To me the biggest thing missing from this is recognition of different incentive structures. The markets are very, very different because in this analysis:
99%+ of investors are selecting for-profits based on their financial return, and 99%+ of for-profits are optimizing for their financial return
<1% of donors are selecting non-profits based on their statistical impact, and <1% of non-profits are optimizing for statistical impact
As part of the <1% of donors, you’re examining a sector that largely is not trying to optimize for your goals, which creates significant differences relevant to nearly all aspects of this discussion.
To me the biggest thing missing from this is recognition of different incentive structures. The markets are very, very different because in this analysis:
99%+ of investors are selecting for-profits based on their financial return, and 99%+ of for-profits are optimizing for their financial return
<1% of donors are selecting non-profits based on their statistical impact, and <1% of non-profits are optimizing for statistical impact
As part of the <1% of donors, you’re examining a sector that largely is not trying to optimize for your goals, which creates significant differences relevant to nearly all aspects of this discussion.
Thanks. I tried to capture some of that in the sections for:
and
Do you think I still missed an important aspect there?