Why Do Foundations Favor Local Science Research?

Ever wondered where the billions in charity money for science research go? A study by data scientists found that a huge chunk of this money, about $30 billion annually, is directed to local institutions. This is like giving candies to the kid next door while the global playground needs a makeover. The study looked at foundation grants from 2010-2019 and found that donors often stick to their home states. Nearly 40% of grants and 60% of total dollars went to local research. It's like a loyalty program. Foundations tend to support the same places year after year. About 70% of grants made one year were repeated the next. If a foundation supports an institution for seven years straight, there's a 90% chance they'll do it again next year. They're like regular customers at a favorite café. The study used Internal Revenue Service data from 990 forms, which foundations are required to file. It identified nearly 70, 000 nonprofits doing scientific research or supporting it. These nonprofits received around 1 million unique grants totaling over $30 billion in 2019 alone.

Take the Bill & Melinda Gates Foundation. While only 2% of their research funding typically stays in Washington, they gave over 20% to local projects from 2010-2019. The Lilly Endowment gave 62% to institutions in Indiana. And the Dennis Washington Foundation? They only funded universities in Montana, totaling over $20 million. This local focus in funding is surprising, as most scientists and health researchers work with global teams. Also, this $30 billion from foundations might be half of what the U. S. government spends annually on research. The National Institutes of Health has a roughly $47 billion budget, and the National Science Foundation, about $10 billion. But here's a big question mark. We don't know much about what this funding is for. Details on the goals or purpose of the grants are scarce. It's like buying a present without knowing what it does. This makes it hard to know the impact of these donations on science and health research.

Actions