Over at Marginal Revolution Tyler is putting his money where his mouth is. He has just published a book where he makes an argument for how to best help people. Now he wants to follow through and give money to people in India. They don’t have to be engaged in charitable work at all, they just have to do something with it that helps India, and they get the money no strings attached:
2. Send your email to DiscoverYourInnerEconomist@gmail.com. Only emails to this address will be considered. The email must contain the legal name (as documented on ID papers) of a person who will receive the money, his or her state in India, and the city of his or her local Western Union branch. You can be the person yourself, or you can send the information on behalf of someone you know.
3. With your email, send a one sentence proposal of how the money will help India… Proposals of all kinds are eligible, including using the funds to help expand your steel factory, and yes using the money to open a new call center. But you must not give the money to beggars.
4. Only one email per person is allowed.
5. By the end of the week I will send $1000 to India, via Western Union. One person will receive $500, the other recipients will get $100 a piece; I will email the wire numbers to each approved person… If/when Discover Your Inner Economist is published in India, further names will receive transfers. I will send at least the net, post-tax value of my Indian advance. [Link]
Why is he doing this? Well Tyler believes that the following three maxims apply:
1. Cash is often the best form of aid.
2. Give to those who are not expecting it, and,
3. Don’t require the recipients to do anything costly to get the money. [Link]
He’s also very much against waste, and wants to engage in zero overhead giving. Lastly, he’s encouraging others to do something similar using the names that he has collected, and tell him about it:
One final request. I am asking my readers — yes that’s you — to also make merit-based donations to India.
Making your gift is simple. Just email me at IndiaMerit@gmail.com and ask for names and emails of recipients. You also can specify whether you want your money to go to the poor or to an Indian business. You then send the money yourself and email the recipient the Western Union number of your transfer. You can even send the money on-line. [Link]
I’m not sure that I agree with Tyler’s arguments; I haven’t read his book, but the evidence I have seen argues that monitoring is always a good thing. However, as an empiricist I am always happy to help somebody publicize a worthy experiment. Sometimes the best way to ascertain the cost:benefit tradeoffs involved in a situation is simply to try things out and see what works. Theory is a pretty weak guide to the world.




