Friedrich August von Hayek was born in Vienna in 1899, where he later studied law and political science. He joined the faculty of the London School of Economics in 1931, switching to the University of Chicago in 1950. From 1962 until his retirement he was a professor at the University of Freiburg. His most important works include The Constitution of Liberty and Law, Legislation and Liberty. Hayek was awarded the Nobel Prize in Economic Sciences in 1974. The economist is regarded as one of the 20th century's foremost liberal thinkers.

The Friedrich-August von Hayek Foundation was established in 1999. The foundation is based in Freiburg im Breisgau and endowed by Wüstenrot & Württembergische AG. The declared aim of the foundation is to strengthen and promote the prerequisites of a liberal economic and social order, as conceived by Friedrich August von Hayek, at both the national and international level.

The foundation awards the International Prize and the Publishing Prize every other year.