George Soros

George Soros
Basic facts
Organization:	Open Society Foundations
Role:	Chairman
Location:	Katonah, N.Y.
Education:	London School of Economics
Website:	Official website

George Soros is a philanthropist and political activist. He is the chairman of Soros Fund Management and the Open Society Foundations. He is a former member of the board of directors of the Council on Foreign Relations and founded the Central European University in Budapest.

Soros' personal website said that his giving "has often focused on those who face discrimination purely for who they are. He has supported groups representing Europe’s Roma people, and others pushed to the margins of mainstream society, such as drug users, sex workers, and LGBTI people."

Career

Early life and education

Soros was born in Budapest, Hungary, in 1930. He lived through the World War II Nazi occupation and then left Hungary in 1947 to live in England. Because his family was Jewish, Soros' father created false identities for his family and others to help them survive the Nazi occupation. Soros graduated from the London School of Economics. He moved to the United States in 1956.

Financial career

Soros began investing on Wall Street after his move to the United States. In 1973, he established his own hedge fund that is now known as Soros Fund Management. According to Forbes, in 1992 Soros became known as "the man who broke the Bank of England" when he reportedly made $1 billion in profit by shorting the British pound.

Foundations, think tanks, and organizations

The section below highlights noteworthy foundations, think tanks, and organizations founded by or supported by Soros.

Democracy PAC

Soros created Democracy PAC, a super PAC, to support and/or oppose federal candidates in the 2020 elections. A statement of organization for the group was filed with the Federal Election Commission (FEC) on January 2, 2019. Soros contributed $5 million to the group on June 7, 2019, and $100,000 on February 13, 2019.

Open Society Foundations

See also: Open Society Foundations

As of June 2022, George Soros was the chair of Open Society Foundations, a progressive network of organizations located around the world that advocate a vision of society "where rights are respected, government is accountable, and no one has the monopoly on the truth." The organizations sponsor programs and provide grants for individuals and organizations throughout Africa, Asia, Europe, Latin America and the Caribbean, the Middle East, and the United States, who do work in line with Open Society Foundations' goals. The foundations' goals center on the following issues: youth and education, governance and accountability, health, media and information, and rights and justice.

In an essay from 2011, Soros said of his support of Open Society Foundations:

“

Over thirty years I have contributed more than $8 billion to the worldwide network of Open Society Foundations, which have in turn supported other global and local organizations. Among much else, these foundations and groups have been able to foster free speech and civil society under Communist and other authoritarian regimes; to expose corruption in oil-rich and mineral-rich states; to support democratic resistance in Burma and other repressive countries; and to attempt to remedy poverty and drug addiction, and improve education, in many places, from Haiti to Baltimore.

”

According to the Open Society Foundations' website, the mission of the organizations are as follows:

“

We believe that the solutions to the national, regional, and global challenges we face demand the free exchange of ideas and thought, and that everyone should have a voice in shaping the policies that affect them. We therefore work to build vibrant and inclusive societies, grounded in respect for human rights and the rule of law, whose governments are accountable and open to the participation of all people. We do this by supporting a diverse array of independent voices and independent organizations around the world—the civil society that provides a creative and dynamic link between the governing and the governed. We have a special focus on supporting those who face discrimination purely for who they are, such as Europe’s Roma people, and for those who find themselves pushed to the margins of mainstream society—such as drug users, prisoners, or sex workers.

”

Institute for New Economic Thinking

Soros donated $50 million to and helped co-found the Institute for New Economic Thinking in 2009 alongside James Balsillie and William Janeway. The institute's website states the following regarding its purpose and status:

“

Founded in the wake of the financial crisis in 2009, the Institute for New Economic Thinking (INET) is a nonpartisan, nonprofit organization devoted to developing and sharing the ideas that can repair our broken economy and create a more equal, prosperous, and just society. To meet current and future challenges, we conduct and commission research, convene forums for exchanging ideas, develop curricula, and nurture a global community of young scholars.

