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“Homelessness is a Housing Problem”: When cities build more housing, homelessness goes down

Maybe you’ve seen the headlines: “Affordable housing in California now routinely tops $1 million per apartment to build” (that’s up a few hundred thousand from 2017, when we wrote “L.A. digs a hole more slowly than economics fills it back in: The Proposition HHH Facilities Program RFP“). At a million dollars a unit, not many units will be built, and California will continue to suffer from high housing costs in general and high levels of homelessness. The topic is, unfortunately, timely; I’ve been reading a book, Homelessness is a Housing Problem: How Structural Factors Explain U.S. Patterns, which covers what you’d expect based on the title. Yet there’s a naive, common view that homelessness is primarily about “mental illness” and “drugs” and other potential contributors to homelessness; while those factors exist, the lower the cost of housing, the easier it is for someone on the margin of being housed or being homeless to stay housed. The lower the cost, the easier it is for family, SSDI, Housing Choice Vouchers (HCV, formerly called Section 8), and other income supports to keep a person housed. Intuitively, this makes sense: it’s easier to cover $750 in rent than $2,000 in rent, even for someone with mental illness and drug problems. As the cost of housing goes up, the number of people who fall from the margins of being “housed” to being “homeless” goes concomitantly up. While mental illness and drug abuse are factors, they’re secondary to housing costs, and they’re really red herrings relative to overall housing costs and ongoing housing shortages across America.

The homelessness problem is intractable without zoning reform and the removal of barriers to new housing construction, whether those barriers are height maximums, parking space minimums, or “neighborhood input” or “community input.” Those last two are functionally barriers to building anything, anywhere. We’ve worked on Los Angeles Prop HHH proposals, and, despite that Proposition raising $1.2 billion for housing, not much has materially changed. Why? California makes building anything, anywhere, astonishingly difficult. Until we can increase the supply of housing, we’re going to see homelessness problems.

Colburn and Aldern—the authors of Homelessness is a Housing Problem—write that “the roots of the homelessness crisis in many cities in the United States were being misdiagnosed, often to frustrating and harmful ends.” This is not a failing the Left can easily blame on the Right: the housing crisis is most acute in places like California, New York, and Washington State—all of them solidly to the left. Currently, however, “one of the [. . .] phenomena driving polarization in the country is a grafting of our political identities onto national (as opposed to local) politics.” The more local one gets, the more concrete the policy issues.

Most housing decisions are made at the local level, not the national level, of U.S. politics (which is a mistake). Colburn and Aldern cite data finding that “Seattle and San Francisco, for example, have roughly four to five times the per capita homeless population of Chicago.” Chicago is seeing its population decline, and the city is also building a lot of new housing, which alleviates the supply-demand mismatches common elsewhere. Mental illness and drug use seem to spread relatively evenly across the country—so why aren’t all cities seeing homelessness spikes? The answer: some are much less expensive than others. For example, “Charlotte [. . .] has grown as fast as San Francisco and Seattle, but because of a relatively robust housing supply response, the city has not faced the housing shortages that plague many coastal cities.” Drugs, mental illness, and other issues are simply far easier to deal with when the rent is lower.

The authors’ data shows little to no correlation among various cities’ levels of drugs, mental illness, and poverty relative to homelessness. “Regions with high rates of poverty and unemployment—like Detroit, Cleveland, and Baltimore—have some of the lowest per capita rates of homelessness in the country.” Moreover, “For a highly impoverished household, it is likely easier to access housing in Detroit or St. Louis, where median rents are between $600 and $700 per month, than in San Francisco and Santa Clara County, where costs are three to four times higher.” Do see the graphs in the book.

Housing shortages are a policy choice, and Colburn and Aldern aren’t the only ones to notice the problems. Zillow Research finds that “Homelessness Rises Faster Where Rent Exceeds a Third of Income“—which, again, is exactly what one would expect. We can look abroad, too: “Finland ends homelessness and provides shelter for all in need.” This makes intuitive sense: if there is more housing available, and housing is cheap, it’s going to be much harder to be homeless for an extended period of time. Very few people, even those with drug and mental illness problems, “want” to be homeless. California and New York introduce numerous and complicated barriers to building more housing, and they see homelessness rates soar. Dallas and Houston are somewhat easier places to build housing, and, while they don’t have zero homelessness, they have a lot less. Houston “Moved 25,000 People From the Streets Into Homes of Their Own.” L.A. and San Francisco can do the same any time they want. L.A. used to be zoned for ten million people, in 1960. By 1990, it was zoned for only 3.9 million people. I guess technology got considerably worse from 1960 to 1990, when transistor counts in computer chips dropped, as did the efficiency of gas-powered vehicles (this is sarcasm).

The immediate, emotional response to a person screaming on the street—”homelessness must be caused by mental illness”—is not always the optimal one. There’s typically a long backstory to that person winding up on the streets. A fair number of people writing online seem to have an inaccurate notion of how the price formation process works.

One sees other mistakes of cause, like people railing against “investors” who buy housing units. Investors recognize the obvious: if municipalities restrict the supply of housing, as demand rises, so will prices, allowing them to earn supernormal returns. If housing is a “good” investment, the cost of housing will be expensive. This is a poor local and national policy, but it’s one we’ve been collectively and foolishly pursuing for decades, and we should stop doing it. Making being alive affordable, instead of unaffordable, is good for human flourishing. Moving to the suburbs, exurbs, or the sticks is not a great answer, either, because then the housing may be superficially affordable, but the cost of transit goes up, both in literal money terms and in terms of time. Unless or until we get fast transit from the exurbs to other places—self-flying flying cars would be nice—we’ve got technological limits on how far we can go.

It’s hard to address the issues of people whose model of the world is simply wrong; if someone believes that “bloodletting” is a cure for disease, and ignores the evidence to the contrary, at some point, one will conclude that dealing with a “person who has a wrong view of the world.”

A 2020 Government Accountability Office (GAO) report finds that “median rent increases of $100 a month were associated with a 9% increase in homelessness in the areas we examined.” Building more housing, and simplifying the process of building housing, is a key way to get more people housed and off the streets; housing shortages are causing many of the homelessness problems that have become especially evident in recent years.

Regular people see that most of the long-term homeless do appear to have substance abuse and mental health issues, and then think that substance abuse and mental health issues are the sole cause of homelessness, while ignoring correlations between the cost of housing and the rise of homelessness—in other words, they’re not thinking at the margin (I suspect “thinking at the margin” is pretty rare). Houston is getting homeless people housed. Why isn’t Los Angeles?

