Friday, December 21, 2007

Put Charities through a Rigorous Cost-Benefit Analysis

This is a great idea - and a long time coming.

So many charities are blatantly wasteful and poorly run. Its good to see a studied investing approach applied to charitable organizations.
"[The] two 26-year-olds who quit their jobs at a Westport hedge fund to start a foundation that puts charities through a rigorous cost-benefit analysis and then rates them on their effectiveness. It's called GiveWell, and it's apparently causing quite a stir in the nonprofit community."