Philanthropy is a form of

altruism Altruism is the principle and moral practice of concern for the welfare and/or happiness of other human beings or animals, resulting in a quality of life both material and spiritual. It is a traditional virtue in many cultures and a core as ...

that consists of "private initiatives for the

public good Public good may refer to: * Public good (economics), an economic good that is both non-excludable and non-rivalrous * The common good, outcomes that are beneficial for all or most members of a community See also * Digital public goods Digital pu ...

, focusing on quality of life". Philanthropy contrasts with business initiatives, which are private initiatives for private good, focusing on material gain; and with government endeavors that are public initiatives for public good, such as those that focus on the provision of public services. A person who practices philanthropy is a philanthropist.

Etymology

The word ''philanthropy'' comes , from 'to love, be fond of' and 'humankind, mankind'. In , Plutarch used the Greek concept of to describe superior human beings. During the Middle Ages, was superseded in Europe by the Christian virtue of '' charity'' ( Latin: ) in the sense of selfless love, valued for salvation and escape from purgatory. Thomas Aquinas held that "the habit of charity extends not only to the love of God, but also to the love of our neighbor". Sir Francis Bacon considered ''philanthrôpía'' to be synonymous with "goodness", correlated with the Aristotelian conception of virtue as consciously instilled habits of good behaviour.

Samuel Johnson Samuel Johnson (18 September 1709 – 13 December 1784), often called Dr Johnson, was an English writer who made lasting contributions as a poet, playwright, essayist, moralist, critic, biographer, editor and lexicographer. The ''Oxford ...

simply defined philanthropy as "love of mankind; good nature". This definition still survives today and is often cited more gender-neutrally as the "love of humanity."

Europe

Great Britain

In London, prior to the 18th century, parochial and civic charities were typically established by bequests and operated by local church parishes (such as

St Dionis Backchurch St Dionis Backchurch was a parish church in the Langbourn ward of the City of London. Of medieval origin, it was rebuilt after the Great Fire of London to the designs of Christopher Wren and demolished in 1878. Early history The church of St D ...

) or guilds (such as the Carpenters' Company). During the 18th century, however, "a more activist and explicitly Protestant tradition of direct charitable engagement during life" took hold, exemplified by the creation of the Society for the Promotion of Christian Knowledge and

Societies for the Reformation of Manners The Society for the Reformation of Manners was founded in the Tower Hamlets area of London in 1691. In 1739, Thomas Coram, appalled by the number of abandoned children living on the streets of London, received a royal charter to establish the

Foundling Hospital The Foundling Hospital in London, England, was founded in 1739 by the philanthropic sea captain Thomas Coram. It was a children's home established for the "education and maintenance of exposed and deserted young children." The word "hospital" w ...

to look after these unwanted orphans in Lamb's Conduit Fields,

Bloomsbury Bloomsbury is a district in the West End of London. It is considered a fashionable residential area, and is the location of numerous cultural, intellectual, and educational institutions. Bloomsbury is home of the British Museum, the largest mus ...

. This was "the first children's charity in the country, and one that 'set the pattern for incorporated associational charities' in general." The hospital "marked the first great milestone in the creation of these new-style charities."

Jonas Hanway Jonas Hanway (12 August 1712 – 5 September 1786), was a British philanthropist and Explorer, traveller. He was the first male Londoner to carry an umbrella and was a noted opponent of tea drinking. Life Hanway was born in Portsmouth, on the s ...

, another notable philanthropist of the era, established The Marine Society in 1756 as the first seafarer's charity, in a bid to aid the recruitment of men to the navy. By 1763, the society had recruited over 10,000 men and it was incorporated in 1772. Hanway was also instrumental in establishing the

Magdalen Hospital Magdalene asylums, also known as Magdalene laundries, were initially Protestant but later mostly Roman Catholic institutions that operated from the 18th to the late 20th centuries, ostensibly to house "fallen women". The term referred to femal ...

to rehabilitate prostitutes. These organizations were funded by subscriptions and run as voluntary associations. They raised public awareness of their activities through the emerging popular press and were generally held in high social regard—some charities received state recognition in the form of the Royal Charter.

19th century

Philanthropists, such as anti-slavery campaigner William Wilberforce, began to adopt active campaigning roles, where they would champion a cause and lobby the government for legislative change. This included organized campaigns against the ill-treatment of animals and children and the campaign that succeeded in ending the slave trade throughout the Empire starting in 1807. Although there were no slaves allowed in Britain itself, many rich men owned sugar plantations in the West Indies, and resisted the movement to buy them out until it finally succeeded in 1833. Financial donations to organized charities became fashionable among the middle class in the 19th century. By 1869 there were over 200 London charities with an annual income, all together, of about . By 1885, rapid growth had produced over 1000 London charities, with an income of about . They included a wide range of religious and secular goals, with the American import, YMCA, as one of the largest, and many small ones, such as the Metropolitan Drinking Fountain Association. In addition to making annual donations, increasingly wealthy industrialists and financiers left generous sums in their wills. A sample of 466 wills in the 1890s revealed a total wealth of , of which was bequeathed to charities. By 1900 London charities enjoyed an annual income of about . Led by the energetic Lord Shaftesbury (1801–1885), philanthropists organized themselves. In 1869 they set up the Charity Organisation Society. It was a federation of district committees, one in each of the 42 Poor Law divisions. Its central office had experts in coordination and guidance, thereby maximizing the impact of charitable giving to the poor. Many of the charities were designed to alleviate the harsh living conditions in the slums. such as the