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Philanthropy is not being disrupted by Silicon Valley

The Atlantic writes that “Silicon Valley Has Disrupted Philanthropy.” A lovely article, except for one minor issue: Silicon Valley has not “disrupted” philanthropy. The evidence presented for the article’s thesis is an anecdote from a Boys & Girls Club, “a 2016 report about Silicon Valley philanthropy written by two women who run a consulting firm that works with nonprofits and donors” (we could write similar reports), and this:

The Silicon Valley Children’s Fund, which also works with foster youth, has contracted with a marketing firm that will help it “speak in the language of business and metrics,” Melissa Johns, the organization’s executive vice president, told me.

There are a few other anecdotes, too, though these anecdotes don’t even rise to the level of “How to lie with statistics.” The author, Alana Semuels, is likely correct that some nonprofits have learned to adjust their proposals to use the language of data and metrics. She’s also correct that “rising housing prices in Silicon Valley mean increased need for local services, and more expensive operations for nonprofits, which have to pay staff more so they can afford to live in the area.” But the solution to that is zoning reform, not philanthropy, as anyone who is data- and knowledge-driven will soon discover.

Still, it’s possible that philanthropists will eventually adopt the tenets of effective altruism en masse. But I doubt it. Some reasons for my doubt can be seen in “Foundations and the Future,” a post in 2008 that was accurate but not especially prescient, because it points to features in human nature. In the ten year since I wrote that post, we’ve seen little substantive change in foundations. Other reasons can be seen in Robin Hanson and Kevin Simler’s book, The Elephant in the Brain: Hidden Motives in Everyday Life; the chapter on charity explains how most donors are most interested in feeling good about themselves and raising their status in the eyes of their peers. Most donors don’t care deeply about effectiveness (although they do care about appearing to care about effectiveness), and caring deeply about effectiveness often invites blowback about donors being hard-hearted scrooges instead of generous benefactors. What do you mean, you want to audit all of our program for effectiveness? You don’t just TRUST us? No one else wants to do this. Fine, if you must, you can, but I find it improper that you are so skeptical of our good works… you can see the youth we’re helping! They’re right here! Look into their eyes! You can tell me all you want about data, but I know better.

The real world of nonprofits and motivation is quite different than the proposal world. It’s also easier, far easier, to write about doing comprehensive cost-benefit analyses than it is to actually do epistemically rigorous cost-benefit analyses. I know in part because I’ve written far more descriptions of cost-benefit analyses than have actually been performed in the real world.

It’s not impossible to do real evaluations of grant-funded programs—it’s just difficult and time-consuming. And when I say “difficult,” I don’t just mean “difficult because it costs a lot” or “difficult because it’s hard to implement.” I mean conceptually difficult. Very few people deeply understand statistics sufficiently to design a true evaluation program. Statistics and regression analyses are so hard to get right that there’s a crisis going on in psychology and other social sciences over replication—that is, many supposed “findings” in the social sciences are probably not true or are due to random chance. If you’d like to read about it, just Google the phrase “replication crisis,” and you’ll find an infinite amount of description and commentary.

Medicine has seen similar problems, and John Ioannidis is the figure most associated with foregrounding the problem. In medicine, the stakes are particularly high, and even there, many supposed studies defy replication.

The point is that if most accomplished professors, who have a lot at stake in terms of getting the data right, do not or cannot design or implement valid, rigorous studies, it’s unlikely that many nonprofits will, either. And, on top of that, it’s unlikely that most donors actually want such studies (though they will say they want such studies, as noted previously).

To be sure, lest my apparent cynicism overwhelm, I applaud the goal of more rigorously examining the efficaciousness of foundation-funded programs. I think effective altruism is a useful movement and I’d like to see more people adopt it. But I’m also aware that the means used to measure success are quickly going to be gamed by nonprofits, if they aren’t already. If a nonprofit hired me to write a whiz-bang report about how Numbers and Statistics show their program is a raging success, I’d take the job. I know the buzzwords and know just how to structure such a document. And if I didn’t do it, someone else would. A funder would need strong separation between the implementing organization, the evaluating organization, and the participants in order to have any shot at really understanding what a grant-funded program is likely to do.

It’s much easier for both nonprofits and funders to conduct cargo-cult evaluations, declare the program a success, and move on, than it is to conduct a real, thorough evaluation that is likely to be muddled, show inconclusive results, and reduce the good feelings of all involved.* Feynman wrote “Cargo-Cult Science” in 1974, long before The Elephant in the Brain, but I think he would have appreciated Simler and Hanson’s book. He knew, intuitively, that we’re good at lying to ourselves—especially when there’s money on the line.


* How many romantic relationships would survive radical honesty and periodic assessments by disinterested, outside third-parties? What should we learn from the fact that there is so little demand for such a service?

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Preventive care doesn’t save money, bankruptcies aren’t widely caused by lack of insurance, and FQHCs

Preventive Care Saves Money? Sorry, It’s Too Good to Be True” tells you everything you need to know in the headline, though you should of course read the article. The point is important because a lot of Health Resources and Services Administration (HRSA) funding for Federally Qualified Health Centers (FQHCs) is premised on the idea that more primary preventive care will save money and slow the seemingly inexorable rise in healthcare costs. There’s an intuitive, seductive logic to the argument: it seems like it should be true that prevention is superior to treatment.

But we, collectively, don’t actually know if most healthcare is good for most people most of the time. The Robin Hanson and Kevin Simler book The Elephant in the Brain has a chapter on medicine that demonstrates most medical care is actually wasted and unnecessary. We still pursue costly, low-importance care for status reasons that are too long to describe in this post, but interested readers are directed to the book. The idea that preventive care doesn’t reduce costs and may do little to improve health is congruent with the Hanson-Simler idea that most healthcare is not actually about health.

In other healthcare news, at least one expert wonders: “Are Hospitals Becoming Obsolete?” One hopes so: many are dysfunctional and won’t reveal prices to patients, leading to wild cost inflation and the “mystery bill” phenomenon many of us, myself included, have been subjected to. In healthcare, it seems that the prices are the problem, and most healthcare players are working to maintain price opacity. At the same time, there’s very little political or media noise about this issue.

Americans read and hear a lot about insurance issues and almost none about prices and transparency. Mandating price transparency would be a huge win for patients and, maybe, for cost. Yet politicians of all stripes show little interest in this obvious (and very cheap) policy choice. I don’t know why. I have only a very small platform, but I’m going to use it to propose price transparency. Small-scale studies like “Research finds nearly 8-fold price differences at Minnesota hospitals” show that the price of healthcare varies enormously. But it’s hard if not impossible for patients to gather information about pricing (as I discovered recently).

When you get a shockingly high mystery bill, just try getting an explanation about why the price is the price. I have. Good luck. Hospital bureaucracies are enough to make one wonder if single payer really is next: the healthcare experience for many Americans is already so close to the DMV, why not just go all the way?

I’m not advocating for single payer as a political position: this is a non-political space devoted to analyzing grant writing, grant source research, and grant makers. But it is worth analyzing how the world works, how that relates to larger political questions, and what those larger questions mean for practitioners on the ground.

