of the crisis. promoting energy and climate Managing Director for their support and leadership. Tennessee provided the keynote through innovation all-Brookings had changed since the IAC As challenges were articu- policy; and managing global Goldman, Sachs & Co. address. priority—that will help establish a last met: the epicenter of the lated, some IAC members felt change. n 32 33

BOARD OF TRUSTEES Honor Roll of Contributors

John L. Thornton Brian L. Greenspun Larry D. Thompson Lawrence K. Fish Arjay Miller $1,000,000 and Above The Markle Foundation International Fund for Agricultural $50,000–$99,999 Chair of the Board Chairman and CEO Senior VP of Governmental Affairs, Former Chairman Dean Emeritus Annie E. Casey Foundation National Institutes of Health Development Anonymous (2) The Brookings Institution The Greenspun Corporation General Counsel and Secretary RBS America & Citizens Financial Stanford Graduate School of Business PepsiCo, Inc. Group, Inc. Alfred and Gail Engelberg Taipei Economic and Cultural The Japan Foundation Center for William A. Ackman and the Pershing Strobe Talbott Glenn Hutchins Mario M. Morino President Co-Founder and Co-CEO Michael L. Tipsord Cyrus F. Freidheim Jr. Co-Founder and Chairman Ford Foundation Representative Office Global Partnership Square Foundation The Brookings Institution Silver Lake Vice Chairman, Chief Financial Former President and CEO Venture Philanthropy Partners Bill & Melinda Gates Foundation Ezra K. Zilkha Ewing Marion Kauffman Foundation Estate of Donald C. Alexander Officer and Treasurer Sun-Times Media Group, Inc. Robert J. Abernethy Shirley Ann Jackson Ph.D. State Farm Insurance Companies Maconda Brown O’Connor Ph.D. The William and Flora Hewlett Richard Kauffman Roger Altman President President David Friend Trustee Foundation $100,000–$249,999 Samer Khoury American Standard Development Rensselaer Polytechnic Institute Andrew H. Tisch President and CEO The Brown Foundation, Inc. America’s Promise Co., Inc. Co-Chairman of the Board Carbonite, Inc. Glenn H. Hutchins Anonymous (5) Richard A. Kimball Jr. American Express Foundation Benjamin R. Jacobs Loews Corporation William A. Owens Liaquat Ahamed Founder and Managing Partner Henry Louis Gates Jr., Ph.D. Chairman The Robert Wood Johnson Robert John Abernethy Nemir Kirdar Rahul Bajaj Former Chief Executive Officer The JBG Companies Antoine W. van Agtmael Director AEA Investors Asia Foundation S. Daniel Abraham Kohlberg Kravis Roberts & Co. Banco Davivienda S.A. Fischer Francis Trees and Watts, Inc. Chairman and CIO W.E.B. Du Bois Institute Kenneth M. Jacobs Emerging Markets Management, LLC Harvard University Frank H. Pearl Royal Ministry of Foreign Affairs, Aetna Inc. The Korea Foundation Neil Barsky Dominic Barton Deputy Chairman Chairman and CEO Norway Mohammed Mahfoodh Al Ardhi The Kresge Foundation Global Managing Director Lazard Frères & Co. LLC John W. Wilhelm Jeffrey W. Greenberg Perseus, LLC Alan R. and Jane Batkin McKinsey & Company, Inc. President Chairman and CEO Government of the State of Qatar Amgen, Inc. Lazard Frères & Co. LLC Battelle Suzanne Nora Johnson UNITE HERE Aquiline Holdings LLC Samuel Pisar Ph.D. Alan R. Batkin Former Vice Chairman International Lawyer The Rockefeller Foundation Asia-Pacific Centre for the Living Cities, Inc. Better World Fund Vice Chairman The Goldman Sachs Group, Inc. Tracy R. Wolstencroft Robert D. Haas New York and Paris Leonard D. Schaeffer Responsibility to Protect Microsoft Corporation Geoffrey T. Boisi and The Boisi Eton Park Capital Management Managing Director Chairman Emeritus