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“Father” of free trade wins gold medal for research

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Contact:
Richard Lipsey, 604.947.9714; 604.720.8749 (cell); rlipsey@sfu.ca
Marianne Meadahl/Julie Ovenell-Carter, SFU Media & PR: 604.291.4323
Doré Dunne, Media relations officer: 613.-992.7302; 613.720.0323 (cell),
dore.dunne@sshrc.ca


December 1, 2005
Renowned Canadian economist Richard Lipsey received the 2005 Social Sciences and Humanities Research Council (SSHRC) Gold Medal - the Council's highest honour - last night during a ceremony at Simon Fraser University in Vancouver.

“Dr. Lipsey is one of the most influential and prolific economists in Canada today,” said Stan Shapson, interim president of SSHRC. “Throughout his career, he has challenged accepted theories and notions of truth, and dramatically influenced not only the field of economics, but the whole of Canadian society.”

The SFU professor emeritus, who is most famous for sparking the free trade debate of the 1980s, has spent the past 50 years engaged in economic research, teaching and policy work that has helped reshape the Canadian economy and changed the way economists around the world think about their work.

“Dr. Lipsey's research has touched virtually all aspects of theoretical and applied economics,” said John Pierce, dean of the faculty of arts and social sciences at SFU. “And he is committed to putting this research to work for Canadians, whether through improving public policies or increasing the understanding of economic issues.”

Lipsey's most important research discoveries - such as the General Theory of Second Best - challenged theories that were based on “optimal” conditions and insisted economists apply their work to real-world situations. “I always felt that my work had to have relevance in the real world, or it wasn't worth doing,” said Lipsey.

Over the years, these successes earned him the Order of Canada and nine honorary degrees from universities across Canada and the U.K. Yet, despite these accolades, he remains most proud of his work in the classroom, mentoring students into successful careers and writing one of the most influential textbooks of the 20th century.

An Introduction to Positive Economics, first published in 1963, swept away old thinking about economic theory and changed the way the entire profession thought about its work. Translated into 15 languages, Lipsey's textbook has introduced generations of students to the field of economics.

Then in the 1980s, Lipsey began what he calls the “long, hard battle” over free trade, which ended in 1992 with the signing of the North American Free Trade Agreement (NAFTA).

“Free trade with the United States was a taboo subject when I started my research,” said Lipsey. “It was considered political suicide for a politician to even mention it.”

But after writing a book on Canada-US economic relations, Lipsey -- then the senior economic advisor of the C.D. Howe Institute -- became convinced free trade would be a huge boon for Canada. He felt many Canadian industries were strong enough to stand on their own, and worried about a seeming rise in protectionism in the United States. Free trade, he concluded, would protect Canada from high US tariffs, and allow the country to prosper. He brought his ideas to Ottawa, TV talk shows and political debates. Before long, the politicians started listening, and Canadian trade policy changed forever.

The SSHRC Gold Medal, worth $100,000, is awarded annually to a researcher whose work has advanced academic understanding in his field, enriched Canadian society and contributed to the country's cultural and intellectual life. Past winners include Montreal-born philosopher Charles Taylor and quality-of-life expert Alex Michalos.

The award ceremony also recognized new and emerging researchers, already turning heads in the academic world.
Queen's University's Jill Scott received the SSHRC Aurora Prize for her work on the role of forgiveness in a post-9/11 world. The prize, valued at $25,000, celebrates an outstanding new researcher who has demonstrated particular originality and insight in social sciences and humanities research.
As the year's most outstanding SSHRC postdoctoral fellowship recipient, Valerie Henitiuk of Edmonton received the $10,000 SSHRC Postdoctoral Prize. She is studying the globalization of Japanese culture at Columbia University in New York.
Michael Levi, a PhD student at King's College London, received the William E. Taylor Fellowship for his work on nuclear terrorism and international security. The $5,000 fellowship recognizes the year's most outstanding SSHRC doctoral award recipient.

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Note to editors: SSHRC is a federal government agency that funds university-based research and graduate training through national peer-review competitions. SSHRC also partners with public and private sector organizations to focus research and aid the development of better policies and practices in key areas of Canada's social, cultural and economic life.

For additional information on this release and other SSHRC research projects, check www.sshrc.ca