”

School of Public Policy in Budapest

Soros established the School of Public Policy at the Central European University in Budapest, Hungary. Soros saw the establishment of the school as a way to help perpetuate the ideas driving his Open Society Foundations' work after the network had passed out of his hands. He wrote, "Our main difficulty has been in keeping our network of national foundations and 'legacy' programs from going stale because that requires almost as much effort as starting new ones; yet my bias has been to focus on the cutting edge. That is where I look for relief from the School of Public Policy. It should explore new frontiers; therefore it should be able to keep the continuing programs up to date even in my absence."

American Bridge 21st Century

See also: American Bridge 21st Century

According to FEC records, Soros personally gave at least $4 million to the group American Bridge 21st Century from 2012 to March 2016. According to the group's website, American Bridge 21st Century "is a progressive research and communications organization committed to holding Republicans accountable for their words and actions and helping you ascertain when Republican candidates are pretending to be something they’re not."

Center for American Progress

See also: Center for American Progress

In 2004, Soros pledged $3 million to the progressive think tank Center for American Progress.

Democracy Alliance

See also: Democracy Alliance

Soros is a major financial backer of the Democracy Alliance, an organization that aims to drive progressive activist funding.

Political activity

National political activity

Contributions

Note: Soros is a donor to various campaigns and causes. The information below is not intended to be a comprehensive listing of his political contributions, but rather to be an overview of the types of individuals and issues Soros supports and opposes. Additionally, in many cases, donations to various causes are indirect. For example, Soros may have donated to a foundation, which donated to an advocacy group or issued a grant to another organization.

According to Open Secrets, as of June 2022, Soros was the top individual funding satellite spending groups with a total of $127 million donated to liberal groups and individuals. Of that total, $125 million went to Democracy PAC. In 2020, Soros donated $28.3 million to Democracy PAC.

During the 2020 presidential election, Soros donated more than $500,000 to Joe Biden's (D) campaign.

Hillary Clinton presidential campaign

See also: Hillary Clinton presidential campaign, 2016

For the 2016 presidential election cycle, Soros signed on to be the co-chair of the finance council for Ready for Hillary, a Super PAC in support of Hillary Clinton's 2016 presidential campaign. Ready for Hillary changed its name to Ready PAC when Clinton announced her candidacy and slowly began to "wind down as the Clinton campaign [built] up." FEC records show that Soros personally contributed at least $50,000 to Ready for Hillary from 2013 to 2015, and that he contributed $343,400 to the joint fundraising committee Hillary Victory Fund in November 2015.

State ballot measures

A 2000 profile in the Phoenix New Times said, "Business tycoons George Soros, John Sperling and Peter Lewis use the initiative process as their own private laboratory, funding campaigns around the country -- including Arizona's two medical marijuana initiatives -- to the tune of millions." Soros has been active with regard to ballot initiatives, especially in the area of marijuana legalization. In 2010, he wrote the following article for the Wall Street Journal in clear support of marijuana legalization:

“

Regulating and taxing marijuana would simultaneously save taxpayers billions of dollars in enforcement and incarceration costs, while providing many billions of dollars in revenue annually. It also would reduce the crime, violence and corruption associated with drug markets, and the violations of civil liberties and human rights that occur when large numbers of otherwise law-abiding citizens are subject to arrest. Police could focus on serious crime instead. The racial inequities that are part and parcel of marijuana enforcement policies cannot be ignored. African-Americans are no more likely than other Americans to use marijuana but they are three, five or even 10 times more likely—depending on the city—to be arrested for possessing marijuana. I agree with Alice Huffman, president of the California NAACP, when she says that being caught up in the criminal justice system does more harm to young people than marijuana itself. Giving millions of young Americans a permanent drug arrest record that may follow them for life serves no one’s interests.

”

According to a 2014 Washington Times article, "Through a network of nonprofit groups, Mr. Soros has spent at least $80 million on the legalization effort since 1994, when he diverted a portion of his foundation’s funds to organizations exploring alternative drug policies, according to tax filings." The Washington Times stated that Soros made his contributions through Drug Policy Alliance, a group he supports with about $4 million annually through his Open Society Foundations, and that he also supports the drug's legalization through donations to the American Civil Liberties Union and the Marijuana Policy Project.