Charles Stewart Mott Foundation Richard Kauffman Goldman, Sachs & Co. Levi Strauss & Co. John Edward Porter John L. Thornton AT&T Services Inc. Family Foundation Richard C. Blum Chairman of the Board Partner Government of the United Arab Bank of America The NASDAQ OMX Group, Inc. Chairman and President Levi Strauss & Company Daniel B. Zwirn Lee H. Hamilton Hogan & Hartson Brandeis University Blum Capital Partners, LP Managing Partner President and Director Emirates Dominic Barton News Corporation Bruhn-Morris Family Foundation Richard A. Kimball Jr. Zwirn Family Interest, LLC The Woodrow Wilson International Charles W. Robinson University of Nevada, Las Vegas Bruhn-Morris Family Foundation Nomura Foundation Geoffrey T. Boisi Managing Director and Co-Head of Center for Scholars President Canadian Department of Foreign Chairman and CEO Global Healthcare Investment Robinson & Associates, Inc., CBTF Paul L. Cejas The Olayan Group Affairs and International Trade Roundtable Investment Partners LLC Banking and Capital Markets HONORARY TRUSTEES William A. Haseltine Ph.D. Co., and M Ship Co. $500,000–$999,999 Chevron Victor Pinchuk Foundation Goldman, Sachs & Co. President Canadian International Council Crandall C. Bowles Leonard Abramson The Haseltine Foundation James D. Robinson III Anonymous (2) Tae-won Chey Ploughshares Fund Chairman Nemir Kirdar General Partner and Co-Founder The Civic Council of Greater Kansas Consultant and Member of the Boards Chairman ACE Charitable Foundation Citi Reliance Industries Limited Springs Industries, Inc. Founder, Executive Chairman and of Directors of Children’s Hospital Haseltine Global Health, LLC RRE Ventures City CEO of Philadelphia and Johns Hopkins Richard C. Blum and The Honorable The Council for the United States Rio Tinto Paul L. Cejas Investcorp Teresa Heinz Warren B. Rudman CNA Corporation Chairman University Co-Chair and Italy Charles W. Robinson Chairman Dianne Feinstein Abby Joseph Cohen PLC Investment, Inc. Klaus Kleinfeld Elizabeth E. Bailey Heinz Family Philanthropies Albright Stonebridge Group Liberty Mutual Group Howard E. Cox Alfonso Romo Garza Chairman and Chief Executive Officer DC Office of the State Abby Joseph Cohen Professor Emerita, John C. Hower B. Francis Saul II Alcoa, Inc. Professor of Business and Public F. Warren Hellman The John D. & Catherine T. Daimler Jacob Rothschild and the Saffery President, Global Markets Institute Chairman President and Chairman Superintendent of Education and Senior Investment Strategist Philip H. Knight Policy B.F. Saul Company MacArthur Foundation Dartmouth College Champness Trust Corporation as The Wharton School Hellman and Friedman Dow Corning Goldman, Sachs & Co. Chairman Office of Development Effectiveness George A. David Trustee of the Arrow Charitable Nike, Inc. University of Pennsylvania Joel Z. Hyatt Ralph S. Saul DST Systems, Inc. Arthur B. Culvahouse Jr. Vice Chairman Former Chairman of the Australian Agency for Government of Denmark Trust Chair Thomas C. Ramey Zoë Baird CIGNA Corporation The Doris Duke Charitable President Current Media, LLC International Development Steve and Roberta Denning Nathaniel Rothschild O’Melveny & Myers LLP Former Chairman Foundation Liberty International, Liberty Mutual The Markle Foundation James A. Johnson Michael P. Schulhof The Pew Charitable Trusts Government of the District of David M. Rubenstein Alan M. Dachs Chairman and CEO Eli Lilly and Company Group Rex J. Bates Vice Chairman Haim and Cheryl Saban Columbia Russell Sage Foundation President and CEO Perseus, LLC Global Technology Investments