The Lowe Institute of Political Economy was founded in 1986 to enhance the educational opportunities of students at Claremont McKenna College and its sister colleges. The Lowe Institute supports faculty and student research in public policy issues, and it promotes discussion and publication of the results of the research it sponsors.

Applied economic analysis can provide valuable insights into difficult public policy issues. Sound economic policy must take account not only of the economic aspects of problems but their political and institutional features, as well. This is the issue at the heart of political economy and the work of the institute.

The institute's research and educational programs focus on two broad areas of policy analysis. The first deals with the legal and economic aspects of domestic policy issues, including growth and inflation, budgetary policy at all levels, and regulatory policies. The second broad area of policy analysis considers international economic developments, including changes in the global monetary, exchange-rate, and trade environments and their implications for the U.S. economy.

The institute carries out its work by sponsoring student and faculty research, workshops, conferences, and colloquia, and by bringing noted individuals to campus. The institute prepares publications of various kinds, including the Claremont Policy Briefs, produced jointly with the Claremont Institute for Economic Policy Studies, for distribution to the academic, business, and policy communities.

Sven W. Arndt, C. M. Stone Professor of Money, Credit, and Trade at CMC, is Director of the institute.