How does philanthropy compare to capitalism when it comes to solving societal problems?

Bill Ackman
Replied byBill Ackman

Founder & CEO at Pershing Square Capital Management

Niche: Finance
Revenue: Not Publicly Disclosed/month
Location: New York City, New York, United States
Started: 2004

Philanthropy is vastly less efficient at solving problems than capitalism. Nonprofits lack equity incentives, market pressures, and the governance discipline that comes with a for-profit enterprise. Capitalism creates sustainable jobs, which is the most effective way to help people.

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