The Economy: Searching for Answers

It’s July 4th and all’s well—I guess.   I don’t want to give a hearty amen to this statement because I have been reading Business Week.  So many questions, yet so many incomplete or less-than-hearty answers.

Have you noticed the lack of commitment by all the business experts?  Here’s an example, “All this austerity will pay off—eventually.”  Or Jack and Suzy Welch’s answer to the question “When will this *@&^ recession end?”  They answered, “How about sometime in 2010?  The problem with being more precise, you see, is the mixed picture out there.”

I would agree with that.  But just give me a straight answer.  I want to know whether the stimulus plan is working—plenty of hemmin’ and hawin’ when it comes to an answer to this question.  How many more banks will fail?  It depends on how you define “fail.”  Is there any hope for the automobile industry?  Maybe if they can come up with new and exciting products.  When will unemployment stop rising?  We may be near the bottom of readjustment, so we should see this trend slowing.

There is one question from this issue of Business Week that reveals where the American public seeks an answer.  They are seeking their answer from the White House, which may indicate that we are drifting toward increasing reliance on our federal government to solve everything.  The question:  “What one issue would matter most in your presidential vote?”  Over 50% of the respondents to the Pew Research Center poll answered, “Economy/Jobs.”  Moral values rated, but only at 10%.  Compare these figures to the same poll in 2004.  Terrorism/Iraq/Afghanistan garnered 36%, the economy 21%, and moral values 27%.

Of course the economy would rank higher in this year’s poll.  And it would seem reasonable for Terrorism/Iraq/Afghanistan shrinking to 8% as we move further away from 9/11/01.  My concern is the shrinking emphasis on moral values.  Just take a look at some of the moral issues we see around us, in particular among political leaders.  If we can’t have politicians who know how to act responsibly on a personal level, then we likely will not have politicians who can address major issues with the economy in a responsible manner.

We need men and women who will serve this country with dignity, that will set a proper example for the next generation.  Yes, the economy is perhaps the most significant issue of the day.  But let’s not throw out our morals.  This might just be the time when we consider that the really important things in life are the intangibles.  Our lives will be the richer for it.  Oh, and happy July 4th!

What Would You Accomplish With Billions of Dollars?

I am watching with great interest the hoopla surrounding the “stimulus package” being offered by the Democrats in our U.S. Congress.  According to Daniel Henninger’s excellent analysis in today’s Wall Street Journal, this American Recovery and Reinvestment Act (just 700 pages of reading) is more a “self” stimulus bill than it is an economic stimulus bill because of how much would be spent on rebuilding the government’s infrastructure.  For example, the boast within the bill that says 3 million jobs will be created fails to clarify that these jobs will all be on our government’s payroll with the federal government as their boss.  Is this economic stimulus?  Sounds sketchy and a bit scary to me.

Whatever happened to zero-based budgeting?  You know, where we figure out what is needed first and then assign a cost.  It seems we have reversed this process to something like, “How much money can we spend or print?” and then let’s start putting everything into categories of spending.  We can’t operate our own homes this way.

I looked over some of the numbers in the stimulus package and have never seen so many zeros in all my life.   There is $6,000,000,000 for the construction, repair, and alteration of Federal buildings.  How about $375,000,000 to rebuild trails on our Federal lands?  Or we have the Weatherization Assistance Program chiming in at $6,200,000,000.  By the way, what is that $500,000,000 of expenses included within this?  No detail, just half-a-billion dollars of expenses.

Perhaps in contrast, I became aware that Wycliffe Bible Translators launched the Last Languages Campaign.  This campaign focuses on translating the Bible into 2300 languages that remain on their list of people groups without a Bible in their native language.  Bob Creson, President of Wycliffe, gathered their staff together to pray and plan this campaign.  It was fueled by a donor who asked the question, “If I gave you $100,000,000 for your work, what would you accomplish?”  This is cold, hard cash.  The Last Languages Campaign will enable all of these remaining languages to have a translation started by the year 2025.  The price tag is $1,000,000,000 (give or take a few dollars).