Labourer's Friend Society The Labourer's Friend Society was a society founded by Lord Shaftesbury in the United Kingdom in 1830 for the improvement of working class conditions. This included the promotion of allotment of land to labourers for "cottage husbandry" that later ...

founded in 1830. This included the promotion of allotment of land to labourers for "cottage husbandry" that later became the allotment movement. In 1844 it became the first Model Dwellings Company—an organization that sought to improve the housing conditions of the working classes by building new homes for them, while at the same time receiving a competitive rate of return on any investment. This was one of the first housing associations, a philanthropic endeavor that flourished in the second half of the nineteenth century, brought about by the growth of the middle class. Later associations included the Peabody Trust, and the Guinness Trust. The principle of philanthropic intention with capitalist return was given the label "five per cent philanthropy."

Switzerland

Sisters of Mercy at the Battle of Gravelotte

In 1863, the Swiss businessman Henry Dunant used his fortune to fund the Geneva Society for Public Welfare, which became the International Committee of the Red Cross. During the Franco-Prussian War of 1870, Dunant personally led Red Cross delegations that treated soldiers. He shared the first Nobel Peace Prize for this work in 1901. The International Committee of the Red Cross (ICRC) played a major role in working with

POW A prisoner of war (POW) is a person who is held captive by a belligerent power during or immediately after an armed conflict. The earliest recorded usage of the phrase "prisoner of war" dates back to 1610. Belligerents hold prisoners of war ...

s on all sides in World War II. It was in a cash-starved position when the war began in 1939, but quickly mobilized its national offices to set up a Central Prisoner of War Agency. For example, it provided food, mail and assistance to 365,000 British and Commonwealth soldiers and civilians held captive. Suspicions, especially by London, of ICRC as too tolerant or even complicit with Nazi Germany led to its side-lining in favour of the UN Relief and Rehabilitation Administration (UNRRA) as the primary humanitarian agency after 1945.

France

The

French Red Cross The French Red Cross (french: Croix-Rouge française), or the CRF, is the national Red Cross Society in France founded in 1864 and originally known as the ''Société française de secours aux blessés militaires'' (SSBM). Recognized as a public u ...

played a minor role in the war with Germany (1870–71). After that, it became a major factor in shaping French civil society as a non-religious humanitarian organization. It was closely tied to the army's Service de Santé. By 1914 it operated one thousand local committees with 164,000 members, 21,500 trained nurses, and over in assets. The Pasteur Institute had a monopoly of specialized microbiological knowledge, allowing it to raise money for serum production from private and public sources, walking the line between a commercial pharmaceutical venture and a philanthropic enterprise. By 1933, at the depth of the

Great Depression The Great Depression (19291939) was an economic shock that impacted most countries across the world. It was a period of economic depression that became evident after a major fall in stock prices in the United States. The economic contagio ...

, the French wanted a welfare state to relieve distress but did not want new taxes. War veterans devised a solution: the new national lottery proved highly popular to gamblers while generating the cash needed without raising taxes. American money proved invaluable. The Rockefeller Foundation opened an office in Paris and helped design and fund France's modern public health system under the National Institute of Hygiene. It also set up schools to train physicians and nurses.

Germany

The history of modern philanthropy on the European continent is especially important in the case of Germany, which became a model for others, especially regarding the welfare state. The princes and the various imperial states continued traditional efforts, funding monumental buildings, parks, and art collections. Starting in the early 19th century, the rapidly emerging middle classes made local philanthropy a way to establish their legitimate role in shaping society, pursuing ends different from the

aristocracy Aristocracy (, ) is a form of government that places strength in the hands of a small, privileged ruling class, the aristocracy (class), aristocrats. The term derives from the el, αριστοκρατία (), meaning 'rule of the best'. At t ...

and the military. They concentrated on support for social welfare, higher education, and cultural institutions, as well as working to alleviate the hardships brought on by rapid

industrialization Industrialisation ( alternatively spelled industrialization) is the period of social and economic change that transforms a human group from an agrarian society into an industrial society. This involves an extensive re-organisation of an econo ...

. The

bourgeoisie The bourgeoisie ( , ) is a social class, equivalent to the middle or upper middle class. They are distinguished from, and traditionally contrasted with, the proletariat by their affluence, and their great cultural and financial capital. They ...

(upper-middle class) was defeated in its effort to gain political control in

1848 1848 is historically famous for the wave of revolutions, a series of widespread struggles for more liberal governments, which broke out from Brazil to Hungary; although most failed in their immediate aims, they significantly altered the polit ...

