Episode 308: The Money Behind Nonprofits
Summary
Avigail Orin bids farewell to the Scholars Strategy Network, introducing Claire Dunning to discuss the historical entanglement of public and private funding in the nonprofit sector. Dunning explains how government money became invisible in the 1960s, creating a false narrative that philanthropy alone solves social problems. She details how grant-making power dynamics force nonprofits to suppress community needs to fit funder priorities, citing cases where local programs were cut or ignored. The episode argues that expecting small organizations to solve systemic issues through short-term gra…
Topics discussed
Host introductions and Avigail Orin's departure
Personal interests and the origin of this episode
The invisibility of government funding in nonprofits
Public vs. private funding and the sector's growth
Defining nonprofit, charity, and tax-exempt status
Tax code changes and the rise of private philanthropy
Donor advised funds and the parking of charitable wealth
Grant making as an expression of power
Case study: Boston food program and funder control
Case study: Chicago housing mobility and blind spots
Methodology: Using archives to trace power dynamics
Misaligned incentives and mutual congratulation
Scarcity, patience, and the pace of social change
Why small organizations cannot solve big problems
Closing remarks and show credits
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