This represents billions of dollars that will accomplish something far-reaching on a scope that influences many people groups on the face of the earth.  It is not an “invest in ourselves” mentality like the Democrats are proposing, but rather an “invest in others” plan that will influence untold cultures and societies for the better.  The lesson for us, and for the next generation, is to look at how we invest in others and how we learn to be a conduit for good while we inhabit a short time on the face of this earth.  The present fades away, the eternal endures.  This must become our focus.

A Message for Nonprofits from President Barack Obama

In his inaugural address this week, President Barack Obama included a message that should induce hope in the hearts of nonprofit leaders.  He stated, “What is required of us now is a new era of responsibility—a recognition on the part of every American that we have duties to ourselves, our nation, and the world.”  To paraphrase, Americans must dig deep to share the responsibility for the situation we find ourselves as a nation and we must, in a dutiful way, support the causes that are near and dear to our heart as a testimony to the world.

This message will likely produce conflicting feelings of hope and despair for nonprofit leaders.  The hope is that Americans step up to the plate for their favorite causes and lend their support.  The despair is bound up in the uncertainty of the economy and whether Americans will respond to the message of hope they hear from our leader as 2009 progresses.

In his commentary in today’s issue of The Wall Street Journal, Arthur Brooks, president of the American Enterprise Institute, points to the Philanthropic Giving Index (PGI) perhaps as an indicator of where we may be heading in 2009 in the bigger scheme.  This index published by the Indiana University’s Center on Philanthropy shows that the PGI over the past six months dropped from 83 to 65 on a scale of 0-100. PGI is determined by nonprofit leaders and is similar to the Consumer Confidence Index.  As a tool, the PGI is useful but does not indicate where the pain may be or by how much donors may lower their giving.

Ministries and religious nonprofits should take heart, however, according to further research by Mr. Brooks.  The logic goes like this:  conservatives give more than liberals because conservatives are more religious.  Extracting this from its political implications, folks who attend church services and who consider themselves religious tend to out-give those who are not by more than $1,100 per year.  Mr. Brooks further shows that these same people decrease their giving less during economic downturns.

I am not sure of the age demographic for all of this information.  I suspect that the younger generation that responded favorably to the fund-raising appeal of the Obama campaign heard the words “hope” and “change.”  They thought electing a new president would result in the change.  Now the task is to get this next generation to step up and become responsible supporters of the causes they hold dear.  For next generation believers, it is time to consider what stewardship really means and which ministries merit their support.  This is the mandate for us all.

Madoff, Merckle, Wealth, and Suicide

Grim news hits hard. It appears that the unraveling of another business empire claimed a life this week in Germany. Adolf Merckle, a 74-year-old multibillionaire, apparently took his life after a failed attempt to restructure the finances of his family’s conglomerate.  Officials found his body on a train track.

I thought back just a month or so earlier to news about a French financier’s suicide in relation to the Bernard Madoff scandal. He oversaw a fund largely invested with Madoff that lost close to $1.5 billion.

There are others. On the same day as the Merckle news, The Wall Street Journal listed 4 apparent suicides of high-profile business officials occurring recently. WSJ probably figures obituaries sells newspapers these days.

How can we take this news and use it as a teaching point for the next generation?

First, let’s stress the importance of keeping your identity free from notions of personal wealth. This is nothing new, for it seems that men continue to yearn for the type of power and recognition that wealth has to offer.  A person’s identity needs something much greater than this earth has to offer.

Next, focus on developing quality relationships with balanced people. I wondered many times about the relationships these reported deaths have left behind. Are there family members with broken hearts? Any other friends who might come forward to share something positive about these men? Strange, such reports elude our attention.

Also, develop personal interests other than the ones money can buy. I can think of a few that require relatively little investment of money: reading (check out local libraries), gardening, cooking (you’ve got to eat), walking, listening to music, developing a skill, outdoor recreation, etc. Creativity helps. Don’t give in to notions that you are not creative.