, but it still had enough money and organizational skills that could be employed through philanthropic agencies to provide an alternative power base for its worldview. Religion was divisive in Germany, as Protestants, Catholics, and Jews used alternative philanthropic strategies. The Catholics, for example, continued their medieval practice of using financial donations in their wills to lighten their punishment in purgatory after death. The Protestants did not believe in purgatory, but made a strong commitment to improving their communities there and then. Conservative Protestants raised concerns about deviant sexuality, alcoholism, and socialism, as well as illegitimate births. They used philanthropy to try to eradicate what they considered as "social evils" that were seen as utterly sinful. All the religious groups used financial endowments, which multiplied in number and wealth as Germany grew richer. Each was devoted to a specific benefit to that religious community, and each had a board of trustees; laymen donated their time to public service. Chancellor

Otto von Bismarck Otto, Prince of Bismarck, Count of Bismarck-Schönhausen, Duke of Lauenburg (, ; 1 April 1815 – 30 July 1898), born Otto Eduard Leopold von Bismarck, was a conservative German statesman and diplomat. From his origins in the upper class of J ...

, an upper class Junker, used his state-sponsored philanthropy, in the form of his invention of the modern welfare state, to neutralize the political threat posed by the

socialistic Socialism is a left-wing Economic ideology, economic philosophy and Political movement, movement encompassing a range of economic systems characterized by the dominance of social ownership of the means of production as opposed to Private prop ...

labor union A trade union (labor union in American English), often simply referred to as a union, is an organization of workers intent on "maintaining or improving the conditions of their employment", ch. I such as attaining better wages and benefits ( ...

s. The middle classes, however, made the most use of the new welfare state, in terms of heavy use of museums, gymnasiums (high schools), universities, scholarships, and hospitals. For example, state funding for universities and gymnasiums covered only a fraction of the cost; private philanthropy became essential. 19th-century Germany was even more oriented toward civic improvement than Britain or the United States, when measured in voluntary private funding for public purposes. Indeed, such German institutions as the kindergarten, the research university, and the welfare state became models copied by the Anglo-Saxons. The heavy human and economic losses of the First World War, the financial crises of the 1920s, as well as the Nazi regime and other devastation by 1945, seriously undermined and weakened the opportunities for widespread philanthropy in Germany. The civil society so elaborately built up in the 19th century was dead by 1945. However, by the 1950s, as the "

economic miracle Economic miracle is an informal economic term for a period of dramatic economic development that is entirely unexpected or unexpectedly strong. Economic miracles have occurred in the recent histories of a number of countries, often those undergoing ...

" was restoring German prosperity, the old aristocracy was defunct, and middle-class philanthropy started to return to importance.

War and postwar: Belgium and Eastern Europe

The Commission for Relief in Belgium (CRB) was an international (predominantly American) organization that arranged for the supply of food to German-occupied Belgium and northern France during the First World War. It was led by Herbert Hoover. Between 1914 and 1919, the CRB operated entirely with voluntary efforts and was able to feed eleven million Belgians by raising money, obtaining voluntary contributions of money and food, shipping the food to Belgium and controlling it there. For example, the CRB shipped 697,116,000 pounds of flour to Belgium. Biographer George Nash finds that by the end of 1916, Hoover "stood preeminent in the greatest humanitarian undertaking the world had ever seen." Biographer William Leuchtenburg adds, "He had raised and spent millions of dollars, with trifling overhead and not a penny lost to fraud. At its peak, his organization fed nine million Belgians and French daily. When the war ended in late 1918, Hoover took control of the

American Relief Administration American Relief Administration (ARA) was an American relief mission to Europe and later post-revolutionary Russia after World War I. Herbert Hoover, future president of the United States, was the program director. The ARA's immediate predeces ...

(ARA), with the mission of food to Central and Eastern Europe. The ARA fed millions. U.S. government funding for the ARA expired in the summer of 1919, and Hoover transformed the ARA into a private organization, raising millions of dollars from private donors. Under the auspices of the ARA, the European Children's Fund fed millions of starving children. When attacked for distributing food to Russia, which was under Bolshevik control, Hoover snapped, "Twenty million people are starving. Whatever their politics, they shall be fed!"

United States

The first corporation founded in the Thirteen Colonies was Harvard College (1636), designed primarily to train young men for the clergy. A leading theorist was the Puritan theologian

Cotton Mather Cotton Mather (; February 12, 1663 – February 13, 1728) was a New England Puritan clergyman and a prolific writer. Educated at Harvard College, in 1685 he joined his father Increase as minister of the Congregationalist Old North Meeting H ...

(1662–1728), who in 1710 published a widely read essay, "Bonifacius, or an Essay to Do Good". Mather worried that the original idealism had eroded, so he advocated philanthropic benefaction as a way of life. Though his context was Christian, his idea was also characteristically American and explicitly Classical, on the threshold of the

Enlightenment Enlightenment or enlighten may refer to: Age of Enlightenment * Age of Enlightenment, period in Western intellectual history from the late 17th to late 18th century, centered in France but also encompassing (alphabetically by country or culture): ...

