in a market-based economy that is supported by a
monetary system with distinct characteristics. For
example, our finite money supply (as managed by
the Federal Reserve) tends to concentrate investments
behind the most promising technologies, companies,
people, products and services. Positive interest
rates further support this dynamic. Our monetary
system encourages innovation in such areas as technology
and medicine, forging breakthroughs that can improve
our quality of life.
By definition, however, the non-profit community
addresses areas in society where money does not
flow naturally. Instead, volunteerism and philanthropy
attempt to address social needs that would otherwise
go unmet. Tax benefits for financial gifts, and
an ethic towards assisting those less fortunate,
help support the non-profit community.
Our current monetary system - with its positive
interest rates and fixed money supply - will continue
to concentrate wealth. The non-profit community
picks up where this system leaves off. Its contribution
to our world cannot be underestimated.