Live data from Hacker News

Amazon founder Jeff Bezos pledges to give away most of his wealth

bbc.co.uk

51–60 of 136 posts

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#51

Bill Gates pledged the same and yet his wealth hasn't reduced. Worse, the philanthropy has been targetted ideologically (like encouraging private schools) and somehow keeps ending up favouring companies he has ownership in.

Gates pledged to give most of it away when he dies.

In the meantime he's given away billions, but obviously he's invested the billions he still has, so unless his (doubtlessly world-class) money managers were completely incompetent he's going to at least break even.

The Bill and Melinda Gates foundation "now spends more on global health every year than the World Health Organization — not to mention more than most countries on the planet."[1]

But that philanthropy has its critics. One criticism is that it's very opaque and it's impossible to measure how effective it is. It's also both hugely influential and unaccountable.

Also, from the above-linked article:

"One 2008 article by two Oxford researchers, published in The Lancet, argued that the Gates Foundation was "misfinancing global health" — paying most of its grants out to rich countries and prioritizing infectious diseases (such as HIV/AIDS and malaria) over major chronic killers such as obesity, cancer, and diabetes."

"Another 2009 paper in The Lancet, by a group of University College London health and development researchers, found that despite the Gates Foundation's emphasis on improving the lives of the poor, its grants didn't actually reflect the burden of disease that the poorest face."

"An example: the Gates Foundation has received lots of positive press for its role in financing the eradication of polio. And yet, even that campaign had its critics, says McGoey. In her research, she found key stakeholders in some of the countries that were the focus of the campaign expressing the view that "this was really a priority of wealthy nations and not necessarily developing ones, many of which were more preoccupied with battling illnesses that created a far greater health burden in their nations [such as diarrhoeal diseases in India]. They were compelled to emphasize polio [eradication] against their will."

"Another concern that comes up in the academic literature is that the Gates Foundation is too focused on drugs, vaccines, and other technological solutions for global health problems. But many researchers, by contrast, would prefer a focus on the less exciting but crucial work of strengthening the health systems of poorer countries."

"For similar reasons, the Gates Foundation's work on malaria drew criticism from some corners. In a 2013 article in Global Society, Youde pointed out that the head of WHO’s malaria research, Arata Kochi, sent a memo complaining that the foundation "was stifling debate on the best ways to treat and combat malaria, prioritising only those methods that relied on new technology or developing new drugs.""

"The Gates Foundation has played an extremely negative role in efforts to develop replacements for strong patent rights and high drug prices," James Love, the director of Knowledge Ecology International and a critic of the foundation, writes on his blog. Or as McGoey put it: "There’s immense concern surrounding the Gates Foundation’s position on intellectual property rights, and whether this major global health player is cognizant enough to ensure property rights are fair for citizens in wealthy and poor nations."

[1] - https://www.vox.com/2015/6/10/8760199/gates-foundation-criti...

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#52
.. what a crock. yet another scoundrel ploy to skirt paying relevant taxes, etc. just like gates. just like peter thiel. just like Yvon Chouinard [patagonia ceo]. just like warren buffet. blah, blah, blah ...

can't wait for adam conover [adam ruins everything] to jump on this one.

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#53
post #45

Earlier quoted context omitted.

The people who have the skills to accumulate wealth at this scale don’t have the skills to give it away. They are extraction minded, and philanthropy is a direct contradiction to this mental model. Keep some to stay comfortable of course, but you have to be comfortable with your status, influence, and wealth substantially declining as a second order effect of the distribution logistics, and that’s just not who these…

MacKenzie Scott can’t give her wealth away fast enough, for example To be fair, neither can Bill Gates. So it points to something fundamental about the way in which wealth works that these people can't give money away fast enough. Doesn't mean it's a problem though. Having money flowing up to Gates, Bezos, Scott and then having them give it away is probably the best we can do in the current legal and regulatory envir…

[deleted]

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#54

Earlier quoted context omitted.

Why should his wealth reduce?

If I give $10 to charity, my wealth is reduced by $10. The naive assumption is that if Bill Gates gives $10B to charity, his wealth is also reduced by $10B. Can you explain why the naive assumption is wrong? Because I actually can't, not without more thought and research than I've given it.

