Season’s giving: Americans still generous to nonprofits

January 5, 2009
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ANN ARBOR—The recession is putting a strain on many household budgets, but Americans still remain generous during the holidays to help those less fortunate, a University of Michigan researcher says.

Nonprofit organizations need more money and contributions, especially during this time of economic uncertainty, said H. Luke Shaefer, an assistant professor at the U-M School of Social Work.

“This is a particularly important time for giving, as many agencies raise a significant amount of their budgets from holiday appeals,” said Shaefer, whose research interests include nonprofit management and the effectiveness of the U.S. social safety net in serving low-wage workers and economically disadvantaged families.

The good news, he said, is Americans historically remain generous, even during times of economic trouble. Through 2006, only in one year during the past 40 has total private giving not increased?and that one exception was a result of changes in the tax code, he said.

Human service agencies also see a surge in demand during economic downturns.

“Many of the things in the news directly impacts demand for help,” he said. “Rising food costs drives up demand at food banks. More foreclosures lead to increased need for shelters and housing services.”

For more information on Shaefer, visit: http://www.ssw.umich.edu/about/profiles/profile-lshaefer.html

U-M School of Social Work: http://www.ssw.umich.edu/

H. Luke ShaeferSchool of Social Work