Merging finance and social impact to make a better world
A groundbreaking study conducted by the Human Services Chamber of Hamilton County in collaboration with the Alpaugh Family Economics Center at the University of Cincinnati has quantified the economic and social impact of nonprofits in Greater Cincinnati. The findings highlight the critical role nonprofits play in job creation, economic growth, and social services while generating substantial tax revenue for local and state governments.
A comprehensive 14-year study has highlighted the significant economic benefits of Project QUEST, a San Antonio-based workforce development program established in 1992. The research indicates that participants experienced an average income increase of $54,000 over the study period, with those aged between 35 and 64 seeing gains of nearly $139,000 compared to a control group. This translates to a 234% return on investment, considering the average program cost of $16,244 per participant.
A comprehensive study titled “Arts & Economic Prosperity 6” (AEP6), conducted by Americans for the Arts (AFTA), has unveiled the significant economic and social contributions of Delaware’s nonprofit arts and culture sector in 2022. The Delaware Division of the Arts reported that this industry generated $209.5 million in economic activity, comprising $148 million from organizational spending and $61.5 million from event-related audience expenditures. This financial activity supported 3,330 jobs and yielded $40 million in revenue for local, state, and federal governments.
Large employer investments foster economic dynamism, higher wages, improved employment rates, lower crime, and better access to private healthcare. The data-driven approach challenges anecdotal skepticism and provides a compelling case for policymakers and communities to actively attract and support major business investments.
Nobel Prize-winning economist James Heckman found that every $1 invested in quality early childhood programs generates $4 to $16 in returns. The earlier we act, the greater the impact—for kids, families, businesses and communities.
The American Dream Demonstration provided compelling evidence that low-income individuals, when given the appropriate tools and incentives, can successfully save and invest in assets that enhance their economic and social well-being.