In the first section of this essay I wrote about primary preventive healthcare access doesn’t appear to lower costs. That’s a common idea that doesn’t appear to be true; there are other things we think we know that just aren’t true. During the ACA debate, for example, many claimed the medical bills bankrupted vast numbers of people. Turns out it just ain’t so:

The fraction of bankruptcies caused by medical events is just 4 percent. And even among those bankruptcies, it seems that medical bills may be less of a problem than the other things associated with an illness, such as lost labor income. […]

That jibes with what’s evident in the bankruptcy data since Obamacare passed. If medical bills really were driving so many people into bankruptcy, then we would have expected filings to plummet after 2013, when millions of people gained health insurance coverage. Instead we see a smooth decline from the recession-era peak.

So if we’re worried about poverty, as many of us in the nonprofit world are, health insurance access may not be the most important way to tackle that issue. The data on bankruptcy filings from 2013 to the present are particularly compelling. It may be that lost income is the bigger issue for people who get sick. Or some other factor may be at work. It’s hard to know.

Perhaps the best way to save money and improve health as an individual is to quit eating sugar and get sufficient exercise. Those things would also be good for the larger society, but “we” (the mandarin know-it-alls like myself and those who dictate healthcare policy) have no way to make that happen. Despite decades of effort—much of it misguided, granted—we have no way of improving people’s habits on the macro level. It turns out that “American Adults Just Keep Getting Fatter:” “New data shows that nearly 40 percent of them were obese in 2015 and 2016, a sharp increase from a decade earlier, federal health officials reported Friday.” Obesity is not a perfect proxy for health, but it’s a useful starting point.

Much of this essay won’t make it into the proposals we write for FQHCs and other primary care providers. Proposals are about mythology, not actuality, unless the funder specifically demands reality (most don’t). But it’s good for applicants to keep the grant world and proposal worlds straight. Reading widely and deeply is still one of the open secrets of good grant writers—and good writers of all kinds. The information is out there. Whether you choose to access it is up to you.

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The HRSA Uniform Data Source (UDS) Mapper: A complement to Census data

By now you’re familiar with writing needs assessments and you’re familiar with using Census data in the needs assessment. While Census data is useful for economic, language, and many other socioeconomic indicators, it’s not very useful for most health surveillance data—and most health-related data is hard to get. This is because it’s collected in weird ways, by county or state entities, and often compiled into reports for health districts and other non-standard sub-geographies that don’t match up with census tracks or even municipal boundaries. The collection and reporting mess often makes it to compare various areas. Enter HRSA’s Uniform Data Source (USD) Mapper tool.

I don’t know the specifics about the UDS Mapper’s genesis, but I’ll guess that HRSA got tired of receiving proposals that used a hodgepodge of non-comparable data sources derived from a byzantine collection of sources, some likely reliable and some likely less than reliable. To take one example we’re intimately familiar with, the five Service Planning Areas (SPAs) for which LA Country aggregates most data. If you’ve written proposals to LA City or LA County, you’ve likely encountered SPA data. While SPA data is very useful, it doesn’t contain much, if any, health care data. Healthcare data is largely maintained by the LA County Health Department and doesn’t correspond to SPAs, leaving applicants frustrated.

(As an aside, school data is yet another wrinkle in this, since it’s usually collected by school or by district, and those sources usually don’t match up with census tracks or political sub-divisions. There’s also Kids Count data, but that is usually sorted by state or county—not that helpful for a target area in the huge LA County with a population of 10 million.)

The UDS Mapper combines Census data with reports from Section 330 providers, then sorts that information by zip code, city, county, and state levels. It’s not perfect and should probably not be your only data source. But it’s a surprisingly rich and robust data source that most non-FQHCs don’t yet know about.

Everyone knows about Census data. Most know about Google Scholar, which can be used to improve the citations and scholarly framework of your proposal (and this is a grant proposal, so no one checks the cites, but they do notice if they’re there or not). HRSA hasn’t done much to promote UDS data outside the cloistered confines of FQHCs. So we’re doing our part to make sure you know about the new data goldmine.

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Book review: Matthew Desmond’s “Evicted”

If you’re a nonprofit executive director you’re probably already aware of the eviction crisis many of your clients face, and by now you may have seen articles about Matthew Desmond, like “The Great Expectations of Matthew Desmond.” He’s appeared in The New York Times. His media exposure builds on the reason to cite Desmond in proposals: If he’s in the media, some grant reviewers will already be primed by his name or his book’s title (though if we’re talking about grant reviewers we doubt they’ll have actually read the book). That creates a sensation of greater credibility, since familiarity makes a person, thing, or idea seem right—which is why citing things that “everyone knows” works, even if the thing “everyone knows” is factually false.

evicted_DesmondMoreover, Evicted: Poverty and Profit in the American City is itself good and gets into the mechanics of eviction, why it is so traumatic for families involved it. The book also usefully details what the eviction process looks like for landlords who rent to low-income individuals and families. You may be expecting a book that valorizes renters and demonizes landlords, but Desmond deftly avoids that trap.

The landlords Desmond writes about do not see running frequently low-margin and always high-risk properties as a way to make tons of money fast, although some eventually do make surprisingly large amounts of money. Landlords are not presented as cruel media caricatures. They themselves are sometimes struggling and working to keep themselves afloat. We find for example that

Sherrena had a lot of bills: mortgage payments, water charges, maintenance expenses, property taxes. Sometimes a major expense would come out of nowhere—a broken furnace, an unexpected bill from the city—and leave her close to broke until the first of the month.

Ouch. Sherrena is not so distant from the world of her renters. The “major expense” she worries about is the mirror image of the major expenses her tenants worry about. Among landlords, many would rather be managing glamorous Manhattan or Seattle high rises than evicting tenants who often have brutal, true stories of their own misfortune.

One obvious question may be why, if running trailer parks and low-end housing developments can be wildly profitable, more people do not attempt to do so. I don’t have a good answer to this, though it is possible to speculate on some of the reasons.

Everywhere in Evicted, zoning is the real and unstated villain. One wishes that most city- and state-level politicians in America would read Evicted back-to-back with Matt Yglesias’s The Rent Is Too Damn High, which describes how most U.S. zoning has evolved to protect and enrich wealthy homeowners and exclude people perceived to be poor. Even in a superficially progressive city like Seattle, the local government strangled micro-housing, which was (and to some extent is) a way to provide more affordable housing to Seattle’s citizens, present and future. But incumbent property owners hated it and killed it through regulation.

Despite that oversight, I will say that urban governments interaction occurs throughout Evicted. For example:

When city or state officials pressured landlords—by ordering them to hire an outside security firm or by having a building inspector scrutinize their property—landlords often passed the pressure on to their tenants.

Much of the hassling that landlords do to tenants is actually a passthrough from those who have control over them.