Finally, cultivate your spiritual life. My personal relationship with Christ takes on new meaning when the media shouts the word “uncertainty.” I know what certainty is, and that is having a hope and a future because of the saving grace of God expressed through Jesus Christ. This makes life worth living, this gives life worth. This is the type of wealth you want to share with others.

Next generation, please realize that change rests with you. Notions of wealth reside within each generation, so ask God to help you change your heart and influence the hearts of others with true notions of worth.

Responding to Economic Uncertainty–Some Practical Tips

After seeing the Presidential debate last night, I felt a little uneasy.  Yes, the primary topic was the economy and I was not real sure if either candidate knew a proper solution to our current situation.  In fact, I was hoping to hear someone invoke the need for prayer and how we need to rely on God during these times.  There was never a mention of appealing to God about anything.  I wondered who were the candidates’ primary economic advisors.   We listened for reassuring words and got nothing.

As a believer, we know we are stewards of God’s things so why worry?  In Him is the assurance we need.  Happiness is not based on what we have and do but rather on who we are in Christ.  We keep telling ourselves these things during tough times, however the uneasiness creeps in.  What are some practical things to do now to help us respond to the economic uncertainty we see?

1.  Resist the urge to compartmentalize. Compartmentalization leads to reliance on self rather than reliance on our Lord.  If you take all of the areas of life, i.e. family, finances, jobs, hobbies, church, friends, there is a tendency to keep some of these areas separate from the others.  It is like we are not an integrated whole.  When we place all these things with Christ at the center, then we move away from compartmentalization and see our lives as integrated wholes in Christ.  Finances probably fall into the compartmentalization problem more than others just by its nature.  Resist the tendency and lean on the Everlasting Arms.

2.  Focus on the attributes of God. I have been so encouraged by reading through passages of Scripture referring to the attributes of God.  Our God is faithful, He is love, He is truth, He is good, He is wise, He is omnipotent, He is omniscient, and He is patient.  Because of who He is, we have stability, we have certainty, we have hope, and we have assurance.  I would encourage anyone to take time to go through key passages in the Bible and rest in knowing that we serve a God who truly cares for us as we face the issues of the day.  As Psalm 121:1-2 expresses, “. . . where does my help come from?  My help comes from the Lord, the Maker of heaven and earth.”

3.  Give yourself first. This may sound simple.  I recommend keeping it simple.  Reach out to others during this time and give of yourself.  Fellowship and sharing are good for the soul.  We need more of this during times like these.  Also, give yourself first to the Lord before you stress over stewardship issues.  Just like the Macedonians that Paul commended in 2 Corinthians 8:5, they gave themselves first to the Lord and this undergirded their generosity in all matters.  Uncertainty fades away when we know others are experiencing similar things.

4.  Remind yourself where your devotion is. I always say, “when you love, you give.”  This is an underlying stewardship principle.  Don’t stop giving in troubled times.  Find ways to give.  Giving expresses devotion, trust, reliance, honor, dependence, and gratitude to the Lord.  This is not the time to argue about topics like tithing and investing.  Merely give and show your devotion to He who is greater than all these things.

This list could go on and I would encourage you to personalize your list of ways to combat the uncertainty of today’s economy.  Make the list, and then put it into practice!

Ministry Development–Revisit the Fundamentals During Difficult Times

Bear Stearns.  Lehman Brothers.  Merrill Lynch.  WAMU.  AIG.  Just the mention of these stalwarts of American business and finance send thoughts of uncertainty into our minds.  The present climate of instability in our economy can make each day seem longer than it really is, at times gnawing away at our security if we place undue focus on the things of the world.

If you serve as a development person for a ministry, or even a board member or leader, surely this adverse economic environment influences your days and perhaps your moods.  I am not an alarmist, but I do believe that just like with our faith we need to return to the fundamentals to settle things a bit.  When you are responsible for raising support and for running a development program for a ministry or nonprofit, it helps to revisit the fundamentals during difficult times.

Here are some suggestions for revisiting the fundamentals of stewardship and development for ministry leaders:

1.  Is our case for support compelling?  Strong?  In need of revision?  Elements of our case for support include our mission, communication of needs (broken into annual needs, expansion needs, designated needs, future needs), and communicating how to give.  Take a close look at each of these components of your case for support to insure your message is clear during tough economic times.

2.  How can we energize our lapsed donor base?  Along these lines, are we properly stewarding our donors?  What can we do to improve retention?  The answers to these questions help rejuvenate a stodgy donor base.

3.  Thinking in terms of moves management, what are effective ways to get people close to your ministry and to keep them there?  This may include a review of your cultivation techniques, as assessment of effectiveness of special events, and an evaluation of all manners of communications.

4.  How can we better leverage our base/contacts?  How can we best get new prospects/contacts?  It helps to revisit the important task of prospecting to determine is everything is being done that is prudent.

Here are some other thoughts that may clarify your thinking during challenging times:
•    A typical challenge for ministries and nonprofits is trying to build your organization without the guarantee of multi-year funding.  Review your planned giving strategy.
•    Spend less time worrying about competition for the donors’ dollars, spend more time figuring how to communicate your ministry’s unique case for support.
•    No need to resort to gimmicks, sales techniques, etc.
•    It is what it is—we don’t have to make our ministry something it is not, so avoid puffed-up notions of ministry potential and impact.
•    Raising funds is more an art than a science.  Raising funds is spiritual work where the Spirit is involved.

My prayer is that you will go to the Lord first for wisdom about your situation.  Ask Him to help you with the fundamentals of ministry and development.  Review, clarify, communicate, and never give up.

Obama’s and McCain’s Charitable Giving: Observations for the Next Generation

By now you are probably aware that both Barack Obama and John McCain have posted prior year personal tax returns on their respective websites for public inspection. Public officials being public about private financial matters merit some positive and public praise. But let’s be careful as we scrutinize the candidates’ charitable giving.

Yes, we see that Obama’s giving was minimal for years 2000-2004 (close to a cumulative $10,000 for these 5 years) and suddenly shot up in 2005 as he honed in on his candidacy for President. This coincides with a dramatic increase in his AGI to $1.6 million the same year; however, total charitable giving was still less than 5% of the Obamas’ AGI. In contrast, McCain’s charitable giving appears relatively stable from year to year within a range higher than 20% of his AGI. We do know that his wife Cindy inherited a fortune from her family and that her tax returns have not been made public. The Foundation they give from favors the private schools their children attended.

I don’t care to analyze the candidates and their charitable giving at length, but what are some observations we might make for Christ followers and next generation stewardship from this cursory review?

Why not start with the fact that our tax returns are not made public, but our Lord knows them. If we truly believe in an omniscient God who knows us and watches over us, then our giving is no mystery to Him. So, to whom are we accountable? It would appear that public officials publicizing their tax returns strive for accountability to the public that they serve; likewise, as a Christ follower we should strive for accountability to our Lord we serve, properly handling the resources that flow through us. A good question to ask is, “Lord, what do You want to give through me?” Not, “Lord, what do you want me to give?”

Also, our giving to the Lord’s ministry should not be done to gain favor in the eyes of other people. Political candidates especially seem sensitive to gaining favor from groups as a way to enhance their political stature. Sometimes I fear that the successful business owners within our congregations seek positions on stewardship campaign committees to gain the favor of their fellow congregants rather than truly being sacrificial. What happened to the “not equal gifts, but equal sacrifice”? I’ll never forget the time we joined a church and went to the counseling room with a couple of deacons, one a real estate agent who on the way out of the counseling room gave me his card and said to call him if we were interested in buying a house. Business owners should nail their business cards to the cross when they come to church.

