Psst. Maybe you can tell me how much money the big banks give to all these think tanks. Photographer: Andrew Harrer/Bloomberg




Think tanks have proliferated, and the political left, right and center all have their idea factories spitting out policy prescriptions. Most are nonprofit organizations, supported mainly by donations.

Those donors get a tax break for their contributions. In other words, the public is subsidizing the giving. In turn, because most research groups pay little or no federal income tax, a subsidy accrues to them, too. What's more, though nonprofits do have to disclose the names of donors to the Internal Revenue Service, that information is withheld from the public.

Of course, there is a great deal to be said for subsidizing the vital work done by many nonprofits, which range from religious groups to universities to hospitals. There's no compelling reason they should have to reveal their donor lists.

Think tanks, though, don't provide spiritual solace, school the next generation or care for the sick.

So what do they offer? In theory, they enrich the conversation about public policy, thus contributing to the social welfare -- one of the tests for determining whether something deserves a nonprofit designation. But what if they're offering nothing more than paid speech? That seems to be what Warren is getting at.

If it is, a disclosure campaign might fit nicely with some proposals the Barack Obama administration is considering to change the status of tax-exempt organizations engaged in political work. The idea is to get a handle on groups such as Crossroads GPS, an organization founded by Republican strategist Karl Rove, and craft rules that clearly define limits on their political activity or make them register as political action committees (which might be what they really are).

As for Warren, her motives seem admirable: enhancing transparency. Her detractors -- Republicans and some fellow Democrats -- see her as trying to settle political scores.

Maybe it really was a coincidence, but Warren sent her letter two days after the Wall Street Journal published an op-ed by Jon Cowan and Jim Kessler, president and senior vice president for policy, respectively, at a think tank called Third Way, which according to its website, "represents Americans in the 'vital center' -- those who believe in pragmatic solutions and principled compromise, but who too often are ignored in Washington." Make that the vital center of the Democratic Party establishment, judging by the roster of people it bills as "Honorary Co-Chairs." Among the honored, Congressmen John Dingell and James Clyburn and Senators Claire McCaskill and Mark Udall.

The op-ed, titled "Economic Populism Is a Dead End for Democrats" was a catalog of woes that will befall the party if Democrats follow Warren and New York City Mayor-elect Bill de Blasio "over the populist cliff."

Getting even may be what Warren has in mind. But does it really matter? If she also is able to shine some light on America's think tanks, it might be a plus for the rest of us, too.

(James Greiff is a Bloomberg View editorial board member. Follow him on Twitter.)