John Elkann, Fiat SpA Fremont Group Edgar Rios Hanzade Do˘gan, Do˘gan Group of Louis Salkind, The Bright Horizon Louis W. Cabot John C. Whitehead Alfred P. Sloan Foundation Co-Founder and Managing Director Chairman Ann Dibble Jordan European Commission Steven A. Denning Wenzi Capital Partners Surdna Foundation, Inc. Companies Foundation Chairman Cabot-Wellington LLC Vernon E. Jordan Jr. Stephen M. Wolf FirstFocus Chairman UnitedHealth Group, Inc. Dubai School of Government Joung-Hoon Lee, Samchang General Atlantic LLC David M. Rubenstein James W. Cicconi Senior Managing Director Bart Friedman Co-Founder and Managing Director Lazard Frères & Co. LLC RR Donnelly and Sons Company James D. Wolfensohn Blair W. Effron and Cheryl Cohen Enterprise Vishakha N. Desai Ph.D. Senior Executive Vice President– The Victor and William Fung The Carlyle Group External and Legislative Affairs Of Counsel James D. Wolfensohn Effron Victoria and Roger Sant President and CEO Akin Gump Strauss Hauer & Feld, The Asia Society James S. Rubin AT&T Chairman $250,000–$499,999 Energy Foundation The Schroder Foundation Foundation LLP Wolfensohn & Company, LLC Partner William T. Coleman Jr. Mark T. Gallogly Paul Desmarais Jr. BC Partners Herbert M. Kaplan Former President Anonymous (2) David and Marianna Fisher Shell Oil Company Chairman and CEO Senior Partner and The Senior The World Bank General Dynamics Corporation Counselor Chairman and CEO Roger Agnelli and Vale U.S. Food and Drug Administration Robert H. Smith* Power Corporation of Canada Haim Saban Warren Equities Georgians for Passenger Rail Chairman and CEO O’Melveny & Myers LLP Daniel Yergin Alcoa Foundation Foundation to Promote Open Society Swedish Ministry for Foreign Affairs Kenneth M. Duberstein Chairman Saban Capital Group, Inc. Kenneth W. Dam Breene M. Kerr AREVA Inc. Embassy of France Government of Switzerland Jeffrey W. Greenberg Chairman and CEO President Cambridge Energy Research Associates The Duberstein Group, Inc. Victoria P. Sant Max Pam Professor of American & Mala Gaonkar Haarmann Foreign Law Brookside Company Boston College GlaxoSmithKline Target President Ezra K. Zilkha William A. Haseltine, Ph.D. Cheryl Cohen Effron The Summit Foundation University of Chicago Law School Marie L. Knowles President Carnegie Corporation of New York Goldman Sachs Toyota Zilkha & Sons, Inc. The F.B. Heron Foundation Alfred B. Engelberg D. Ronald Daniel Retired Executive Vice President and Community Foundation for Pablo González Guajardo, Kimberly- Turkish Industrialists’ and Leonard D. Schaeffer CFO Trustee Chairman Director Southeast Michigan Clark de México Businessmen’s Association IFMR Finance Foundation The Engelberg Foundation McKinsey & Company, Inc. Atlantic Richfield Company (ARCO) Surgical Care Affiliates Alan and Lauren Dachs Google Corporation University of Pittsburgh Inter-American Development Bank David O. Maxwell Bart Friedman David F. Swensen Mario Draghi Department for International The George Gund Foundation The Urban Institute International Monetary Fund Senior Partner Governor Retired Chairman and CEO Chief Investment Officer Fannie Mae Japan International Cooperation Cahill Gordon & Reindel Yale University Bank of Italy Development, United Kingdom The Heinz Endowments U.S. Agency for International Agency Ann M. Fudge Charles W. Duncan Jr. Donald F. McHenry Exxon Mobil Corporation Hewlett-Packard Development Lynn Thoman Distinguished Professor in the Practice Former Chairman and CEO Co-President Chairman Alfred Herrhausen Society for Hitachi, Ltd. Antoine van Agtmael Johns Hopkins University Young & Rubicam Brands Duncan Interests of Diplomacy and International Leon Lowenstein Foundation Affairs International Dialogue R. Christopher Hoehn-Saric The Walton Family Foundation, Inc. KnowledgeWorks Foundation School of Foreign Service Gail and Benjamin Jacobs Beatrice W. and Anthony Welters Korea Institute for Defense Analyses Georgetown University H&R Block The Joyce Foundation Tracy R. Wolstencroft 34 35 Honor Roll of Contributors Honor Roll of Contributors

