Tuesday, August 29, 2017

If you want to help, give cash

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The coast of Texas is certainly suffering in the wake of Hurricane Harvey. And the damage is not done. The Houston area is expected to have as much rain in the coming week as it did this past week. The flooding is bad and will likely continue to trap people in their homes and damage property in the coming week or two.

There are a lot of companies and individuals gathering up supplies to send to those in need. Their hearts are in the right place -- the people on the coast need help. But sending truckloads of clothes, water, flashlights, and canned food is honestly not the best move right now for a couple of reasons.

First, it is an extremely inefficient use of resources. All of those items will have to be sorted and distributed by somebody. This takes an enormous amount of man power.


Second, it does not allow for relief organizations to take advantage of economies of scale.


Instead of donating a couple cans of food, the people in need would be much better off we all of us donated a dollar or two to relief efforts. With one dollar, the food bank can purchase seven dollars worth of food because putting all those dollars together allows them to buy in bulk. That way, they can buy fresh food that is exactly what they need plus it is already sorted. This saves time, money, and man power. The same concept holds true for all of the other supplies that is needed on the coast right now.

In addition, a lot of people just need to get out of the area. Bringing them supplies will not make their house less flooded. Getting people evacuated takes resources. Bringing them some water and boxes of mac and cheese is good, but getting them to dry land is better.

In an episode of Adam Ruins Everything, he makes the case for discontinuing in-kind donations and most of our volunteering. Here is a snippet from that episode about canned goods.

The reason we continue to give in-kind donations instead of cash is because it makes us feel better. It makes us feel good to give a can of beans and think someone in need will open this can of beans and be oh-so-thankful. Or to give a package of socks and think someone in Houston who has wet socks is going to be so happy to open up this package of socks and have dry feet again.


While those in-kind donations will hopefully get to  people who need them, cash is always king. Cash always fits, it is always the right color, it is always the right flavor. Cash allows relief agencies to allocate resources efficiently and get exactly what they need to aid the people in distress.

If you want to help people in the wake of Hurricane Harvey, donate money. This New York Times article gives links to both local and national organizations you can give to. It is not guaranteed that all of your cash donations will be used for relief efforts. It is not a guarantee that none of those funds will get used for administrative needs or could possibly be mishandled. However, there is no guarantee that your in-kind donations will get to the people who need them either. Your cash donation has the best chance of helping someone who needs assistance right now.

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