In 1977, with the funding of Charles Koch and the assistance of Murray Rothbard, Crane established the Cato Institute, a libertarianthink-tank. While at Cato, Crane grew the organization: from a staff of 10 and a budget of $800,000 when it first opened in San Francisco, to a staff of 127 and a $21 million budget in a newly renovated building in Washington, DC. In 2012, a shareholder dispute arose between Crane and Charles and David Koch. Crane accused the Kochs of trying to take control of the organization. The Kochs contended that the shares of deceased shareholder William Niskanen should have been offered to the Institute first, and not passed to his widow. Crane later said that he spoke to New Yorker journalist Jane Meyer, whose reporting indicated the conflict was also about the ideological direction of the Institute. As part of the dispute settlement, the Cato shareholder agreement was dissolved and Crane agreed to retire. In 2013 Crane launched Purple PAC, a super-PAC that supports candidates and causes consistent with the libertarian philosophy.
Political views
Crane has been described as, "one of the men most responsible for the fall of communism, for the rise of libertarianism as an influential political philosophy and movement, and for unselfishly supporting three generations of scholars devoted to developing and applying the freedom philosophy." Crane is politically libertarian. To him, the core principles of libertarianism are personal liberty, free markets and limited government. He was supportive of then-presidential candidate Ron Paul on issues such as cutting spending, lowering taxes, support for a non-interventionist foreign policy, protecting civil liberties and promoting Austrian economics. "Support for dynamic market capitalism, social tolerance, and a healthy skepticism of foreign military adventurism is a combination of views held by a plurality of Americans," he states in his column. "It is why the 21st century is likely to be a libertarian century. It is why the focus should be on Ron Paul's philosophy and his policy proposals in 2012." In 2016 he supported presidential candidateRand Paul. It was reported that Crane had stopped raising money for the Purple PAC that was supporting Rand; but Crane stated that the PAC was still operating and it wasn't shutting down. He stated, "I'm still 'standing with Rand,' as they say, and there's no one else I can think of supporting."