Still, the book’s most powerful passages concern tenants. In the prologue, Desmond writes about “The rent was $550 a month, utilities not included, the going rate in 2008 for a two-bedroom unit in one of the worst neighborhoods in America’s fourth-poorest city.” Yet that “rent would take 88 percent of Arleen’s $628-a-month welfare check.” We don’t know how one lives on what remains. No one does, really.

The tenants themselves have numerous problems. One landlord illegally withholds funds from a tenant, and “Ned might have raised hell if he didn’t have an outstanding warrant for his arrest, stemming from another drug charge.” In the facing page, we find that “After jail, Pam had a difficult time finding work with her recent drug conviction.” Dope, dropouts, poor relationship choices: The problems proliferate tragically across the pages. One wonders what level of wraparound supportive services it would take to make many of the tenants whole. Maybe there are not enough supportive services in the world.

There are a handful of books we cite routinely in proposals. Dreamland, which Isaac wrote about at the link, is one. Sudhir Venkatesh’s Off the Books: The Underground Economy of the Urban Poor is another. Evicted is going to join the list. As you become a more experienced grant writer, you should build up a reference list of commonly cited books and articles. That will make both your job easier—you will already know important things that your narrative needs to cover—and your proposals better fleshed out and more believable to reviewers, even if those reviewers never track down any of your citations.

But you should read Evicted not primarily because you want to cite it. You should read it primarily because it is beautiful.

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Review of “Dreamland: The True Tale of America’s Opiate Epidemic:” A must-read for grant writers

Sam Quinones has written a compelling, profoundly depressing exposé about how the twin tidal waves of prescription opiates and Mexican brown heroin have devastated much of suburban, small town and rural America, Dreamland: The True Tale of America’s Opiate Epidemic. If you’re a grant writer or involved in any way with human services delivery, buy and read it now.

Dreamland_qThe “Dreamland” of the title nominally refers to the long-closed Dreamland Swimming Pool in Portsmouth, OH, a small city on the banks of the Ohio River with the ironic slogan, “Where Southern Hospitality Begins.” The defunct Dreamland Pool is an apt metaphor for the hazy memories of smaller, hollowed-out communities in the heartland. The shoelace factories that once powered the Portsmouth economy, as well as the steel mills, textile and furniture factories, and coal mines, of similar communities from the Midwest through the Rust Belt to Appalachia are gone. Despite the manufacturing renaissance in the U.S., employment in the sector is never going to reach anything like its 20th century heights.

In light of economic conditions, each of these places in flyover country had its own Dreamland, along with a vibrant main street, Friday night football games in the fall, and a thousand other threads that glued them together. Now, the communities have become Dreamlands or perhaps more appropriately, Nightmarelands of opiate abuse and hopelessness.

We’ve written proposals for nonprofits in Portsmouth, as well as dozens of other, similarly forlorn communities, and consequently we’re familiar with the raw data. Some sections of Quinones’s book could have been lifted verbatim from these proposals. Here’s a quote from an actual funded proposal I wrote in 2001 (only the name of the town has been changed):

In many ways, Anyville is not really unique, as it is similar to many other small, rural communities across southern Illinois. It has seen virtually no growth in recent decades, there are few local economic opportunities, the tax base is stagnant at best, and young people tend to leave in search of more opportunities following their secondary education. There are few resources: no movie theater, bowling alley, skating rink, ice cream store, etc. There is little before or after-school programming, or structured recreational activities. At night, teens cruise and park on Main Street, with its mostly vacant storefronts.

The rural story is always the same: few jobs outside of state and local government agencies, hospitals, and big box retailers; desiccated main streets with vacant buildings, party stores, and storefront churches; high schools closed and consolidated in larger towns, due to declining enrollment and stressed tax bases; few supervised youth activities; the demise of the family farm in favor of agribusiness; enormously high rates of working age adults on disability; rampant opiate addiction, with concomitant ODs; and so on.

Although I’ve been writing versions of this proposal concept for over 20 years, Dreamland explains, in a way that I hadn’t fully grasped, the interlocking societal forces that have created this Nightmare on Main Street. If I didn’t grok this reality after writing so many proposals for the Portsmouths of the nation, seemingly no one else did, until Quinones applied the skills of an investigative reporter and borne storyteller to lift the veil.

Some changes to small-town American have been widely reported: the flight of manufacturers to emerging nations (or the growing efficiency of manufacturing plants), changing energy priorities due to climate change and fracking, stagnant incomes that result in the need for two wage earners, the rise of out-of-wedlock births and single parent households, declining populations as young people move to the coasts and Sunbelt for better employment opportunities, the atrophy of churches and fraternal organizations (see Robert Putman’s 2000 book Bowling Alone), the rise of social isolation among young people, etc.

We use these threads constantly in grant writing. In the Portsmouths we write about, the Dreamland is now the Walmart or retail mall at the edge of town. Even these ersatz community gathering spots are struggling as Amazon and other online retailers proliferate. Offline retailers are increasingly concentrating on city centers and first-tier suburbs, where the money is. In much of America, there is simply no longer a real community. Keep in mind that neither Quinones or me are talking about devastated urban neighborhoods like those in Detroit or Baltimore. Rather, the ones we’re referring to are mostly white and formerly working class to upper middle class places.

In Dreamland Quinones describes significant societal changes that are mostly unreported, not discussed, and never interwoven into the story of the decline of American communities. These include:

  • The change in the view of doctors over the last 30 years to see pain management as a “fifth vital sign” and a new imperative to treat chronic pain (often with opiates).
  • Unscrupulous pharma companies, with Purdue Pharmaceuticals noted in particular, flooding the market with a class of powerful opiates like OxyContin and Oxycodone. Doctors were convinced to prescribe these drugs based in part on faulty research studies claiming, erroneously, that these prescription opiates were not addictive, because the patient’s underlying pain was supposed to counter addiction. Many patients figured out almost immediately that it was easy to get high and stay high with these prescription drugs.
  • The rapid proliferation of “pill mills” run by avaricious doctors in forgotten places, who would prescribe literally hundreds of pills to anyone who walked or crawled in the door with $250 in cash for the “examination and diagnosis.” Interestingly, the very first pill mill in America was in Portsmouth.
  • Wide distribution of “black tar heroin” by an army of mostly undocumented immigrants from the town of Xalisco, in the small Pacific coast state of Nayarit. Quinones terms these dealers “Xalisco Boys.” Hidden in plain sight among the waves of hard-working Mexican immigrants who spread throughout America to work in slaughterhouses, industrialized hog and chicken farms, field work, and construction, the Xalisco Boys act more like pizza deliver guys than traditional street corner dealers, bringing the heroin to the user by car. Black tar heroin is purer and cheaper than the powdered heroin from the Middle East found in large cities like New York. By the early 2000s, a hit of pure black tar heroin could be bought in the Portsmouths of America for $5—less than the cost of a six pack of beer. This heroin is also cheaper than prescription opiates and it did not take long for the thousands of new pill-based addicts to switch to ubiquitous heroin. The result was (and is) an avalanche of ODs, as reported in “For Small Town Cops, Opioid Scourge Hits Close to Home.”
  • As reported by the American Society of Addiction Medicine (ASAM), “Drug overdose is the leading cause of accidental death in the US, with 47,055 lethal drug overdoses in 2014. Opioid addiction is driving this epidemic, with 18,893 overdose deaths related to prescription pain relievers, and 10,574 overdose deaths related to heroin in 2014.” Even though I work with these kinds of data all the time, it was quite shocking to realize after reading Dreamland than annual ODs deaths are approaching car crash deaths.