. Benjamin Franklin (1706–1790) was an activist and theorist of American philanthropy. He was much influenced by

Daniel Defoe Daniel Defoe (; born Daniel Foe; – 24 April 1731) was an English writer, trader, journalist, pamphleteer and spy. He is most famous for his novel ''Robinson Crusoe'', published in 1719, which is claimed to be second only to the Bible in its ...

's ''An Essay upon Projects'' (1697) and

's ''Bonifacius: an essay upon the good'' (1710). Franklin attempted to motivate his fellow Philadelphians into projects for the betterment of the city: examples included the Library Company of Philadelphia (the first American subscription library), the fire department, the police force, street lighting, and a hospital. A world-class physicist himself, he promoted scientific organizations including the Philadelphia Academy (1751) – which became the University of Pennsylvania – as well as the American Philosophical Society (1743), to enable scientific researchers from all 13 colonies to communicate. By the 1820s, newly rich American businessmen were initiating philanthropic work, especially with respect to private colleges and hospitals. George Peabody (1795–1869) is the acknowledged father of modern philanthropy. A financier based in

Baltimore Baltimore ( , locally: or ) is the most populous city in the U.S. state of Maryland, fourth most populous city in the Mid-Atlantic, and the 30th most populous city in the United States with a population of 585,708 in 2020. Baltimore was d ...

and London, in the 1860s, he began to endow libraries and museums in the United States and also funded housing for poor people in London. His activities became a model for Andrew Carnegie and many others.

Andrew Carnegie

Andrew Carnegie (1835–1919) was the most influential leader of philanthropy on a national (rather than local) scale. After selling his steel company in 1901 he devoted himself to establishing philanthropic organizations and to making direct contributions to many educational, cultural, and research institutions. He financed over 2,500 public libraries built across the United States and abroad. He also funded

Carnegie Hall Carnegie Hall ( ) is a concert venue in Midtown Manhattan in New York City. It is at 881 Seventh Avenue (Manhattan), Seventh Avenue, occupying the east side of Seventh Avenue between West 56th Street (Manhattan), 56th and 57th Street (Manhatta ...

in New York City and the Peace Palace in the Netherlands. His final and largest project was the

Carnegie Corporation of New York The Carnegie Corporation of New York is a philanthropic fund established by Andrew Carnegie in 1911 to support education programs across the United States, and later the world. Carnegie Corporation has endowed or otherwise helped to establis ...

, founded in 1911 with a endowment, later enlarged to . Carnegie Corporation has endowed or otherwise helped to establish institutions that include the Russian Research Center at Harvard University (now known as th
Davis Center for Russian and Eurasian Studies
, the Brookings Institution and the

Sesame Workshop Sesame Workshop (SW), originally known as the Children's Television Workshop (CTW), is an American nonprofit organization that has been responsible for the production of several educational children's programs—including its first and best-know ...

. In all, Andrew Carnegie gave away 90% of his fortune.

John D. Rockefeller

Other prominent American philanthropists of the early 20th century included John D. Rockefeller (1839–1937), Julius Rosenwald (1862–1932) and Margaret Olivia Slocum Sage (1828–1918). Rockefeller retired from business in the 1890s; he and his son John D. Rockefeller Jr. (1874–1960) made large-scale national philanthropy systematic, especially with regard to the study and application of modern medicine, higher education, and scientific research. Of the the elder Rockefeller gave away, went to medicine. Their leading advisor Frederick Taylor Gates launched several large philanthropic projects staffed by experts who sought to address problems systematically at the roots rather than let the recipients deal only with their immediate concerns. By 1920, the

Rockefeller Foundation The Rockefeller Foundation is an American private foundation and philanthropic medical research and arts funding organization based at 420 Fifth Avenue, New York City. The second-oldest major philanthropic institution in America, after the Carneg ...

was opening offices in Europe. It launched medical and scientific projects in Britain, France, Germany, Spain, and elsewhere. It supported the health projects of the League of Nations. By the 1950s, it was investing heavily in the Green Revolution, especially the work by Norman Borlaug that enabled India, Mexico, and many poor countries to upgrade their agricultural productivity dramatically.

Ford Foundation

With the acquisition of most of the stock of the Ford Motor Company in the late 1940s, the Ford Foundation became the largest American philanthropy, splitting its activities between the United States and the rest of the world. Outside the United States, it established a network of human rights organizations, promoted democracy, gave large numbers of fellowships for young leaders to study in the United States, and invested heavily in the Green Revolution, whereby poor nations dramatically increased their output of rice, wheat, and other foods. Both Ford and Rockefeller were heavily involved. Ford also gave heavily to build up research universities in Europe and worldwide. For example, in Italy in 1950, sent a team to help the Italian ministry of education reform the nation's school system, based on meritocracy (rather than political or family patronage) and democratisation (with universal access to secondary schools). It reached a compromise between the Christian Democrats and the Socialists to help promote uniform treatment and equal outcomes. The success in Italy became a model for Ford programs and many other nations. The Ford Foundation in the 1950s wanted to modernize the legal systems in India and Africa, by promoting the American model. The plan failed, because of India's unique legal history, traditions, , as well as its economic and political conditions. Ford, therefore, turned to agricultural reform. The success rate in Africa was no better, and that program closed in 1977.

