The news lately has focused on the bad economy, growing personal debt and the downward trend toward a recession. It’s times like these that the media also focuses on the vibrancy of the charitable sector and increased demands on front-line agencies like food banks to meet the needs of newly laid-off individuals and others affected by a down market.
Here’s the thing with giving, the true philanthropy, it is non incentivized. It is a transactional response to an emotional experience. In a down economy we still have those same emotions. My observation is, that in some cases, these emotions are heightened under the constant reminder of financial insecurity. So when charities cry poverty during a down economy, my guess is that they were heading this way long-before the economy took a turn. The financial environment accelerated or exacerbated the situation.