Unfortunately, Quinones runs out of gas at the end of Dreamland. After telling this remarkable story, he drags out the usual nostrums to combat the problem—community involvement, better access to treatment, more and “smarter” law enforcement, and so on. He doesn’t ask about the economic viability of places like Portsmouth: Maybe the small towns that once existed in agricultural or manufacturing economies can’t really be saved.

In addition, having written dozens of substance abuse proposals and talked candidly with many Executive Directors of large treatment providers, I know that none of the usual strategies like community involvement and “smarter” policing actually works in fighting opiate addiction. It’s a sad reality that most Oxy or heroin addicts will eventually either OD or age out of use when, as is said in all addiction treatment programs, “they get sick and tired of being sick and tired.”

It’s very much in the interest of Seliger + Associates to encourage huge new government grant programs for treatment. One of HRSA’s favorites involves medication-assisted treatment (MAT), which I wrote about at the link. There’s about $1 billion in HRSA’s FY ’17 budget for MAT and I’m sure we’ll be writing many MAT proposals for FQHCs in the coming year.

Still, it seems to me that the only real solution to the drug component of the problems afflicting small towns is a combination of heroin legalization (or decriminalization), safe needle exchanges, medically supervised places to shoot up, and lots of education and prevention. Once the market dries up, the Xalisco Boys can find other work, and the next generation of Americans will find other ways to deal with the loss of their local Dreamland.


Jake also writes about Dreamland here.

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Geek Heresy: Rescuing Social Change From the Cult of Technology — Kentaro Toyama — Book Review

Everyone working in any facet of education and educational nonprofits needs to read Geek Heresy: Rescuing Social Change From the Cult of Technology; put down whatever other books you’re reading—you are reading, right?—and get a copy of this one.

geek_HeresyIn it, Kentaro Toyama describes how computers and related technologies are not a panacea for education or any other social service fields. He writes that, “like a lever, technology amplifies people’s capacities in the direction of their intentions.” Sound familiar? It should: we’ve written about “Computers and Education: An Example of Conventional Wisdom Being Wrong” and “How Computers Have Made Grant Writing Worse.” We’ve been writing grant proposals for programs that increase access to digital technologies since at least the late ’90s; for example, we’ve written numerous funded 21st Century Community Learning Centers proposals. Despite all that effort and all those billions of dollars spent, however, it would be polite to say that educational outcomes have not leapt forward.

As it turns out, the computers-in-education trope is part of a general pattern. After years in the field, Toyama eventually realized that technologically driven educational projects tend to follow stages: “the initial optimism that surrounds technology, the doubt as reality hits, the complexity of outcomes, and the unavoidable role of social forces.” That’s after Toyama describes his work in India, where he discovers that “In the course of five years, I oversaw at least ten different technology-for-education projects [. . .] Each time, we thought we were addressing a real problem. But while the designs varied, in the end it didn’t matter – technology never made up for a lack of good teachers or good principals.” Studies of the One Laptop Per Child project show similarly disappointing results.

Chucking technology at people problems does not automatically improve the people or solve the problem: “Even in a world of abundant technology, there is no social change without change in people.” Change in people is really hard, slow, and expensive. It can be hastened by wide and deep reading, but most Americans don’t read much: TV, Facebook, and the other usual suspects feel easier in the short term. Everyone who thinks about it knows that computers are incredibly useful for creating, expressing, and disseminating knowledge. But they’re also incredibly useful for wasting time. Because of the way computers can waste time and drain precious attention, I actually ban laptops and phones from my classrooms. Computers and phones don’t help with reading comprehension and writing skill development. That primarily happens between the ears, not on the screen.

Problems with laptops in classrooms became apparent to me during my one year of law school (I fortunately dropped out of the program). All students were required to use laptops. During class, some used computers for the ends imagined by administrators. Most used them to gossip, check sports scores, send and receive nude photos of classmates, etc. And those were law students, who’d already been selected for having decent discipline and foresight. What hope do the rest of us have? Laptops were not the limiting factor in my classes and they aren’t the limiting factor for most people in most places:

Anyone can learn to Tweet. But forming and articulating a cogent argument in any medium requires thinking, writing, and communication skills. While those skills are increasingly expressed through text messaging, PowerPoint, and email, they are not taught by them. Similarly, it’s easy to learn to ‘use’ a computer, but the underlying math skills necessary for accounting or engineering require solid preparation that only comes from doing problem sets—readily accomplished with or without a computer.

Problem sets are often boring, but they’re also important. I tell my college students that they need to memorize major comma rules. They generally don’t want to, but they have to memorize some rules in order to know how to deploy those rules—and how to break them effectively, as opposed to inadvertently. Computers don’t help with that. They don’t help with more than you think:

Economist Leigh Linden at the University of Texas at Austin conducted experimental trials in India and Colombia. He found that, on average, students exposed to computer-based instruction learned no more than control groups without computers. His conclusion? While PCs can supplement good instruction, they don’t substitute for time with real teachers.

The obvious counterpoint to this is “yet.” Still, those of us who have computers and Internet connections are probably sensitive to how much time we spend doing stuff that might qualify as “work” versus time spent on YouTube or games or innumerable other distractions (pornography sites are allegedly among the largest sites, measured by megabytes delivered, on the Internet).

Moreover, the poorer the school districts or communities, the harder it was to setup and maintain the equipment (another challenge many of us are familiar with: Don’t ask me about the fiasco that upgrading from OS X 10.6 to 10.10 entailed).

In addition, Toyama points out that there is a long history of believing that technology in and of itself will ameliorate human problems:

We were hardly the first to think our inventions would transform education. Larry Cuban, a veteran inner-city teacher and an emeritus professor at Stanford, has chronicled the technology fads of the past century. As his examples show, the idea that technology can cure the ills of society is nothing new. As early as 1913, Thomas Edison believed that ‘the motion picture is destined to revolutionize our educational system.’ Edison estimated that we only learned 2 percent of the material we read in books, but that we could absorb 100 percent of what we saw on film. He was certain that textbooks were becoming obsolete.

Oops. Radio, TV, filmstrips, overhead projectors and other technologies were heralded with similar promise. The problem is that technology is much easier than motivation, concentration, conscientiousness, and perspicacity.

