Some thinking on charity interventions vs. direct cash donation

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I live every day knowing that I live such a comfortable life compared to most people alive now (and compared to almost everyone who lived in the past). It is extremely unfair.

Donating money to charity is truly one of the most meaningful things I do in my life. It’s a way for me to take advantage of the extremely lucky life I live and help other people. Every month I know that - even if other things aren’t going well - I made the world a little better that month by donating a little bit.

Since it’s so important to me, it’s a topic I think about a lot about. This post is about some thining I’ve been doing recently.

A note: You can help people in extreme poverty! If anyone reading is interested in talking more about topics like this please let me know.

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Sometimes when I talk to people about donations I hear an argument that charities are by nature paternalistic and that the best way to help others with your money is to give money directly to the poor.

There’s a lot to be said for this. I think direct cash transfers to the extreme poor (e.g., by GiveDirectly) are among the most effective charities out there, and I would love to see many many more people sending their charitable dollars directly to the extreme poor - or even directly to the poor in their own communities.

But I think it is a mistake to say that we should avoid other charitable interventions because they take agency away from the poor and that that they imply the poor don’t know what’s best for them. People don’t always do absolute the best thing for themself with the cash they are given. Sometimes it is better to give someone a $2 bednet than to give them $2 in cash.

I myself often benefit from such policy interventions. For example:

  • In undergrad, a group came to campus to give people free flu shots. I think this was more impactful than giving all the students $20 and the option to buy a flu shot

  • Similarly, during COVID the US government gave us free COVID vaccines rather than selling vaccines for $20 and giving everyone $20 cash and the option to buy the vaccine if they wanted

  • My company gives me health insurance rather than extra pay - I am glad they give me the insurance

I don’t feel I am being condescended to as a result of these policies. Neither should we think we are condescending to poor people if we donate to charities that provide malaria medicine or incentivize childhood vaccines (1).

I would never want to argue against people giving cash directly to extremely poor people - I think that it is an extremely good and generous way to help people. But I don’t buy that donating to another (highly effective) charity instead is automatically insulting and paternalistic.

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1. There are systemic questions to wrestle with about why it is necessary for charities to provide these health services rather than governments, but in the near term if governments do not provide such effective services than it is good for charities to step in