Overview of ballot measure support and opposition

The following table details Soros' ballot measure stances available on Ballotpedia:

Ballot measure support and opposition for George Soros
Ballot measure	Year	Position	Result
California Proposition 64, Marijuana Legalization (2016)	2016	Supported	aApproved
San Diego, California, November Run-off Election, Measure K (November 2016)	2016	Supported	a Approved
Florida Right to Medical Marijuana Initiative, Amendment 2 (2014)	2014	Supported	d Defeated
Colorado Marijuana Legalization Initiative, Amendment 64 (2012)	2012	Supported	a Approved
Washington Marijuana Legalization and Regulation, Initiative 502 (2012)	2012	Supported	a Approved
California Proposition 27, Elimination of Citizens Redistricting Commission Initiative (2010)	2010	Supported	d Defeated
California Proposition 19, Marijuana Legalization Initiative (2010)	2010	Supported	Did not make ballot
California Proposition 5 (2008)	2008	Supported	d Defeated
Massachusetts Sensible Marijuana Policy Initiative (2008)	2008	Supported	a Approved
California Proposition 82 (2006)	2006	Supported	d Defeated
Ohio Minimum Wage Initiative (2006)	2006	Supported	a Approved
Ohio Issue 4 (2005)	2005	Supported	d Defeated
California Proposition 66 (2004)	2004	Supported	d Defeated
California Proposition 36 (2000)	2000	Supported	a Approved
Utah Initiative B (2000)	2000	Supported	a Approved

Local political activity

In addition to his national political contributions and support, George Soros has also been active in regional politics at the state and local levels. Politico described Soros' local involvement as working "through a network of state-level super PACs and a national “527” unlimited-money group." In many states the political committees are called Safety and Justice PACs with the state name preceding the committee name, such as the Arizona Safety & Justice PAC. These committees receive most, if not all, of their funding from Soros, according to Politico. During the 2015 and 2016 election cycles, Soros supported a series of candidates, the bulk of which were running for the office of district attorney; Soros' activity, according to Politico, has been aimed at "reshaping the American justice system."

The Open Society Policy Center (OSPC), which is partly supported by Soros, contributed at least $200,000 in support of San Diego's Measure K, which proposed to amend charter law to require the top-two candidates for mayor, city attorney, or council member during the primary election to face off during the November general election, even if one candidate achieved a majority during the primary election. The main opposition to the measure came from the GOP Lincoln Club and the San Diego chamber of commerce’s PAC.

Relationship between business, political, and philanthropic activity

Soros has stated the following regarding his political and philanthropic activities:

“

My success in the financial markets has given me a greater degree of independence than most other people. This allows me to take a stand on controversial issues: In fact, it obliges me to do so because others cannot.

”

Soros also wrote regarding the relationship of his business and philanthropic activities, "I have made it a principle to pursue my self-interest in my business, subject to legal and ethical limitations, and to be guided by the public interest as a public intellectual and philanthropist. If the two are in conflict, the public interest ought to prevail. I do not hesitate to advocate policies that are in conflict with my business interests. I firmly believe that our democracy would function better if more people adopted this principle."

Soros' political and philanthropic activity often overlap due to his establishment and support of organizations like his Open Society Foundations. Soros contributes to individual campaigns, PACs, ballot initiatives, universities, activist groups, and various foundations and organizations, both directly and indirectly. He has spoken on television and written books and articles regarding political and philanthropic issues, including economics, open societies, and globalization.

Political, social, and economic philosophy

Open society

Soros' political and philanthropic activity has been influenced by his belief in the idea of an open society, a concept put forth by Karl Popper. Soros himself says, "In my definition an open society is an imperfect society that holds itself open to improvement." Soros studied Popper’s theory of open society while attending the London School of Economics. He wrote the following about Popper's philosophy on open societies:

“

Popper argued that the empirical truth cannot be known with absolute certainty. Even scientific laws can’t be verified beyond a shadow of a doubt: they can only be falsified by testing. One failed test is enough to falsify, but no amount of conforming instances is sufficient to verify. Scientific laws are hypothetical in character and their truth remains subject to testing. Ideologies which claim to be in possession of the ultimate truth are making a false claim; therefore, they can be imposed on society only by force. This applies to Communism, Fascism and National Socialism alike. All these ideologies lead to repression. Popper proposed a more attractive form of social organization: an open society in which people are free to hold divergent opinions and the rule of law allows people with different views and interests to live together in peace. Having lived through both Nazi and Communist occupation here in Hungary I found the idea of an open society immensely attractive.