Because you can use $10B to give $500M/yr for a limitless period of time.

Gates can give substantially more money if he leverages it to grow over time. I would wager that it is going to take decades if ever that the Gates fund will hit $0. Yeah it's not as flashy as "Died with $0 of his fortune left", but under the hood the net good done is orders of magnitude greater.

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#55
post #8

Earlier quoted context omitted.

That's cuz saying you want to give it away is not a simple thing, when most people around you only have the skills to accumulate it or spend it on themselves. Not to mention all the pond scum it draws in that has to be constantly filtered out.

The people who have the skills to accumulate wealth at this scale don’t have the skills to give it away. They are extraction minded, and philanthropy is a direct contradiction to this mental model. Keep some to stay comfortable of course, but you have to be comfortable with your status, influence, and wealth substantially declining as a second order effect of the distribution logistics, and that’s just not who these…

Building a business that provides useful products and services isn't "extraction minded." Most of the people I've know over the years who start businesses do so because they want to be the one making decisions and having the ultimate responsibility. A lot of them are very community minded.

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#56
post #9

Realistically how can he do that without tanking the stock price? He owns 100B in Amazon stock. Anyone with knowledge care to chime in on how he could ever access it? For comparison, Vanguard and Blackrock (shares owned by little folks like us) own 69B and 59B. Mackenzie, his ex-wife, owns 33B and has pledged to give hers away as well on The Giving Pledge.

He can give the shares away directly. Start a charitable foundation, give the shares to the foundation, and then the foundation can liquidate slowly (over decades if need be) to access capital.

Wouldn't the effect be basically the same, except the ownership changes? I can't imagine he'd have no involvement in such a foundation.

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#57

Quoted post unavailable.

What's frustrating to me is that seemingly no one who complains about billionaires actually understands why they are billionaires and what the difference between a checking account and a 20% equity stake are.

I've spent a lot of time trying to think of ways to remedy wealth inequality, and the best I can come up with is "If you hate Bezos so much, you should probably quit your addiction to Amazon Prime."

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#58
I am with Jesus on this one:

Beware of practicing your righteousness before other people in order to be seen by them, for then you will have no reward from your Father who is in heaven. Thus, when you give to the needy, sound no trumpet before you, as the hypocrites do in the synagogues and in the streets, that they may be praised by others. Truly, I say to you, they have received their reward. But when you give to the needy, do not let your left hand know what your right hand is doing, so that your giving may be in secret. And your Father who sees in secret will reward you.

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#59
post #50

Bill Gates pledged the same and yet his wealth hasn't reduced. Worse, the philanthropy has been targetted ideologically (like encouraging private schools) and somehow keeps ending up favouring companies he has ownership in.

I really don't get the animus against private schools. Surely a one size fits all public school can't possibly best serve the interests of every possible student. Furthermore in a pluralistic society, shouldn't we tolerate people's different preferences in education, especially those who opt for more religious education?

Try opening up a Madrasa in your neighborhood and you may find a lot of pushback to private religious schools, even from people who say they are in favor of such a thing.

Re: Amazon founder Jeff Bezos pledges to give away most of his wealth

#60

Bill Gates pledged the same and yet his wealth hasn't reduced. Worse, the philanthropy has been targetted ideologically (like encouraging private schools) and somehow keeps ending up favouring companies he has ownership in.

Was the pledge to give away most of us while still alive? I know Warren Buffett's original plan was to give away nothing until death and then give away all of it and his wife or something convinced him to at least give away some while still alive.

Note that while I think most of the other replies are not necessarily pertinent in that giving away trickles is clearly not "most," the Gates Foundation has given a total of $65.6 billion to date, which is more than half of the Gates family's current net worth, but it isn't funded solely by him. That also means he can't decide unilaterally what to spend the money on, though. I was under the impression it was mostly global health until recently. The education initiatives are relatively new.

He could easily still be on track to give away some amount equal to whatever his net worth is on death by his death, though, and still meet a pledge to do it while alive. I don't know that anyone of extremely high net worth has ever tried to give away 50% all at once. I'm not sure that's even feasible in terms of finding organizations that could take and use that much money in a single year, other than donating directly to the US Treasury general fund.

Post reply on HN