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Many Happy Returns

We've often used and recommended the terminology of "investment" in GII's work on messaging for global development, health and other global issues. A Washington Post article earlier this week confirmed that, for nonprofits, social investments realize impressive returns.

The study, released [Monday], found that many of the area's 7,614 nonprofits deliver such key services as health care in more cost-efficient ways than the government. Nonprofits also address social problems -- including homelessness, hunger, violence and illiteracy -- in the early stages, which prevents additional public spending, according to the report...

Viki Betancourt, community outreach manager of the World Bank, said it is important to document in financial terms the impact of charitable contributions. Applying an economic value to nonprofits may increase donations from corporations and wealthy business leaders, who would consider such giving a smart investment, she said.

"I'm a huge believer that you have to know who you're investing in," Betancourt said. "No one goes out and buys a car and doesn't take care of it for five years. So why would you put your money in a nonprofit and not follow it, not know where it's going? You always want to invest your money wisely."

The study that the Post cited examined mostly nonprofit work that is local to the District, but the implications for nonprofits tackling similar issues around the world are undeniable: nonprofits should welcome such economic analysis. It can help differentiate and legitimize their work as more than simple charity.

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