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December 2018

Mohammad Anas Wahaj | 30 dec 2018

Prof. Dean Karlan of Northwestern University does evidence-based research to evaluate what works and what doesn't when it comes to helping lift people out of poverty. He is the founder of the nonprofit Innovations for Poverty Action and advises donors and institutions on the best use of their charitable dollars. Prof. Karlan says, '...in 2002 I started a nonprofit out of my living room, dedicated to creating high-quality randomized evaluations of global anti-poverty programs. Today, Innovations for Poverty Action has a US$ 42 million budget, most of which goes directly into research. We're now in 22 countries, but we've worked in 52 countries. We have some 500 permanent staff and have done almost 800 randomized evaluations of anti-poverty programs and initiatives. We apply rigorous economic theories and research to evaluating which global anti-poverty initiatives are working.' He suggests following tips to evaluate whether your charitable dollars are being used effectively: (1) Don't evaluate a charity based on its overhead. (2) Don't be swayed by marketing materials with moving heart-wrenching photographs. (3) Look for evidence of impact. (4) If you are wondering where your money will have the most impact, it's likely in poorer, developing countries. (5) Don't be afraid to give to large organizations. (6) Email the charity for evidence of cost effectiveness. (7) Consider giving to meta-charities. Read on...

WTTW News: It's the Season of Giving. How to Choose Charities Wisely
Author: Andrea Guthmann


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