I work as an engineer, donate 10% of my income, and occasionally enjoy doing independent research. I'm most interested in farmed animal welfare and the nitty-gritty details of global health and development work. In 2022, I was a co-winner of the GiveWell Change Our Mind Contest.
Thanks for writing this up! It's rare to get an inside look at how funders handle the practical challenges of allocation, and I think you had a lot of interesting ideas.
However, the various approaches you discussed seem odd to me in that they all involve taking the cost-effectiveness of the intervention and probability of its successful implementation and converting them into some kind of score, then allocating funding proportionately to that score. That approach seems like it misses something fundamental, which is that an EV-maximizing grant portfolio should be one that equalizes the marginal cost-effectiveness (including value of information) of the last dollar given to each recipient (note that there's some further complexity if you have flexibility in how much funding to give this year vs. hold onto for future years, since one should also want to equalize the marginal cost-effectiveness of grant dollars over time). Starting from that goal, it seems clear that it would be worth scoring organizations on how quickly cost-effectiveness would be likely to fall off, based on total addressable problem size, management capacity etc. That's not to say that one can in practice compute exact marginal cost-effectiveness curves and perfectly solve this optimization problem, but I do think it's worth bringing that marginal mindset to evaluating each grant.
I'd expect the portfolio that resulted from thinking hard about equalizing marginal cost-effectiveness to look something like:
This looks a decent amount like edge, but it's skewed somewhat away from the middle tier. For example, I'm skeptical that edge's $1.9m grant to F makes a lot of sense, given that F's EV is much lower than the top tier of organizations and the information value if it works is still low. I'd expect the recommendations to differ more from edge in cases where organizations had very different capacities to absorb funds, which this example doesn't really capture.
Thanks!
I was curious about your comment that "we intend to create cost-effective impact for farmed animals by making the grants that other funders cannot - small grants delivered early and fast." From this initial description, it doesn't seem obvious to me that you're targeting a different niche than what ACE Movement Grants and AWF are currently covering. Could you say more about how you see BluePerch differing from these existing orgs? (Though I will note that it's not a bad thing to have some overlap here, more grantmaking capacity for effective animal advocacy is great!)
I think I concur. It seems like a bad call to put someone who committed massive financial crimes into a grantmaking platform development/research role, especially one in the EA/AI safety community. I don't disagree that redemption is possible and that people can change, but I think the conditions for hiring someone in these kinds of cases (e.g. time since the crime occurred and weight of evidence that the person has changed) need to be a function of the sensitivity of the role and the magnitude of the crime. And I don't think that bar is anywhere close to having been met here.
Super cool!
Thanks for the post! I was surprised to see how weak the academically-published evidence is regarding shrimp stunning effectiveness, and agree that it would be valuable on current margins for effective animal advocates to invest more in research.
For what it's worth, I read the Tesco-Hilton case study more optimistically than you do. You quote it as:
But the full quote is
(emphasis mine). That's not to say that we should rely on a single vague industry report when the academic evidence is conflicting, but I think the report does provide some evidence.
Thanks for engaging with the post! You made a lot of different points, so I'll do my best to separate them out and consider them one-by-one:
(1)
(2)
(3)
(4)
I see what you're getting at here. But if we agree that the externalities of crime aren't internalized, then I think we're just back in the position of the original post. You think the act utilitarian calculus checks you, I'm both skeptical that it does and think that there are non-act-utilitarian reasons why we ought to avoid lawbreaking.
On (1): You say:
I think that this is at best weak evidence. Activists' decisions of whether or not to commit crimes are surely influenced by norms, not just the expected intensity of punishment. The recent history of climate activism in the UK is a good example. As far as I can tell, nothing changed about UK law to cause the rapid rise of high-profile lawbreaking by Extinction Rebellion and then Just Stop Oil in the 2018-2023 timeframe. The UK government did in the end stop the activists through increased legal penalties (going from typically no prison time for nonviolent lawbreaking when motivated by ethical concerns to 4+ year prison sentences becoming common for the more serious cases). But something other than threat of prison time was keeping climate activists from using these tactics in the early-to-mid 2010s.
On (2):
I agree that a Pigouvian tax doesn't require restitution (as I indicated with including "improve welfare elsewhere" as something that can be done with the tax revenue). But the classical formulation (in which the optimal tax rate fully eliminates deadweight losses) does require that a dollar of consumer/producer surplus and a dollar of tax revenue produce the same social welfare. If a dollar of tax revenue produces less social welfare, then the deadweight loss cannot be eliminated.
To make this more concrete, I want to dig into an example based on your comment about driving in a world with a carbon tax. Consider taking a long trip by car rather than train under 3 different taxation schemes. Let's assume you value the convenience of the car over the train at $101, the social cost of your carbon emissions is $100, and that all consumers in this world have identical marginal utilities of money.
World A: No carbon tax. You take the trip, gaining benefits you value at +$101 while causing social costs of -$100. In this world, we might say that you've done the right thing by driving (since this maximizes utility overall), but that for fairness reasons you might be obligated to donate some money to others, since your utility-maximizing decision also acted as a transfer from others to you.
World B: Carbon tax of $100 on the trip, returned as an equal dividend to all people. You take the trip, gaining net benefits after the tax of $1. The rest of society ends up net neutral (though there might still be particular winners and losers). In this world, you've done the right thing by driving, and have no further obligations.
World C: Carbon tax of $100 on the trip, which the government will use to buy $100 of consumer goods and dump them down an old mineshaft. You take the trip, gaining net benefits after the tax of $1. The rest of society still experiences the social costs of -$100, which the tax doesn't do anything to reduce. In this world, you've clearly done the wrong thing by driving, since you caused a net utility loss of $99.
My claim is that doing crimes is similar to deciding to drive in World C. The "tax" on crime is imprisoning the criminal, which causes them to pay large costs in terms of their lost freedom and ability to work and doesn't do anything to benefit society. And in fact it's worse than World C, since the rest of society needs to pay the additional costs of arresting, prosecuting, and jailing them. So I think the Pigouvian tax analogy does not hold here, and it's wrong to think that the harms of crime are properly internalized.
Two thoughts: