Posts tagged with: global economic crisis

Acton On The AirIn the wake of the release of the Vatican’s Note on Global Financial Reform, the media has called on Acton for comment and analysis. Presented here are three interviews on the topic from the past few days; we’ll post more as audio becomes available.

On Monday afternoon, Acton’s Director of Research Dr. Samuel Gregg joined host Al Kresta on Kresta in the Afternoon to discuss the problems with the note:

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

The following day, Dr. Gregg joined host Drew Mariani on Relevant Radio to discuss the same topic:

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Finally, on Tuesday Acton President Rev. Robert A. Sirico made an appearance on Kresta in the Afternoon that served as a preview to his discussion of the good and bad portions of the Vatican’s note in today’s Wall Street Journal, and sheds light on exactly what a “note” from the Vatican is:

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Update: Sam Gregg audio clips are now working!

Blog author: jballor
posted by on Wednesday, August 19, 2009

There’s more evidence that amidst the economic downturn people are becoming more careful and intentional about the kinds of charities they fund. We’ve seen that those likely to continue to flourish are those that have cultivated a “family-like” connection with their donors.

Often more local charities do well in this kind of climate. And, of course, the focus of the charity matters, too.

Robert J. Samuelson reports (HT: Theolog) that charitable giving was down $308 billion in 2008, and will likely be down even more this year. This will undoubtedly be due to less excess out of which to give, as well as potential changes to the tax code discouraging high levels of giving by the wealthy.

But Samuelson points out an exception to this trend. Feeding America, a group dedicated to providing resources for local food banks, has seen funding jump by 42%. Ross Fraser of Feeding America said, “Charities such as ours do well when times are hard. If you have to choose between giving to the ballet and feeding a hungry child, who’s going to win?” As Samuelson writes this dynamic “compounds the pressure on other nonprofits: colleges, hospitals, and environmental groups.”

Givers can be quite savvy, giving to the areas they perceive to be the most pressing. That’s why giving patterns can change quickly and respond to broader economic and social trends. With unemployment up and foreclosures on the rise, it makes good sense that food banks and other similar aid groups would have a competitive advantage relative to other kinds of non-profits.

Blog author: jballor
posted by on Monday, June 8, 2009

I had occasion to ask a leader in a denominational global relief agency today whether he had seen any decline in North American interest in addressing international poverty, given the recent economic downturn. He said that he had among some of the major foundations and donors, who were being inundated with more local requests for funds (food banks, and so on). But he also said that among most mid-level and smaller givers, they were matching if not exceeding previous patterns of giving.

When I asked him to elaborate about why he thought this might be, he said that in times of challenge and crisis, those of us in the first “third” of the economic world are able to often gain better insight into just how advantaged we are. What if you were faced with a debilitating illness or unemployment in a country that doesn’t have the resources available in the United States? It’s a truism that economic instability affects those with the least amount of financial cushion.

This explanation dovetails nicely with what has turned up in the research of Princeton professor Robert Wuthnow. In an interview with CT editor David Neff about his new book, Boundless Faith: The Global Outreach of American Churches, Wuthnow says in part about the possible outcomes of the economic crisis,

It’s very likely that some churches are going to be saying that being involved on the other side of the world is a nice extra, but we can’t afford it right now. We have to focus on the needs at home. Hopefully that won’t be the only response, because when the world economy goes into a slump, people at the poorest end of the spectrum are usually the ones who suffer most, and therefore the giving and relief efforts are needed all the more.

Certainly some churches will “scale back,” as Wuthnow says. But other individuals and churches will keep the scales balanced, so to speak, or perhaps even “scale up.” A great deal of the difference seems to do with the kinds of relationships that are cultivated between all the parties involved.