Some quotes should remind you of points we’ve made. For example, Toyama says, “Measurement undoubtedly helps us verify progress. There’s a danger, though, of worshipping the measurable at the expensive of other key qualities.” That’s true of many grant proposals and is consilient with our post on why evaluations are hard to do. Measuring what’s easy to measure is usually much easier than measuring what matters, and funding authorities rarely care in a deep way about the latter.

In his chapter on “Nurturing Change,” Toyama notes that individuals have to aspire to do more and to do better in order for a group or culture to see mass change. This is close to Robert Pirsig’s point in Lila’s Child: An Inquiry Into Quality, which extols the pleasure and importance of of craftsmanship. Defined broadly, “craftsmanship” might mean doing the best work you can regardless of who’s watching or what the expected consequences of that work might be.

Geek Heresy is not perfect. Toyama repeats the dubious calumny that the poverty rate “decreased steadily [in the United States] until 1970. Around 1970, though, the decline stopped. Since then, the poverty rate has held steady at a stubborn 12 to 13 percent [. . . .]” But the official rate is likely bogus: “If you look at income after taxes and transfers you see that the shape of American public policy has become much friendlier to the poor during this period.” Or consider this reading of the data, which finds the “Adjusted percent poor in 2013 [is] 4.8%.” This also probably jibes with what many of our older readers have actually experience: Most manufactured goods are far, far cheaper than they used to be, and official definitions of poverty rarely account for those. On a non-financial level, far more and better medical treatments are available. In 1970 there was no chickenpox or HPV vaccine, regardless of how wealthy you were.

The flaws in Geek Heresy are minor. The important point is that technology will not automatically solve all of our problems and that you should be wary of those who think it will. Until we understand this—and understand the history of attempting to use technology to solve all of our problems—we won’t be able to make real progress in educational achievement.

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Talking About Progressive Ideals in Proposals: Money, Time, and Poverty in Grant Writing

No Money, No Time” helps set the cultural tone for the proposal world. In the proposal world—which does sometimes overlap with the real world—poor people spend time where richer people might spend money. Rich people are rich in many ways, but one is simple: their lives aren’t as organized around other people’s bureaucracies.* A nonprofit or public agency should help the poor, and it would be a good idea to incorporate the idea that poor people don’t have the time wealthier people do. This idea also ties into other important parts of contemporary thinking: if low-income people** weren’t so busy with day-to-day survival, they’d go buy arugula from the farmers market and make a salad, instead of buying Cokes and Big Macs.

There is some truth to the argument: a lot of low-income people are surrounded by endless appointments, case managers, social workers, parole officers (sometimes called corrections officers), and others who want a piece of their time. That time does add up. Years ago, we wrote a proposal to L.A. County for a nonprofit proposing to fund “master” case managers who would manage each client’s roster of case managers, parole officers, court cases, etc.

That’s not a totally superficial idea, though it has the ring of parody. If a poor single mom misses an appointment with her Child Protective Services (CPS) case manager, her kids might be put in foster care and she’ll end up in court. If she misses a shift, she might lose her job. If she fails to fill out out a form completely, she (and her children) might lose Medicaid or a Section 8 apartment. Life for the American poor is like a game of Chutes & Ladders—which is not an original thought, since Katherine S. Newman made the argument in a book called Chutes and Ladders: Navigating the Low-Wage Labor Market (and she’s written a number of others, all good; used copies are under $1 on Amazon. If you’re writing social and human service proposals, you can’t afford not to buy them).

In the proposal world, solutions spring from government funding, but in the real world, many of the problems derive from laws passed by legislatures. Among the poor in particular—who cannot afford good lawyers and who often cannot afford service fees and other penalties—lives get complicated by entanglement with officialdom and by drug prohibition. Legal issues usually involve drugs and kids; jailing men for failing to pay child support has a real, under-appreciated downside that is not being widely discussed (though you will hear about it in some places).

Even outside the realm of drugs and kids, we have so many laws, rules, and regulations—many not at all intuitive and many counter to the ways actual people want to live—that no one is innocent and everyone breaks laws, usually inadvertently. Tyler Cowen’s “Financial Hazards of a Fugitive Life” also describes this; the column is substantially about Alice Goffman’s brilliant book On the Run: Fugitive Life in an American City, which you should also read (and cite).

These laws came, not surprisingly, from good intentions. Before Prohibition, progressives theorized that getting rid of Demon Rum and John Barleycorn would mean that men wouldn’t get drunk, lose their jobs, eventually lose everything, and send their wives and daughters into prostitution. As any student of history knows, that didn’t turn out real well. Drug prohibition isn’t working out real well, but we’re still wasting a lot of time and resources doing it—in all sorts of ways.

Some costs to drug prohibition are quite small. Office Depot used to have tons of signs up saying, “We drug test employees.” But our thought was: who cares? We’re just asking someone where the pens are. If Office Depot’s employees want to light up after work, that’s their own affair. Nonetheless, Office Depot may have been unintentionally reinforcing poverty by denying jobs to otherwise qualified workers who like to dance with Mary Jane on the weekends (just like many social workers and case managers, at least in my experience).

The net result of this is the time crunch. The first article in this post should be cited in proposals—but only in the needs assessment. The problem should be forgotten in the project description, since participants must be assumed to have lots of time to serve on the Participant Involvement Council (PIC), community service etc. Other writers have also described the time trap of being poor: John Scalzi’s “Being Poor” is one particularly poetic example.

The time crunch is not unique to poor people and human service organizations serving them. Isaac actually tried to talk to the Small Business Administration (SBA) group in Seattle when he first started Seliger + Associates. They wanted him to sit through ten sessions on… something, all of which required lots of travel time he didn’t have because he was furiously busy writing proposals and finding clients. You do not discuss the nature of warfare, starting with the Greeks, when the enemy is shooting and your position is in danger of being overrun.

That being said, it’s useful to understand where these ideas come from. There are, loosely speaking, two big views on poverty right now. The one presented in the New York Times, which we’ve been discussing in this post, is the generally leftish, Democrat, progressive view, and that’s the view that should predominate in proposals. The other view is generally rightish, Republican / Libertarian-esque, and slightly more conservative, and that’s the view that the material conditions of being poor in the U.S. have improved incredibly over the last century or more. That’s where one gets The Heritage Foundation pointing out that 80% of poor people have AC, 75% have a car, two thirds have a TV, and so on. That’s also where one finds Charles Murray’s solutions in Coming Apart: The State of White America, 1960-2010 (these issues are not unique to the United States: Britain’s working class faces similar travails).

Just about everyone likes Murray’s research, but American progressives and conservatives tend to disagree on what the research means and what, if anything, should be done about it. Progressives tend to stress direct income transfer and government-paid supportive services, while conservatives tend to stress marriage, avoiding drugs, not getting knocked up outside of marriage, etc.

