Volume I
Issue I
Friends of the Johnson Center,
Our country is in crisis. Decades of overspending
have brought us to what Federal Reserve Chairman
Ben Bernanke recently described as a “fiscal cliff.”
Fixing America’s troubles cannot wait much longer,
and change is needed in the policy arena and in
higher education.
To help engage students and other academics in discussions about economic freedom and the benefits of
a free society, the Manuel H. Johnson Center for Political Economy was established in September 2010.
Our center’s mission is to provide a dynamic and
rigorous education program focused on the moral
imperatives of free markets and individual liberty,
and our faculty and staff are committed to research
and teaching that focus on economic freedom and
individual liberty.
Our center is not partisan: we believe Democrats
and Republicans are equally focused on short-term
political gains, rather than promoting policies that
assure long-term flourishing. Guaranteeing longterm prosperity and getting our country away from
the fiscal cliff ultimately requires us to turn sharply
back toward the policies and ideals that made our
country great—ideals of liberty and free exchange.
This return to our founding principles must begin
with us—ordinary citizens, business leaders, academics, and students.
You are receiving this newsletter because we think you
share an interest in the ideals of the Johnson Center to
help increase understanding
of free markets. We want
you to know the center
exists and that we are doing everything we can to
educate students, community members, and scholars
about the importance of economic freedom and individual liberty in a prosperous society. We hope you
read through this newsletter and learn more about
the Johnson Center and the important steps we are
taking to inspire students, and we encourage you to
become more engaged with the center by doing one
or more of the following:
• “Like” us on Facebook (Manuel H. Johnson
Center for Political Economy)
• Follow us on Twitter (@Johnson_Center)
• Support a specific project or contribute to
general operating funds by visiting our website:
business.troy.edu/JohnsonCenter and clicking
the support tab.
Thank you,
Dr. Scott Beaulier,
Executive Director and
Associate Professor of Economics
Inside This Issue
Meet the Faculty
2
Research on Tornado
Recovery Efforts
5
Liberty Fund Library
6
New Course on Morality
of Capitalism
8
2
MANUEL H. JOHNSON CENTER FOR POLITICAL ECONOMY
Members of the Johnson Center
Dr. Scott Beaulier
Executive Director and
Adams-Bibby Chair of
Free Enterprise
Dr. George Crowley
Assistant Professor of
Economics
Dr. Daniel Smith
Assistant Professor of
Economics
Dr. Daniel Sutter
Charles G. Koch Professor
of Economics
Ms. Andrea DeanCrowley
Center Administrator
Dr. Scott Beaulier is the Executive Director of the Manuel H. Johnson
Center for Political Economy at Troy
University. He is also the Adams-Bibby
Chair of Free Enterprise and an Associate Professor of Economics at Troy
University. After working as a BB&T
Distinguished Professor of Capitalism,
Chair of the Economics Department,
and Director of the Center for Undergraduate Research in Public Policy &
Capitalism at Mercer University, Dr.
Beaulier was recruited in 2010 to head
the Johnson Center.
Dr. Beaulier earned his undergraduate degree from Northern Michigan
University in 2000 and his masters and
doctorate degree in economics from
George Mason University in 2004.
DR. George Crowley is an
Assistant Professor of Economics and
member of the Manuel H. Johnson
Center for Political Economy at Troy
University in Troy, AL. He earned his
Ph.D. in economics from West Virginia
University in 2011. His primary area of
interest for teaching and research is in
the area of public choice, a field which
applies the tools of economic analysis
to the study of government action. He
has published articles in highly regarded
journals on a variety of topics in political economy including constitutions,
competition amongst governments, and
term limits on politicians. At Troy, he
teaches Principles of Micro and Macroeconomics, Intermediate Microeconomics, and a course on the Economic and
Moral Foundations of Capitalism
DR. DanIEL Smith received his
Ph.D. in Economics from George
Mason University in 2011. Dr. Smith’s
research primarily focuses on studying the institutions that emerge to
foster economic and social cooperation
between socially distant, or even hostile,
groups. His dissertation, which won
the Don Lavoie Memorial Graduate
Essay Prize, explored the institutions
that emerged to facilitate trade between
Christians, Jews, and Muslims in
Medieval Spain, resulting in a period
of peace and prosperity. He has also
detailed how similar institutions have
emerged in other diverse contexts, such
as disaster-stricken communities, among
competitors in Tour de France, and
even among brawling soccer hooligans.
