Charity and Government

Charity – people with means donating money and/or time to help others – is a lot more complicated than simply writing a check at the end of the year to your favorite organization. The ethics behind why people give is a question that has been debated by great thinkers for thousands of years. This is a huge topic that we could spend the next year discussing and debating. But for today, I want to focus on the role of charities in relation to the role of government. A separate post is needed to delve into international assistance issues, so this post will focus on domestic charities only. Government is here to help people. Government helps people by providing safety through police, firefighters, a military, roads and a system of law and order. Governments also help people who fall on hard times through temporary programs such as food stamps, WIC and TANF. And collectively, we as a society through our government, help those who cannot help themselves through programs such as free lunch for school children and disability assistance for those who cannot work. However, in such a large society stretching from sea to sea, there are some people who fall through the cracks. Regulations sometimes prevent certain people from qualifying for some assistance programs despite a real need for food or housing assistance. Despite the best efforts of local, state and national governments, some families are unable to feed their children or are forced to choose between medicine and paying for heat in the winter. In these situations, charities step in and help those in need. Charities step in to support people who slip through the holes in government safety nets. Sometimes charities step up before the slow wheels of governments are able to begin programs. Soup kitchens and food pantries were set up during the Great Depression, and then FDR started the New Deal to help people find employment. The food stamp program was set up in the 1930s and then again in the 1960s to help those who could not afford to feed their families. And despite this and other programs, hunger still lingered in America. Which is where charity comes in. Charities help those who are still in need of assistance or do not qualify for government assistance. Our ultimate goal, shared by both authors of this blog, is for charities and government assistance programs to become obsolete because everyone has all that they need for a fulfilling life. But until that day, government is responsible for its citizens well-being. There is an implicit social contract signed when citizens pay their taxes and follow the laws of the land. And where imperfect governments are inadequate, charities will continue the good work of filling in the gaps while like-minded citizens work for a better government for all people. As this holiday season is upon us, I urge you to find a charity that you believe in, that you believe makes this country and this world a better place. And I encourage you to give your time, money and support to them, so that we can all work together for the betterment of everyone.

Our government is the most powerful charitable organization in the world on two counts. First, it has the unique power to tax and give. No other charity can coerce giving into its coffers; additionally, the government has absolute control over how and where the distributions occur. Second, the government motivates the majority of voluntary giving by offering tax deductions as a reward for contributions to non-profit causes. In a nation of “choice,” we are forced to give money to the tax man who donates our hard earned dollars to whatever causes are approved by bureaucratic subcommittees that are staffed by Beltway highbrows, Ivy League intellectuals, trust fund babies and other do-gooders who are totally disconnected from the real world. I thoroughly support the way that tax deductions motivate giving to non-governmental charities. Choice in giving creates a competitive environment, wherein charities must demonstrate practical value, socially constructive output, or, at a minimum, valuable ideas. The government’s form of giving is cumbersome, complicated, can not be influenced in explicit ways, and is protected by layers of incumbency and bureaucracy. I suggest that we maximize the motivation and the output of private, competitive giving and minimize the taxation that translates into charity. As individuals, I believe we are more than physical particles, and that our formless souls are created to experience positive consequences when we engage in selfless action. That is why we appreciate heroes, why we value sacrifice, why we feel good about saving the kitten from the tree. It is why we love and trust firefighters and soldiers and sometimes police officers. I am quite certain it is also why we enjoy giving. John Stossel’s latest report indicates that there is some psychic and even physical reward for giving, and I am persuaded to believe it. If it is the thought that counts, then oftentimes, giving in December should not count, because we may be after a quick tax deduction, but try telling that to the directors and presidents of those charities that depend on the gifts to continue their work! Besides, people truly do like giving, even if it as simple as non-deductible pocket change for the bell ringers outside the grocery store. We appreciate that in our season of family and religion, there are others that are not enjoying the season as much as we are. I hate the phrase “giving back,” because what I have was earned either by myself or my family before me, but I love the word “giving,” because in that word exists all the power and reward associated with sacrificing our time and money for someone else’s enjoyment. And that is what makes this such a Wonderful Life whether your Christmas Story is a Christmas Vacation, a White Christmas, or just a Miracle on 34th Street.