The Korea International Cooperation John White The Foundation for Educational Sumitomo Corporation of America The Gallup Organization George L. Perry Committee on Capital Markets John Edward Porter Agency The World Bank Choice Taconic Capital Advisors LP German Institute for International Personalized Medicine Coalition Regulation Helen Raffel Ynon Kriez Mitzi and Cyrus F. Friedheim Jr. Temasek Holdings Limited and Security Affairs Pioneer Natural Resources USA Inc. Laura D’Andrea Tyson Alexis Rieffel Lockheed Martin Corporation $25,000–$49,999 Ann M. Fudge UNITE HERE Goldman Sachs Prince Charitable Trusts Bruce B. Dayton Frederic A. and Susan Rubinstein McCormick Foundation Anonymous Fuelcor LLC United States Institute of Peace Greater New Orleans Nonprofit Marie Ridder Vishakha N. Desai Warren B. Rudman McGill University The AES Corporation General Electric Company Verizon Communications Knowledge Works Daniel and Joanna Rose Draper and Kramer Foundation William Salomon McKinsey & Company, Inc. Meena and Liaquat Ahamed The George Washington University Visa Inc. Patrick W. Gross Joseph Sassoon Kenneth M. Duberstein Ralph S. Saul The MITRE Corporation Allen & Company LLC Brian L. and Myra S. Greenspun and Enzo Viscusi Agnes Gund Isabel V. Sawhill Thelma Duggin Doug Schoen The Leo Model Foundation, Inc. Alliant Techsystems Inc. the Greenspun Family Foundation Seymour and Kathleen Weingarten Robert D. Haas The SCAN Foundation Charles W. Duncan Jr. Stephanie and Fred Shuman The Ambrose Monell Foundation The American Enterprise Institute Hagedorn Foundation Westinghouse Electric Corporation Edward J. Hardin Henry B. Schacht Walter Y. Elisha Kenneth Siegel Jamie J. Montealegre American Sunrise The John A. Hartford Foundation Xerox Corporation The Harris Family Foundation Michael P. and Paola Schulhof Kay Enokido and Thomas C. Crouse Alan B. Slifka Mario M. Morino Aramco Services Company HBO June R. Hechinger Elinor A. Seevak Elinor Farquhar Lawrence Soforenko, The Edwin National Science Foundation Asian Development Bank The International Centre for $10,000–$24,999 Teresa Heinz Stanley S. Shuman and The Marc Nancy M. Folger Soforenko Foundation Nihon Keizai Shinbunsha (NIKKEI) Asian Development Bank Institute Financial Regulation Anonymous F. Warren Hellman Haas Foundation Jeffrey C. Gore Helmut Sonnenfeldt Northrop Grumman Corporation The Atlantic Philanthropies Frank F. Islam American Health Care Association Cynthia Helms Steven J. Simmons Vartan Gregorian Frederick Stavis Northwestern University The Babcock & Wilcox Company Naveen Jain American Honda Motor Co., Inc. The Conrad N. Hilton Foundation Skype Marion Guggenheim Linda G. Steckley and Peter Weitzel Office of Minority Health Liza Bailey Japan Air Self Defense Force Loreen Arbus, Goldenson-Arbus International Growth Centre Robert E. and Emily L. Smith Miriam and Peter Haas Fund SunTrust Banks Inc. Todd G. Patkin Rex J. Bates Japan Bank for International Foundation ITOCHU International Inc. Sojitz Foundation Joan Harris University of Pennsylvania William Penn Foundation Howard P. Berkowitz Cooperation