It's a common conservative economic argument that lowering taxes will allow for more charitable donations by individuals. See, for example, the argument put forth in this blog:
http://visionsfromthehorizon.blogspo...ve-better.htmlThis illustrates a most urgent fact. The Republicans need to do a much better job communicating the reality that if one truly wants to help the poor and needy, wealth is required to do so. That while the democrat’s social policies such as entitlement programs are aimed at helping the poor and needy, the democrat’s economic policies destroy the wealth required for ongoing charity.
That Republican economic policies that lead to wealth creation, combined with Republican social policies encouraging charitable giving through tax credits not only leads to more effective social assistance (because government programs are very ineffective including government social programs), but guarantees the sustainability of social assistance for the poor and needy. AND…furthermore, it does so while respecting the potential of the individual and encouraging the pursuit of life, liberty and happiness.
However, a new study by the Chronicle of Philanthropy suggests that the rich donate far less to charity (as a percentage of income) than the middle class. This data argues that charitable donations won't be favorably affected by cutting taxes on the wealthy; in fact, it appears that the more economically and socially isolated one is from the economically disadvantaged, the less likely one is to give to charity.
A story about the study can be found here: http://www.npr.org/2012/08/20/158947...ritable-giving
The results of the study can be found here: http://philanthropy.com/section/How-America-Gives/621/
So, what do people think? Does cutting taxes increase charitable donations? Or is the increasing wealth gap a problem for organizations and individuals that rely on charitable donations?



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