Beyond the drug war, there are other drags on the earnings and lives of poor people. Almost no one, right or left, mentions that the rent is too damn high, and that every time wealthy owners in places like Santa Monica, Seattle, and New York prevent new construction, they’re simultaneously making the lives of the poor much, much harder. Only a relatively small number of voices in the wilderness are speaking up.

We’re grant writers—that is, hired guns—so we’re not intensely political about these issues and are in it for the money (I know you’re shocked). Usually we shy away from the theory and thought behind grant writing, since most readers and human service providers don’t really care about it, or care to the extent that thinking translates into dollars.


* Isaac doesn’t like using the word “bureaucracy” in proposals, in any context, but I’m quite fond of it. Isaac says that isn’t a good idea to remind the bureaucrats reading a proposal that they are in fact bureaucrats who are making people jump through hoops in order to receive goods and services. He may have a point.

** In proposals, no one is poor and everyone is “low-income.” We use them interchangeably here only because a) this is where grant writers and nonprofit administrators come to talk about reality, not fantasy, and b) the original writer uses the term “poor.”

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Computers and education: An example of conventional wisdom being wrong

We’ve written innumerable proposals for programs to give students computers or access to computers. Some, like “Goals 2000,” have already been forgotten by anyone not named Seliger. Others, like the 21st Century Community Learning Centers program, continue to exist, although the original federal version got broken into state pass-through funds. All of them work on the presumption that giving students computers will improve education.

The problem is that, as we’ve written before, most research demonstrates that this isn’t true, even if it seems like it should be true. Another study, “Laptop multitasking hinders classroom learning for both users and nearby peers,” just came out against computers improving educational outcomes. Some news report have covered it too, including “Using Laptops In Classrooms Lowers Grades: Study” and one from the Times of India. But the important takeaway is simple: computer access in and of itself doesn’t appear to improve educational attainment.

That doesn’t really matter for the proposal world, in which the conventional wisdom is always right and where these studies can be used to make minor changes in program design to overcome the problem of distraction. But they’re interesting on a real world level, especially because they confirm what many of us know intuitively: that computers are great for wasting time.

I’d define “wasting time” as any time spent nominally doing a task that doesn’t result in some tangible product or change at the end of that task. Reading Slate instead of writing a novel, to use an example from close to home, is time wasted; reading Slate to relax isn’t. The danger with the Internet (and, for others, computer games) is that it can feel work-like without actually accomplishing any work in the process.

Personally, when I need to do serious writing that doesn’t require data research, I use the program Mac Freedom to turn off Internet access. I paid $10 to not be able to access the Internet. I know the Internet, like the Force, has a light side and a dark side. The light side is research, connection, learning, and human possibility. The dark side is an endless carnival of noise, blinking lights, and effervescent distraction. As Paul Graham wrote in “Disconnecting Distraction:”

Some days I’d wake up, get a cup of tea and check the news, then check email, then check the news again, then answer a few emails, then suddenly notice it was almost lunchtime and I hadn’t gotten any real work done. And this started to happen more and more often.

Now, if people like Paul Graham (or me!) have trouble doing real work when the Internet black hole is available, what hope does the average 15-year-old have—especially given that Graham and I grew up in a world without iPhones and incessant text messages? This isn’t “Get these darn kids off my lawn” rant, but it is an important anecdotal point about the importance and danger of computers. Computers are essential to, say, computer programming, but they aren’t essential to reading, writing, or basic math.

I went to a law school for a year by accident (don’t ask), and everyone had a laptop. They were sometimes used for taking notes. More often they were used for messaging in class. Occasionally they were actually used for porn. These were 22 – 30-year-old proto lawyers. On one memorable occasion, a guy’s computer erupted with a sports ad that blanketed the room with the drums, trumpets, and deep-voiced announcer promising gladiatorial combat. Evidently he’d forgotten to turn sound off. The brightest students were highly disciplined in their computer usage, but many of us, like addicts, didn’t have that discipline. We were better off not sitting in the room with the coke.

To be sure, computers can be useful in class. My fiancée wrote her med school application essay in class, since she was forced, due to academic bureaucratic idiocy, to take basic cell bio after she’d taken advanced cell bio. The laptop helped her recover time that otherwise would’ve been wasted, but I suspect that she’s in the minority.

I get the impression that the average student has no problem learning to immerse themselves in buzzy online worlds, and the exceptional, Zuckerberg-like student has no problem using digital tools to build those online worlds. What we should really probably be doing is teaching students how to cultivate solitude and concentrate. That’s what we need to learn how to do, even if that isn’t a particular subject matter domain.

Finally, like a lot of ideas, computers in schools might be a bad idea right up to the point they’re not. Adaptive learning software may eventually make a tremendous difference in student learning. That just hasn’t happened yet, and the last 20 years demonstrate that it’s not going to happen by chucking computers at students and assuming that computers are magically going to provide education. They’re not. Computers are mirrors that reflect the desires already inside a person. For students, 1% will build the next Facebook, another 3% will write angsty blog posts and perhaps become writers more generally, and 100% will use it for porn and games.

EDIT 2015: I just wrote about Kentaro Toyama’s book Geek Heresy: Rescuing Social Change From the Cult of Technology, which describes… wait for it… why technology is not a panacea for education and may make it worse.

A few astute readers have also asked an important question: What could make or help technology improve education? I don’t have a good answer (if I did, I’d be starting the company that will deploy the answer). But I think we will see experimentation and slow, incremental steps. Many massive online courses (MOOCs), for example, started off as filmed lectures. Then they morphed towards having multiple camera angles and some quizzes. More recently, those classes shifted towards small, interactive chunks with quizzes that test comprehension interspersed among them. Each step improved comprehension, completion, and student engagement.

But MOOCs don’t seem to improve the ability to sustain concentration, be conscientious, or read in-depth. Without that last skill in particular, I’m not sure how much education of any kind can happen. Technology can give us the text, but it can’t make us read or comprehend the text or deal with it imaginatively.

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“With Charity For All” – Ken Stern – Book Discussion

Ken Stern’s With Charity for All: Why Charities Are Failing and a Better Way to Give is really about a single, fundamental issue and its implications: funders are the real “clients” of most nonprofits, yet their desires dominate everything that nonprofits do. He says that “The care and feeding of donors who make highly personal gifts can distract from the core charitable purposes and matters of organizational effectiveness.” But in many ways the “care and feeding” of those donors is, or becomes, the organization’s real mission. Organizations that don’t attend to their funding streams aren’t going to keep their doors open.

As a result, With Charity For All is really about reforming funder priorities, especially among foundation, corporate giving, and wealthy individual donors.

That’s a laudable goal. Right now, however, most donors donate based on emotional connections rather than cost-benefit analyses. In one example, Stern describes how “Katrina was a gold rush for the nonprofit community; hundreds of organizations descended on the Gulf Coast.” But most of those organizations weren’t effective—including the Red Cross, as Stern describes in detail. When we judge by intentions more than effectiveness, we don’t actually care about effectiveness, and funders don’t look at what happens to their money after the donations; they’re busy basking in the afterglow. Moreover, Stern says:

For most charities, the story from the front lines is the most important measure of success, one that typically confirms the importance of the work and reassures stakeholders. Empirical and research studies are to be avoided as expensive, distracting, and potentially dangerous. In some ways, the charitable world exhibits and almost medieval aversion to scientific scrutiny and accountability.

Does this sound familiar? To regular readers it should, since we’ve long argued that your grant story needs to get the money and that most funders don’t value evaluations. Most donors and grant makers care only superficially about results. Nonprofits that have embraced “empirical and research studies” have mostly been outcompeted by those that tell happy stories.

That’s a problem from the perspective of those receiving services, however. Using the Red Cross as an example, which couldn’t act effectively after 9/11 and then planned to use 9/11 funds to improve organizational effectiveness, only to be bashed by the press, Stern goes on to say that there is

a bedrock and simplistic assumption that has long shackled the charitable world: that money spent on direct services is the only worthy use of charitable funds, while money invested in organizational effectiveness is to be kept as close to zero as possible. It is an equation widely accepted by the donating public, by the press, by charity watchdogs, by government regulators, and by most charities themselves. To keep overhead costs down, charities forgo necessary investments with devastating and sometimes deadly results.

This is sensational but sometimes true. Still, on a smaller scale than the Red Cross, we see lots of money subtly diverted in various ways into organizational effectiveness: the van bought for one program ends up being used for another. Project staff on one program also spend time working in another. Technically these sorts of things are often against funding rules, but better organizations ignore them so they can get stuff done.

Ignoring funder rules is often rewarded, as we discuss in point three of this post.

With Charity for All is hardly the only book to observe perverse incentives among nonprofits: The Robin Hood Rules for Smart Giving says in its introduction:

The idea behind this book is that philanthropists cannot settle for choosing programs merely because they generate important benefits. They must hold out for funding only those programs that do the most good per dollar of costs. Otherwise money is wasted, which is an unforgivable mistake given yawning social needs.

“An unforgivable mistake?” I won’t be inviting Weinstein and Bradburd, the authors, to dinner, and I suspect a lot of foundation directors won’t either. Still, their take is so similar to Stern’s that it merits a mention, especially because reality on the ground indicates that philanthropists can and do “settle for choosing programs merely because they generate important benefits.”

Despite Stern’s disapproval of current funder priorities, it’s important for organizations that want to succeed quickly learn how to tell happy stories—and when not to. Most proposals submitted to state and federal organizations, for example, are designed to avoid stories about particular individuals; the RFPs tend to be so fragmented that it’s difficult or impossible to tell a coherent story. Moreover, most government programs want a story about (possibly illusory) effectiveness, much more than they want stories about identifiable humans. Remember that these are bureaucrats we’re talking about, not normal people. It’s also not clear how much government spending is actually about solving social ailments, versus accomplishing other goals. I don’t want to say more about that here, because it’s venturing too close to the political quicksand that we studiously avoid, but the point remains and should be obvious to anyone involved with in grant writing and organization funding.

There are frustrating parts of With Charity For All, especially when Stern’s evidence or discussion is thin. For example, he says:

There is little credible evidence that many charitable organizations produce lasting social value. Study after study tells the opposite story: or organizations that fail to achieve meaningful impact yet press on with their strategies and services despite significant, at times overwhelming, evidence that they don’t work.

None of these studies are cited in a footnote. No specific organizations are cited. This narrative is little better than the charities-are-ineffective narrative. Still, charities are organizations that, on a basic level, must take in more money than they spend. Consequently, charities, like all entities, are perfectly capable of failing, and they must adapt to their environment. Like pretty much everyone who looks into this matter, I agree that charities should spend more time genuinely evaluating themselves, but that requires that their funders also become more interested in doing so. GiveWell.org is one effort to do so, and this book is an attempt to raise the profile of profiling nonprofits. Nonetheless, in a discussion about how to measure effectiveness, it’s discouraging to see references to “study after study” only to find zero studies cited.

It’s also not entirely true that “The nonprofit field is extraordinarily stagnant, even though tens of thousands of new charities are created each year and billions of dollars of grants and donations annually flow to American charities.” The word “stagnant” is probably wrong: although tens of thousands of new nonprofits ones are created, tens of thousands of old ones close. As I said above, a nonprofit that can’t take in more money than it spends won’t exist for long, and that’s part of what makes nonprofits dynamic. Now, it may be that funders are rewarding behaviors that may not be optimal in terms of achieving preferred outcomes, but that’s a separate issue that shouldn’t be conflated with dynamism per se.

In a moment of dubious interpretation, Stern writes:

At the core of our charitable system is the notion that charities perform critical social functions and thereby save the government and the taxpayer the effort and expense of providing the service. But the charitable sector is filled with organizations doing things that no government would care to do and that would scandalize taxpayers if they understood they were underwriting this effort.

I’m not sure “the notion that charities [. . .] save the government [. . . ] effort and expense” is at “the core of our charitable system:” is there a “core of our charitable systems?” Core isn’t the right word, or mental model; we have a series of post-hoc rationalizations. One of those post-hoc rationalizations is a larger sense that government can’t do or think of everything that should be done on a not-for-profit basis; groups of individuals should be able to come together to do stuff that’s worth doing but that won’t necessarily return money to “shareholders.” Not everything worth doing needs to be provided by the government and not everything provided by the government is necessarily worth doing.

Those are statements of general principle, however, and Stern goes on to describe how the college football bowl system consists of dubious nonprofits running, for example, “the Allstate Sugar Bowl” and making a lot of tax-free money in the process. Big-time college sports in general have only the flimsiest patina of amateurism left in them, and by now they should be spun off from their nominal university owners and made to pay players just like every other employers.

The idea that big time football or basketball schools (like Isaac’s favorite, the University of Kansas Jayhawks) should pay their coaches millions of dollars and their players “scholarships” is ludicrous, but those specific examples don’t necessarily mean all organizations doing things government shouldn’t should also be treated and taxed like conventional businesses. For example, the Mozilla Foundation provides an open-source web browser and is dedicated to freedom on the Internet. I don’t necessarily think the U.S. government should start its own web browser division, but most people would probably agree that Mozilla is a reasonable charitable endeavor.

(Regular readers have noticed that this post is a bit different than most of our posts: we’re reviewing a book instead of discussing direct experience, telling stories, or writing about RFPs. We’d love to hear your comments, and, if you know of any other books we should be reading, let us know about those too. Although we’re mostly content producers, occasionally we leave our iMacs, retire to a comfortable chair, and enjoy a book, along with a well-made cocktail or three.)