Behavior & Risk
Why Charities Are Uniquely Vulnerable: Identity, Incentives, and Risk in the 501(c)(3) World
43:46
In this episode, we explore why nonprofits and charities, while generally beneficial, are uniquely susceptible to malfeasance due to a regulatory hodgepodge, donor identity attachment, and management incentives. We explore how donations often involve reciprocity in the form of internal rewards (wellbeing, moral elevation, guilt reduction) tied to self-concept, which can be exploited and can…