May 17, 2001 | Read Time: 2 minutes
American Foundations: An Investigative History
by Mark Dowie
Foundation giving represents a small proportion of overall donations to philanthropic causes, but foundations exercise far greater power in American life than their giving would suggest, writes Mark Dowie in this new history of U.S. foundations.
Foundations have always helped create social and public policy. But their influence could further grow in the next 50 years, as foundation endowments expand and as the federal government potentially shrinks in size, writes Mr. Dowie, an investigative journalist and former editor of Mother Jones. This book examines the question, as Mr. Dowie puts it, of “whether placing so much power, covert or overt, at the disposal of an existentially bewildered, nondemocratic institution is an entirely wholesome development.”
To ensure that the answer is yes, Mr. Dowie writes that foundations must move quickly to democratize their financial and decision-making processes. In the book’s final chapter, he recommends three changes to foundations that he predicts will attract ire from foundation trustees and staff: Foundations should be permitted an endowment no larger than $1-billion; they should donate a larger percentage of their assets; and family members should represent a minority of a foundation’s board.
Throughout, Mr. Dowie argues that some foundation projects have not promoted the most innovative solutions, instead practicing what he calls “drag-anchor” philanthropy — slowing down or eliminating promising projects to pacify those who would act more conservatively. He touches on those issues in chapters about the timing and structure of programs in education, science, health, the environment, food production, energy, art and culture, and human services.
Mr. Dowie based the book on more than 200 interviews and a review of foundation documents.
Publisher: MIT Press, 5 Cambridge Center, Cambridge, Mass. 02142-1493; (617) 625-8569 or (800) 356-0343; mitpress-orders@mit.edu; http://mitpress.mit.edu; 320 pages; $29.95; I.S.B.N. 0-262-04189-8.