Dr. Smith has also published opinion
editorials in such prominent outlets as
the Wall Street Journal, the Birmingham News, and the Jefferson City News
Tribune, and has been interviewed on
numerous radio and television programs
across the nation.
Dr. DANIEL Sutter graduated
with a Ph.D. in economics from George
Mason University. He is the Charles
Koch Professor of Economics. Dr.
Sutter’s current research examines the
societal impacts of extreme weather,
the economics of ideological bias in the
news and the academy, the enforcement of constitutional constraints on
government, and the measurement of
scholarship by free market economists.
He is one of the leading experts on the
societal impacts of tornadoes, and his
second book on the subject, Deadly
Season: Analysis of the 2011 Tornado
Outbreaks will be published by the
American Meteorological Society in
2012. His past research has examined
automobile safety regulations, the
societal benefits of deregulation, public
choice in authoritarian nations, and the
interaction between constitutional and
electoral constraints on politicians.
Ms. Andrea Dean-crowley
received her M.A. in economics in 2009
from West Virginia University. She
wrote her master thesis on the economic
effects of West Virginia’s prevailing wage
laws and her paper, “Has Wal-Mart Buried Mom and Pop? The Impact of WalMart on Self Employment and Small
Establishments in the United States”
has received significant media attention
and many academic citations. She now
focuses her attention on special projects,
development, and grant-writing for the
Johnson Center.
M J C D I S PAT C H
3
What is the Manuel H. Johnson
Center for Political Economy?
The Manuel H. Johnson Center
for Political Economy was
founded thanks to $3.6 million in gifts from the Charles
Koch Foundation, the BB&T
Charitable Foundation, and
Manuel H. (“Manley”) Johnson,
an alumnus of Troy University
and former Federal Reserve vice
chairman. The Johnson Center
proudly supports the exploration
of economic freedom and the
role freedom plays in promoting
prosperity . The center seeks to
provide a dynamic and rigorous
educational program focused
on the moral imperatives of free
markets and individual liberty, as
well as relevant policy research on
current and local issues.
As a graduate of Troy University, Manley Johnson served as
a member
of the US
Treasury Department and
the Federal
Reserve Board
of Governors.
He is widely
respected in
business and
academic
circles, and
he is a strong
believer in the
principles of economic freedom.
Dr. Johnson currently works as a
co-chairman and senior partner
in the consulting firm of Johnson
Smick International, Inc., which
provides information services on
economic and political changes
that affect global financial
markets.
Left to Right: Ryan Stowers from the
Charles Koch Foundation, Chancellor
Jack Hawkins Jr., Dr. Johnson, and Jodie
Hughes from BB&T hold up a commemorative check in the amount of $3.6 million.
Dedication Ceremony
On February 10, 2012, the
Johnson Center was officially dedicated at Troy University. Nearly
200 people filled the newly
renovated Bibb Graves atrium to
listen to Chancellor Jack Hawkins
Jr., Dean Judson Edwards, Dr.
Scott Beaulier, Senator Gerald
O. Dial, and Dr. Manuel H.
Johnson discuss the importance
of educating Troy University
students on the moral imperatives
of free markets and individual
liberty. The dedication ceremony
was held to celebrate the opening
of the new Johnson Center suite,
which is a beautiful glass suite
located within the historic Bibb
Graves Hall on Troy University’s
Troy Campus. This suite houses
all of the faculty members’ offices
and administration for the center.
