Professor Alan Barrett:

In terms of what the ESRI can do that others cannot, my simple answer relates to the level of data analytical capacity within the institute. Let me give some broad figures. The institute has about 100 employees, 60 of whom are high-level researchers. Some 50 of these researchers have PhDs - they are economists, sociologists and psychologists. The ESRI's data analytical capacity is above and beyond that of any other organisation. Part of what we do in terms of using data analytical capacity is generate the sort of models that I have described. For example, our macroeconomic model was developed in conjunction with the Central Bank and a Department of Finance official is working on it with us. The model is, nevertheless, very much led from within the ESRI, partly because we have a tradition of working in the area for about 35 years.

I have outlined data analytics and the generation of models but I shall go a littler further. One of the things the institute is always eager to do is to ensure that a portion of its work is published in international peer reviewed journals. Very often, when one says that to a public policy group, it sounds as if it is a group of academics who are indulging themselves but it is not as simple as that. It is critical, from an ESRI perspective, that we publish our findings in high-quality journals and outlets in order to demonstrate that the work we are doing is of the highest international standards. Some of the organisations mentioned would not have a culture of publishing at a high level. I am not saying that every piece of the ESRI's work must be published in a peer review or anything of that nature. It is very much part of the culture of the institute to be doing the work at a very high level and, of course, from an independent perspective.

A number of organisations around town are research institutes and think tanks. The institute has no ideological backing, background or anything like that. We try and go at the work in as pure a data analytical way as possible, bringing as little ideological baggage as possible. Independence is critical. In summary, there is a technical capacity, a constant drive for quality, an independent dimension and a critical mass argument.

In terms of what the role of the ESRI should be, as far as I am concerned it is an extension of what we do. The institute's mission is to produce research for public policy and to inform civil society, which we take as informing debate. As far as we are concerned we want to continue doing what we are doing. Our joint goals are research excellence and policy impact. We often distinguish ourselves from universities by saying that universities are sometimes interested in research as an end in itself but for the institute, research must have a policy dimension.

To the extent that we are producing work that is of relevance, if it was not relevant we would be very worried. I estimate that between 70% to 80% of the ESRI's work should have meaning for the process of budget scrutiny.