Elizabeth E. Bailey Martin D. Jacobson Andrew P. and Patricia Steffan Peter D. Hart Research Associates, Utah Transit Authority The Pennsylvania State University Bertelsmann Stiftung James A. Johnson and Maxine Isaacs The Bank of Tokyo-Mitsubishi UFJ Douglas M. Kaden Sumitomo Mitsui Banking Inc. Wasatch Front Regional Council PepsiCo, Inc. The Boeing Company Johnson & Johnson Joanne Barker Kansai Electric Power Company, Inc. Corporation Samuel Hellman, M.D. Robert M. Weekley Richard Perry Heinrich Böll Foundation Betsy Karel Richard Bartlett Joel and Ricki Kanter Paul and Chandler Tagliabue Robert A. Helman Frank Weil Phoenix Satellite Television Co Ltd. Brodsky Family Foundation Howard M. and Kate C. Kilguss Robert Berne Herbert M. Kaplan Nelson Talbott Harold Hestnes Mark S. Wrighton John G. Popp The Andrea and Charles Bronfman Peter and Elbrun Kimmelman Bertelsmann Stiftung James C. Kautz Larry D. Thompson Nancy M. Hewett Daniel H. Yergin and Angela Stent Princeton University Fund at Brandeis University Anne Lauvergeon, AREVA Bipartisan Policy Center Brenda R. Kiessling Michael L. Tipsord Fiona Hill Pritzker Traubert Family Foundation Ralph C. Bryant Eugene Ludwig Blue Cross Blue Shield of Texas Marie L. Knowles Tokyo Electric Power Company HSBC Bank USA Thomas C. Ramey and Perrin Ireland William D. Budinger, The Rodel Medco Health Solutions, Inc. Anders Brag Robert P. and Arlene R. Kogod Toshiba America, Inc. John R. Jakobson Wanda Rapaczynski Foundations Mindich Family Foundation Bristol-Myers Squibb Foundation Korea Development Institute Ranvir K. Trehan Nicholas Jakobson Joseph L. Rice III The Virginia Wellington Cabot ML Resources LLC Carter Cafritz Korea International Trade Association Tudor Investment Corporation Ann and Vernon E. Jordan Jr. Edgar Rios Foundation National Chengchi University Conrad Cafritz Edward M. Lamont Paul A. Verbinnen Thomas L. Kempner Rockefeller Brothers Fund Chenega Advanced Solutions & National City Corporation Center for Economic and Policy Toby Devan Lewis John C. Whitehead Kenan Institute for Ethics at Jamie and Gretchen Rubin Engineering LLC Embassy of the Netherlands Research Gordon Litwin and Anne Luzzatto Stephen M. Wolf Duke University Robert E. Rubin The Coca-Cola Company New Economy Initiative for The Centre for International Daniel Loeb Douglas Kiessling SAP America, Inc. Coda Automotive Southeast Michigan Governance Innovation Malcolm and Celia Lovell Up to $9,999 Lantos Foundation for Human Rights Jonathan Schaffzin Timothy C. Collins Frank H. Pearl The Community Foundation for the Bertil P. Lundqvist Anonymous (2) and Justice Siemens Corporation The Commonwealth Fund Robert Peck National Capital Region The Macy’s Foundation American Academy of Pediatrics Johannes Linn The Skillman Foundation Congressional Research Service Samuel Pisar Karen and Everett R. Cook Frederic V. Malek American Society of the French Lowy Institute for International Beatrice Snyder Foundation Connect US Fund of Tides Raytheon Co. The Corning Incorporated Marathon Oil Corporation Legion of Honor Policy Specialized Association Services Foundation James D. Robinson III Foundation Marubeni America Corporation Zoë Baird Budinger Bruce K. and Virginia N. MacLaury Standard Chartered Bank La Corporación Andina de Fomento Marshall S. Ruben and Carolyn Arthur B. Culvahouse Jr. David O. Maxwell Bridgehampton National Bank Maricopa Association of StatoilHydro CSC Greenspan The Curtis Family Foundation The McGraw-Hill Companies Richard C. Bush Governments Kihak Sung, Youngone Corporation The Honorable Kenneth W. Dam and sanofi-aventis US D. Ronald Daniel and Lise C. Scott Arjay and Frances Miller Louis W. Cabot Donald F. McHenry Tata Sons Ltd. Marcia W. Dam Schlosstein-Hartley Family Daniels Fund Ministry of Foreign Affairs and Trade, Daniel J. Callahan III Stephen C. Morris Strobe Talbott R.R. Donnelley & Sons Company Foundation Paul Desmarais Jr. Republic of Korea William M. Cameron John P. Nelson A. Alfred Taubman Eaton Corporation Eric S. Schwartz District of Columbia Primary Care Mitsubishi International Corporation Central Arizona Association of Norwegian Refugee Council The Tecovas Foundation EDF Inc. William A. Shutzer Association Mitsui & Co. (U.S.A.), Inc. Governments Ontario Teachers’ Pension Plan Lynn B. Thoman Robert S. Evans Solarfun Power Holdings Co., Ltd. Anthony and Darian Downs David Myers Ellen Chesler and Matthew J. William A. Owens The Andrew H. & Ann R. Tisch Fidelity Investments Samuel M. and Helene K. Soref Edith B. Everett Northern Trust Corporation Mallow John M. Page Foundation First Solar Foundation Roger C. Faxon NTT Corp. Morton and Shirley Cohen Alan Patricof Vanderbilt University Samuel and Leah Fischer The Spencer Foundation Embassy of the Federal Republic of Richard B. Nye and Francesca Richard Cohen Steven Pifer Bernard van Leer Foundation Lawrence K. Fish Stanford University Germany Stanfill-Nye Roberta Cohen Pima Association of Governments Mallory Walker and William Walker The Lee and Juliet Folger Fund David S. Steiner and Sylvia Steiner French Ministry of Foreign Affairs Eiji Ono Nancy W. Collins Samuel Plimpton and Wendy Washington University in St. Louis Charitable Trust John L. Furth Panasonic Corporation Shattuck 36 37 STATEMENT OF ACTIVITIES STATEMENT OF FINANCIAL POSITION Years Ended June 30, 2010 and 2009 (in thousands) As of June 30, 2010 and 2009 (in thousands) Preliminary and Unaudited* Preliminary and Unaudited*

TEMPORARILY PERMANENTLY FY 2010 FY 2009 2010 TOTAL 2009 TOTAL UNRESTRICTED RESTRICTED RESTRICTED TOTAL TOTAL ASSETS OPERATING ACTIVITIES Cash and cash equivalents $ 11,164 $ 7,627 Revenue and Support Grants, Contributions and accounts receivable, net 58,959 78,548 Investment return designated for operations $ 11,734 $ 2,532 $ 14,266 $ 13,235 Inventory 548 546 Grants, contracts, and contributions 13,174 37,026 50,200 59,262 Investments 243,262 219,691 Conferences 557 557 4,270 Property and equipment, net 52,499 46,859 Brookings Press 2,328 2,328 2,694 Other assets 1,648 1,540 Facility and other revenue 1,652 1,652 1,457 TOTAL ASSETS 368,080 354,811 Net Assets released from restrictions— Satisfaction of program restrictions 46,691 (46,691) Liabilities and Net Assets Total Operating Revenue 76,136 (7,133) 69,003 80,918 Liabilities Accounts payable and accrued expenses (7,587) (7,300) Operating Expenses Bonds payable and lines of credit (46,868) (44,359) Program Services Accrued compensated leave (1,747) (2,730) Economic Studies 14,547 14,547 15,167 Accrued post-retirement benefit obligation (3,679) (3,400) Foreign Policy 15,654 15,654 19,052 Deferred revenue (536) (996) Global Economy and Development 8,460 8,460 7,781 TOTAL LIABILITIES (60,417) (58,785) Governance Studies 3,604 3,604 3,526 Metropolitan Policy Program 7,905 7,905 7,687 Net Assets Other Research 352 352 543 Unrestricted (163,539) (146,460) Executive Education 1,307 1,307 3,385 Temporarily restricted (84,798) (91,956) Brookings Press 2,638 2,638 3,079 Permanently restricted (60,022) (57,610) Communications 2,176 2,176 1,785 TOTAL NET ASSETS (308,359) (296,026) Total Program Services 56,643 56,643 62,005 TOTAL LIABILITIES AND NET ASSETS (368,776) (354,811) Supporting Services Management and General 19,481 19,481 17,387 Fundraising 2,745 2,745 2,939 Operating RevenuesProgram Services Expenses

