DATELINE: April 16, 2008, Chicago
The New York Times Freakonomics blog is reporting that Michael, a 31-year old Harvard University graduate, faces a problem. He is about to inherit an unspecified amount of money and wants to give $70 million to worthy causes. The Chronicle of Philanthropy's Give and Take column posed the question: Where should Michael donate his money? Not surprisingly, the story has generated what would appear to be record number of comments. Many suggest that Michael give his money...
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to their favorite cause.
We think Michael should get himself a good lawyer and investment advisor, if he doesn't have advisors already. We then suggest that Michael cool his jets. He has his entire lifetime to give his money away, but once he parts with it, he can't get it back. We would hate to see Michael living on a subway grate at 45, 65, or 85, regretting his earlier decision. Michael strikes us as no different than a child star or professional athlete. Those folks can make a lot of money in a short period of time. They appear to be rich, but unless they save and invest wisely, they may not be able to sustain a lifestyle to which they became quickly accustomed.
Michael should avoid impulsive behavior. He has already made his first mistake by sharing too much information with someone who has advertised his problem, albeit at Michael's suggestion. We bet there are already charities and others trying to identify Michael so that they can sink their avaricious claws into him and his money.
This is not to say that Michael shouldn't give to charity. But we would like to see a little more concern on the part of those who want Michael's money about Michael's long-term well being. Donors are not just suckers to be picked clean. There are two sides to the giving transaction. In our view—and this is the real point of this post—ethical charities should be concerned that the giving experience is just as rewarding for the donor as the recipient. They should also be concerned about the donor's well being after the donation. Michael may find at age 35 or 45 that he believes the best way to serve humanity is to start a company, invent a new product, or invest in a venture. It would be a shame if Michael couldn't do that because he had acted too quickly.
We can say one thing for sure: Michael's quandary sure doesn't say much for a Harvard education. You would think that someone who had the opportunity to attend one of the world's great universities would have developed some interests and ideas from the experience? Didn't an art history, sociology, international relations, religion, economics, health, performing arts, literature, or science course develop any appreciation or sense of how Michael might want to benefit the world? In some part, Michael's shallowness is his own fault. In the end, if you have to ask other people where you should give your money, you need to grow up before you make any decisions. In fact, Michael's question reeks of arrogance, particularly when he says he isn't sure whether he needs to give away $70 million or $50 million, iwth a laugh.
Our final question: How does Michael know that he soon will inherit money. After reading his quandry in the New York Times, maybe someone will decide to rewrite his or her will. One can only hope.
And one for the road: Does Michael exist, or is he just a device to spark some discussion?
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