”

Although Soros adopted Popper's notion of an open society, he later published an essay in 2011 criticizing aspects of Popper's concept:

George Soros speaks about the concept of Open Society

“

The war on terror forced me to reconsider the concept of open society. My experiences in the former Soviet Union had already taught me that the collapse of a closed society does not automatically lead to an open one; the collapse may be seemingly bottomless, to be followed by the emergence of a new regime that has a greater resemblance to the regime that collapsed than to an open society. Now I had to probe deeper into the concept of open society that I had adopted from Karl Popper in my student days, and I discovered a flaw in it. Popper had argued that free speech and critical thinking would lead to better laws and a better understanding of reality than any dogma. I came to realize that there was an unspoken assumption embedded in his argument, namely that the purpose of democratic discourse is to gain a better understanding of reality. It dawned on me that my own concept of reflexivity brings Popper’s hidden assumption into question. If thinking has a manipulative function as well as a cognitive one, then it may not be necessary to gain a better understanding of reality in order to obtain the laws one wants. There is a shortcut: 'spinning' arguments and manipulating public opinion to get the desired results. Today our political discourse is primarily concerned with getting elected and staying in power. Popper’s hidden assumption that freedom of speech and thought will produce a better understanding of reality is valid only for the study of natural phenomena. Extending it to human affairs is part of what I have called the 'Enlightenment fallacy.'

”

Despite his criticism of Popper's ideology, Soros' continued belief in and dedication to the idea of open societies continues to spur him to support various social and political causes, especially his Open Society Foundations, in order to sustain open societies and help closed societies become open.

Economic reflexivity theory

George Soros speaks about his General Theory of Reflexivity

Soros developed an economic theory of reflexivity that he has said allowed him to anticipate the ebb and flow of financial markets. While he does not claim to have discovered the idea of reflexivity itself, he does claim to apply it to economics in a new way.

Soros has stated the main idea of his theory as follows:

“

I can state the core idea in two relatively simple propositions. One is that in situations that have thinking participants, the participants’ view of the world is always partial and distorted. That is the principle of fallibility. The other is that these distorted views can influence the situation to which they relate because false views lead to inappropriate actions. That is the principle of reflexivity. For instance, treating drug addicts as criminals creates criminal behavior. It misconstrues the problem and interferes with the proper treatment of addicts. As another example, declaring that government is bad tends to make for bad government.

”

David J. Lynch wrote in a 2008 USA Today article, "In his latest work, The New Paradigm for Financial Markets: The Credit Crisis of 2008 and What It Means, Soros traces a straight line between today's financial turmoil and what he says are fatally flawed conventional assumptions about how markets behave. If banks, investors and regulators had embraced reflexivity years ago, there never would have been a financial crisis, Soros insists."

In the same 2008 article, Lynch went on to summarize Soros' application of reflexivity to economics as follows:

“

To Soros, the conventional approach is rubbish. Instead of a world of near-identical actors, coolly assessing their economic interests and acting with clear-eyed precision, he sees a world (and markets) governed by passion, bias and self-reinforcing errors. Because fallible human beings are both involved in, and trying to make sense of, this world, they inevitably make mistakes. Those mistakes then feed on themselves in 'reflexive' ways that, when taken to extremes, result in situations such as the now-deflating U.S. housing bubble. Standard economic theory is flawed, Soros says, because it treats markets populated by thinking human beings as if they operated according to the natural laws that govern atoms and molecules. Economists say Soros badly exaggerates the limitations of standard theory and ignores subsequent refinements. But if conventional economics teaches that markets are always (eventually) right, Soros insists they are always wrong.

”