The walls are decorated with 25
black and white photographs of
Dr. Manuel H. Johnson giving a speech during the dedication of the Johnson Center for
Political Economy on February 10, 2012.
Troy, Alabama taken during the
1950s by Holman Johnson, Dr.
Johnson’s father; the photographs
are part of a long-term loan from
the Holman and Ethel Center for
the Arts in Troy, AL.
A portrait of Dr. Johnson and
official plaque recognizing the
generous donations were unveiled
during the dedication ceremony.
Following the dedication ceremony, Dr. Arthur Brooks, president
of the American Enterprise Institute, gave a riveting talk to Troy
faculty, staff and students about
the battle between government
and free enterprise.
4
MANUEL H. JOHNSON CENTER FOR POLITICAL ECONOMY
Above: Drs. Sutter and Smith pose for a somber picture in front
of a home demolished by an EF5 tornado in Joplin, Missouri.
Below: Dr. Smith points out some of the damage caused
by an EF4 tornado in Tuscaloosa, Alabama.
M J C D I S PAT C H
5
Working in the Field:
Faculty Members Travel to
Research Tornado Damage
Drs. Daniel Smith and Daniel
Sutter traveled to Joplin, Missouri
and Tuscaloosa, Alabama over
the past few months to conduct
interviews with local residents,
business owners, government officials, and community residents
about the tornadoes of 2011. The
faculty members are studying the
role private and public entities
played in the response and recovery efforts.
So far, Drs. Smith and Sutter have found that recovery
efforts in Joplin have fostered
an environment more conducive to business recovery than
Tuscaloosa. In Joplin, city and
state officials allowed churches,
charities, and businesses to lead
the recovery efforts, by sensibly
waiving certain regulations, hiring
extra building inspectors, waiving
state procurement and bidding
rules, and resisting the temptation to micromanage. Regulatory
relief allowed local businesses to
quickly rebuild and for the Joplin
Public Schools to open as scheduled for the 2011-2012 school
year. Joplin also demonstrates that
disaster recovery does not have to
be centrally planned.
On the other hand, Tuscaloosa’s city and state officials
have enforced strict zoning and
regulatory codes, and they have
issued new codes in an attempt to
comprehensively plan and manage the recovery efforts. Immedi-
ately following their tornado, they
created the Tuscaloosa Forward
Task Force, which has more
representation from city officials
than business owners.
While the city took input from
citizens for its plan, the plan did
not protect property owners,
especially business owners, in
the way Joplin did. This has
only added costs, delays, and
uncertainty for business owners
just trying to return to a sense of
normalcy by reestablishing commerce. Drs. Smith and Sutter
believe the delays and uncertainty
related to Tusculoosa’s excessive planning have significantly
impeded the city’s recovery.
Troy University’s
Newest Club
Celebrates Capitalism
and Free Speech
Troy University students gather to write their thoughts on a
“free speech wall” placed in front of Bibb Graves Hall during
the Spring 2012 semester.
A new club has come to Troy
University: Students for Liberty! Student president, Brad
McGlawn, and vice president,
Hannah Favre, developed this
new student organization with assistance from the Johnson Center
faculty and staff.
Students for Liberty gives
students a chance to meet and
discuss ideas related to liberty
and economic freedom. Though
the club is just one semester old,
Troy’s Students for Liberty members have already participated
in several note-worthy events,
including:
• Educate Against Crony
Capitalism Day, where several
students passed out educational flyers to Troy University
students;
• Construction of a “free speech
wall” on the Troy campus for
two days; the wall aimed to
demonstrate the importance of
free-speech in America.
6
MANUEL H. JOHNSON CENTER FOR POLITICAL ECONOMY
APGAR Foundation
Grant Supports
Fall 2012 Reading
Group
The Johnson Center was awarded
a $25,000 grant from the Apgar
Foundation to create a “Liberty,
Markets, and the Great Books”
reading group for the Fall 2012
semester. Books such as Milton
Freidman’s Capitalism and Freedom, F.A. Hayek’s Road to Serfdom, and Alexis de Tocqueville’s
Democracy in America will be
required reading in the program.