Total Operating Expenses 78,869 78,869 82,331 28% Net Operating Activity (2,733) (7,133) (9,866) (1,413) Fo reign Policy Write-off Impaired asset (3,834) 1% Other Research Change in net assets before non-operating activities (2,733) (7,133) (9,866) (5,247) 79% Gifts and Grants 2% NON-OPERATING ACTIVITIES Executive Education Investment return in excess of amounts 3% 26% designated for operations Miscellaneous Economic Studies Realized gain (loss) on sale of investments 3,370 3,370 5,613 Unrealized gain (loss) from investments 30,765 30,765 (43,861) 14% 15% Metropolitan Policy Program Interest and dividends, net (95) (95) 138 Endowment Investment return designated for operations (14,265) (14,265) (13,235) 5% Publications Total investment return (loss) in excess of amounts 19,775 19,775 (51,345) 3% ­designated for operations Publications 6% Loss on uncollectible contribution (1,570) Governance Studies Contributions for endowment (11) 2,412 2,401 (676) 15% Global Economy Total Non-Operating Activities 19,764 2,412 22,176 (53,591) 4% Post-retirement related changes other than net perioidic Communications post-retirement pension cost 106 Notes: CHANGE IN NET ASSETS 17,031 2,412 12,310 (58,732) As a nonprofit and scientific organization, ­Brookings is exempt from federal income taxes under section 501(c)(3) of the Internal Revenue Net assets, Beginning of year 146,460 91,956 57,610 296,026 354,758 Code. The Institution also qualifies as a publicly supported organization under section 170(b)(1)(A)(vi) of the code. The Brookings policy is to make an annual investment spending allocation for the support of operations. This amount is calculated based Net assets, End of year $163,491 $91,956 $60,022 $308,336 $296,026 on 70% of the prior year’s spending adjusted for inflation and 30% of 5% of the market value of the investments as of December 31 of the prior fiscal year. Certain reclassifications of prior year balances have been made to conform to the current year ­presentation. *A copy of the Institution’s audited financial statements is available by request. 38 39 Brookings Press he Brookings Institu- that, rather than deterring immigra- Afghanistan for Education. Drawing how powerful guerrilla and terror- tion Press found a tion, the United States should seek on personal experience, eyewit- ist organizations—including Peru’s new niche this year to attract more individuals with ness accounts, and the Brookings Shining Path, the FARC and the in concise, acces- the potential to enhance American Afghanistan Index, O’Hanlon and paramilitaries in Colombia, and sible, and timely innovation and competitiveness, Sherjan depict the lay of the land the Taliban in Afghanistan—have assessments of thus increasing the odds for eco- and suggest how strategy can be learned to exploit illicit markets to Tpressing policy issues. Days after nomic prosperity down the road. improved on both the civilian and support their activities. the oil spill in the Gulf of Mexico The Brookings Press also military sides. The fight against global pov- heightened the energy debate and announced a new series on Innova- Three years after the acclaimed erty brought together some of the in the same week that Congress tions in Leadership—a collabora- publication of Journey into Islam: world’s most respected economic weighed new policy options, Fast tion with the Olin Business School The Crisis of Globalization, Akbar