Contractors outnumber soldiers in Iraq due to accountability issues. Up until the 1970's
New York University managed and operated a real live spaghetti factory under its tax exempt status. Actively competing against other spaghetti factories that did pay taxes. When does it stop? May we algorithmically evaluate organizations to determine which have ceased to benefit the public with sufficient dividends? May we return the losers into the survival of the fittest ocean of free market capitalism?
In theory non-profits exist to supplement the government in cases where high degrees of specialization would be prohibitive for organization at a national level. In practice these organizations take advantage of a tax break and leverage it to compete against independent for-profit businesses. Here in Charlottesville Habitat for Humanity comes to mind. Mediocrity doesn't do it justice. These folks suck. $250,000 affordable houses built cheaply on second-rate labor. Buying up the only inner-city trailer-park - one that actually didn't suck - to convert it into more of their aforementioned abodes. And then there's their store. Overpriced chachkas & used tools you can buy new for less at Lowes. Competing with the junkyards, the antique malls, and every other used stuff store in town... Granted Salvation Army has one too, however I'll go toe to toe with anyone on Salvation Army - they feed thousands of people here in town, and that's very important. In a country like America it's critical that no one starve. Our wealth is abundantly clear to anyone that's been anywhere else, and to our collective credit the thought of someone starving to death in plain view is unthinkable.
These stooges obtain 501(c)3 status and forgetaboutit - they're no longer in the business of business - they're tax exempt and as long as they don't produce much of anything they're safe. Ideas and imagination are top priorities at these places. Accountability as to whether these ideas actually function is non-existent.... arg
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