Asia

Lamia_bint_Majed_al-Saud,_Bahrain_TV_News_Center_-_Mar_28,_2019

While charity has a long history in Asia, philanthropy or a systematic approach to doing good remains nascent. Chinese philosopher

Mozi Mozi (; ; Latinized as Micius ; – ), original name Mo Di (), was a Chinese philosopher who founded the school of Mohism during the Hundred Schools of Thought period (the early portion of the Warring States period, –221 BCE). The ancie ...

() developed the concept of "universal love" (, ), a reaction against perceived over-attachment to family and clan structures within Confucianism. Other interpretations of Confucianism see concern for others as an extension of benevolence. Muslims in countries such as Indonesia are bound by zakat (almsgiving), while Buddhists and Christians throughout Asia may participate in philanthropic activities. In India,

corporate social responsibility Corporate social responsibility (CSR) is a form of international private business self-regulation which aims to contribute to societal goals of a philanthropic, activist, or charitable nature by engaging in or supporting volunteering or ethicall ...

(CSR) is now mandated, with 2% of net profits to be directed towards charity. Asia is home to most of the world's billionaires, surpassing the United States and Europe in 2017. Wikipedia's list of countries by number of billionaires shows four Asian economies in the top ten: 495 in China, 169 in India, 66 in Hong Kong, and 52 in Taiwan (). While the region's philanthropy practices are relatively under-researched compared to those of the United States and Europe, the Centre for Asian Philanthropy and Society (CAPS) produces a study of the sector every two years. In 2020, its research found that if Asia were to donate the equivalent of two percent of its GDP, the same as the United States, it would unleash () annually, more than 11 times the foreign aid flowing into the region every year and one-third of the annual amount needed globally to meet the sustainable development goals by 2030.

Australia

Structured giving in Australia through foundations is slowly growing, although public data on the philanthropic sector is sparse. There is no public registry of philanthropic foundations as distinct from charities more generally. Two foundation types for which some data is available are Private Ancillary Funds (PAFs) and Public Ancillary Funds (PubAFs). Private Ancillary Funds have some similarities to private family foundations in the US and Europe, and do not have a public fundraising requirement. Public Ancillary Funds include community foundations, some corporate foundations, and foundations that solely support single organisations such as hospitals, schools, museums, and art galleries. They must raise funds from the general public.

Differences between traditional and new philanthropy

Impact investment versus traditional philanthropy

Traditional philanthropy and impact investment can be distinguished by how they serve society. Traditional philanthropy is usually short-term, where organizations obtain resources for causes through fund-raising and one-off donations. The

and the Ford Foundation are examples of such; they focus more on financial contributions to social causes and less on actions and processes of benevolence. Impact investment, on the other hand, focuses on the interaction between individual wellbeing and broader society by promoting

sustainability Specific definitions of sustainability are difficult to agree on and have varied in the literature and over time. The concept of sustainability can be used to guide decisions at the global, national, and individual levels (e.g. sustainable livi ...

. Stressing the importance of impact and change, they invest in different sectors of society, including housing, infrastructure, healthcare and energy. A suggested explanation for the preference for impact investment philanthropy to traditional philanthropy is the gaining prominence of the

Sustainable Development Goals The Sustainable Development Goals (SDGs) or Global Goals are a collection of 17 interlinked objectives designed to serve as a "shared blueprint for peace and prosperity for people and the planet, now and into the future".United Nations (2017) R ...

(SDGs) since 2015. Almost every SDG is linked to environmental protection and sustainability because of rising concerns about how

globalisation Globalization, or globalisation (Commonwealth English; see spelling differences), is the process of interaction and integration among people, companies, and governments worldwide. The term ''globalization'' first appeared in the early 20t ...

, consumerism, and

population growth Population growth is the increase in the number of people in a population or dispersed group. Actual global human population growth amounts to around 83 million annually, or 1.1% per year. The global population has grown from 1 billion in 1800 to ...

may affect the environment. As a result, development agencies have seen increased demands for accountability as they face greater pressure to fit with current developmental agendas.

Traditional philanthropy versus philanthrocapitalism

Philanthrocapitalism Philanthrocapitalism or philanthropic capitalism is a way of doing philanthropy, which mirrors the way that business is done in the for-profit world. It may involve venture philanthropy that actively invests in social programs to pursue specific p ...

differs from traditional philanthropy in how it operates. Traditional philanthropy is about charity, mercy, and selfless devotion improving recipients' wellbeing. Philanthrocapitalism, is philanthropy transformed by business and the market, where profit-oriented business models are designed that work for the good of humanity. Share value companies are an example. They help develop and deliver curricula in education, strengthen their own businesses and improve the job prospects of people. Firms improve social outcomes, but while they do so, they also benefit themselves. The rise of philanthrocapitalism can be attributed to global capitalism. Therefore, philanthropy has been seen as a tool to sustain economic and firm growth, based on

human capital theory Human capital is a concept used by social scientists to designate personal attributes considered useful in the production process. It encompasses employee knowledge, skill, skills, know-how, good health, and education. Human capital has a subst ...

. Through education, specific skills are taught that enhance people's capacity to learn and their productivity at work. Intel invests in science, technology, engineering, and mathematics (STEM) curricular standards in the US and provides learning resources and materials for schools, for its innovation and revenue. The New Employment Opportunities initiative in Latin America is a regional collaboration to train one million youth by 2022 to raise employment standards and ultimately provide a talented pool of labour for companies.

Promoting equity through science and health philanthropy

Philanthropy has the potential to foster

equity Equity may refer to: Finance, accounting and ownership * Equity (finance), ownership of assets that have liabilities attached to them ** Stock, equity based on original contributions of cash or other value to a business ** Home equity, the dif ...

and inclusivity in various fields, such as scientific research, development, and healthcare. Addressing systemic inequalities in these sectors can lead to more diverse perspectives, innovations, and better overall outcomes. Scholars have examined the importance of philanthropic support in promoting equity in different areas. For example, Christopherson ''et al.'' highlight the need to prioritize underrepresented groups, promote equitable partnerships, and advocate for diverse leadership within the scientific community. In the healthcare sector, Thompson ''et al.'' emphasize the role of philanthropy in empowering communities to reduce health disparities and address the root causes of these disparities. Research by Chandra ''et al.'' demonstrates the potential of strategic philanthropy to tackle health inequalities through initiatives that focus on prevention, early intervention, and building community capacity. Similarly, a report by the Bridgespan Group suggests that philanthropy can create systemic change by investing in long-term solutions that address the underlying causes of social issues, including those related to science and health disparities. To advance equity in science and healthcare, philanthropists can adopt several key strategies: * Prioritize underrepresented groups: Support scientists and health professionals from diverse backgrounds to help address historical injustices and foster diversity. * Encourage equitable partnerships: Facilitate collaborations between institutions from different backgrounds to promote

knowledge exchange Knowledge transfer is the sharing or disseminating of knowledge and the providing of inputs to problem solving. In organizational theory, knowledge transfer is the practical problem of transferring knowledge from one part of the organization to ...

and a fair distribution of resources. * Advocate for diverse leadership: Support initiatives that emphasize diversity and inclusion in leadership positions within scientific and health institutions. * Invest in early-career professionals: Help create a more equitable pipeline for future leaders in science and healthcare by investing in early-career researchers and health professionals. * Influence policy changes: Utilize philanthropic influence to advocate for policy changes that address systemic inequalities in science and health. Through these approaches, philanthropy can significantly promote equity within scientific and health communities, leading to more inclusive and effective advancements.

Types of philanthropy

Philanthropy is defined differently by different groups of people; many define it as a means to alleviate human suffering and advance the quality of life. There are many forms of philanthropy, allowing for different impacts by different groups in different settings.

Celebrity philanthropy

Celebrity philanthropy refers to celebrity-affiliated charitable and philanthropic activities. It is a scholarship topic in studies of "the popular" vis-à-vis the modern and post-modern world. Structured and systematised charitable giving by celebrities is a relatively new phenomenon. Although charity and fame are associated historically, it was only in the 1990s that entertainment and sports celebrities from affluent western societies became involved with a particular type of philanthropy. Celebrity philanthropy in contemporary western societies is not isolated to large one-off monetary donations. It involves celebrities using their publicity, brand credibility, and personal wealth to promote

not-for-profit organisation A nonprofit organization (NPO) or non-profit organisation, also known as a non-business entity, not-for-profit organization, or nonprofit institution, is a legal entity organized and operated for a collective, public or social benefit, in co ...

s, which are increasingly business-like in form. This is sometimes termed as "celanthropy"—the fusion of celebrity and cause as a representation of what the organisation advocates.

Implications on government and governance

The advent of celebrity philanthropy has coincided with the contraction of government involvement in areas such as welfare support and

foreign aid In international relations, aid (also known as international aid, overseas aid, foreign aid, economic aid or foreign assistance) is – from the perspective of governments – a voluntary transfer of resources from one country to another. Ai ...

to name a few. This can be identified from the proliferation of

neoliberal Neoliberalism (also neo-liberalism) is a term used to signify the late 20th century political reappearance of 19th-century ideas associated with free-market capitalism after it fell into decline following the Second World War. A prominent fa ...

policies.