Twelve Troy University students
will be selected to participate, and
each will receive a $1,000 stipend
to complete all assigned readings
and participate in the discussion
group. Students will be expected
to contribute meaningful, perhaps
provocative, comments in a relaxed, educational atmosphere.
The goal of the reading group is
to give students a taste of a Great
Books program at Troy University and provide Troy University
students with an introduction
to books that have had a major
influence on contemporary economic and political thought. By
reading and studying these books,
Troy University students will be
able to have a better understanding of free market ideas, political
theory, and America’s intellectual
heritage.
Pension Reform Research
Receives National Attention
Dr. Scott Beaulier’s working
paper, “From Defined Benefit
to Defined Contribution,” has
received national attention
from media outlets that include
Bloomberg News and the San
Francisco Chronicle. The paper
is part of the Mercatus Center at
George Mason University’s Working Paper Series.
Beaulier argues that public pension programs across the United
States are broken. Unfunded
liabilities, when properly discounted, are in the trillions. Small
tweaks are not enough to correct
the system – major reforms that
shift programs from defined benefit to defined contribution are
needed and would save taxpayers
billions of dollars in the long-run.
These reforms would reduce
government involvement, increase
accountability, and make future
tax burdens more predictable for
lawmakers.
Dr. Beaulier has presented his
pension research at the American
Enterprise Institute and Association for Private Enterprise
Education. He also has done state
policy research that calls for major
reforms to the Retirement System
of Alabama. A short two-part
video series with Dr. Beaulier
explaining America’s pension
problem can be found at www.
economicfreedom.org/videos/.
Liberty Fund
Book Donation
Creates a Library
The Liberty Fund. Inc. generously donated a copy of each
book in their collection to the
Johnson Center. These books are
currently housed in the Johnson
Center Library, located adjancent
to the Johnson Center’s suite
in Bibb Graves Hall. All Troy
University students and faculty
are permitted and encouraged to
visit the library
Liberty Fund, Inc. is a private,
educational foundation established to encourage the study
of the ideal society of free and
responsible individuals. Liberty
Fund develops, supervises, and
finances its own educational
activities to foster thought and
encourage discourse on enduring
issues pertaining to liberty.
M J C D I S PAT C H
A New Course Studies the
Morality of Capitalism
The Economic and Moral Foundations of Capitalism is a new
course offered at Troy University.
The course is currently being
taught by Dr. George Crowley,
and the course introduces students to the economic and moral
arguments for and against the
capitalist system.
The first half of the class focuses
on economic arguments, while
the second half introduces several ethical frameworks, such as
utilitarianism and natural rights.
Dr. Crowley attempts to connect
the material to real world events
and some of the course’s discussions have focused on income
inequality, crony
capitalism, and
black markets.
Students read a number of books
and academic articles throughout the semester, including
Ayn Rand’s Atlas Shrugged.
The course is designed to be
discussion based, and it will soon
become a required course for all
Economics students.
Left: Dr. Crowley discusses natural rights
with students in the Economic and Moral
Foundations of Capitalism course.
Below: This photograph, taken by
Holman Johnson, depicts a political
rally in Troy, AL during the 1950s.
7
137 Bibb Graves Hall
Troy University
Troy, AL 36082
Troy University is accredited by the Commission on Colleges of the Southern Association of Colleges and Schools to
award associate, baccalaureate, master’s, education specialist and doctoral degrees. Contact the Commission on Colleges at 1866 Southern Lane, Decatur, Georgia 30033-4097 or call 404-679-4500 for questions about the accreditation
of Troy University. The Commission is to be contacted only if there is evidence that appears to support an institution’s
significant non-compliance with a requirement or standard.