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1986-1988 Memorandum 1 (1986-1988)

handle is hein.amenin/memaei0004 and id is 1 raw text is: H7

1150 17th Street, N.W., Washington, D.C. 20036

Spring 1986-Number Forty-eight

Reagan Taps AEI Fellows for Key Foreign Policy Posts

Philip C. Habib

The eyes of the world focused recently on
AEI Senior Fellows Philip C. Habib and
Barber B. Conable, Jr., as President Reagan
called on them to carry out highly sensitive
missions.
Habib served as the president's special
envoy to the Philippines following the con-
troversial February 7 election and then was
sent by Reagan to Central America as the
administration stepped up its opposition to
the Sandinista government in Nicaragua.

Conable, who played a vital role in the
formation of AEI's project on financial serv-
ices regulation, was appointed president of
the World Bank in a surprise move by Rea-
gan at a critical time in the international
financial situation. The appointment drew
widespread praise, especially on Capitol
Hill, where Conable was one of the most
respected members of Congress for twenty
years before retiring in 1985 and joining
AEI.
Reagan also tapped two other AEI
scholars for key missions. Michael Novak,
the George Frederick Jewett Scholar, was
named U.S. ambassador to talks on the Hel-
sinki Accords to be held in Bern, Switzer-
land, from April 15 to May 26. [Story on
page 5.] Ben J. Wattenberg, senior fellow
and coeditor of Public Opinion magazine at
AEI, served as one of twenty members of the
official presidential delegation headed by
Senator Richard Lugar (R-Ind.) to observe
the Philippine election.
More than thirty AEI scholars and fellows
have served in senior positions in the Reagan
administration, including James C. Miller
Ill, director of the Office of Management and
Budget, and Jeane J. Kirkpatrick, former
U.S. ambassador to the United Nations. An-
other AEI scholar, Rudolph G. Penner, was

named director of the Congressional Budget
Office.
Reagan, who had used Habib as special
envoy to the Middle East during his first
administration, sent the veteran diplomat to
Manila following the disputed election in
which both incumbent Ferdinand Marcos and
challenger Corazon Aquino claimed victory.
Habib talked extensively with all sides, be-
fore returning to Washington for a critical
(continued on page 5)

AEI Plays Major Role in Congressional Retreats

The American Enterprise Institute and the
Brookings Institution teamed up to sponsor a
private seminar on international trade for the
House Ways and Means Committee in Flor-
ida in March.
The meeting was the first in a series of five
or six retreats for congressional committees
on key economic issues to be conducted by
the two organizations under special grants
from the Henry Luce and Ford foundations.
U.S. Trade Representative Clayton Yeut-
ter and his predecessor from the Carter ad-
ministration, Robert Strauss, were the key-
note speakers at the trade retreat in Florida
March 14-16. They were joined by a faculty
of scholars from AEI, Brookings, the World
Bank, and other organizations.
John H. Makin, director of Fiscal Policy
Studies at AEI, and Joseph A. Pechman,
senior fellow at Brookings, organized the

project at the urging of Ways and Means
Chairman Dan Rostenkowski (D-Ill.) and
played a key role in securing multiyear grants
of $75,000 each from the Henry Luce and
Ford foundations to support the effort.
None of us really realized how complex
our trade policy has become in recent years,
said Rostenkowski. The faculty made us see
that the intricate relationship of economic,
legal, and political factors makes this a very
difficult area in which to legislate wisely.
Our challenge lies in finding a way to chan-
nel it into constructive directions that address
the wide variety of trade issues and prob-
lems.
AEI and Brookings had already conducted
three bipartisan retreats outside Washington
on tax and health policy for the Ways and
Means Committee. The retreats are closed to

the media and are intended to provide law-
makers with a comprehensive overview of
the current research and analysis on signifi-
cant issues related to pending legislation.
Makin and Pechman served as moderators
of the trade retreat. The faculty included
Sven W. Arndt, director of international
trade and finance studies at AEI.
This is not the first time AEI and Brook-
ings have cooperated on educational pro-
grams for members of Congress. The two
organizations, along with the Congressional
Research Service, conduct special briefings
for new members at the start of each new
Congress. Those sessions, also closed to the
media, are held in Williamsburg, Virginia.
They were held in 1983 and 1985, and plan-
ning is already under way for 1987. They are
supported by the Henry Luce Foundation.

The AEI Memorandum / 1

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