Public interest group Advocacy groups, also known as interest groups, special interest groups, lobbying groups or pressure groups use various forms of advocacy in order to influence public opinion and ultimately policy. They play an important role in the developm ...

s, not-for-profit organisations and the United Nations now budget extensive amounts of time and money to use celebrity endorsers in their campaigns. An example of this is the People's Climate March of 2014. The demonstration was part of the larger

People's Climate Movement The People's Climate Movement (PCM) is a coalition of civil society organizations, including environmental and religious organizations, trade unions and social justice groups, in the United States of America that advocates for political and socia ...

, which aims to raise awareness of climate change and environmental issues more generally. Notable celebrities who were part of this campaign included actors Leonardo DiCaprio, Mark Ruffalo, and Edward Norton.

Examples

* The Concert for Bangladesh * Band Aid *

LiveAid Live Aid was a multi-venue benefit concert held on Saturday 13 July 1985, as well as a music-based fundraising initiative. The original event was organised by Bob Geldof and Midge Ure to raise further funds for relief of the 1983–1985 famine ...

* NetAid * Danny Thomas and St. Jude Children's Research Hospital *

Geena Davis Institute on Gender in Media The Geena Davis Institute on Gender in Media is a US non-profit research organization that researches gender representation in media and advocates for equal representation of women. The institute is currently headquartered at Mount Saint Mary's U ...

* Jerry Lewis and the MDA Telethon *

List of UNICEF Goodwill Ambassadors This is a list of UNICEF Goodwill Ambassadors and advocates, who work on behalf of the United Nations International Children's Emergency Fund for children's rights. UNICEF goodwill ambassadors are usually selected by regional and national UNI ...

* Newman's Own *

Tiger Woods Foundation TGR Foundation was established in 1996 by Tiger Woods and his father, Earl Woods, to create and support community-based programs that improve the health, education, and welfare of all children in America. Currently, the foundation has establish ...

* Richard Gere Activism *

Remote Area Medical Remote Area Medical (RAM) is a non-profit provider of mobile medical clinics delivering free dental, vision, and medical care (as well as veterinary services when available) to under-served and uninsured individuals. Founded by British philanthro ...

Diaspora philanthropy

Diaspora philanthropy is philanthropy conducted by

diaspora A diaspora ( ) is a population that is scattered across regions which are separate from its geographic place of origin. Historically, the word was used first in reference to the dispersion of Greeks in the Hellenic world, and later Jews after ...

populations either in their country of residence or in their countries of origin. Diaspora philanthropy is a newly established term with many variations, including migrant philanthropy, homeland philanthropy, and

transnational Transnational may refer to: * Transnational company * Transnational crime * Transnational feminism * Transnational governance * Transnationality * Transnational marriage * Transnational organization * Transnational organized crime * Transnational ...

giving. In diaspora philanthropy, migrants and their descendants are frontline distributors of aid, and enablers of development. For many countries, diaspora philanthropy is a prominent way in which members of the diaspora invest back into their homeland countries. Along with diaspora-led foreign direct investment, diaspora philanthropy is a force in the development of a country. Members of a diaspora are familiar with their community's needs and the social, political, and economic factors that influence the delivery of those needs. Studies show that those who are a part of the diaspora are more aware of the pressing and neglected issues of their community than outsiders or other well wishers. Also given their deep ties to their country of origin, diaspora philanthropies have greater longevity than other international philanthropies. Due to diaspora philanthropy, diaspora philanthropy is more willing to address controversial issues found in their country of origin compared to local philanthropy. ''African American philanthropists'' have made significant contributions across various fields, including mental health, education, entrepreneurship, and disaster relief. Taraji P. Henson's Boris Lawrence Henson Foundation focuses on mental health awareness and support for those affected by mental illness, particularly within the African American community. Shawn Carter's Shawn Carter Foundation provides scholarships and educational opportunities to underserved youth, aiming to improve access to higher education and support students in achieving their academic goals. Damon John's FUBU Foundation promotes entrepreneurship by offering mentorship and resources to aspiring business owners. Additionally, Rihanna's Clara Lionel Foundation provides disaster relief and humanitarian aid, helping communities in need during crises and supporting global emergency response efforts. While there are dozens more examples, each of these foundations reflects the African American community's commitment to addressing critical issues and improving the lives of individuals in diverse and impactful ways.

Philanthropic capitalism

Philanthropic capitalism or philanthrocapitalism is a way of doing philanthropy through the capitalist realm. Instead of it being for profit, the philanthropist does it as a non-profit and only breaks even or even takes a small loss. Still, the overall gain to the community would be greater than the small loss they incurred. For example, a philanthropist puts up for neighborhood revitalization to build new homes in place of

dilapidated Dilapidation is a term meaning a destructive event to a building, but more particularly used in the plural in English law for # the waste committed by the incumbent of an ecclesiastical living # the disrepair for which a tenant is usually liable ...

housing and only breaks even or takes on a small loss selling the homes. If they took a loss on each home, 10,000 homes could be made with that initial philanthropic donation. It could be run like a nonprofit organization so they would not have to pay property taxes on the homes as they were waiting to be sold.