Another observation is that public officials give themselves to their parties first. Undoubtedly this influences their charitable giving. Who have we given ourselves to? I like to think that we, like the Macedonians in 2 Corinthians 8:5, first give ourselves to the Lord and to His will. Then, out of that giving flows the freedom of passionate stewardship of what God has entrusted to us.

Do we owe an account to the public? Yes, to be the faithful stewards of the witness of how Christ has changed our lives. Public officials may deem their financial transparency adequate, but show me one who is willing to go the extra step to be accountable to the Lord. The next generation cannot afford to compartmentalize their stewardship, but to make it one of the marks of their devotion to a cause that is greater than any political party on the face of the earth.

A Fresh Perspective on Spending and Giving

“I’ve always said that one of the most boring things to do with money is spend it,” expressed philanthropist Robert Wilson in a recent article from The Chronicle of Philanthropy. I had to check myself on this. After paying the recent round of bills, I realized Mr. Wilson’s statement contained more than an ounce of truth.

Well, what about giving money away? Does it have to be boring? Are my decisions to give filled with joy and anticipation, or with routine angst? As a Christ follower, I would like to suggest that both your spending and giving could be joyous opportunities with a fresh perspective.

The lesson comes from the passage in 2 Corinthians 8:1-7 dealing with the generous giving of the Macedonian churches. Reading this passage reveals an equation that doesn’t make sense: affliction = abundance + abounding. According to this passage, joy and liberality in giving was produced out of affliction. The Macedonian churches gave beyond their ability to support the ministry of the church planters led by Paul and Titus. This resulted in an abundance for the work and an abounding in knowledge, diligence, and love.

The key appears in verse 5—they first gave themselves to the Lord, and then to the church. Many times when we teach the basics of stewardship we begin with the concept that God owns it all. Well, He does (Psalm 24) but stewardship training may be more effective if we teach to give ourselves to the Lord first. Giving ourselves means surrendering our wills to His will, putting the Lord first in all the things we do. Seeking His will in prayer, through the reading of God’s Word, and through fellowship with other believers contributes to our model for stewardship. The Macedonians gave themselves first to the Lord and look at the abundance that they gave out of their poverty.

I know the thinking—that if God owns it all, we will not argue about what to give. But if I do not first give myself to the Lord, then how will I know that He owns it all and that He wants me to support His work? My encouragement to the next generation of Christ Followers is to first give yourselves to the Lord, then to the work of the ministry of the church, and you will see great things happen in your stewardship and in your walk with the Lord.

Generational Trends in Giving to Religious Causes

By far, the largest amount of charitable giving in the United States on a year-by-year basis is to religious causes. So, should we be concerned if we see shifts in certain factors surrounding this area of philanthropy?

Maybe so. The alarm sounded with the recent release of a study by the Indiana University Center on Philanthropy indicating generational changes in giving to religious causes. The story goes like this—baby boomers give less to religious causes than their parents did when they were the same age, and members of Generation X give even less. Accompanying this trend, younger people attend religious services less than their parents or grandparents. According to the study, the decline in giving may result from the decline in attendance at religious services.

Believe it or not, this is a trend that all charities watch. The reason—givers to religious causes tend to give to more groups of all kinds. If giving to religious causes declines, a potential shortfall results in giving to other groups as well.

Another barometer to watch is the annual report on philanthropy called Giving USA. Here we see that total dollars given to religious causes increased over the past 40 years, but expressed as a percentage of total giving in the U.S. religion’s share has fallen from near 46% to 32%. In fact, giving to religious organizations showed the lowest growth of all the many subsectors of charitable giving.

So, what’s up? I’m not an expert, but there are some concerns that I think we all as ministry leaders and believers should try to remedy.

