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Ratio discrimination in charity fundraising: the inappropriate use of cost ratios has harmful side-effects
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Ratio discrimination in charity fundraising: the inappropriate use of cost ratios has harmful side-effects
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Journal Article
Ratio discrimination in charity fundraising: the inappropriate use of cost ratios has harmful side-effects
2010
Overview
Managers, donors, regulators and reporters care about fundraising cost ratios (donations divided by costs) despite their many shortcomings. In this paper we discuss the unintended but harmful side effects resulting from the pressure to minimise cost ratios in the areas of compliance and regulatory costs, misleading solicitations and misled donors, inefficient generation of donations, and inefficient provision of services. We conclude with a brief discussion of alternative approaches to stemming fundraising abuses.
Publisher
Policy Press,The Policy Press
Subject
