I find William Easterly's blog to be a fantastic source of discussion on aid organizations.
I also find it disturbing that whenever I meet some one who buys "fair trade" or "RED", and I ask them to define "fair trade" or how the money from their purchase actually gets to the intended target (development in African communities) they have only a vague notion (i.e. "Well they pay a wage the farmer deserves" -how is this determined and by whom?-, or "it goes directly to the Global Fund" -how does it get from the store, how are the profits and costs tallied, and who is in charge of the distribution?-).
So I would like to link this blog post for my friends who buy RED.
When economists and auditors can't view the flow of funds something is not right. If you want to feel charitable this holliday season, give to your local religious organization or actual charity who has to open up their books every now and then and prove that they're not misusing funds. I'm all for these "sustainable business" plans, but that does not mean that they can be trusted off hand because celebrities and Apple say its okay.
Obviously, if you trust the company, continue to buy and do so with my full encouragement; it is your choice and your money.
Update: RED responds rather openly, and Dadush expands on the need for transparency.
2 comments:
I am also skeptical of companies that profit from charity. However, if one is going to buy, say, a GAP sweater anyway, and if some company is going to make a profit from my purchase anyway, then I rather know that at least some percentage -however small- is going to the Global Fund.
I wouldn't buy the sweater just to "feel charitable," of course. But that's just me. And I agree with your point that it's all just another way for large corporations to profit, but it's not a scam. Ppl know they are making said profit.
If one of your readers wants to be charitable, though, I suggest they sponsor a child's education through my parents' ministry. LoL. (Hey, we have "open books" hahaha.) Luv u!
by the way, I decided to change my display name. like?
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