First, I wonder if we have gotten away from the biblical view that possessions play a role in our spiritual development. Scripture makes it clear that the way a believer handles their possessions reveals much about their hearts. Are ministry leaders preaching and teaching this? Some may say “yes” but some also have embraced such a seeker-sensitive mindset that they might be afraid to emphasize stewardship with their congregations or supporters. As put in a new book edited by Wes Willmer, Revolution in Generosity, ministry leaders may focus on the transaction with the believer rather than on the transformation of the believer when they give. Transformation should be the focus.

Next, I wonder if all these years of capital campaigns and stewardship drives are catching up with us. When the church or a ministry spends a great amount of time in this mode, it causes the preacher and other leaders to behave like development officers of a large nonprofit organization. This could de-emphasize the biblical message about stewardship to the detriment of the long-term development of devoted stewards. The bottom line is that ministry leaders should stick to teaching what the Bible says about stewardship, about the transformation of the heart that reflects where we are in our relationship with our Lord. This is a sure way to make an impact on the finances of the organization.

Finally, I hope we can address the generational issues that are sure to arise regarding stewardship. Are we teaching biblical concepts of stewardship to the younger generations? Is there a difference in how these generations behave in giving because they have more demands for their income? I thought God demands it all, because it is His anyway. There is an upcoming generational shift of resources that will be huge according to current research. Are we showing these younger generations how they can make an impact for Christ now and how they can lay up treasures in heaven? The next generation, and the generation after that, will reflect the values that we have left them and that we have taught them. It is time for ministry leaders, church leaders, and mature Christ followers to take the lead in conveying biblical stewardship to the next generation.

Let’s practice what we preach.

Google-ing John 3:16

You all have felt it. It was just a matter of time. Years of surfing the internet has finally caught up with us. Yes, I am talking about the effect of spending massive, cumulative amounts of time online on our brains.

For me, I can think back into the 1990s at some point when the web enticed me into its massive reserve of available information. I had been a library junkie all my life, leafing through pages of information about places and things I enjoy for long periods of time between the stacks. Now thanks to the internet, I could search volumes of information with mere clicks. Pretty soon I got to be very good at this and could ramble through web page after web page without processing anything but key words from the pages. Now, I must confess, these days the web has become the conduit for lots of the information that flows into my mind.

I found a concern over this online information processing in a recent article, “Is Google Making Us Stupid?” by Nicholas Carr, in the current issue of The Atlantic. Carr says that his past decade on the computer rendered him unable to concentrate, that perhaps the neural circuitry of his brain is remapped and his memory reprogrammed. Further, Carr says he used to be able to immerse himself in books and long articles, relishing the narratives of these talented authors; however, today he becomes fidgety and cannot endure any extended amounts of time reading. Huge amounts of research can be done in little time, a boon for writers like Carr, but this form of “power browsing” mimics a form of skimming, i.e., hopping from one source to another source and retaining only small snatches of information.

This may have implications for future generations of Christ followers. Young believers, and some not-so-young believers, today spend huge amounts of time plugged into something, whether it be the internet, cellphones, blue-tooth devices, all making some folks look like human cyborgs. Even text messaging is a hybrid, cyborg-ic form of communication with its short, pithy remarks and lack of care over spelling and form. Our imaginations can run with this stuff and cause us to worry over the technological advances that supposedly have made our lives easier and more advanced. The web has woven something, and I think it is our brains. There may be an appearance of wisdom, but something is lacking.

Is there any wonder that fewer today are reading their Bibles? (Check out the Barna polls). We know that God’s Word is useful for teaching, rebuking, correcting, and training in righteousness (2 Timothy 3:16), but how can it be if we are unable to meditate on it, dwell in it, and talk about it coherently. Have we been reduced to a mish-mash of gray matter that cannot process even one book of the Bible without losing focus? It is time to counter this trend and return to the tried and true methods of observation, interpretation, and application of God’s Word so that our faith, which is more precious than gold, will be refined and be our one constant in a day of rapid change. God’s Word is a lamp for our feet, and a light for our path—it is not merely a hyperlink to heaven in this cyber age. We may be just one step away from the New Revised Google Version of the Bible.