Criticism

Philanthropy has been used by ultra high-net-worth individuals to offset their larger tax liabilities through charitable contribution deductions enabled by the tax code. In the book '' Winners Take All: The Elite Charade of Changing the World'' by

Anand Giridharadas Anand Giridharadas () is an American journalist and political pundit. He is a former columnist for ''The New York Times''. He is the author of four books: ''India Calling: An Intimate Portrait of a Nation's Remaking'' (2011), ''The True American: ...

, he asserts that various philanthropic initiatives by the wealthy

elite In political and sociological theory, the elite (french: élite, from la, eligere, to select or to sort out) are a small group of powerful people who hold a disproportionate amount of wealth, privilege, political power, or skill in a group. D ...

in practice function to entrench the power structures and special interests of the wealthy elite. For example, despite Robert F. Smith's generosity by paying off the student debt incurred by the Morehouse class of 2019, he simultaneously fought against changes to the tax code that could have made more money available to help low-income students pay for college. As a result, Giridharadas argues, Smith's philanthropic giving functions to reinforce the prevailing

status quo is a Latin phrase meaning the existing state of affairs, particularly with regard to social, political, religious or military issues. In the sociological sense, the ''status quo'' refers to the current state of social structure and/or values. W ...

and perpetuates income inequality, instead of addressing the root cause of social issues. The ability of wealthy people to deduct a significant amount of their tax liabilities in the form of philanthropic giving, as noted by the late German billionaire shipping magnate and philanthropist Peter Kramer, functioned as "a bad transfer of power", from

democratically Democracy (From grc, δημοκρατία, dēmokratía, ''dēmos'' 'people' and ''kratos'' 'rule') is a form of government in which the people have the authority to deliberate and decide legislation (" direct democracy"), or to choose gov ...

elected politicians to unelected

billionaire A billionaire is a person with a net worth of at least one billion (1,000,000,000, i.e., a thousand million) units of a given currency, usually of a major currency such as the United States dollar, euro, or pound sterling. The American busin ...

s, whereby it is no longer "the state that determines what is good for the people, but rather the rich who decide". The

Global Policy Forum The Global Policy Forum (GPF) is an international non-governmental organization founded in December 1993 and based in New York and Bonn (Global Policy Forum Europe). � The aim of the Global Policy Forum is to critically accompany and analyze develo ...

, an independent policy watchdog which functions to monitor the activities of the United Nations General Assembly, warned governments and international organisations that they should "assess the growing influence of major philanthropic foundations, and especially the Bill & Melinda Gates Foundation… and analyse the intended and unintended risks and side-effects of their activities" prior to accepting money from rich donors. In 2015, Global Policy Forum also warned elected politicians that they should be particularly concerned about "the unpredictable and insufficient financing of public goods, the lack of monitoring and

accountability Accountability, in terms of ethics and governance, is equated with answerability, blameworthiness, liability, and the expectation of account-giving. As in an aspect of governance, it has been central to discussions related to problems in the publ ...

mechanisms, and the prevailing practice of applying business logic to the provision of public goods". Giridharadas also argues that philanthropy distracts the public from some of the ill-gotten gains that were derived via

profit Profit may refer to: Business and law * Profit (accounting), the difference between the purchase price and the costs of bringing to market * Profit (economics), normal profit and economic profit * Profit (real property), a nonpossessory intere ...

. For example, the Sackler family were known for their generous philanthropic giving to various cultural institutions worldwide. However, their philanthropic giving functioned as

deception Deception or falsehood is an act or statement that misleads, hides the truth, or promotes a belief, concept, or idea that is not true. It is often done for personal gain or advantage. Deception can involve dissimulation, propaganda and sleight o ...

and

propaganda Propaganda is communication that is primarily used to influence or persuade an audience to further an agenda, which may not be objective and may be selectively presenting facts to encourage a particular synthesis or perception, or using loaded ...

, as their legacy of generosity was tainted by the subsequent exposure of Purdue Pharma's role in encouraging and exacerbating the opioid epidemic. As a result of their exposed ill-gotten gains from the

social issue A social issue is a problem that affects many people within a society. It is a group of common problems in present-day society and ones that many people strive to solve. It is often the consequence of factors extending beyond an individual's cont ...

s caused by the philanthropic donors, the British institutions of the

National Portrait Gallery, London The National Portrait Gallery (NPG) is an art gallery in London housing a collection of portraits of historically important and famous British people. It was arguably the first national public gallery dedicated to portraits in the world when it ...

and the Tate, along with the American institution

Solomon R. Guggenheim Museum The Solomon R. Guggenheim Museum, often referred to as The Guggenheim, is an art museum at 1071 Fifth Avenue on the corner of East 89th Street on the Upper East Side of Manhattan in New York City. It is the permanent home of a continuously exp ...

, announced their rejection of charitable giving from the Sackler family trusts.

References

External links

* * *
A History of Modern Philanthropy
1601–present compiled and edited by

National Philanthropic Trust National Philanthropic Trust (NPT) is an American independent public charity that provides philanthropic expertise to donors, foundations and financial institutions. NPT ranks among the largest grantmaking institutions in the United States. NPT sp ...

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