What is the appropriate role of solicitation organizations in delivering welfare benefits?

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What is the appropriate role of solicitation organizations in delivering welfare benefits?

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BHI does not recommend offering credits for donations to solicitation organizations (such as the United Way) because such entities represent an administrative filter that absorbs funds better spent directly on the poor. Admittedly, reasonable arguments can be made in support of solicitation organizations, such as those based on economies of scale and better quality control. We believe, however, that organizations would develop their own funding networks and arrangement for quality-control without the need for solicitation intermediaries. The question is, however, open to further research.

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