development analysts on the vexing Forward: ­Ethics and Politics in the at Washington University edited Ahmed, a nonresident senior fellow issue of What Works in Develop- Age of Global Warming offered both by Olin professor and Brookings at Brookings and the Ibn Khaldun ment? Thinking Big and Thinking a history ­lesson and an analytical Small. Edited by Nonresident argument for urgent action. Senior Fellow William Easterly, a Written by Brookings Manag- former World Bank economist, and ing Director William Antholis and Jessica Cohen, a nonresident fellow, ­President Strobe Talbott, the 150- contributors to the book examined page Fast Forward takes readers whether a big-picture or grassroots behind the scenes in climate policy approach is more effective. negotiations, including President In After the Crash: The Future of Obama’s spontaneous “drop-by” Finance, noted economists Yasuyuki meeting with the leaders of China, Fuchita, Richard Herring, and India, Brazil, and South Africa in Senior Fellow Robert E. Litan bring Copenhagen, helping to break a together distinguished perspectives ­logjam that nearly rendered the on how the financial industry and ­conference a waste of time. some of its practices are likely to As the first authors in a new change in the years ahead. series—Brookings FOCUS Books— ForeWord Reviews awarded Antholis and Talbott set the tone for Power & Responsibility: Building pithy yet compelling books written International Order in an Era of for a broad audience and spelling Nonresident Senior Fellow Jackson Chair of Islamic Studies at Ameri- Transnational Threats its 2009 Gold out recommendations on policies in Nickerson, director of Brookings can University, followed up that Award for best book in political sci- motion. The timeliness of the book, Executive Education. The new classic analysis with Journey into ence. Written by Bruce Jones of accompanied by a major publicity series will use the concise format America: The Challenge of Islam. New York University and Brookings, campaign, positioned both authors to focus on current leadership Ahmed had led a group of U.S. U.S. Ambassador to Mexico (and as commentators on the unfolding ­challenges. Nickerson is author of university students on a listening former vice president and director climate change debate. the first book in the series: Leading tour of the Islamic world in the first of Foreign Policy) Carlos Pascual, Darrell M. West, vice president Change in a Web 2.1 World, slated book. Journey into America offers and Stanford University’s Stephen and director of Governance Stud- for publication early in the fall of an equally fascinating travelogue John Stedman, the book describes ies, supplied the second FOCUS 2010. that examines the Muslim experi- how American leadership can book. Brain Gain: Rethinking U.S. Is Afghanistan another Vietnam ence in America, placing it within rebuild international order. Immigration Policy arrived just as or a crucial war that can be won? the context of U.S. history and the The Limits of Influence: ­America’s the strict new Arizona law on ille- Senior Fellow Michael E. O’Hanlon American sense of identity. Role in Kashmir by Howard B. gal residents raised the stakes on co-authored Toughing It Out in Fellow Vanda Felbab-Brown’s Schaffer won the Douglas Dillon national inaction. West argues for a Afghanistan with Kabul-based Shooting Up: Counter-insurgency Book Award for Distinguished Writ- new “Einstein Principle,” claiming Hassina Sherjan, president of Aid and the War on Drugs vividly details ing on American Diplomacy. n 40